American Tower downgraded to Hold despite strong Q1 results and 4% dividend yield

American Tower Corporation (AMT) reported better-than-expected Q1-2026 results, driven mainly by foreign exchange benefits rather than core business growth. The company's data center revenue grew 18.4% year-over-year, supporting moderate growth, but overall valuation remains fair, not attractive. Analysts downgraded AMT to Hold due to weak stock momentum and cautious outlook despite a solid 4% dividend yield. Investors should watch for future business acceleration beyond FX tailwinds.