Two cell tower REITs paid dividends, but only American Tower shows strong coverage and growth potential.

American Tower and Crown Castle, two major cell tower REITs, recently paid dividends while raising their full-year AFFO guidance. American Tower offers a well-covered dividend with a 65% payout ratio and strong cash flow, supported by diversified growth and manageable leverage. In contrast, Crown Castle's dividend payout ratio is about 93%, leaving little room for error, with high leverage and tenant concentration risks. Investors should watch American Tower's data-center growth and Crown Castle's bankruptcy proceedings involving DISH Wireless for future dividend sustainability.