American Tower (AMT) currently yields 3.71%, supported by long-term leases and a healthy AFFO payout ratio of about 65%, indicating dividend safety. The company paused dividend growth in 2023 but resumed increases in 2024, with management confident about future demand driven by mobile data, cloud, and AI growth. Leverage has improved to a target range with net debt to EBITDA at 4.9x, and strong free cash flow coverage supports dividend payments. Retirees seeking steady income may find AMT appealing, though caution is advised if tower revenue declines persist or leverage rises above 5x.
Brad Thomas explains that while SpaceX's Starlink is expanding global connectivity through satellites, these satellites address coverage but not capacity issues. Cell towers remain essential infrastructure with strong competitive advantages such as l...
Real Estate ETFs XLRE and VNQ currently yield about 3-4%, which remains attractive even as 10-year Treasury yields hover around 4.4%. XLRE focuses on about 30 large-cap REITs, heavily weighted in specialized properties like data centers and cell towe...
