5 Best Real Estate Stocks to Buy Now

1. American Tower Corporation (NYSE:AMT)

Number of Hedge Fund Holders: 52

American Tower Corporation (NYSE:AMT) is a Boston, Massachusetts-based REIT that owns, develops, and operates multi-tenant wireless and broadcast communications real estate. The company has a portfolio of nearly 222,000 communication sites. American Tower Corporation (NYSE:AMT) has secured the first position on our list of the 12 best real estate stocks to buy now.

Eric Luebchow at Wells Fargo gave American Tower Corporation (NYSE:AMT) stock a target price of $235 and reiterated an Overweight rating in an update issued to investors on October 18. The analyst suggests going long on American Tower Corporation (NYSE:AMT) stock despite some downward revision in estimates due to interest rate hikes and adverse foreign exchange impact.

On October 27, investment firm Stonepeak revealed its plans to invest a further $570 million in the US data center business of American Tower Corporation (NYSE:AMT). The firm had previously invested $2.5 billion in the company, reflecting its bullish long-term outlook on the stock. American Tower Corporation (NYSE:AMT) pays an annual dividend of $5.88, translating into a forward yield of 2.87% as of October 28.

Here’s what ClearBridge Investments said about American Tower Corporation (NYSE:AMT) in its Q2 2022 investor letter:

“The top contributor was our sole real estate holding American Tower (NYSE:AMT), the leading independent wireless tower operator with roughly 221,000 properties globally, including about 43,000 in the U.S., 76,000 in India and 23,000 in Brazil. The company’s business model is to lease space on its towers to predominantly wireless carriers on a long-term basis, generally ranging 5–10 years in duration, with built-in price escalators. This approach results in a stable and predictable cash flow business with high incremental margins — attractive qualities especially in volatile markets like the second quarters.”

You can also take a peek at the 15 Biggest Internet Companies in the World and the 15 Biggest Cell Phone Companies in the World.

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