Top 5 Stock Picks of Adam Usdan’s Trellus Management

4. American Tower Corporation (NYSE:AMT)

Trellus Management’s Stake Value: $5.043 million

Percentage of Trellus Management’s 13F Portfolio: 3.67%

Number of Hedge Fund Holders as of Q2 2021: 55

American Tower Corporation (NYSE: AMT), headquartered in Boston, Massachusetts is a real estate investment company that owns and operates communications infrastructure. The company was founded in 1995 and presently offers its services in 25 countries around the globe.

Adam Usdan’s Trellus Management holds 19,000 shares in American Tower Corporation (NYSE: AMT) worth over $5 million, representing 3.67% of its portfolio. Ken Fisher’s Fisher Asset Management holds the biggest stake in American Tower Corporation (NYSE: AMT), with over 1.9 million shares worth more than $523 million.

On October 12, Andrew Rosivach, an analyst at Wolfe Research, assumed the coverage of American Tower Corporation (NYSE: AMT) with the rating “Peer Perform” and set a price target of $271.

Qualivian Investment Partners, an investment management firm, published its Q3 2021 investor letter in which it provided its stance about American Tower Corporation (NYSE: AMT). Here is what the investment firm stated related to American Tower Corporation (NYSE: AMT):

“What Attracts Us 

Superior Business:
• High barriers to entry resulting from low bargaining power of suppliers (land owners) and customers (wireless companies). Neither can find reasonable substitutes for existing cell towers. Combined with low possibility of disruption, this results in a business oligopoly and pricing power.
• Stable business with consistent high returns on equity, low maintenance capital required, and strong cash generation.
− Ten-year, non-cancelable contracts with built in pricing escalators and high renewal rates
− 1%-2% churn

Superior Reinvestment Opportunities:
• Strong growth for the foreseeable future due to increasing demand for wireless data usage, resulting in wireless carriers Capex equipment spend on existing and new towers.
• Low maintenance capital expenditure requirements; most of capital expenditure is for growth

Superior Management / Capital Allocation:
• Capital reinvested back in business has had returns well above cost of capital
• Company has purchased stock opportunistically…” (Click here to see the full text)