{"schemaVersion":1,"research":true,"symbol":"amt","name":"American Tower","topic":"moat","path":"/stock/amt/moat","status":"published","version":3,"updatedAt":"2026-10-17T23:27:27.134Z","locked":false,"publicFairValue":false,"fairValue":null,"moat":{"verdict":"narrow","summary":"American Tower has a narrow moat centered on costly tenant relocation, location-dependent network infrastructure and multiyear leases with rent escalators. Shared infrastructure also supports favorable incremental economics, although superiority over competing tower operators is unproven. Pricing protection is meaningful but constrained: DISH default and termination, higher reported churn and the AT&T Mexico rent dispute demonstrate that contractual revenue is not assured. The evidence supports an existing advantage, but not exceptional durability or a wide moat.","advantages":[{"mechanism":"switching_costs","claim":"Relocating installed wireless equipment can be expensive and impair network quality, while suitable alternative sites may be unavailable. Five-to-ten-year initial non-cancellable leases and contractual escalators reinforce these physical switching costs. Approximately 2% tenant-billings churn in 2025 supports actual customer persistence.","durability":"The installed network and multiyear contract structure support persistence across lease terms. Nearly $50 billion of disclosed future contractual receipts provides visibility, subject to collectibility. Durability is limited by customer solvency, renewal negotiations and network redundancy.","risks":"Reported churn reached approximately 5% during the first half of 2026, primarily attributed to DISH. DISH defaulted, agreements were terminated and it subsequently filed for bankruptcy. AT&T Mexico challenged lease calculations and withheld rent; a payment and escrow agreement mitigates but does not resolve that dispute. Customer concentration and network sharing can weaken tenant dependence.","invalidation":"The advantage would be undermined by sustained increases in cancellations, non-renewals or rent reductions across otherwise solvent customers, evidence that relocation routinely preserves network quality at low cost, or repeated inability to collect or enforce contracted rents beyond the identified disputes.","competitors":[],"evidenceIds":["e1","e2","e3","e4","e5"],"counterEvidenceIds":["e6","e7","e8","e9","e10","e11","e12","e13","e14","e15"]},{"mechanism":"cost_advantage","claim":"Adding tenants or equipment to existing sites requires modest incremental operating costs, allowing infrastructure costs to be shared. This supports an incumbent-site advantage relative to constructing separate infrastructure; the passages do not establish lower costs than competing tower landlords.","durability":"The advantage can persist where existing locations remain useful and additional tenancy is feasible. It depends on utilization and access to underlying land, rather than global portfolio size alone.","risks":"Network sharing can reduce equipment additions or cause decommissioning. Competition for acquisitions and construction contracts can raise investment costs. Land rents and maintenance costs can rise even when tenant revenue weakens. The incremental-cost description is an issuer assertion without comparative site-level cost data.","invalidation":"The advantage would be undermined if additional tenants consistently required substantial incremental capital or operating costs, declining utilization prevented cost sharing, or new competing infrastructure could economically replicate occupied sites without a material cost disadvantage.","competitors":[],"evidenceIds":["e16","e17"],"counterEvidenceIds":["e13","e18","e19"]}],"evidence":[{"id":"e1","sourceId":"filing-1","location":"Business—initial lease terms and contractual rent escalations","excerpt":"In general, our tenant leases for our communications sites with wireless carriers have initial non-cancellable terms of five to ten years with multiple renewal terms, with provisions that periodically increase the rent due under the lease, typically annually, based on a fixed escalation percentage (averaging approximately 3% in the United States) or an inflationary index in most of our international markets, or a combination of both."},{"id":"e2","sourceId":"filing-1","location":"Business—lease renewal and relocation friction","excerpt":"•High lease renewal rates. Our tenants tend to renew leases because suitable alternative sites may not exist or be available and repositioning a site in their network may be expensive and may adversely affect network quality."},{"id":"e3","sourceId":"filing-1","location":"Business—2025 tenant-billings churn","excerpt":"During the year ended December 31, 2025, churn was approximately 2% of our tenant billings, primarily driven by churn in our U.S."},{"id":"e4","sourceId":"filing-2","location":"Lease disclosures—future minimum rental receipts at June 30, 2026","excerpt":"Future minimum rental receipts expected under non-cancellable operating lease agreements as of June 30, 2026 were as follows: Fiscal Year Amount (1) (2) Remainder of 2026 $ 4,443.4 2027 8,752.6 2028 7,338.1 2029 6,854.6 2030 5,541.6 Thereafter 16,965.3 Total $ 49,895.6 _______________ (1)Balances are translated at the applicable period-end exchange rate, which may impact comparability between periods."},{"id":"e5","sourceId":"filing-2","location":"Lease disclosures—contractual receipts exclude collectibility adjustments","excerpt":"(2)Balances represent contractual amounts owed with no adjustments made for expected collectibility."},{"id":"e6","sourceId":"filing-2","location":"MD&A—first-half 2026 churn","excerpt":"During the six months ended June 30, 2026, churn was approximately 5% of our tenant billings, primarily driven by churn due to one of our U.S."},{"id":"e7","sourceId":"filing-2","location":"MD&A—DISH revenue included in churn beginning January 2026","excerpt":"Beginning on January 1, 2026, 100% of DISH revenue will be reflected in churn."},{"id":"e8","sourceId":"filing-2","location":"DISH dispute—payment default","excerpt":"Thereafter, DISH failed to meet its payment obligations, and as of January 2026, has been in default under the SCA."},{"id":"e9","sourceId":"filing-2","location":"DISH dispute—agreements terminated effective June 2, 2026","excerpt":"We delivered notices of termination, effective June 2, 2026, to DISH of the SCA and related agreements with DISH."},{"id":"e10","sourceId":"filing-2","location":"DISH dispute—June 30, 2026 bankruptcy petitions","excerpt":"On June 30, 2026, DISH filed petitions for relief under chapter 11 of the United States Bankruptcy Code."},{"id":"e11","sourceId":"filing-2","location":"AT&T Mexico arbitration—challenged rent calculations and withheld payments","excerpt":"AT&T Mexico, which represented approximately $300 million of tenant revenue in 2025, is challenging the calculation of the monthly lease amount established under our Master Lease Agreement with AT&T Mexico (the “MLA”), as well as certain other provisions of the MLA, seeking rent abatement both retroactively and prospectively, and had been withholding tower rents since the start of 2025."},{"id":"e12","sourceId":"filing-1","location":"Financial statement notes—major customer revenue concentration","excerpt":"The following customers within the property and services segments individually accounted for 10% or more of the Company’s consolidated operating revenues for the years ended December 31,: 2025 2024 2023 T-Mobile 18 % 19 % 19 % AT&T 17 % 18 % 18 % Verizon Wireless 14 % 13 % 14 % Telefónica 10 % 10 % 10 % 20."},{"id":"e13","sourceId":"filing-1","location":"Risk factors—network sharing and equipment redundancy","excerpt":"In addition, extensive sharing of site infrastructure through RAN sharing, roaming or resale arrangements among wireless service providers, including due to increases in advanced network technology such as 5G, as an alternative to leasing our communications sites, without compensation to us, may cause new lease activity to slow if carriers utilize shared equipment rather than deploy new equipment, or may result in the decommissioning of equipment on certain existing sites because portions of the customers’ networks may become redundant."},{"id":"e14","sourceId":"filing-2","location":"AT&T Mexico dispute—September 23, 2025 payment agreement","excerpt":"On September 23, 2025, we and AT&T Mexico reached an agreement pursuant to which AT&T Mexico will remit payment of the majority of the withheld tower rents and will resume monthly payments of the majority of its owed tower rents."},{"id":"e15","sourceId":"filing-2","location":"AT&T Mexico dispute—escrow arrangements pending resolution","excerpt":"The remainder of the outstanding receivables and the future monthly tower rent amounts not remitted directly to us will be deposited into an irrevocable escrow account, overseen by an independent trustee, to be released in accordance with a final ruling in the Arbitration or by mutual consent of us and AT&T Mexico."},{"id":"e16","sourceId":"filing-1","location":"Business—additional tenancy and modest incremental costs","excerpt":"We have the ability to add new tenants and new equipment for existing tenants on our sites, which typically results in incremental revenue and modest incremental costs."},{"id":"e17","sourceId":"filing-1","location":"Business—incremental operating costs on existing sites","excerpt":"Incremental operating costs associated with adding new tenants or equipment to an existing communications site are typically relatively minimal."},{"id":"e18","sourceId":"filing-1","location":"Risk factors—asset construction and acquisition costs versus returns","excerpt":"Higher prices or less favorable terms for the construction or acquisition of assets or the failure to build or otherwise add new assets to our portfolio could make it more difficult to achieve our anticipated returns on investment or future growth, which could materially and adversely affect our business, results of operations or financial condition."},{"id":"e19","sourceId":"filing-2","location":"MD&A—first-half U.S. and Canada property gross-margin decline","excerpt":"& Canada property segment gross margin was primarily attributable to the decrease in revenue described above and an increase in direct expenses of $2.2 million, primarily due to an increase in repair and maintenance spending, partially offset by a decrease in land rent costs."},{"id":"e20","sourceId":"filing-2","location":"Consolidated statements of operations—first-half 2026 comparative results","excerpt":"1 AMERICAN TOWER CORPORATION AND SUBSIDIARIES CONSOLIDATED STATEMENTS OF OPERATIONS (in millions, except share and per share data) Three Months Ended June 30, Six Months Ended June 30, 2026 2025 2026 2025 REVENUES: Property $ 2,687.8 $ 2,527.4 $ 5,357.7 $ 5,015.6 Services 61.3 99.5 128.9 174.1 Total operating revenues 2,749.1 2,626.9 5,486.6 5,189.7 OPERATING EXPENSES: Costs of operations (exclusive of items shown separately below): Property 707.9 640.6 1,372.7 1,240.2 Services 33.4 48.1 71.9 83.0 Depreciation, amortization and accretion 514.4 510.3 1,032.6 1,002.8 Selling, general, administrative and development expense 233.8 233.7 491.2 471.2 Other operating (income) expense (9.2) (3.5) 10.2 (59.3) Total operating expenses 1,480.3 1,429.2 2,978.6 2,737.9 OPERATING INCOME 1,268.8 1,197.7 2,508.0 2,451.8 OTHER INCOME (EXPENSE): Interest income 44.4 30.6 80.4 57.5 Interest expense (354.5) (342.6) (701.8) (667.9) Loss on retirement of long-term obligations (3.2) — (3.2) — Other income (expense) (including foreign currency gains (losses) of $42.1, $(484.0), $110.2 and $(829.7), respectively) 53.8 (373.9) 144.0 (712.1) Total other expense (259.5) (685.9) (480.6) (1,322.5) INCOME FROM CONTINUING OPERATIONS BEFORE INCOME TAXES 1,009.3 511.8 2,027.4 1,129.3 Income tax provision (121.8) (131.3) (261.4) (250.2) NET INCOME 887.5 380.5 1,766.0 879.1 Net income attributable to noncontrolling interests (20.0) (13.7) (39.0) (23.6) NET INCOME ATTRIBUTABLE TO AMERICAN TOWER CORPORATION COMMON STOCKHOLDERS $ 867.5 $ 366.8 $ 1,727.0 $ 855.5 NET INCOME PER COMMON SHARE AMOUNTS: Basic net income attributable to American Tower Corporation common stockholders $ 1.86 $ 0.78 $ 3.71 $ 1.83 Diluted net income attributable to American Tower Corporation common stockholders $ 1.86 $ 0.78 $ 3.70 $ 1.83 WEIGHTED AVERAGE COMMON SHARES OUTSTANDING (in thousands): BASIC 465,938 468,178 466,068 467,909 DILUTED 466,265 468,791 466,578 468,717 See accompanying notes to unaudited consolidated and condensed consolidated financial statements."},{"id":"e21","sourceId":"filing-2","location":"Consolidated cash flows—operating cash, investment, financing and distributions","excerpt":"3 AMERICAN TOWER CORPORATION AND SUBSIDIARIES CONDENSED CONSOLIDATED STATEMENTS OF CASH FLOWS (in millions) Six Months Ended June 30, 2026 2025 CASH FLOWS FROM OPERATING ACTIVITIES Net income $ 1,766.0 $ 879.1 Adjustments to reconcile net income to cash provided by operating activities Depreciation, amortization and accretion 1,032.6 1,002.8 Stock-based compensation expense 92.6 100.7 Loss on early retirement of long-term obligations 3.2 — Other non-cash items reflected in statements of operations 50.0 826.6 Increase in net deferred rent balances 0.0 (45.3) Right-of-use asset and Operating lease liability, net 35.9 29.3 Changes in unearned revenue 166.8 46.8 Increase in assets (160.4) (219.8) Decrease in liabilities (99.3) (43.7) Cash provided by operating activities 2,887.4 2,576.5 CASH FLOWS FROM INVESTING ACTIVITIES Payments for purchase of property and equipment and construction activities (770.4) (635.7) Payments for acquisitions, net of cash acquired (133.2) (332.3) Proceeds from sale of short-term investments and other non-current assets 76.5 137.7 Deposits and other (6.6) (10.9) Cash used for investing activities (833.7) (841.2) CASH FLOWS FROM FINANCING ACTIVITIES Borrowings under credit facilities 3,601.1 3,632.3 Proceeds from issuance of senior notes, net 872.2 1,560.0 Proceeds from other borrowings — 1.2 Repayments of notes payable, credit facilities, senior notes, secured debt and finance leases (4,274.1) (5,318.2) Distributions to noncontrolling interest holders (94.0) (111.9) Contributions from noncontrolling interest holders 4.3 111.3 Purchases of common stock (202.9) — Proceeds from stock options and employee stock purchase plan 21.0 30.1 Distributions paid on common stock (1,641.3) (1,564.7) Payment for early retirement of long-term obligations (2.8) — Deferred financing costs and other financing activities (86.2) (90.6) Cash used for financing activities (1,802.7) (1,750.5) Net effect of changes in foreign currency exchange rates on cash and cash equivalents, and restricted cash 36.4 116.6 NET INCREASE IN CASH AND CASH EQUIVALENTS, AND RESTRICTED CASH 287.4 101.4 CASH AND CASH EQUIVALENTS, AND RESTRICTED CASH, BEGINNING OF PERIOD 1,605.2 2,108.2 CASH AND CASH EQUIVALENTS, AND RESTRICTED CASH, END OF PERIOD $ 1,892.6 $ 2,209.6 CASH PAID FOR INCOME TAXES (NET OF REFUNDS OF $9.2 AND $6.6, RESPECTIVELY) $ 163.2 $ 131.4 CASH PAID FOR INTEREST $ 789.4 $ 684.2 NON-CASH INVESTING AND FINANCING ACTIVITIES: Purchases of property and equipment under finance leases and perpetual easements $ 12.4 $ 6.7 Decrease in accounts payable and accrued expenses for purchases of property and equipment and construction activities $ (0.2) $ (11.4) Seller financed acquisition $ — $ 5.0 See accompanying notes to unaudited consolidated and condensed consolidated financial statements."},{"id":"e22","sourceId":"filing-2","location":"Liquidity—outstanding debt and current maturities","excerpt":"As of June 30, 2026, we had total outstanding indebtedness of $37.4 billion, with a current portion of $5.2 billion."},{"id":"e23","sourceId":"filing-1","location":"Discontinued operations—India disposal proceeds and loss","excerpt":"The following table presents key cash flow and non-cash information related to discontinued operations: Year Ended December 31, 2025 2024 (1) 2023 Proceeds from the sale of ATC TIPL $ — $ 2,158.8 $ — Capital expenditures — (52.3) (111.9) Significant non-cash items: Depreciation, amortization and accretion — 96.0 158.0 Stock-based compensation expense — 10.9 12.4 Impairments, net loss on sale of long-lived assets, non-cash restructuring and merger related expenses — (2.3) 318.2 Gain on investments, unrealized foreign currency (gain) loss and other non-cash expense — (30.7) (82.5) Loss on sale of ATC TIPL (2) — 1,245.5 — _______________ (1)Includes the cash flows for ATC TIPL through September 12, 2024."},{"id":"e24","sourceId":"filing-1","location":"Discontinued operations—currency translation component of India disposal loss","excerpt":"(2)Primarily includes the reclassification of the Company’s cumulative translation adjustment in India upon exiting the market of $1.1 billion."},{"id":"e25","sourceId":"filing-3","location":"Executive compensation—2025 PSU metrics and three-year performance period","excerpt":"•See page 52 for more information. Long-Term Incentive Program Objectives: •Provides at-risk, variable, equity-based pay opportunity for sustained operating performance •Long-term retention tool that provides both time-based (RSUs) and performance-based restricted stock units (PSUs) •Focuses executives on the creation of long-term stockholder value Metrics: •Vesting of 2025 PSUs is determined by achieving pre-established goals, each over a three-year performance period: •Cumulative Attributable AFFO per Share (50%); •Average ROIC(1) (30%); and •Relative total shareholder return (TSR)(2) (20%)."},{"id":"e26","sourceId":"filing-3","location":"Executive compensation—earned 2023 PSU awards and achieved performance","excerpt":"2025 Highlights: •In 2025, our NEOs earned 157% of their 2023 PSUs based on achievement of cumulative Attributable AFFO per Share(2) of $31.17 and average ROIC(2) of 9.3%."},{"id":"e27","sourceId":"filing-3","location":"Stock ownership guidelines—required multiples and inclusion of unvested RSUs","excerpt":"The ownership guidelines are as follows: Multiple of Annual Base Salary / Annual Cash Retainer 6X 3X 5X CEO Executive officers directly reporting to the CEO Directors AMERICAN TOWER CORPORATION 2026 PROXY STATEMENT 59 COMPENSATION AND OTHER INFORMATION CONCERNING DIRECTORS AND OFFICERS Compensation Discussion and Analysis Other Compensation and Governance Practices and Policies As of 2025, we count actual shares and unvested RSUs held by an executive officer or Director in determining compliance with these guidelines."},{"id":"e28","sourceId":"filing-3","location":"Stock ownership guidelines—reported executive compliance at December 31, 2025","excerpt":"All of our NEOs who were employed by the Company on December 31, 2025 were in compliance with our stock ownership guidelines as of December 31, 2025, each with the following ownership levels: Name Stock Ownership Guideline Ownership as of December 31, 2025(1) Steven O."},{"id":"e29","sourceId":"filing-3","location":"Executive compensation—restatement clawback policy","excerpt":"The terms of our Clawback Policy (as further described below) require American Tower to recoup all erroneously awarded incentive-based compensation awarded to the CEO and other NEOs in the event of a financial restatement."},{"id":"e30","sourceId":"filing-3","location":"Executive compensation—hedging and pledging prohibitions","excerpt":"Our Anti-Insider Trading Policy and Code of Conduct prohibit short sales and hedging transactions, as well as pledging our securities, by any of our employees and Directors."},{"id":"e31","sourceId":"filing-3","location":"Corporate governance—audit committee independence","excerpt":"In addition, each member is “independent” under the additional independence requirements of Rule 10A-3 under the Securities Exchange Act of 1934, as amended (Exchange Act)."},{"id":"e32","sourceId":"filing-3","location":"Corporate governance—audit committee reviews before earnings releases","excerpt":"Prior to each earnings release, the Audit Committee met with management and our auditors to review the financial results."},{"id":"e33","sourceId":"filing-3","location":"Corporate governance—proxy access and stockholder rights","excerpt":"AMERICAN TOWER CORPORATION 2026 PROXY STATEMENT 36 CORPORATE GOVERNANCE Communications From Stockholders and Other Interested Parties PROXY ACCESS Holders of at least 3% of AMT stock held by up to 20 stockholders Holding the stock continuously for at least 3 years Can nominate up to 25% of the Board for election at an annual meeting of stockholders In addition, we provide our stockholders with both the right to call a special meeting and act by written consent, the terms of which reflect current market practice."},{"id":"e34","sourceId":"filing-3","location":"Appendix—historical adjusted EBITDA and attributable AFFO reconciliations","excerpt":"Totals may not add due to rounding.) Reconciliation of Net Income to Adjusted EBITDA(1) 2015 2016 2017 2018(2) 2019 2020 2021 2022 2023 2023A 2024 2025 Net income $ 672 $ 970 $ 1,225 $ 1,265 $ 1,917 $ 1,692 $ 2,568 $ 1,697 $ 1,367 $ 1,367 $ 2,280 $ 2,629 Loss from discontinued operations, net of taxes n/a n/a n/a n/a n/a n/a n/a n/a n/a 71 978 — Income tax provision (benefit) 158 156 31 (110) (0) 130 262 24 154 91 366 416 Other expense (income) 135 48 (31) (24) (18) 241 (566) (434) 249 326 (378) 576 Loss (gain) on retirement of long-term obligations 80 (1) 70 3 22 72 38 0 0 0 — — Interest expense 596 717 750 826 814 794 871 1,137 1,398 1,388 1,405 1,359 Interest income (16) (26) (35) (55) (47) (40) (40) (72) (143) (119) (135) (134) Other operating expenses 67 73 256 513 166 266 399 768 378 371 74 68 Goodwill impairment(3) — — — — — — — — 402 80 — — Depreciation, amortization and accretion 1,285 1,526 1,716 2,111 1,778 1,882 2,333 3,355 3,087 2,929 2,029 2,042 Stock-based compensation expense 91 90 109 138 111 121 120 169 196 183 193 174 ADJUSTED EBITDA $ 3,067 $ 3,553 $ 4,090 $ 4,667 $ 4,745 $ 5,156 $ 5,983 $ 6,644 $ 7,087 $ 6,688 $ 6,812 $ 7,130 AFFO Reconciliation(1) 2015 2016 2017 2018(2) 2019 2020 2021 2022 2023 2023A 2024 2025 Adjusted EBITDA (from above) $ 3,067 $ 3,553 $ 4,090 $ 4,667 $ 4,745 $ 5,156 $ 5,983 $ 6,644 $ 7,087 $ 6,688 $ 6,812 $ 7,130 Straight-line revenue (155) (132) (194) (88) (184) (322) (466) (500) (472) (465) (278) (101) Straight-line expense 56 68 62 58 44 52 53 40 30 24 47 36 Cash interest(4) (573) (694) (723) (807) (800) (824) (831) (1,089) (1,348) (1,338) (1,350) (1,305) Interest income 16 26 35 55 47 40 40 72 143 119 135 134 Cash paid for income taxes(5)(6) (64) (96) (137) (164) (147) (146) (225) (274) (307) (253) (278) (266) Dividends on preferred stock (90) (107) (87) (9) — — — — — — — — Capital improvement capital expenditures (90) (110) (114) (150) (160) (150) (170) (176) (201) (187) (157) (185) Corporate capital expenditures (16) (16) (17) (9) (11) (9) (8) (9) (16) (16) (14) (10) Adjustments and dividends for noncontrolling interests (34) (90) (160) (363) (92) (33) (99) (190) (305) (305) (348) (391) Adjustments for discontinued operations n/a n/a n/a n/a n/a n/a n/a n/a n/a 345 365 — Attributable AFFO $ 2,116 $ 2,400 $ 2,755 $ 3,191 $ 3,442 $ 3,764 $ 4,277 $ 4,517 $ 4,612 $ 4,612 $ 4,934 $ 5,042 Divided by: Weighted Average Diluted Shares 423.0 429.3 431.7 443.0 445.5 446.1 453.3 462.8 467.2 467.2 468.1 468.8 Attributable AFFO per Share $ 5.00 $ 5.59 $ 6.38 $ 7.20 $ 7.73 $ 8.44 $ 9.43 $ 9.76 $ 9.87 $ 9.87 $ 10.54 $ 10.76 (1)2023A and 2024 are presented to include the reclassification of the operating results of ATC TIPL as discontinued operations."},{"id":"e35","sourceId":"filing-3","location":"Appendix—historical property revenue excluding pass-through revenue","excerpt":"Property Revenue Excluding Pass-Through(14) 2015 2016 2017 2018 2019 2020 2021 2022 2023 2023A 2024 2025 Property revenue $ 4,680 $ 5,713 $ 6,566 $ 7,315 $ 7,465 $ 7,954 $ 9,110 $ 10,470 $ 11,001 $ 9,869 $ 9,934 $ 10,305 Pass-through revenue (423) (739) (918) (952) (994) (1,010) (1,292) (1,553) (1,600) (1,082) (1,032) (1,081) Property revenue excluding pass-through revenue $ 4,257 $ 4,975 $ 5,648 $ 6,363 $ 6,471 $ 6,943 $ 7,818 $ 8,917 $ 9,401 $ 8,787 $ 8,902 $ 9,224 (14)2023A and 2024 are presented to include the reclassification of the operating results of ATC TIPL as discontinued operations."},{"id":"e36","sourceId":"filing-1","location":"Business—tenant reimbursement or sharing of selected operating expenses","excerpt":"In addition, in many of our international markets, certain expenses, such as ground rent or power and fuel costs, are reimbursed or shared by our tenant base."},{"id":"e37","sourceId":"filing-2","location":"MD&A—non-cancellable leases and termination-fee exceptions","excerpt":"As discussed above, most of our tenant leases with wireless carriers and broadcasters are multiyear contracts, which typically are non-cancellable; however, in some instances, a lease may be cancelled upon the payment of a termination fee."}],"changes":["No comparable previous version."],"limitations":["Assessment uses only the supplied passages. Source dates are filing dates: February 24, April 8 and July 28, 2026.","No competing tower operator is identified as a competitor in the supplied passages. Named customers, transaction counterparties and compensation references do not establish competitor coverage.","Relocation friction and incremental-cost descriptions are issuer assertions supported by contractual disclosures and operating outcomes, without independent comparative verification.","The passages do not quantify realized escalation contributions, renewal pricing, market share, replacement-site economics or relative investment returns. Revenue growth cannot be attributed entirely to pricing.","The 2025 annual and first-half 2026 churn disclosures cover different periods; they are not identical-period retention measures. No retention rate is inferred.","The decline from over $54 billion of year-end contractual revenue to nearly $50 billion at June 2026 is not treated as a pure demand measure; lease runoff, currency, exclusions and portfolio changes affect comparability.","The tower-based advantages are not independently established for the data center business. Expected wireless, cloud and AI demand is potential rather than demonstrated incremental moat.","Actual compensation, ownership-policy compliance and governance disclosures are available, but ownership compliance includes unvested RSUs. Detailed beneficial ownership and complete incentive adjustments are not supplied. Proposed April 2026 equity-plan terms are not treated as proof of adoption or vesting."],"qualityAssessments":[{"category":"moat","checks":[{"criterion":"structural_advantage","grade":3,"rationale":"Location-specific relocation friction, multiyear non-cancellable contracts and low incremental costs support an existing structural advantage. Relative superiority over other tower operators is not demonstrated.","evidenceIds":["e1","e2","e3","e16","e17"]},{"criterion":"durability","grade":3,"rationale":"Five-to-ten-year initial terms, escalators and substantial future contractual receipts establish multiyear persistence. Collectibility qualifications and actual defaults prevent an exceptional grade.","evidenceIds":["e1","e4","e5","e8","e10"]},{"criterion":"customer_dependency","grade":3,"rationale":"Network-quality consequences and costly relocation support tenant dependence, corroborated by approximately 2% churn in 2025. This dependence does not prevent customer failure or redundancy.","evidenceIds":["e2","e3","e6","e13"]},{"criterion":"erosion_resilience","grade":2,"rationale":"Consolidated revenue and operating cash flow continued growing despite realized customer stress, but DISH-related churn, concentrated demand and the Mexico dispute demonstrate meaningful vulnerability. Network-sharing disclosures describe additional potential erosion.","evidenceIds":["e6","e8","e11","e12","e13","e20","e21"]}]},{"category":"pricing_power","checks":[{"criterion":"realized_pricing","grade":2,"rationale":"Existing leases provide periodic increases, averaging approximately 3% fixed escalation in the United States. Actual rent withholding and demands for abatement in Mexico show resistance, partly mitigated by resumed majority payments and escrow. Aggregate growth does not isolate collected price increases, supporting a mixed assessment.","evidenceIds":["e1","e11","e14","e15","e35"]},{"criterion":"retention","grade":2,"rationale":"Reported churn and physical switching friction provide direct and indirect evidence of customer persistence. Approximately 2% churn in 2025 is favorable, but approximately 5% in first-half 2026 and the DISH default show material deterioration. These are billings-based churn disclosures, not customer-count retention rates.","evidenceIds":["e2","e3","e6","e7","e8"]},{"criterion":"margin_resilience","grade":2,"rationale":"Shared site costs and expense reimbursements provide protection, and consolidated operating income increased in first-half 2026. However, operating income grew more slowly than revenue, and U.S. and Canada property gross margin declined. Resilience is mixed and does not independently establish a moat.","evidenceIds":["e17","e19","e20","e36"]},{"criterion":"contractual_freedom","grade":2,"rationale":"Long-term contracts secure preset escalation terms but constrain unilateral repricing. Termination-fee exceptions and contested rent calculations further qualify control over terms; broad freedom to reset prices is not established.","evidenceIds":["e1","e11","e37"]}]},{"category":"strong_management","checks":[{"criterion":"capital_discipline","grade":2,"rationale":"First-half 2026 operating cash flow of $2.887 billion exceeded cash property spending, acquisitions, common distributions and repurchases combined. Substantial debt and refinancing activity remain relevant. The India disposal realized proceeds but also a loss predominantly reflecting cumulative currency translation. Evidence supports mixed discipline, without establishing acquisition value creation or buyback attractiveness.","evidenceIds":["e21","e22","e23","e24"]},{"criterion":"incentive_alignment","grade":3,"rationale":"Actual three-year awards use AFFO per share, ROIC and relative TSR; completed awards were earned against disclosed results. Executives reportedly met ownership guidelines, and clawback and hedging restrictions reinforce alignment. Guidelines include unvested RSUs, and reported incentive metrics do not independently prove economic value creation.","evidenceIds":["e25","e26","e27","e28","e29","e30"]},{"criterion":"execution","grade":3,"rationale":"Historical reconciliations show sustained attributable AFFO-per-share growth, with comparable recent property revenue excluding pass-through also increasing. First-half 2026 revenue and operating cash flow grew despite customer disruption. This assessment uses operating outcomes as indirect evidence of management execution; acquisitions, currency and accounting scope limit attribution.","evidenceIds":["e20","e21","e34","e35","e6"]},{"criterion":"governance","grade":3,"rationale":"Disclosed audit committee independence, actual pre-release financial reviews, stockholder nomination and meeting rights, clawbacks and hedging prohibitions support strong governance structures and practices. These disclosures do not prove exceptional oversight effectiveness or rely on proposed equity-plan provisions.","evidenceIds":["e29","e30","e31","e32","e33"]}]}],"qualityPolicy":"quality-scores-2","basisHash":"2754aa3dcaf72e8e14199a6d564d66fe03373f3991369e900748160013bbd91f","updatedAt":"2026-10-17T23:27:27.134Z","sources":[{"id":"filing-1","url":"https://www.sec.gov/Archives/edgar/data/1053507/000105350726000035/amt-20251231.htm","publishedAt":"2026-02-24","sha256":"3f4f26f80b3ff9bdc480c8c06f4f5c5395bdeaa9a183bc0ade3240eb94e04702","dateKind":"filed"},{"id":"filing-2","url":"https://www.sec.gov/Archives/edgar/data/1053507/000105350726000133/amt-20260630.htm","publishedAt":"2026-07-28","sha256":"af4ac71e593317de833d4959771b817bb1f0c6b5b730310f9eea376aafb874d6","dateKind":"filed"},{"id":"filing-3","url":"https://www.sec.gov/Archives/edgar/data/1053507/000105350726000088/amt-20260406.htm","publishedAt":"2026-04-08","sha256":"881503c3c0c28a070464b0ae0368e050337307f0f7c1d7a08d7a3ad2f9d28b9e","dateKind":"filed"}],"model":"gpt-6.1-sol","providerId":"codex:66c52cf52f3733ebc79fcb3b8d607731a8fa47fe924129899bc5f5939915ac1b","usage":{"input_tokens":54545,"cached_input_tokens":20992,"cache_write_input_tokens":0,"output_tokens":3719,"reasoning_output_tokens":142}},"signals":[{"period":"2021","end":"2021-12-31","values":{"gross_margin":null,"operating_margin":436.6982710540992,"roic":6.891562289786914,"fcf_margin":480.08923591745673,"sbc_revenue":16.66201896263246},"issues":{"software_capex":"Separately disclosed software and intangible investment is unavailable in the extracted statements for this period.","gross_margin":"The reported inputs required for this metric are unavailable in the extracted statements for this period.","roic_wacc":"Enter a WACC assumption from 0 to 100%."}},{"period":"2022","end":"2022-12-31","values":{"gross_margin":null,"operating_margin":275.1228070175439,"roic":4.665847071398291,"fcf_margin":213.16959064327486,"sbc_revenue":19.801169590643276},"issues":{"peg":"TTM earnings per diluted share growth is zero or negative; a growth-adjusted multiple requires positive growth.","pfcf_growth":"TTM FCF per diluted share growth is zero or negative; a growth-adjusted multiple requires positive growth.","software_capex":"Separately disclosed software and intangible investment is unavailable in the extracted statements for this period.","gross_margin":"The reported inputs required for this metric are unavailable in the extracted statements for this period.","roiic":"Invested capital did not increase versus the prior year. ROIIC requires a positive increase.","roic_wacc":"Enter a WACC assumption from 0 to 100%."}},{"period":"2023","end":"2023-12-31","values":{"gross_margin":null,"operating_margin":399.74890973965904,"roic":5.612605075796244,"fcf_margin":386.45434121844846,"sbc_revenue":25.862296815118274},"issues":{"peg":"TTM earnings per diluted share growth is zero or negative; a growth-adjusted multiple requires positive growth.","software_capex":"Separately disclosed software and intangible investment is unavailable in the extracted statements for this period.","gross_margin":"The reported inputs required for this metric are unavailable in the extracted statements for this period.","roiic":"Invested capital did not increase versus the prior year. ROIIC requires a positive increase.","roic_wacc":"Enter a WACC assumption from 0 to 100%."}},{"period":"2024","end":"2024-12-31","values":{"gross_margin":null,"operating_margin":583.0751355538342,"roic":8.829690327991955,"fcf_margin":477.7304415182029,"sbc_revenue":26.284533953008005},"issues":{"software_capex":"Separately disclosed software and intangible investment is unavailable in the extracted statements for this period.","gross_margin":"The reported inputs required for this metric are unavailable in the extracted statements for this period.","roiic":"Invested capital did not increase versus the prior year. ROIIC requires a positive increase.","roic_wacc":"Enter a WACC assumption from 0 to 100%."}},{"period":"2025","end":"2025-12-31","values":{"gross_margin":null,"operating_margin":517.7689924137194,"roic":9.272031318226674,"fcf_margin":404.2739608932578,"sbc_revenue":18.613099690137837},"issues":{"software_capex":"Separately disclosed software and intangible investment is unavailable in the extracted statements for this period.","gross_margin":"The reported inputs required for this metric are unavailable in the extracted statements for this period.","roic_wacc":"Enter a WACC assumption from 0 to 100%."}}],"sources":[{"id":"filing-1","url":"https://www.sec.gov/Archives/edgar/data/1053507/000105350726000035/amt-20251231.htm","publishedAt":"2026-02-24","sha256":"3f4f26f80b3ff9bdc480c8c06f4f5c5395bdeaa9a183bc0ade3240eb94e04702","dateKind":"filed"},{"id":"filing-2","url":"https://www.sec.gov/Archives/edgar/data/1053507/000105350726000133/amt-20260630.htm","publishedAt":"2026-07-28","sha256":"af4ac71e593317de833d4959771b817bb1f0c6b5b730310f9eea376aafb874d6","dateKind":"filed"},{"id":"filing-3","url":"https://www.sec.gov/Archives/edgar/data/1053507/000105350726000088/amt-20260406.htm","publishedAt":"2026-04-08","sha256":"881503c3c0c28a070464b0ae0368e050337307f0f7c1d7a08d7a3ad2f9d28b9e","dateKind":"filed"}],"history":[{"version":3,"updatedAt":"2026-10-18T16:35:43.872Z","verdict":"narrow","value":null},{"version":2,"updatedAt":"2026-10-18T02:27:49.793Z","verdict":"narrow","value":null},{"version":1,"updatedAt":"2026-10-18T02:18:02.026Z","verdict":null,"value":null}],"hasRequested":false,"requestStatus":"completed","researchIssue":null,"archivedMoat":null,"scope":"supported_catalog"}