American Tower Corporation (AMT) vs Equinix, Inc. (EQIX)

American Tower Corporation and Equinix, Inc. are both Reit Specialty companies. Equinix, Inc. is the larger, with a market value of $102.7B against $78.0B — 1.3× the size. American Tower Corporation trades at the lower P/E: 23.2× against 64.6×. Equinix, Inc. grew revenue faster over the last twelve months: 9.64% against 6.65%. American Tower Corporation has the higher net margin (31.1% vs 15.6%) and the higher return on invested capital (6.73% vs 4.07%). Both pay a dividend; American Tower Corporation yields more (3.31% vs 1.70%). Across the 22 metrics below, American Tower Corporation leads on 14 and Equinix, Inc. on 8.

Valuation

Metric AMT EQIX Reit Specialty median
P/E 23.20 64.62 26.27
P/S 7.19 10.14 5.86
P/B 7.67 6.92 2.19
Price to free cash flow 19.87 n/m 14.62
EV/EBITDA 16.22 27.26 16.22
EV/Sales 10.42 12.02 8.93
Earnings yield 4.31% 1.55% 3.43%
Free cash flow yield 5.03% (2.25%) 5.37%

Profitability

Metric AMT EQIX Reit Specialty median
Gross margin 73.77% 51.49% 67.43%
Operating margin 44.80% 21.81% 21.38%
Net margin 31.08% 15.63% 16.14%
Free cash flow margin 36.19% (22.79%) 31.07%
Return on equity 32.81% 10.77% 4.76%
Return on assets 5.35% 3.84% 3.29%
Return on invested capital 6.73% 4.07% 4.19%

Growth

Metric AMT EQIX Reit Specialty median
Revenue growth (TTM) 6.65% 9.64% 5.36%
EPS growth (last fiscal year) 12.03% 61.88% —
Revenue growth, 5-year CAGR 5.77% 8.97% 6.70%
Net income growth, 5-year CAGR 8.39% 29.56% 0.00%

Health

Metric AMT EQIX Reit Specialty median
Debt to equity 3.63 1.44 0.62
Current ratio 0.52 1.13 0.70
Net debt to EBITDA 5.13 4.23 4.47

Dividend

Metric AMT EQIX Reit Specialty median
Dividend yield 3.31% 1.70% 3.88%
Payout ratio 3.00 1.50 1.14

Size

Metric AMT EQIX Reit Specialty median
Market cap 77.97b 102.67b 8.48b

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