American Tower is a REIT that owns cell tower assets across the US. As of 2020, the REIT owns 180,000 cell towers throughout the US, Asia, Europe, Middle East, and Latin America. American Tower has a strong presence in rural and suburban areas and is a key player in the wireless network industry. American Tower enjoys moats like high switching costs and difficulty for new players to get approvals for new tower locations. Therefore, American Tower is positioned well for long-term growth.
The long term monthly chart for American Tower shows a continuous decade-long uptrend. This trend accelerated post 2017. The most significant and most recent pullback came from August 2020 to December 2020. The price fell by almost 20% during this time. In the following month, the price bounced up from the bottom of the long term trend and now looks set to test the $250-$260 levels. A stop-loss can be placed at the January 2021 low of $210.
This trade has been entered into our portfolio at the prices that follow. Entry price $ 237.99. Stop-loss 14% below at $199.71. Take profit at the top of the long term trend at $280 with a potential profit of 20%.
On the video and images above you will see the reason this stock was selected.
You will see the image is of a monthly chart of the stock showing the long-term upwards trend formed over the years. You will also see the entry point and the where the stop loss is placed. For more information please watch the video given.
Once it is time to move the original stop loss up you will see an additional image.