American Tower Corporation : The bearish trend might get the upper hand
By Sandra Pinturault
Entry price | Target | Stop-loss | Potential |
---|---|---|---|
$74.12 | $0 | $77.95 | +100% |
Compared to its fundamentals and its peers, the company seems overvalued. It has a 11.7x "EV/Sales" ratio and the security is currently trading 41.2 times its EPS for this year.
From a technical viewpoint, the security is in a bearish trend in the long and mid-term, even if prices have increased in the short term. The current technical rebound allows the stock to be close to its USD 75.1 resistance. Prices should decrease soon because of the bearish trend of the 100-day and the 20-week moving average, enclosing the stock downward.
Investors can anticipate a return toward the USD 68.4 support area in the coming trading sessions. They can take a short position in American Tower. A stop loss order could be placed above the USD 75.1 resistance area.