Financial Analysis: American Tower (NYSE:AMT) and Mobile Infrastructure (NASDAQ:BEEP)

Mobile Infrastructure (NASDAQ:BEEP) and American Tower (NYSE:AMT) are both real estate companies, but which is the superior investment? We will compare the two businesses based on the strength of their profitability, valuation, risk, earnings, analyst recommendations, dividends and institutional ownership.

Risk & Volatility

Mobile Infrastructure has a beta of 0.59, suggesting that its share price is 41% less volatile than the S&P 500. Comparatively, American Tower has a beta of 0.9, suggesting that its share price is 10% less volatile than the S&P 500.

Insider & Institutional Ownership

84.3% of Mobile Infrastructure shares are held by institutional investors. Comparatively, 92.7% of American Tower shares are held by institutional investors. 36.6% of Mobile Infrastructure shares are held by insiders. Comparatively, 0.1% of American Tower shares are held by insiders. Strong institutional ownership is an indication that endowments, large money managers and hedge funds believe a stock will outperform the market over the long term.

Profitability

This table compares Mobile Infrastructure and American Tower’s net margins, return on equity and return on assets.

	Net Margins	Return on Equity	Return on Assets
Mobile Infrastructure	-70.76%	-11.49%	-4.88%
American Tower	31.08%	32.76%	5.36%

Analyst Ratings

This is a breakdown of current recommendations and price targets for Mobile Infrastructure and American Tower, as reported by MarketBeat.com.

	Sell Ratings	Hold Ratings	Buy Ratings	Strong Buy Ratings	Rating Score
Mobile Infrastructure	1	0	2	0	2.33
American Tower	0	3	16	1	2.90

Mobile Infrastructure currently has a consensus target price of $6.25, indicating a potential upside of 125.63%. American Tower has a consensus target price of $215.19, indicating a potential upside of 26.97%. Given Mobile Infrastructure’s higher possible upside, research analysts clearly believe Mobile Infrastructure is more favorable than American Tower.

Earnings and Valuation

This table compares Mobile Infrastructure and American Tower”s top-line revenue, earnings per share (EPS) and valuation.

	Gross Revenue	Price/Sales Ratio	Net Income	Earnings Per Share	Price/Earnings Ratio
Mobile Infrastructure	$35.08 million	3.25	-$21.44 million	($0.63)	-4.40
American Tower	$10.64 billion	7.42	$2.53 billion	$7.27	23.31

American Tower has higher revenue and earnings than Mobile Infrastructure. Mobile Infrastructure is trading at a lower price-to-earnings ratio than American Tower, indicating that it is currently the more affordable of the two stocks.

Summary

American Tower beats Mobile Infrastructure on 13 of the 15 factors compared between the two stocks.

About Mobile Infrastructure

Mobile Infrastructure Corporation is a Maryland corporation. The Company owns a diversified portfolio of parking assets primarily located in the Midwest and Southwest. As of December 31, 2023, the Company owned 43 parking facilities in 21 separate markets throughout the United States, with a total of 15,700 parking spaces and approximately 5.4 million square feet. The Company also owns approximately 0.2 million square feet of retail/commercial space adjacent to its parking facilities.

About American Tower

American Tower, one of the largest global REITs, is a leading independent owner, operator and developer of multitenant communications real estate with a portfolio of over 224,000 communications sites and a highly interconnected footprint of U.S. data center facilities.