Baron Real Estate Fund Trimmed American Tower Corporation (AMT) to Manage the Position Size

In its second-quarter 2025 investor letter, Baron Real Estate Fund highlighted stocks such as American Tower Corporation (NYSE:AMT). American Tower Corporation (NYSE:AMT) is a leading independent multitenant communications real estate operator. The one-month return of American Tower Corporation (NYSE:AMT) was -4.35%, and its shares lost 9.61% of their value over the last 52 weeks. On August 1, 2025, American Tower Corporation (NYSE:AMT) stock closed at $212.10 per share, with a market capitalization of $99.316 billion.

Baron Real Estate Fund stated the following regarding American Tower Corporation (NYSE:AMT) in its second quarter 2025 investor letter:

"American Tower Corporation (NYSE:AMT) was one of the Fund’s top purchases early in the first quarter. Shares performed well and in a more compressed timeline than we had anticipated. We modestly reduced our investment to manage overall position sizing while sourcing capital for other investment opportunities. American Tower is a global owner of 150,000 wireless tower communication sites with a heavy emphasis on developed markets. Our optimism regarding the long-term growth prospects for American Tower remain unchanged given strong secular growth expectations for mobile data usage, 5G spectrum deployment and network densification (with 6G around the corner), edge computing (possible requirement of mini data centers next to a tower presents an additional revenue opportunity), and growth in connected Internet of Things devices (e.g. homes and cars), which will require more wireless bandwidth usage and continued increased spending by the mobile carriers."

A wide angled view of a high-rise office building, the windows reflecting a nearby cityscape.

American Tower Corporation (NYSE:AMT) is not on our list of 30 Most Popular Stocks Among Hedge Funds. As per our database, 73 hedge fund portfolios held American Tower Corporation (NYSE:AMT) at the end of the first quarter which was 70 in the previous quarter. While we acknowledge the potential of American Tower Corporation (NYSE:AMT) as an investment, we believe certain AI stocks offer greater upside potential and carry less downside risk. If you're looking for an extremely undervalued AI stock that also stands to benefit significantly from Trump-era tariffs and the onshoring trend, see our free report on thebest short-term AI stock.