Well covered — tower rent with room to grow. A 3.79% yield on a $1.79 quarterly dividend is covered by AFFO: a 63% AFFO payout in fiscal 2025, and 66.1% in Q2 2026 ($1.79 against $2.71 of AFFO per share). The dividend has risen for 14 years, and 2026 AFFO guidance of $11.00–$11.17 a share leaves room for further raises at a slower pace than the past decade.
Key risk: Tenant churn and carrier spending — elevated churn in Brazil weighed on Latin America in Q2 2026, and tower REITs live or die on carrier lease renewals and data-center leasing.
Changes if: AFFO payout pushes toward 80%+, or AFFO per share stalls while the dividend keeps rising at the old pace. The gap between AFFO and the dividend is the tripwire.
- ✓AFFO coverage check: 63% of AFFO paid out in fiscal 2025, and $1.79 against $2.71 of AFFO in Q2 2026 — a real cushion for a REIT.
- ✓Yield check: 3.79% indicated — $1.79/qtr × 4 at the $188.97 close on Oct. 23, 2026. Earned tower-lease income, not a special.
- ✓Growth check: Dividend up from $6.80 in 2025 on a full-year basis toward a $7.16 annualized rate; AFFO guidance of $11.00–$11.17 for 2026 supports, but does not guarantee, continued raises.
What this grade doesn't say: It screens the dividend only — covered, real, compounding. It says nothing about valuation or price: a well-covered payer can still be overpriced, and its price can still fall.