America Movil: The Ultimate Play on Latin America’s Economic Renaissance

The world is in the midst of a historic realignment, and the smart money is flocking to markets where value is screaming off the page. America Movil (AMX) isn’t just a telecom stock—it’s a leveraged bet on the rebirth of Latin America. With Rob Citrone’s groundbreaking thesis on U.S. diversification pointing investors to the region’s undervalued opportunities, AMX stands at the crossroads of macroeconomic revival, underpenetrated 5G markets, and a telecom sector ripe for consolidation. This is your moment to capitalize—before the crowd catches on.

Why Latin America? Citrone’s Macro Play in Action

Citrone, the maestro of macro-driven investing, has long argued that U.S. diversification demands exposure to regions where structural reforms and mispriced assets meet. His $52 billion 2024 performance—driven by LatAm bets—proves the thesis. Argentina’s Milei revolution (30% spending cuts, privatization waves) is the catalyst, but the ripple effects are continent-wide.

Key Citrone Takeaways:
- Latin America’s sovereign bonds and equities are trading at spreads wider than fundamentals justify.
- The region’s currencies (ARS, COP, PEN) are undervalued, reducing debt burdens and boosting corporate profits.
- Telecoms are the linchpin: 5G rollout, nearshoring, and FDI inflows are creating a “new normal” where growth trumps old instability.

America Movil: The Perfect LatAm Play

AMX is the $32 billion titan of telecom, with a footprint spanning 15 countries. Its cross-border exposure—from Mexico’s 49% 5G penetration to Colombia’s 43% rollout—positions it to capitalize on region-wide trends:

1. 5G’s Explosive Growth:

2. Latin America’s 5G penetration hit 47% in Q1 2025 (up from 2% in 2023), but adoption is still early. AMX’s $12B+ in 5G investments since 2023 are paying off:

   • FWA (Fixed Wireless Access): 15% of households now use AMX’s 5G for broadband, a figure set to double by 2026.
   • Enterprise IoT: Factories and smart cities in Mexico and Brazil rely on AMX’s networks—a $2B revenue stream by 2025.

3. Telecom Consolidation:

4. Private equity is devouring non-core assets. AMX’s sale of 70% of its cell tower portfolio to infrastructure funds in 2024 freed $3B for growth. Meanwhile, smaller rivals like Claro Colombia are ripe for acquisition.

5. Currency Tailwinds:

6. A weaker Argentine peso and Colombian peso mean debt costs collapse for AMX’s LatAm operations. For every 10% currency rebound, profits jump $200M.

Valuation: AMX vs. Telefónica—A Mispriced Opportunity

• AMX’s Metrics (Q1 2025):
• P/E: 22.86 (vs. Telefónica’s 32.38)

• EV/EBITDA: 8.65 (vs. Telefónica’s 13.08)

• Why the Gap?

• Telefónica trades at a premium due to European exposure, but its LatAm division is losing market share. AMX, by contrast, is gaining share in Mexico, Brazil, and Colombia.
• Risk Perception: Investors still fear LatAm volatility, but Citrone’s thesis shows this is a value trap—not a risk.

Catalysts for a Breakout

1. Argentina’s IMF Deal: A $40B agreement in Q3 2025 will stabilize the peso and unlock $800M in annual debt relief—AMX’s Argentine subsidiary is the region’s most profitable unit.
2. 5G Auctions: Brazil’s 2025 spectrum auction will boost AMX’s dominance in the country’s $30B telecom market.
3. U.S. Nearshoring Surge: Companies fleeing China are building factories in Mexico and Colombia—AMX’s enterprise services are the backbone of this shift.

The Bottom Line: Buy AMX Now—Before the Crowd

The math is simple: AMX is cheap, LatAm is cheap, and Citrone’s “decade of opportunity” is just getting started. With a 22% upside to fair value and 5G’s $15B revenue runway, this stock is a no-brainer.

Action Plan:
- Buy AMX: Target $28.50, aiming for $35 by year-end.
- Set a stop-loss at $25: If 5G rollout falters or currencies tank, cut losses.
- Hold for 12–18 months: Let Citrone’s macro tailwinds and consolidation trends work their magic.

This is the play of the decade—don’t let it slip away.

The time to act is now. AMX isn’t just a stock—it’s your ticket to the LatAm renaissance.