CCI

Crown Castle International Corp

TMT


Presented:05/21/2020
Price:$156.20
Cap:$65.10B
Current Price:$114.30
Cap:$49.67B

Presented

Date05/21/2020
Price$156.20
Market Cap$65.10B
Ent Value$84.45B
P/E Ratio81.72x
Book Value$24.27
Div Yield2.98%
Shares O/S416.75M
Ave Daily Vol2,813,879
Short Int2.41%

Current

Price$114.30
Market Cap$49.67B
Crown Castle International Corp. is a real estate investment trust company, which engages in the provision of access to wireless infrastructure via long-term contacts. It operates through the following segments: Towers and Fiber. The Towers segment offers access, including space or capacity towers dispersed throughout the United States. The Fiber segment covers access, including space or capacity of fiber primarily supporting small cell networks and fiber solutions. The company was founded by Ted B. Miller Jr. and Edward C. Hutcheson Jr. in 1994 and is headquartered in Houston, TX.

Publicly traded companies mentioned herein: American Tower Corp (AMT), AT&T Inc (T), Crown Castle International Corp (CCI), DISH Network Corp (DISH), SBA Communications Corp (SBAC), T-Mobile US Inc (TMUS), Verizon Communications Inc (VZ)

Highlights

The presenter is long shares of Crown Castle International Corp (CCI) due to both secular and idiosyncratic dynamics. As the 5G cycle accelerates in the US over the remainder of 2020, he thinks CCI will benefit more than the other tower companies since it has the most exposure to urban geographies, which is where he expects 5G to be rolled out most aggressively by the network companies (TMUS, T, VZ) and DISH (as DISH starts to build out its own network). In addition, he notes that CCI is the only one of the three tower companies that doesn’t have emerging market exposure in countries with currency issues (e.g., India, Latin American countries). CCI trades at ~$150 per share and the presenter sees upside to $200 per share based on a valuation of 26x his 2022 $4.1B EBITDA estimate. 

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