Today, Crown Castle International Corp. (CCI) had its price target at Oppenheimer raised to $62 from $52. We'll take a look at Crown to see if it deserves the increase in price target and we'll look at its competitors to see if there are any investment opportunities.
Crown Castle International Corp.
The sales and earnings the past five years increased at 20.86% and 0% respectively. Earnings this year increased 144.8% and are forecasted to increase 44.4% next year. Earnings the next five years are projected to grow at an annual pace of 18.6.
Gross, operating and profit margins are 71.1, 34.1 and 8.4 respectively. Return-on-equity is 6.1% and institutions own 97.3% of shares.
Debt to equity is 256% while current assets are 49% higher than current liabilities. The P/E ratio is 102 and forward P/E is 45.3.
The common shares are trading at roughly the rising 50-day simple moving average.
American Tower Corp. (AMT)
Sales over the past five years increased 13.2% while cost cutting boosted earnings 72.5%. This year earnings increased 7.4% and are forecast to increase 18.5% next year. Earnings per share the next five years are forecasted to grow 19.9%.
Gross, operating and profit margins are 74.6, 37.7 and 15.6 respectively. Return-on-equity is 11.7%. Institutions own 78.8% of shares.
Debt is 220% of equity and current assets are just greater than current liabilities. P/E is 62.9 and the forward P/E is 31.3.
Shares are trading at the flat 50-day simple moving average, a sign of distribution. Common shares are also trading above the rising 45 degree trend line.
SBA Communications Corp. (SBAC)
Sales over the past five years grew at an annual pace of 14.7% while earnings didn't grow. Earnings this year grew at 32.7% and are forecast to grow at 63.3% next year. Earnings the next five years could grow at 10% annually.
The gross margin is 70.9% while the profit margin is -18.2%. Return-on-equity is negative 82.7%.
The current ratio is 1.02 and price to sales is 8.45.
Shares are trading above the rising 50-day simple moving average in the markup phase. The distribution phase is next.
Telephone & Data Systems Inc. (TDS)
The past five years, sales grew 3.5% as earnings declined 26.3% annually. Earnings this year grew 40.2% and are forecast to decline 6.5% next year. Earnings the next five years are projected to grow 14.5%.
Gross, operating and profit margins are 60.6, 7, and 4.8 respectively. The enterprise spends most of its money on operating expenses. Return-on-equity is a paltry 5.2%. Institutions own 90.8% of shares.
Debt is 39% of equity and the company has almost twice as many short-term assets as short-term liabilities. Price is 12.5 time earnings and 15.8 times forward earnings.
Shares are trading below the declining 50-day simple moving average.
Choose D - None Of The Above
None of these companies are worth owning. Either debt is too high, earnings aren't growing, valuation are laughably high or some combination of the aforementioned.
Disclosure: I have no positions in any stocks mentioned, and no plans to initiate any positions within the next 72 hours.