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young_patowan

young_patowan
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  • Crown Castle Is Smart For Acquiring AT&T's Towers [View article]
    The purchase option shouldn't enter into it; it's just that, an option. It's a lease-leaseback, so essentially CCI leases the assets and is the owner of the economic rights for lease term from T, and so in turn subleases space back to AT&T. Not a FASB guru, but I think since it's a long-term lease so I think CCI takes on the depreciation and T books this as a gain/loss on investment...
    Dec 14 03:42 PM | Likes Like |Link to Comment
  • Wall Street Breakfast: Must-Know News [View article]
    my understanding of the process is that the carrier will generally approach you, as it depends on where the holes are in their network and whether your land plugs one of these holes.
    Oct 21 11:44 AM | 3 Likes Like |Link to Comment
  • Wall Street Breakfast: Must-Know News [View article]
    if towers as an infrastructure technology weren't strategically necessary for their business, they wouldn't have signed a 10 year MLA on existing sites and reserve capacity on additional sites. how do towers represent a "passe" technology? i guarantee you that any other technology currently utilized by a carrier, whether it be DAS, small cell, micro-, pico- or femtocell, is used to augment, not replace, traditional macro towers.

    as with any business w/ high operational leverage, towers are only profitable when you get that marginal tenant. AT&T probably didn't have much interest in trying to get verizon on their tower, so they prob weren't reaping the full potential benefits.

    selling them to someone who will lease them up is good for both parties.
    Oct 21 09:28 AM | 2 Likes Like |Link to Comment
  • Collecting Riches From REIT Niches (Part 1) [View article]
    "American Tower owns and operates over 47,000 communication towers in the U.S."

    According to their Earnings PR, they own 22,534 communication towers in the U.S. as of 12/31/12. Where did you get your number?
    Feb 27 05:30 PM | Likes Like |Link to Comment
  • Beware Of The Price / Sales Trap II [View article]
    Would like to hear your short case for SBAC (and tower stocks in general) beyond price / sales. You need to look at this on a EV/EBITDA or P/AFFO basis. Having said that, it is fully valued right now. But I would reconsider shorting a stock that has ~70% of revenues locked-in for 15 years+ at any given time with auto-escalators.
    Feb 20 01:14 AM | Likes Like |Link to Comment
  • SoftBank's (SFTBF.PK) history suggests an acquisition of Sprint (S -1%) would mean big things for the U.S. mobile industry, notes Tero Kuittinen. Thanks to aggressive pricing, SoftBank managed to turn an also-ran Japanese carrier (the former Vodafone Japan) into the market's subscriber add leader shortly after acquiring it in '06, and has kept its lead since. Should AT&T (T) and Verizon (VZ), who seem happy to maintain premium pricing, be worried? (more[View news story]
    Idk this feels like a yen play to me...

    Don't see enough synergies here. Sure, you both TD-LTE spectrum holdings, but S only has it indirectly through agreements with CLWR, of which they only have a 50.1% stake in, so they don't own" own the spectrum, they can just use it. Plus CLWR isbehind on their network deployment as well. Think the synergies stop at economies of scale in ordering antennas/equipment.

    Onw would assume the reconverts Softbank is floating Sprint immediately will be used to delever, but if Softbank wants to really push forward Network Vision, it's going to have to go to market... I mean who freaking wouldn't, their investment grade (for now) so I'm sure they'll lever up.

    Idk, may be better to play VZ as this one should take a while to gestate .
    Oct 24 12:25 AM | Likes Like |Link to Comment
  • CCI Too Expensive Even In The Best Case Scenario [View article]
    Tower companies revenue is contracted (typically for 10-15 years) with annual escalators typically tracking inflation, so top line growth is not the primary concern of the LT investor, IMO.

    To your point a/b Net Income, P/E, etc...

    IMO, you should use Adjusted EBITDA as your benchmark metric...Tends to give a better cash picture and just might explain the insanely low Mkt Cap you've outputed.
    Aug 14 11:47 PM | Likes Like |Link to Comment
  • Crown Castle Vs. The Competition? No Winners Here [View article]
    Nothing about M&A activity surrounding Deutsch Telekom's fire-sale of its T-Mobile tower portfolio? Not a word about the mountain of cash these companies are sitting on?

    Do better.
    Apr 12 04:44 AM | Likes Like |Link to Comment
  • S&P 500 Risk Matrix Indicator: What Is The Real Equity Risk? [View article]
    How does your model cancel noise from the EPS estimates?

    Average EPS is a shaky variable as it has little to no forward-looking properties, as evidenced in: http://bit.ly/mZqSgM
    and
    http://bit.ly/nneCIB
    Oct 5 07:32 PM | 1 Like Like |Link to Comment
  • Central Banks Pump Money To Prop Up Europe [View article]
    Similarly, the deluge of easy CB money around the world has the same effect as keeping low interest rates worldwide (in developed countries) for an "extended period" or some time frame more specific (read, Bernanke).

    Not sure if this is an intended effect to prevent currency wars, but it could do just that.

    It's comically appalling what CB's consider 'assets' these days...
    Sep 16 12:32 PM | 1 Like Like |Link to Comment
  • Too Big To Fail: Fed Intervention And The Market [View article]
    Edit: "...subsequently initiated in November of 2010, namely, the second round of quantitative easing, aka QE2. "
    Sep 16 12:31 PM | Likes Like |Link to Comment
COMMENTS STATS
11 Comments
7 Likes