Sba Communications Intrinsic Value – SBA Communications Corp. Stock Rises Thursday, Outperforming Market
December 23, 2023
🌥️Trending News
SBA ($NASDAQ:SBAC) Communications Corp. experienced an increase in their stock price on Thursday, outperforming the market. SBA Communications is a leading independent owner and operator of wireless communications infrastructure, specializing in the leasing of antenna sites to wireless communication service providers. Their infrastructure includes towers, rooftops, distributed antenna systems and small cell sites. The company’s stock trades on the NASDAQ stock exchange under the ticker symbol SBAC, and their headquarters is located in Boca Raton, Florida. The company’s stock saw an increase on Thursday and outperformed the market, continuing the positive trend in their financials as of late.
The company beat expectations in their most recent earnings report, and their outlook for the future is optimistic. SBA Communications’ stock has been steadily increasing over the last few weeks, outperforming the market in Thursday’s trading session and furthering the positive momentum for the company. Investors can look forward to further growth and success from this leading wireless communications provider in the future.
Market Price
The stock opened at $252.9 and closed at $251.4, representing a 0.2% decrease from its last closing price of 251.8. The generally bearish market trend did not seem to affect SBA Communications, which was able to outpace the market and post gains for the day. Live Quote…
About the Company
Income Snapshot
Below shows the total revenue, net income and net margin for Sba Communications. More…
| Total Revenues | Net Income | Net Margin |
| 2.72k | 495.56 | – |
Cash Flow Snapshot
Below shows the cash from operations, investing and financing for Sba Communications. More…
| Operations | Investing | Financing |
| 1.4k | -1.16k | -275.07 |
Balance Sheet Snapshot
Below shows the total assets, liabilities and book value per share for Sba Communications. More…
| Total Assets | Total Liabilities | Book Value Per Share |
| 10.33k | – | -47.67 |
Key Ratios Snapshot
Some of the financial key ratios for Sba Communications are shown below. More…
| 3Y Rev Growth | 3Y Operating Profit Growth | Operating Margin |
| – | – | 39.8% |
| FCF Margin | ROE | ROA |
| – | – | – |
Analysis – Sba Communications Intrinsic Value
At GoodWhale, we have conducted an analysis to evaluate SBA COMMUNICATIONS‘s wellbeing. Our proprietary Valuation Line suggests that the intrinsic value of SBA COMMUNICATIONS share is around $355.5. Currently, the stock is trading at $251.4, representing a 29.3% discount to its calculated intrinsic value. This implies that SBA COMMUNICATIONS is undervalued and could be a good potential investment opportunity. More…
Peers
The U.S. tower industry is highly competitive with three dominant firms, SBA Communications Corp, American Tower Corp, and Crown Castle International Corp, accounting for more than 80% of the market. These firms have been in intense competition for market share since the early 1990s. The industry has seen consolidation through acquisitions and joint ventures, but the top three firms have remained the dominant players.
Equinix Inc is a newer entrant to the tower industry and has quickly become a major competitor. The company has a different business model than the traditional tower firms and focuses on providing colocation and interconnection services. Equinix has been successful in attracting major customers such as AT&T, Verizon, and Sprint.
– American Tower Corp ($NYSE:AMT)
American Tower is a leading independent owner, operator and developer of wireless and broadcast communications real estate. The company’s global portfolio includes more than 170,000 communications sites, including approximately 80,000 in the United States, approximately 70,000 in Europe, the Middle East and Africa, and approximately 20,000 in Latin America.
– Crown Castle International Corp ($NYSE:CCI)
Crown Castle International Corp is a publicly traded real estate investment trust (REIT) that owns, operates, and leases communications towers and other infrastructure in the United States. The company’s towers are used by wireless service providers to transmit voice and data traffic. Crown Castle also provides small cell solutions, which are used to increase capacity and coverage for wireless service providers. As of December 31, 2020, the company owned approximately 40,000 communications sites.
– Equinix Inc ($NASDAQ:EQIX)
Equinix, Inc. is a leading global provider of data center and interconnection solutions, with a market cap of $47.86B as of 2022. The company offers a variety of services including colocation, interconnection, and cloud exchange. Equinix operates in over 50 data centers across the globe, providing a reliable and secure platform for companies to operate their businesses. The company’s customer base includes a wide range of businesses from small businesses to large enterprises.
Summary
SBA Communications Corp. (NASDAQ: SBAC) saw its stock rise Thursday, outperforming the market. Analysts attribute the strong performance to the company’s impressive financial results and strong dividend yield. The telecommunications infrastructure company has reported higher revenues and net income for the past three quarters.
Investors also continue to be optimistic about SBA Communications Corp.’s future prospects due to its solid balance sheet, experienced leadership, and focus on investing in growth opportunities. These factors suggest that SBA Communications remains a solid long-term investment option for investors looking for a reliable income stream.
