Crown Castle Inc
Exchange: NYSESector: Real EstateIndustry: REIT - Specialty
Crown Castle International Corp. (CCIC) owns, operates and leases shared wireless infrastructure, including towers and other structures, such as rooftops (towers); distributed antenna systems (DAS)(each such system is a network of antennas for the benefit of wireless carriers and is connected by fiber to communication hubs designed to facilitate wireless communications), and interests in land under third party towers in various forms (third party land interests) (unless the context otherwise suggests or requires, references herein to wireless infrastructure include towers, DAS and third party land interests). Its core business is renting space or physical capacity (collectively, space) on its towers, DAS and, to a lesser extent, third party land interests (collectively, site rental business) through long-term contracts in various forms, including license, sublease and lease agreements (collectively, contracts). In April 2012, it acquired NextG Networks, Inc.
Did you know?
Profit margin stands at 10.4%.
Current Price
$84.78
+4.89%GoodMoat Value
$99.85
17.8% undervaluedProfile
Valuation (TTM)
Market Cap$36.92B
P/E83.15
EV$64.71B
P/B—
Shares Out435.48M
P/Sales8.66
Revenue$4.26B
EV/EBITDA31.20
Crown Castle Inc (CCI) Stock Analysis
GoodMoat Analysis
Crown Castle is a REIT with a strong competitive position in U.S. wireless infrastructure, but its high valuation and negative revenue growth present a mixed picture. The GoodMoat target of $99.85 suggests a significant margin of safety, but the stock's current price of $76.96 implies a more modest discount.
Read full analysis
Crown Castle Inc (CCI) is a Real Estate Investment Trust (REIT) that owns, operates, and leases shared wireless infrastructure, primarily cell towers and small cell nodes, across the United States. Applying the GoodMoat Investment Framework, the company exhibits a potentially durable moat. It scores well on several criteria from Section 1, including regulatory barriers (scarce tower permits and zoning rights), scale privilege (a vast national footprint of ~40,000 towers), and strategic partnerships with major wireless carriers. This creates high switching costs for tenants and pricing power, as evidenced by its high operating margin of 48.7%. However, the business currently faces headwinds, with revenue growth YoY at -4.3%, which is a negative quality indicator and a potential red flag for growth deceleration. The valuation is complex: the P/E of 75.5 is high, but this metric is less relevant for REITs, which are valued on funds from operations (FFO). More pertinent is the 8.6% Free Cash Flow Yield, which is attractive, and the 6.21% dividend yield. The GoodMoat target price of $99.85, compared to the current $76.96, implies a margin of safety of approximately 23%. According to Section 6 of the framework, a margin of safety between 20–40% is considered 'Favourable.' This places CCI at the lower end of that favourable band, but the negative revenue growth and high P/E warrant caution. For a value investor, it is a company worth investigating further to reconcile the strong underlying asset moat with the current operational challenges and to build a more detailed valuation model, particularly a DCF based on its substantial free cash flow. Analysis based on data as of 2024-05-15.
Market Cap$36.92B
Current Price$84.78
P/E Ratio83.15
Forward P/E—
PEG Ratio-0.78
EPS$1.01
Book Value$-3.75
P/B Ratio—
CCI Financial Charts
FCF vs CAPEX
FCFCAPEX
Forward estimates use 28.4% FCF growth (CAGR)
Cash vs Debt
Net Debt: 29.3B
Revenue
5.8B
FY19
5.8B
FY20
6.3B
FY21
7.0B
FY22
4.7B
FY23
4.5B
FY24
4.3B
FY25
Net Income
860M
FY19
1.1B
FY20
1.1B
FY21
1.7B
FY22
1.5B
FY23
—
FY24
444M
FY25
CCI 52-Week Range
$76.96
$109.97
50-Day MA: $84.92200-Day MA: $91.35
Did you know?
Price sits at 24% of its 52-week range.
Crown Castle Inc (CCI) Financial Summary
Crown Castle Inc (CCI) is a Real Estate company in the REIT - Specialty industry, listed on NYSE. The stock currently trades at $84.78 with a market capitalization of $36.92B.
Key valuation metrics include a P/E ratio of 83.15, and EPS of $1.01. The company reports a profit margin of 10.4%.
CCI Key Financial Metrics
| Metric | Value |
|---|---|
| Market Cap | $36.92B |
| P/E Ratio | 83.15 |
| EPS | $1.01 |
| P/S Ratio | 8.66 |
| EV/EBITDA | 31.20 |
| Dividend Yield | 5.63% |
| Profit Margin | 10.4% |
CCI Revenue & Earnings History
| Year | Revenue | Net Income |
|---|---|---|
| FY19 | $5.76B | $860.00M |
| FY20 | $5.84B | $1.06B |
| FY21 | $6.34B | $1.10B |
| FY22 | $6.99B | $1.68B |
| FY23 | $4.73B | $1.50B |
| FY24 | $4.46B | $-3.90B |
| FY25 | $4.26B | $444.00M |
Crown Castle Inc (CCI) Valuation
Based on GoodMoat's DCF model, Crown Castle Inc has a fair value estimate of $99.85. At the current price of $84.78, the stock appears 15.1% undervalued relative to our intrinsic value estimate.
CCI Quality Indicators
Crown Castle Inc maintains a profit margin of 10.4% and an operating margin of 48.7%. The current ratio is 0.26.
About Crown Castle Inc
Crown Castle International Corp. (CCIC) owns, operates and leases shared wireless infrastructure, including towers and other structures, such as rooftops (towers); distributed antenna systems (DAS)(each such system is a network of antennas for the benefit of wireless carriers and is connected by fiber to communication hubs designed to facilitate wireless communications), and interests in land under third party towers in various forms (third party land interests) (unless the context otherwise suggests or requires, references herein to wireless infrastructure include towers, DAS and third party land interests). Its core business is renting space or physical capacity (collectively, space) on its towers, DAS and, to a lesser extent, third party land interests (collectively, site rental business) through long-term contracts in various forms, including license, sublease and lease agreements (collectively, contracts). In April 2012, it acquired NextG Networks, Inc.
CCI Free Cash Flow
Crown Castle Inc generated $2.88B in trailing twelve-month free cash flow, representing an FCF yield of 7.79%. This strong FCF yield suggests the company generates substantial cash relative to its market value.
CCI Shares Outstanding
Crown Castle Inc has 0.44 billion shares outstanding at a share price of $84.78, giving it a market capitalization of $36.92B.
CCI Recent Insider Trades
Recent insider transactions at Crown Castle Inc include:
| Insider | Type | Shares | Value |
|---|---|---|---|
| Collins Robert Sean (Vice President and Controller) | SELL | 3,000 | $262470.00 |
| Adams Edward B JR (EVP and General Counsel) | SELL | 4,650 | $401481.00 |
| Levendos Christopher (EVP & COO - Fiber) | SELL | 1,883 | $150093.93 |