SBAC - Crown Castle stock slips after Wells Fargo downgrades to Underweight

Crown Castle International (NYSE:CCI) stock is dropping 2.6% in Thursday premarket trading after Wells Fargo analyst Eric Luebchow downgraded the telecom tower REIT to Underweight from Equalweight due to small cell churn weighing on its outlook and costs of capital for its fiber program. The analyst projects Crown Castle (CCI) shareholder returns will be more than 300 basis points below that of its peers from 2022-2027. "We also believe CCI merits a discounted valuation as a result of: (a) lower (albeit improving) ROICs on its small cell/fiber business; (b) organic revenue growth that will trail AMT and SBAC in the coming years; and (c) less FCF flexibility from higher fiber capex," Luebchow wrote in a note to clients. The Underweight rating compares with the Quant rating of Hold and contrasts with the average Wall Street rating of Buy. To compare key stats with those of its peers American Tower (AMT) and SBA

For further details see:

Crown Castle stock slips after Wells Fargo downgrades to Underweight