Elevator Pitch
Indonesia-listed independent tower operator PT Sarana Menara Nusantara Tbk (SMNUF) [TOWR:IJ] currently trades at 8.2 times consensus forward next twelve months EV/EBITDA which represents a discount to the stock's historical five-year average EV/EBITDA of approximately 10 times. Sarana Menara's peer PT Tower Bersama Infrastructure Tbk (PTFRF) (PTFRY) [TBIG:IJ] is also valued by the market at a higher 11.4 times consensus forward next twelve months EV/EBITDA. Sarana Menara offers a consensus forward FY2019 dividend yield of 3.9%.
Consolidation is a double-edged sword for Sarana Menara. While the tower