Crown Castle (CCI) closed the most recent trading day at $149.84, moving -0.85% from the previous trading session. This change was narrower than the S&P 500's 1.77% loss on the day. Meanwhile, the Dow lost 2.09%, and the Nasdaq, a tech-heavy index, lost 1.59%.
Heading into today, shares of the operator of wireless communications towers had gained 6.67% over the past month, outpacing the Finance sector's loss of 0.12% and the S&P 500's gain of 2.04% in that time.
CCI will be looking to display strength as it nears its next earnings release, which is expected to be February 26, 2020. On that day, CCI is projected to report earnings of $1.49 per share, which would represent year-over-year growth of 4.93%. Our most recent consensus estimate is calling for quarterly revenue of $1.48 billion, up 4.57% from the year-ago period.
It is also important to note the recent changes to analyst estimates for CCI. These revisions typically reflect the latest short-term business trends, which can change frequently. As such, positive estimate revisions reflect analyst optimism about the company's business and profitability.
Research indicates that these estimate revisions are directly correlated with near-term share price momentum. To benefit from this, we have developed the Zacks Rank, a proprietary model which takes these estimate changes into account and provides an actionable rating system.
The Zacks Rank system, which ranges from #1 (Strong Buy) to #5 (Strong Sell), has an impressive outside-audited track record of outperformance, with #1 stocks generating an average annual return of +25% since 1988. The Zacks Consensus EPS estimate has moved 0.03% lower within the past month. CCI currently has a Zacks Rank of #4 (Sell).
Digging into valuation, CCI currently has a Forward P/E ratio of 23.7. For comparison, its industry has an average Forward P/E of 15.77, which means CCI is trading at a premium to the group.
We can also see that CCI currently has a PEG ratio of 1.53. The PEG ratio is similar to the widely-used P/E ratio, but this metric also takes the company's expected earnings growth rate into account. CCI's industry had an average PEG ratio of 3.4 as of yesterday's close.
The REIT and Equity Trust - Other industry is part of the Finance sector. This group has a Zacks Industry Rank of 165, putting it in the bottom 36% of all 250+ industries.
The Zacks Industry Rank gauges the strength of our industry groups by measuring the average Zacks Rank of the individual stocks within the groups. Our research shows that the top 50% rated industries outperform the bottom half by a factor of 2 to 1.
You can find more information on all of these metrics, and much more, on Zacks.com.
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Crown Castle International Corporation (CCI) : Free Stock Analysis Report
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