CROWN CASTLE INC (CCI) Stock Fundamental Analysis
NYSE:CCI - New York Stock Exchange, Inc. - US22822V1017 - REIT - Currency: USD
CCI gets a fundamental rating of 3 out of 10. The analysis compared the fundamentals against 30 industry peers in the Specialized REITs industry. CCI has a medium profitability rating, but doesn't score so well on its financial health evaluation. CCI is valued expensive and it does not seem to be growing.
1. Profitability
1.1 Basic Checks
CCI had positive earnings in the past year.
CCI had a positive operating cash flow in the past year.
CCI had positive earnings in 4 of the past 5 years.
Each year in the past 5 years CCI had a positive operating cash flow.
1.2 Ratios
With a Return On Assets value of -14.73%, CCI is not doing good in the industry: 90.00% of the companies in the same industry are doing better.
CCI's Return On Invested Capital of 6.16% is fine compared to the rest of the industry. CCI outperforms 73.33% of its industry peers.
CCI had an Average Return On Invested Capital over the past 3 years of 5.58%. This is in line with the industry average of 5.28%.
The last Return On Invested Capital (6.16%) for CCI is above the 3 year average (5.58%), which is a sign of increasing profitability.
| Industry Rank | Sector Rank | ||
|---|---|---|---|
| ROA | -14.73% | ||
| ROE | N/A | ||
| ROIC | 6.16% |
ROA(3y)-1.24%
ROA(5y)0.33%
ROE(3y)N/A
ROE(5y)N/A
ROIC(3y)5.58%
ROIC(5y)5.04%
1.3 Margins
With a Operating Margin value of 37.49%, CCI perfoms like the industry average, outperforming 56.67% of the companies in the same industry.
In the last couple of years the Operating Margin of CCI has grown nicely.
CCI's Gross Margin of 72.43% is in line compared to the rest of the industry. CCI outperforms 53.33% of its industry peers.
In the last couple of years the Gross Margin of CCI has grown nicely.
| Industry Rank | Sector Rank | ||
|---|---|---|---|
| OM | 37.49% | ||
| PM (TTM) | N/A | ||
| GM | 72.43% |
OM growth 3Y2.8%
OM growth 5Y4.66%
PM growth 3YN/A
PM growth 5YN/A
GM growth 3Y1.59%
GM growth 5Y1.86%
2. Health
2.1 Basic Checks
The Return on Invested Capital (ROIC) is below the Cost of Capital (WACC), so CCI is destroying value.
CCI has more shares outstanding than it did 1 year ago.
The number of shares outstanding for CCI has been increased compared to 5 years ago.
The debt/assets ratio for CCI is higher compared to a year ago.
2.2 Solvency
Based on the Altman-Z score of 0.30, we must say that CCI is in the distress zone and has some risk of bankruptcy.
CCI has a Altman-Z score of 0.30. This is amonst the worse of the industry: CCI underperforms 86.67% of its industry peers.
CCI has a debt to FCF ratio of 11.93. This is a negative value and a sign of low solvency as CCI would need 11.93 years to pay back of all of its debts.
Looking at the Debt to FCF ratio, with a value of 11.93, CCI is in the better half of the industry, outperforming 63.33% of the companies in the same industry.
| Industry Rank | Sector Rank | ||
|---|---|---|---|
| Debt/Equity | N/A | ||
| Debt/FCF | 11.93 | ||
| Altman-Z | 0.3 |
ROIC/WACC0.84
WACC7.31%
2.3 Liquidity
CCI has a Current Ratio of 0.37. This is a bad value and indicates that CCI is not financially healthy enough and could expect problems in meeting its short term obligations.
CCI has a Current ratio of 0.37. This is in the lower half of the industry: CCI underperforms 76.67% of its industry peers.
CCI has a Quick Ratio of 0.37. This is a bad value and indicates that CCI is not financially healthy enough and could expect problems in meeting its short term obligations.
CCI has a worse Quick ratio (0.37) than 76.67% of its industry peers.
| Industry Rank | Sector Rank | ||
|---|---|---|---|
| Current Ratio | 0.37 | ||
| Quick Ratio | 0.37 |
3. Growth
3.1 Past
The earnings per share for CCI have decreased strongly by -80.00% in the last year.
The Earnings Per Share has been growing slightly by 4.20% on average over the past years.
CCI shows a very negative growth in Revenue. In the last year, the Revenue has decreased by -12.57%.
Measured over the past years, CCI shows a small growth in Revenue. The Revenue has been growing by 2.65% on average per year.
EPS 1Y (TTM)-80%
EPS 3Y-3.22%
EPS 5Y4.2%
EPS Q2Q%-250.7%
Revenue 1Y (TTM)-12.57%
Revenue growth 3Y1.18%
Revenue growth 5Y2.65%
Sales Q2Q%-35.34%
3.2 Future
Based on estimates for the next years, CCI will show a very strong growth in Earnings Per Share. The EPS will grow by 20.03% on average per year.
Based on estimates for the next years, CCI will show a decrease in Revenue. The Revenue will decrease by -4.61% on average per year.
EPS Next Y-65.58%
EPS Next 2Y9.43%
EPS Next 3Y11.42%
EPS Next 5Y20.03%
Revenue Next Year-35.67%
Revenue Next 2Y-18.56%
Revenue Next 3Y-12.01%
Revenue Next 5Y-4.61%
3.3 Evolution
When comparing the EPS growth rate of the last years to the growth rate of the upcoming years, we see that the growth is accelerating.
The Revenue growth rate is decreasing: in the next years the growth will be less than in the last years.
4. Valuation
4.1 Price/Earnings Ratio
CCI is valuated quite expensively with a Price/Earnings ratio of 161.20.
Based on the Price/Earnings ratio, CCI is valued a bit more expensive than 73.33% of the companies in the same industry.
The average S&P500 Price/Earnings ratio is at 27.28. CCI is valued rather expensively when compared to this.
The Price/Forward Earnings ratio is 35.60, which means the current valuation is very expensive for CCI.
The rest of the industry has a similar Price/Forward Earnings ratio as CCI.
Compared to an average S&P500 Price/Forward Earnings ratio of 21.76, CCI is valued quite expensively.
| Industry Rank | Sector Rank | ||
|---|---|---|---|
| PE | 161.2 | ||
| Fwd PE | 35.6 |
4.2 Price Multiples
Compared to the rest of the industry, the Enterprise Value to EBITDA ratio of CCI is on the same level as its industry peers.
Based on the Price/Free Cash Flow ratio, CCI is valued a bit cheaper than 73.33% of the companies in the same industry.
| Industry Rank | Sector Rank | ||
|---|---|---|---|
| P/FCF | 21.99 | ||
| EV/EBITDA | 18.67 |
4.3 Compensation for Growth
PEG (NY)N/A
PEG (5Y)38.38
EPS Next 2Y9.43%
EPS Next 3Y11.42%
5. Dividend
5.1 Amount
With a Yearly Dividend Yield of 4.24%, CCI is a good candidate for dividend investing.
Compared to an average industry Dividend Yield of 5.88, CCI is paying slightly less dividend.
Compared to an average S&P500 Dividend Yield of 2.42, CCI pays a better dividend.
| Industry Rank | Sector Rank | ||
|---|---|---|---|
| Dividend Yield | 4.24% |
5.2 History
The dividend of CCI has a limited annual growth rate of 5.20%.
CCI has paid a dividend for at least 10 years, which is a reliable track record.
CCI has not decreased their dividend for at least 10 years, which is a reliable track record.
Dividend Growth(5Y)5.2%
Div Incr Years0
Div Non Decr Years10
5.3 Sustainability
CCI has negative earnings and hence a negative payout ratio. The dividend may be in danger.
CCI's earnings are growing more than its dividend. This makes the dividend growth sustainable.
DP-58.38%
EPS Next 2Y9.43%
EPS Next 3Y11.42%
103.17
-0.55 (-0.53%)
Chartmill FA Rating
GICS SectorReal Estate
GICS IndustryGroupEquity Real Estate Investment Trusts (REITs)
GICS IndustrySpecialized REITs
Earnings (Last)
Earnings (Next)
Inst Owners98.42%
Inst Owner Change4.1%
Ins Owners0.09%
Ins Owner Change0.9%
Market Cap44.93B
Analysts71.54
Price Target115.84 (12.28%)
Short Float %1.58%
Short Ratio2.23
Dividend
| Industry Rank | Sector Rank | ||
|---|---|---|---|
| Dividend Yield | 4.24% |
Yearly Dividend6.28
Dividend Growth(5Y)5.2%
DP-58.38%
Div Incr Years0
Div Non Decr Years10
Ex-Date
Surprises & Revisions
EPS beat(2)0
Avg EPS beat(2)-116.33%
Min EPS beat(2)-231.25%
Max EPS beat(2)-1.41%
EPS beat(4)2
Avg EPS beat(4)-56.15%
Min EPS beat(4)-231.25%
Max EPS beat(4)4.08%
EPS beat(8)3
Avg EPS beat(8)-29.97%
EPS beat(12)5
Avg EPS beat(12)-19.83%
EPS beat(16)9
Avg EPS beat(16)-13.62%
Revenue beat(2)1
Avg Revenue beat(2)0.26%
Min Revenue beat(2)-0.42%
Max Revenue beat(2)0.95%
Revenue beat(4)2
Avg Revenue beat(4)0.12%
Min Revenue beat(4)-0.42%
Max Revenue beat(4)0.95%
Revenue beat(8)2
Avg Revenue beat(8)-0.38%
Revenue beat(12)4
Avg Revenue beat(12)-0.27%
Revenue beat(16)7
Avg Revenue beat(16)-0.09%
PT rev (1m)0.03%
PT rev (3m)5.9%
EPS NQ rev (1m)0.47%
EPS NQ rev (3m)94.53%
EPS NY rev (1m)6.25%
EPS NY rev (3m)-11.61%
Revenue NQ rev (1m)0.1%
Revenue NQ rev (3m)0.29%
Revenue NY rev (1m)0.21%
Revenue NY rev (3m)-34.64%
Valuation
| Industry Rank | Sector Rank | ||
|---|---|---|---|
| PE | 161.2 | ||
| Fwd PE | 35.6 | ||
| P/S | 7.5 | ||
| P/FCF | 21.99 | ||
| P/OCF | 15.05 | ||
| P/B | N/A | ||
| P/tB | N/A | ||
| EV/EBITDA | 18.67 |
EPS(TTM)0.64
EY0.62%
EPS(NY)2.9
Fwd EY2.81%
FCF(TTM)4.69
FCFY4.55%
OCF(TTM)6.85
OCFY6.64%
SpS13.75
BVpS-2.88
TBVpS-16.93
PEG (NY)N/A
PEG (5Y)38.38
Profitability
| Industry Rank | Sector Rank | ||
|---|---|---|---|
| ROA | -14.73% | ||
| ROE | N/A | ||
| ROCE | 7.79% | ||
| ROIC | 6.16% | ||
| ROICexc | 6.17% | ||
| ROICexgc | 7.84% | ||
| OM | 37.49% | ||
| PM (TTM) | N/A | ||
| GM | 72.43% | ||
| FCFM | 34.12% |
ROA(3y)-1.24%
ROA(5y)0.33%
ROE(3y)N/A
ROE(5y)N/A
ROIC(3y)5.58%
ROIC(5y)5.04%
ROICexc(3y)5.6%
ROICexc(5y)5.07%
ROICexgc(3y)8.46%
ROICexgc(5y)7.89%
ROCE(3y)7.06%
ROCE(5y)6.39%
ROICexcg growth 3Y4.12%
ROICexcg growth 5Y6.36%
ROICexc growth 3Y10.73%
ROICexc growth 5Y11.31%
OM growth 3Y2.8%
OM growth 5Y4.66%
PM growth 3YN/A
PM growth 5YN/A
GM growth 3Y1.59%
GM growth 5Y1.86%
F-Score5
Asset Turnover0.19
Health
| Industry Rank | Sector Rank | ||
|---|---|---|---|
| Debt/Equity | N/A | ||
| Debt/FCF | 11.93 | ||
| Debt/EBITDA | 6.15 | ||
| Cap/Depr | 63.82% | ||
| Cap/Sales | 15.73% | ||
| Interest Coverage | 2.42 | ||
| Cash Conversion | 80.22% | ||
| Profit Quality | N/A | ||
| Current Ratio | 0.37 | ||
| Quick Ratio | 0.37 | ||
| Altman-Z | 0.3 |
F-Score5
WACC7.31%
ROIC/WACC0.84
Cap/Depr(3y)76.08%
Cap/Depr(5y)80.8%
Cap/Sales(3y)19.25%
Cap/Sales(5y)20.99%
Profit Quality(3y)N/A
Profit Quality(5y)N/A
High Growth Momentum
Growth
EPS 1Y (TTM)-80%
EPS 3Y-3.22%
EPS 5Y4.2%
EPS Q2Q%-250.7%
EPS Next Y-65.58%
EPS Next 2Y9.43%
EPS Next 3Y11.42%
EPS Next 5Y20.03%
Revenue 1Y (TTM)-12.57%
Revenue growth 3Y1.18%
Revenue growth 5Y2.65%
Sales Q2Q%-35.34%
Revenue Next Year-35.67%
Revenue Next 2Y-18.56%
Revenue Next 3Y-12.01%
Revenue Next 5Y-4.61%
EBIT growth 1Y-7.04%
EBIT growth 3Y4.02%
EBIT growth 5Y7.43%
EBIT Next Year28.08%
EBIT Next 3Y11.89%
EBIT Next 5Y12.55%
FCF growth 1Y31.38%
FCF growth 3Y4.73%
FCF growth 5Y21.84%
OCF growth 1Y2.05%
OCF growth 3Y2.57%
OCF growth 5Y1.75%