CROWN CASTLE INC (CCI) Stock Fundamental Analysis
USA - NYSE:CCI - US22822V1017 - REIT
95.46 USD
-0.25 (-0.26%)
95.46 USD
0 (0%)
Overall CCI gets a fundamental rating of 3 out of 10. We evaluated CCI against 29 industry peers in the Specialized REITs industry. While CCI is still in line with the averages on profitability rating, there are concerns on its financial health. CCI does not seem to be growing, but still is valued expensively.
1. Profitability
1.1 Basic Checks
In the past year CCI was profitable.
CCI had a positive operating cash flow in the past year.
Of the past 5 years CCI 4 years were profitable.
In the past 5 years CCI always reported a positive cash flow from operatings.
1.2 Ratios
CCI has a worse Return On Assets (-14.66%) than 89.66% of its industry peers.
CCI has a better Return On Invested Capital (6.30%) than 75.86% 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 4.79%.
The 3 year average ROIC (5.58%) for CCI is below the current ROIC(6.30%), indicating increased profibility in the last year.
| Industry Rank | Sector Rank | ||
|---|---|---|---|
| ROA | -14.66% | ||
| ROE | N/A | ||
| ROIC | 6.3% |
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
CCI has a better Operating Margin (40.94%) than 62.07% of its industry peers.
In the last couple of years the Operating Margin of CCI has grown nicely.
CCI's Gross Margin of 72.89% is in line compared to the rest of the industry. CCI outperforms 51.72% of its industry peers.
CCI's Gross Margin has improved in the last couple of years.
| Industry Rank | Sector Rank | ||
|---|---|---|---|
| OM | 40.94% | ||
| PM (TTM) | N/A | ||
| GM | 72.89% |
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.
Compared to 1 year ago, CCI has more shares outstanding
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
CCI has an Altman-Z score of 0.18. This is a bad value and indicates that CCI is not financially healthy and even has some risk of bankruptcy.
With a Altman-Z score value of 0.18, CCI is not doing good in the industry: 89.66% of the companies in the same industry are doing better.
CCI has a debt to FCF ratio of 10.14. This is a negative value and a sign of low solvency as CCI would need 10.14 years to pay back of all of its debts.
CCI's Debt to FCF ratio of 10.14 is fine compared to the rest of the industry. CCI outperforms 72.41% of its industry peers.
| Industry Rank | Sector Rank | ||
|---|---|---|---|
| Debt/Equity | N/A | ||
| Debt/FCF | 10.14 | ||
| Altman-Z | 0.18 |
ROIC/WACC0.87
WACC7.25%
2.3 Liquidity
CCI has a Current Ratio of 0.28. 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 0.28. This is amonst the worse of the industry: CCI underperforms 86.21% of its industry peers.
A Quick Ratio of 0.28 indicates that CCI may have some problems paying its short term obligations.
With a Quick ratio value of 0.28, CCI is not doing good in the industry: 86.21% of the companies in the same industry are doing better.
| Industry Rank | Sector Rank | ||
|---|---|---|---|
| Current Ratio | 0.28 | ||
| Quick Ratio | 0.28 |
3. Growth
3.1 Past
The earnings per share for CCI have decreased strongly by -73.26% in the last year.
Measured over the past 5 years, CCI shows a small growth in Earnings Per Share. The EPS has been growing by 4.20% on average per year.
The Revenue for CCI has decreased by -17.95% in the past year. This is quite bad
The Revenue has been growing slightly by 2.65% on average over the past years.
EPS 1Y (TTM)-73.26%
EPS 3Y-3.22%
EPS 5Y4.2%
EPS Q2Q%15.52%
Revenue 1Y (TTM)-17.95%
Revenue growth 3Y1.18%
Revenue growth 5Y2.65%
Sales Q2Q%-34.81%
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 20.23% on average per year.
CCI is expected to show a decrease in Revenue. In the coming years, the Revenue will decrease by -4.68% yearly.
EPS Next Y-72.79%
EPS Next 2Y12.05%
EPS Next 3Y12.8%
EPS Next 5Y20.23%
Revenue Next Year-35.55%
Revenue Next 2Y-18.55%
Revenue Next 3Y-11.97%
Revenue Next 5Y-4.68%
3.3 Evolution
The EPS growth rate is accelerating: in the next years the growth will be better than in the last years.
When comparing the Revenue growth rate of the last years to the growth rate of the upcoming years, we see that the growth is decreasing.
4. Valuation
4.1 Price/Earnings Ratio
The Price/Earnings ratio is 130.77, which means the current valuation is very expensive for CCI.
72.41% of the companies in the same industry are cheaper than CCI, based on the Price/Earnings ratio.
When comparing the Price/Earnings ratio of CCI to the average of the S&P500 Index (27.86), we can say CCI is valued expensively.
The Price/Forward Earnings ratio is 31.42, which means the current valuation is very expensive for CCI.
CCI's Price/Forward Earnings ratio is in line with the industry average.
Compared to an average S&P500 Price/Forward Earnings ratio of 23.29, CCI is valued a bit more expensive.
| Industry Rank | Sector Rank | ||
|---|---|---|---|
| PE | 130.77 | ||
| Fwd PE | 31.42 |
4.2 Price Multiples
CCI's Enterprise Value to EBITDA ratio is in line with the industry average.
Compared to the rest of the industry, the Price/Free Cash Flow ratio of CCI indicates a somewhat cheap valuation: CCI is cheaper than 75.86% of the companies listed in the same industry.
| Industry Rank | Sector Rank | ||
|---|---|---|---|
| P/FCF | 17.35 | ||
| EV/EBITDA | 19.14 |
4.3 Compensation for Growth
A more expensive valuation may be justified as CCI's earnings are expected to grow with 12.80% in the coming years.
PEG (NY)N/A
PEG (5Y)31.13
EPS Next 2Y12.05%
EPS Next 3Y12.8%
5. Dividend
5.1 Amount
CCI has a Yearly Dividend Yield of 4.52%, which is a nice return.
Compared to an average industry Dividend Yield of 5.94, CCI is paying slightly less dividend.
Compared to an average S&P500 Dividend Yield of 2.41, CCI pays a better dividend.
| Industry Rank | Sector Rank | ||
|---|---|---|---|
| Dividend Yield | 4.52% |
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.
The dividend of CCI is growing, but earnings are growing more, so the dividend growth is sustainable.
DP-54.2%
EPS Next 2Y12.05%
EPS Next 3Y12.8%
95.46
-0.25 (-0.26%)
Chartmill FA Rating
GICS SectorReal Estate
GICS IndustryGroupEquity Real Estate Investment Trusts (REITs)
GICS IndustrySpecialized REITs
Earnings (Last)
Earnings (Next)
Inst Owners96.68%
Inst Owner Change-2.52%
Ins Owners0.09%
Ins Owner Change-1.45%
Market Cap41.57B
Analysts73.6
Price Target120.61 (26.35%)
Short Float %2.44%
Short Ratio2.95
Dividend
| Industry Rank | Sector Rank | ||
|---|---|---|---|
| Dividend Yield | 4.52% |
Yearly Dividend6.28
Dividend Growth(5Y)5.2%
DP-54.2%
Div Incr Years0
Div Non Decr Years10
Ex-Date
Surprises & Revisions
EPS beat(2)1
Avg EPS beat(2)-75.75%
Min EPS beat(2)-172.34%
Max EPS beat(2)20.85%
EPS beat(4)2
Avg EPS beat(4)-37.2%
Min EPS beat(4)-172.34%
Max EPS beat(4)20.85%
EPS beat(8)4
Avg EPS beat(8)-19.88%
EPS beat(12)5
Avg EPS beat(12)-13.2%
EPS beat(16)9
Avg EPS beat(16)-9.25%
Revenue beat(2)2
Avg Revenue beat(2)0.95%
Min Revenue beat(2)0.95%
Max Revenue beat(2)0.95%
Revenue beat(4)3
Avg Revenue beat(4)0.43%
Min Revenue beat(4)-0.42%
Max Revenue beat(4)0.95%
Revenue beat(8)3
Avg Revenue beat(8)-0.2%
Revenue beat(12)4
Avg Revenue beat(12)-0.22%
Revenue beat(16)7
Avg Revenue beat(16)-0.05%
PT rev (1m)0%
PT rev (3m)4.12%
EPS NQ rev (1m)-9.98%
EPS NQ rev (3m)-10.28%
EPS NY rev (1m)-15.71%
EPS NY rev (3m)-20.95%
Revenue NQ rev (1m)0%
Revenue NQ rev (3m)-0.28%
Revenue NY rev (1m)0.05%
Revenue NY rev (3m)0.19%
Valuation
| Industry Rank | Sector Rank | ||
|---|---|---|---|
| PE | 130.77 | ||
| Fwd PE | 31.42 | ||
| P/S | 7.67 | ||
| P/FCF | 17.35 | ||
| P/OCF | 13.63 | ||
| P/B | N/A | ||
| P/tB | N/A | ||
| EV/EBITDA | 19.14 |
EPS(TTM)0.73
EY0.76%
EPS(NY)3.04
Fwd EY3.18%
FCF(TTM)5.5
FCFY5.76%
OCF(TTM)7
OCFY7.33%
SpS12.45
BVpS-3.17
TBVpS-17.13
PEG (NY)N/A
PEG (5Y)31.13
Profitability
| Industry Rank | Sector Rank | ||
|---|---|---|---|
| ROA | -14.66% | ||
| ROE | N/A | ||
| ROCE | 7.98% | ||
| ROIC | 6.3% | ||
| ROICexc | 6.32% | ||
| ROICexgc | 8.1% | ||
| OM | 40.94% | ||
| PM (TTM) | N/A | ||
| GM | 72.89% | ||
| FCFM | 44.19% |
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-Score4
Asset Turnover0.17
Health
| Industry Rank | Sector Rank | ||
|---|---|---|---|
| Debt/Equity | N/A | ||
| Debt/FCF | 10.14 | ||
| Debt/EBITDA | 6.4 | ||
| Cap/Depr | 53.48% | ||
| Cap/Sales | 12.04% | ||
| Interest Coverage | 2.38 | ||
| Cash Conversion | 88.61% | ||
| Profit Quality | N/A | ||
| Current Ratio | 0.28 | ||
| Quick Ratio | 0.28 | ||
| Altman-Z | 0.18 |
F-Score4
WACC7.25%
ROIC/WACC0.87
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)-73.26%
EPS 3Y-3.22%
EPS 5Y4.2%
EPS Q2Q%15.52%
EPS Next Y-72.79%
EPS Next 2Y12.05%
EPS Next 3Y12.8%
EPS Next 5Y20.23%
Revenue 1Y (TTM)-17.95%
Revenue growth 3Y1.18%
Revenue growth 5Y2.65%
Sales Q2Q%-34.81%
Revenue Next Year-35.55%
Revenue Next 2Y-18.55%
Revenue Next 3Y-11.97%
Revenue Next 5Y-4.68%
EBIT growth 1Y-1.68%
EBIT growth 3Y4.02%
EBIT growth 5Y7.43%
EBIT Next Year29.17%
EBIT Next 3Y12.42%
EBIT Next 5Y11.92%
FCF growth 1Y31.65%
FCF growth 3Y4.73%
FCF growth 5Y21.84%
OCF growth 1Y-6.64%
OCF growth 3Y2.57%
OCF growth 5Y1.75%