CROWN CASTLE INC (CCI)
US22822V1017 - REIT
Overall CCI gets a fundamental rating of 4 out of 10. We evaluated CCI against 28 industry peers in the Specialized REITs industry. While CCI belongs to the best of the industry regarding profitability, there are concerns on its financial health. CCI has a expensive valuation and it also scores bad on growth. Finally CCI also has an excellent dividend rating.
1. Profitability
1.1 Basic Checks
CCI had positive earnings in the past year.
In the past year CCI had a positive cash flow from operations.
CCI had positive earnings in each of the past 5 years.
In the past 5 years CCI always reported a positive cash flow from operatings.
1.2 Ratios
CCI's Return On Assets of 3.65% is fine compared to the rest of the industry. CCI outperforms 64.29% of its industry peers.
CCI's Return On Equity of 23.05% is amongst the best of the industry. CCI outperforms 89.29% of its industry peers.
With a decent Return On Invested Capital value of 5.32%, CCI is doing good in the industry, outperforming 64.29% of the companies in the same industry.
The Average Return On Invested Capital over the past 3 years for CCI is in line with the industry average of 5.08%.
The last Return On Invested Capital (5.32%) for CCI is above the 3 year average (5.05%), which is a sign of increasing profitability.
| Industry Rank | Sector Rank | ||
|---|---|---|---|
| ROA | 3.65% | ||
| ROE | 23.05% | ||
| ROIC | 5.32% |
ROA(3y)3.67%
ROA(5y)3.11%
ROE(3y)19.77%
ROE(5y)15.4%
ROIC(3y)5.05%
ROIC(5y)4.56%
1.3 Margins
CCI's Profit Margin of 20.35% is fine compared to the rest of the industry. CCI outperforms 64.29% of its industry peers.
In the last couple of years the Profit Margin of CCI has grown nicely.
CCI has a Operating Margin of 35.26%. This is comparable to the rest of the industry: CCI outperforms 42.86% of its industry peers.
CCI's Operating Margin has improved in the last couple of years.
CCI has a Gross Margin (71.89%) which is in line with its industry peers.
In the last couple of years the Gross Margin of CCI has grown nicely.
| Industry Rank | Sector Rank | ||
|---|---|---|---|
| OM | 35.26% | ||
| PM (TTM) | 20.35% | ||
| GM | 71.89% |
OM growth 3Y2.25%
OM growth 5Y5.91%
PM growth 3Y7.94%
PM growth 5Y17.82%
GM growth 3Y2.62%
GM growth 5Y1.76%
2. Health
2.1 Basic Checks
With a Return on Invested Capital (ROIC) below the Cost of Capital (WACC), CCI is destroying value.
Compared to 1 year ago, CCI has more shares outstanding
Compared to 5 years ago, CCI has more shares outstanding
CCI has a worse debt/assets ratio than last year.
2.2 Solvency
CCI has an Altman-Z score of 0.67. This is a bad value and indicates that CCI is not financially healthy and even has some risk of bankruptcy.
Looking at the Altman-Z score, with a value of 0.67, CCI is in line with its industry, outperforming 42.86% of the companies in the same industry.
The Debt to FCF ratio of CCI is 13.64, which is on the high side as it means it would take CCI, 13.64 years of fcf income to pay off all of its debts.
With a Debt to FCF ratio value of 13.64, CCI perfoms like the industry average, outperforming 57.14% of the companies in the same industry.
CCI has a Debt/Equity ratio of 3.73. This is a high value indicating a heavy dependency on external financing.
Looking at the Debt to Equity ratio, with a value of 3.73, CCI is doing worse than 78.57% of the companies in the same industry.
| Industry Rank | Sector Rank | ||
|---|---|---|---|
| Debt/Equity | 3.73 | ||
| Debt/FCF | 13.64 | ||
| Altman-Z | 0.67 |
ROIC/WACC0.68
WACC7.77%
2.3 Liquidity
A Current Ratio of 0.42 indicates that CCI may have some problems paying its short term obligations.
With a Current ratio value of 0.42, CCI is not doing good in the industry: 75.00% of the companies in the same industry are doing better.
A Quick Ratio of 0.42 indicates that CCI may have some problems paying its short term obligations.
With a Quick ratio value of 0.42, CCI is not doing good in the industry: 75.00% of the companies in the same industry are doing better.
| Industry Rank | Sector Rank | ||
|---|---|---|---|
| Current Ratio | 0.42 | ||
| Quick Ratio | 0.42 |
3. Growth
3.1 Past
The earnings per share for CCI have decreased strongly by -17.10% in the last year.
The Earnings Per Share has been growing by 20.89% on average over the past years. This is a very strong growth
Looking at the last year, CCI shows a decrease in Revenue. The Revenue has decreased by -2.39% in the last year.
CCI shows a small growth in Revenue. Measured over the last years, the Revenue has been growing by 5.39% yearly.
EPS 1Y (TTM)-17.1%
EPS 3Y26.24%
EPS 5Y20.89%
EPS growth Q2Q-26.8%
Revenue 1Y (TTM)-2.39%
Revenue growth 3Y6.13%
Revenue growth 5Y5.39%
Revenue growth Q2Q-7.45%
3.2 Future
Based on estimates for the next years, CCI will show a decrease in Earnings Per Share. The EPS will decrease by -3.55% on average per year.
CCI is expected to show a small growth in Revenue. In the coming years, the Revenue will grow by 1.57% yearly.
EPS Next Y-15.29%
EPS Next 2Y-12.73%
EPS Next 3Y-7.07%
EPS Next 5Y-3.55%
Revenue Next Year-5.31%
Revenue Next 2Y-3.05%
Revenue Next 3Y-0.87%
Revenue Next 5Y1.57%
3.3 Evolution
The EPS growth rate is decreasing: in the next years the growth will be less than in the last years.
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
A Price/Earnings ratio of 30.05 indicates a quite expensive valuation of CCI.
CCI's Price/Earnings ratio is in line with the industry average.
When comparing the Price/Earnings ratio of CCI to the average of the S&P500 Index (28.11), we can say CCI is valued inline with the index average.
The Price/Forward Earnings ratio is 36.49, 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 20.39, CCI is valued quite expensively.
| Industry Rank | Sector Rank | ||
|---|---|---|---|
| PE | 30.05 | ||
| Fwd PE | 36.49 |
4.2 Price Multiples
Compared to the rest of the industry, the Enterprise Value to EBITDA ratio of CCI indicates a somewhat cheap valuation: CCI is cheaper than 67.86% of the companies listed in the same industry.
Based on the Price/Free Cash Flow ratio, CCI is valued a bit cheaper than the industry average as 60.71% of the companies are valued more expensively.
| Industry Rank | Sector Rank | ||
|---|---|---|---|
| P/FCF | 24.33 | ||
| EV/EBITDA | 15.58 |
4.3 Compensation for Growth
CCI has a very decent profitability rating, which may justify a higher PE ratio.
A cheap valuation may be justified as CCI's earnings are expected to decrease with -7.07% in the coming years.
PEG (NY)N/A
PEG (5Y)1.44
EPS Next 2Y-12.73%
EPS Next 3Y-7.07%
5. Dividend
5.1 Amount
With a Yearly Dividend Yield of 6.49%, CCI is a good candidate for dividend investing.
CCI's Dividend Yield is rather good when compared to the industry average which is at 5.00. CCI pays more dividend than 82.14% of the companies in the same industry.
CCI's Dividend Yield is rather good when compared to the S&P500 average which is at 2.40.
| Industry Rank | Sector Rank | ||
|---|---|---|---|
| Dividend Yield | 6.49% |
5.2 History
The dividend of CCI is nicely growing with an annual growth rate of 6.35%!
CCI has been paying a dividend for at least 10 years, so it has a reliable track record.
CCI has not decreased its dividend in the past 5 years, so it has a somewhat stable track record.
Dividend Growth(5Y)6.35%
Div Incr Years9
Div Non Decr Years9
5.3 Sustainability
CCI pays out 195.48% of its income as dividend. This is not a sustainable payout ratio.
The Dividend Rate of CCI has been growing, while earnings will be declining. This means the dividend growth is most likely not sustainable.
DP195.48%
EPS Next 2Y-12.73%
EPS Next 3Y-7.07%
CROWN CASTLE INC
NYSE:CCI (5/7/2024, 7:04:00 PM)
Premarket: 95.56 -0.59 (-0.61%)96.15
+0.23 (+0.24%)
Chartmill FA Rating
GICS SectorReal Estate
GICS IndustryGroupEquity Real Estate Investment Trusts (REITs)
GICS IndustrySpecialized REITs
Earnings (Last)
Earnings (Next)
Inst Owners
Inst Owner Change
Ins Owners
Ins Owner Change
Market Cap41.78B
Analysts
Price Target
Dividend
| Industry Rank | Sector Rank | ||
|---|---|---|---|
| Dividend Yield | 6.49% |
Dividend Growth(5Y)
DP
Div Incr Years
Div Non Decr Years
Ex-Date
Surprises & Revisions
EPS beat(2)
Avg EPS beat(2)
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EPS beat(8)
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EPS beat(16)
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Revenue beat(2)
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PT rev (1m)
PT rev (3m)
EPS NQ rev (1m)
EPS NQ rev (3m)
EPS NY rev (1m)
EPS NY rev (3m)
Revenue NQ rev (1m)
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Revenue NY rev (1m)
Revenue NY rev (3m)
Valuation
| Industry Rank | Sector Rank | ||
|---|---|---|---|
| PE | 30.05 | ||
| Fwd PE | 36.49 | ||
| P/S | |||
| P/FCF | |||
| P/OCF | |||
| P/B | |||
| P/tB | |||
| EV/EBITDA |
EPS(TTM)
EY
EPS(NY)
Fwd EY
FCF(TTM)
FCFY
OCF(TTM)
OCFY
SpS
BVpS
TBVpS
PEG (NY)N/A
PEG (5Y)1.44
Profitability
| Industry Rank | Sector Rank | ||
|---|---|---|---|
| ROA | 3.65% | ||
| ROE | 23.05% | ||
| ROCE | |||
| ROIC | |||
| ROICexc | |||
| ROICexgc | |||
| OM | 35.26% | ||
| PM (TTM) | 20.35% | ||
| GM | 71.89% | ||
| FCFM |
ROA(3y)
ROA(5y)
ROE(3y)
ROE(5y)
ROIC(3y)
ROIC(5y)
ROICexc(3y)
ROICexc(5y)
ROICexgc(3y)
ROICexgc(5y)
ROCE(3y)
ROCE(5y)
ROICexcg growth 3Y
ROICexcg growth 5Y
ROICexc growth 3Y
ROICexc growth 5Y
OM growth 3Y
OM growth 5Y
PM growth 3Y
PM growth 5Y
GM growth 3Y
GM growth 5Y
F-Score
Asset Turnover0.18
Health
| Industry Rank | Sector Rank | ||
|---|---|---|---|
| Debt/Equity | 3.73 | ||
| Debt/FCF | |||
| Debt/EBITDA | |||
| Cap/Depr | |||
| Cap/Sales | |||
| Interest Coverage | |||
| Cash Conversion | |||
| Profit Quality | |||
| Current Ratio | 0.42 | ||
| Quick Ratio | 0.42 | ||
| Altman-Z |
F-Score
WACC
ROIC/WACC
Cap/Depr(3y)
Cap/Depr(5y)
Cap/Sales(3y)
Cap/Sales(5y)
Profit Quality(3y)
Profit Quality(5y)
Growth
EPS 1Y (TTM)-17.1%
EPS 3Y26.24%
EPS 5Y
EPS growth Q2Q
EPS Next Y-15.29%
EPS Next 2Y
EPS Next 3Y
EPS Next 5Y
Revenue 1Y (TTM)-2.39%
Revenue growth 3Y6.13%
Revenue growth 5Y
Revenue growth Q2Q
Revenue Next Year
Revenue Next 2Y
Revenue Next 3Y
Revenue Next 5Y
EBIT growth 1Y
EBIT growth 3Y
EBIT growth 5Y
EBIT Next Year
EBIT Next 3Y
EBIT Next 5Y
FCF growth 1Y
FCF growth 3Y
FCF growth 5Y
OCF growth 1Y
OCF growth 3Y
OCF growth 5Y