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Stockchase Opinions

Javed MirzaCrown Castle InternationalCCIPARTIAL BUYMar 09, 2023

Likes real estate, despite rising rates, because he thinks we're getting close to that terminal rate. Big pullback, but trying to stabilize. Speed of descent has slowed. Well established. Likes it longer term. Pick away at it. If it breaks below October lows, re-evaluate.

$130.24

Stock price when the opinion was issued

$82.34

As of Jun 18, 2026. Market Open.

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DON'T BUY

Great growth stock the past 15 years. Ownership of cellphone towers very profitable. However, growth slowing down. Higher interest rates also hard on business. 

BUY ON WEAKNESS
Trevor Rose’s Insights - Trevor’s most-liked answers from 5i Research

CCI operates as a cell tower company and is now trading at 13.4x times' EV/EBITDA (historical averages range from 13.4x to 26x in the last five years). In the last few years CCI’s growth in dividend payment has been quite consistent supported by growth in underlying cash flow. Growth was mainly through organic growth (price increase mostly) and the acquisition of other cell towers. Similar to other real estate names, the balance sheet is leveraged, with net debt of around $28.2B and net debt/EBITDA is 5.6x. CCI is a high-quality cell tower company that has consistently raised dividends. High interest rates are a near-term headwind for real estate companies in general (higher interest expense, lower trading multiple due to other attractive alternatives). Given that CCI is trading at its lowest valuation in years, we would be comfortable adding CCI here, though the stock may not start to perform until the current worry over interest rates abates somewhat. 
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DON'T BUY
The tower stocks don't pay enough of a dividend yield. Hold onto your cash.
DON'T BUY
When rates go higher, people sell CCI. Also, there's been churn at CCI.
BUY
Allan Tong’s Discover Picks Crown Castle which pays a higher 3.43% dividend, but trades at a higher 51.3x PE. In fact, CCI is worth a look as well, having beaten its last four quarters with its next earnings to be released on July 20. Both valuations may water the eys of some investors. Fair enough. However, AMT and CCI enjoy a duopoly. Read Oligopolies, duopolies, 3 telcos stocks examined for our full analysis.
BUY
If you like 5G and increase in data consumption, you're better to buy the tower operators like AMT, CCI, and SBAC. All 3 are down on the year, but growth profile is robust.
PAST TOP PICK
(A Top Pick Oct 27/20, Up 17%) US tower operator. A bit disappointed in revenue and margin growth. Will still benefit from 5G. He now prefers AMT and others. Still owns, but not accumulating.
BUY
A totally US cell tower REIT, unlike AMT. They paused their dividend for a year to build its network in dense areas, and has now slashed its capital spending. The last quarter disappointed. Pays a 2.8% dividend, more than AMT, though CCI's stock performance lags AMT.
BUY
Activist investor Elliott Management got involved with CCI last year. CCI shrugged off EM's proposed changes, but CCI appears to have taken their advice by making changes in the board suite, improving operations, raised dividend, added a new executive and building fiber in small-cell sites that provide more coverage in densely populated areas. CCI is up 8% in the last 6 months, so things have worked out for CCI, because EM's ideas contributed.
BUY
As a 5G play A great growth opportunity in 5G, especially in millimetre-wave 5G, a frequency that allows very high internet speeds, which is hard to build out because of interference issues. For this, you need towers to host the equipment and small cells (many towers in dense urban areas). CCI is in a great spot, because they have the tower as well as small-cell business. Recently, CCI reported a strong quarter and raised their guidance. CCI is at the start of a long capex cycle for 5G and will benefit deeply.
RISKY

In the EV space, CCX is less risky than Tesla. CC is a SPAC partnering with Lucid Motors and together they could be the next Tesla. CCX imploded last night, but it's now an opportunity.

RISKY

He likes the CEO, and considers this a decent spec stock.

BUY
An essential 5G play This REIT holds cell towers. CC has spent many years and billion dollars to build the 5G network in densely populated areas. This bet hasn't paid off yet, so the stock has been a dog, but this could change overnight with the rollout of 5G. Pays a 3.4% yield, so it's attracted income investors.
BUY
Owns cell towers. With 5G coming, great opportunities to build a lot of sites. Like a utility. Expensive, because of the incredible growth. Could be volatile. A good buy and hold for 5 years.