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Crown Castle (CCI) Gains But Lags Market: What You Should Know

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Crown Castle (CCI - Free Report) closed at $100.82 in the latest trading session, marking a +0.22% move from the prior day. The stock lagged the S&P 500's daily gain of 0.38%. At the same time, the Dow added 0.11%, and the tech-heavy Nasdaq gained 0.54%.

Coming into today, shares of the operator of wireless communications towers had lost 7.07% in the past month. In that same time, the Finance sector lost 2.21%, while the S&P 500 lost 1.68%.

Investors will be hoping for strength from Crown Castle as it approaches its next earnings release. On that day, Crown Castle is projected to report earnings of $1.80 per share, which would represent a year-over-year decline of 2.7%. Meanwhile, our latest consensus estimate is calling for revenue of $1.72 billion, down 1.63% from the prior-year quarter.

For the full year, our Zacks Consensus Estimates are projecting earnings of $7.56 per share and revenue of $7.05 billion, which would represent changes of +2.44% and +0.87%, respectively, from the prior year.

It is also important to note the recent changes to analyst estimates for Crown Castle. These recent revisions tend to reflect the evolving nature of short-term business trends. With this in mind, we can consider positive estimate revisions a sign of optimism about the company's business outlook.

Our research shows that these estimate changes are directly correlated with near-term stock prices. 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.

Ranging from #1 (Strong Buy) to #5 (Strong Sell), the Zacks Rank system has a proven, outside-audited track record of outperformance, with #1 stocks returning an average of +25% annually since 1988. The Zacks Consensus EPS estimate has moved 0.03% higher within the past month. Crown Castle is holding a Zacks Rank of #4 (Sell) right now.

In terms of valuation, Crown Castle is currently trading at a Forward P/E ratio of 13.31. This represents a premium compared to its industry's average Forward P/E of 11.07.

The REIT and Equity Trust - Other industry is part of the Finance sector. This group has a Zacks Industry Rank of 199, putting it in the bottom 22% of all 250+ industries.

The Zacks Industry Rank gauges the strength of our individual 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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