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Why Crown Castle (CCI) Outpaced the Stock Market Today

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Crown Castle (CCI - Free Report) closed at $109.94 in the latest trading session, marking a +1.26% move from the prior day. This change outpaced the S&P 500's 0.52% gain on the day. Meanwhile, the Dow gained 0.12%, and the Nasdaq, a tech-heavy index, added 0.9%.

The operator of wireless communications towers's stock has climbed by 0.3% in the past month, falling short of the Finance sector's gain of 2.95% and the S&P 500's gain of 3.85%.

Investors will be eagerly watching for the performance of Crown Castle in its upcoming earnings disclosure. In that report, analysts expect Crown Castle to post earnings of $1.71 per share. This would mark a year-over-year decline of 10.47%. Meanwhile, the latest consensus estimate predicts the revenue to be $1.63 billion, indicating an 8.14% decrease compared to the same quarter of the previous year.

For the annual period, the Zacks Consensus Estimates anticipate earnings of $6.94 per share and a revenue of $6.6 billion, signifying shifts of -8.08% and -5.43%, respectively, from the last year.

Investors should also take note of any recent adjustments to analyst estimates for Crown Castle. Such recent modifications usually signify the changing landscape of near-term business trends. As a result, we can interpret positive estimate revisions as a good sign for the company's business outlook.

Our research reveals that these estimate alterations are directly linked with the stock price performance in the near future. To capitalize on this, we've crafted the Zacks Rank, a unique model that incorporates these estimate changes and offers a practical rating system.

The Zacks Rank system ranges from #1 (Strong Buy) to #5 (Strong Sell). It has a remarkable, outside-audited track record of success, with #1 stocks delivering an average annual return of +25% since 1988. Over the past month, there's been a 0.02% rise in the Zacks Consensus EPS estimate. Crown Castle currently has a Zacks Rank of #3 (Hold).

In the context of valuation, Crown Castle is at present trading with a Forward P/E ratio of 15.64. This represents a premium compared to its industry's average Forward P/E of 10.77.

Investors should also note that CCI has a PEG ratio of 2.74 right now. Comparable to the widely accepted P/E ratio, the PEG ratio also accounts for the company's projected earnings growth. As of the close of trade yesterday, the REIT and Equity Trust - Other industry held an average PEG ratio of 2.34.

The REIT and Equity Trust - Other industry is part of the Finance sector. With its current Zacks Industry Rank of 94, this industry ranks in the top 38% of all industries, numbering over 250.

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.

Remember to apply to follow these and more stock-moving metrics during the upcoming trading sessions.

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