SBA Communications Corporation (NASDAQ: SBAC) stock fell -3.55% on Monday to $286.27 against a previous-day closing price of $296.81. With 1.08 million shares changed hands, the volume of the stock remained heavier than its average volume of 0.71 million shares. During the session, the REIT – Specialty company that operates in wider Real Estate sector, reached to the highest price of $295.29 whereas the lowest price it dropped to was $285.27. The 52-week range on SBAC shows that it touched its highest point at $379.99 and its lowest point at $236.20 during that stretch. It currently has a 1-year price target of $333.50. With its current market cap of 30.66 billion, SBAC has annualized dividend of $2.84 while the current yield stands at 0.99%. Beta for the stock currently stands at 0.48.
Price Performance and Earnings:
Stock performance is one of the indicators that investors use to determine whether they will profit from a stock. The price performance of SBAC was down-trending over the past week, with a drop of -6.62%, but this was up by 2.84% over a month. Three-month performance surged to 15.45% while six-month performance fell -10.77%. The stock lost -9.64% in the past year, while it has gained 2.13% so far this year. A look at the trailing 12-month EPS for SBAC yields 3.71 with Next year EPS estimates of 4.58. For the next quarter, that number is 1.09. This implies an EPS growth rate of 906.10% for this year and 4.47% for next year. EPS is expected to grow by 31.43% annually over the next five years; however, over the past five years, the company experienced an annual growth rate of 28.50%.
Float and Shares Shorts:
At present, 107.92 million SBAC shares are outstanding with a float of 106.59 million shares on hand for trading. On Oct 13, 2022, short shares totaled 1.26 million, which was 1.17% higher than short shares on Sep 14, 2022. In addition to Mr. Steven E. Bernstein II as the firm’s Founder & Independent Chairman, Mr. Jeffrey A. Stoops serves as its CEO, Pres & Director.
Through their ownership of 97.60% of SBAC’s outstanding shares, institutional investors have majority control over the company. Other institutions hold 60.32% of SBAC, in contrast to 36.00% held by mutual funds. Shares owned by individuals account for 1.19%. As the largest shareholder in SBAC with 15.68% of the stake, The Vanguard Group, Inc. holds 16,927,027 shares worth 16,927,027. A second-largest stockholder of SBAC, BlackRock Fund Advisors, holds 6,326,707 shares, controlling over 5.86% of the firm’s shares. SSgA Funds Management, Inc. is the third largest shareholder in SBAC, holding 4,962,012 shares or 4.60% stake. With a 4.46% stake in SBAC, the Vanguard Real Estate Index Fund is the largest stakeholder. A total of 4,815,437 shares are owned by the mutual fund manager. The Vanguard Total Stock Market Index, which owns about 3.04% of SBAC stock, is the second-largest Mutual Fund holder. It holds 3,281,949 shares valued at 919.96 million. Vanguard Mid Cap Index Fund holds 2.33% of the stake in SBAC, owning 2,513,283 shares worth 704.5 million.
Reading analyst opinions is an effective way to decide where to invest, and there are several opinions available for SBAC since 20 analysts follow the stock currently. There are 13 analysts who recommend BUY ratings, while 1 suggest SELL ratings. Of the remaining analysts, 5 believe that the stock is worth HOLDING, 1 give it an OVERWEIGHT rating, and 0 thinks that it’s UNDERWEIGHT. In the same way, a target price assigned to a stock can also reveal much about its potential. With SBAC analysts setting a high price target of $365.00 and a low target of $284.00, the average target price over the next 12 months is $330.94. Based on these targets, SBAC could surge 27.5% to reach the target high and fall by -0.79% to reach the target low. Reaching the average price target will result in a growth of 15.6% from current levels.
EPS: Estimates vs Actual
It is also common to use earnings estimates to evaluate a firm’s growth potential and to determine trading strategy. SBAC will report FY 2022 earnings on 02/27/2024. Analysts have provided yearly estimates in a range of $4.61 being high and $4.11 being low. For SBAC, this leads to a yearly average estimate of $4.37. The earnings surprise of a firm occurs when the actual results change from the consensus earnings estimate. SBA Communications Corporation surprised analysts by -$0.04 when it reported $0.91 EPS against a consensus estimate of $0.95. The surprise factor in the prior quarter was -$0.26. Based on analyst estimates, the high estimate for the next quarter is $1.34 and the low estimate is $0.91. The average estimate for the next quarter is thus $1.12.
Dividends & Yield:
In terms of dividends, SBAC has a current ratio of $2.84, which is $2.84 over the trailing 12-months. Dividend yield is another indicator that appeals to many investors, and SBAC currently yields $0.99. In the past year, SBAC’s dividend yield has been $0.99. Accordingly, SBAC has a current buyback yield of $2.36. This was $2.36 for the TTM, and it was $2.84 for the past five years.
Summary of Insider Activity:
Insiders traded SBAC stock several times over the past three months with 0 Buys and 0 Sells. In these transactions, 0 shares were bought while 0 shares were sold. The number of buy transactions has increased to 61 while that of sell transactions has risen to 39 over the past year. The total number of shares bought during that period was 82,559 while 170,405 shares were sold.