SBA Communications Corporation (SBAC), a real estate investment trust (REIT), owns and operates wireless infrastructure, including towers, rooftops, and small cells, across the Americas and Africa. Headquartered in Boca Raton, Florida, it supports carriers in expanding network capacity for mobile services. The company has a market capitalization of $20.04 billion, which classifies it as a “large-cap” stock.
Its shares reached a 52-week low of $177.49 on Feb. 6, but are up 5.7% from that level. An earnings miss and a subdued guidance amid carrier consolidation and cautious telecom spending have weighed on SBAC’s stock. Over the past three months, the stock has dropped 1.3%. On the other hand, the broader Nasdaq Composite ($NASX) index is down 3.2% over the same period. Therefore, SBAC has modestly outperformed the broader index over this period.
However, over a longer period, this outperformance does not last. Over the past 52 weeks, the stock has dropped 14%, while the Nasdaq index is up 26%. SBAC’s stock is down 5.8% over the past six months, while the broader index is up marginally. The company’s shares have traded below their 200-day moving average since late August 2025 and are currently hovering near their 50-day moving average.
On Feb. 26, SBAC announced its fourth-quarter results for fiscal 2025, which missed analysts’ expectations. The company’s total revenues increased 3.7% year-over-year (YOY) to $719.58 million, while its quarterly AFFO dropped from $3.47 per share to $3.19 per share.
SBAC expects its 2026 revenue to be in the $2.82 billion to $2.86 billion range, while its AFFO per share is expected to be between $11.84 and $12.29. The company also declared a quarterly dividend of $1.25 per share (yielding 2.67% at current prices), reflecting an increase of approximately 13% over the fourth-quarter dividend.
We compare SBAC’s performance with that of another specialty REIT, American Tower Corporation (AMT), which has declined 12.4% over the past 52 weeks and 5.2% over the past six months. Therefore, AMT has been a slight outperformer over these periods.
Wall Street analysts are moderately bullish on SBAC’s stock. The stock has a consensus rating of “Moderate Buy” from the 21 analysts covering it. The mean price target of $224.47 implies a 19.6% upside from current levels. The Street-high price target of $280 indicates a 49.2% upside.
On the date of publication, Anushka Dutta did not have (either directly or indirectly) positions in any of the securities mentioned in this article. All information and data in this article is solely for informational purposes. This article was originally published on Barchart.com
