SBA Communications Corporation (SBAC)

FairStock Score: 75/100 — HIGH CONVICTION

Key Financials

AI Analysis

AI-generated, general educational analysis — not personal investment advice.

I look for durable, simple businesses with recurring revenue and honest numbers. SBA owns 46,328 towers and leases space to wireless carriers; that is infrastructure with high barriers to replication and sticky long-term contracts. The latest filed quarter — fiscal Q2 2026, the quarter ended 2026-06-30 — showed net income of $198.8M and diluted EPS of $1.87, and FY2025 filed net income was $1.1B on diluted EPS of $9.80, up from $749.5M and $6.94 in FY2024. That profit trajectory is strong, though the filed revenue lines are choppy and I would want FFO/AFFO, the right REIT measures, which are not in this data. At the 2026-10-26 close of $185.92, FairStock shows a P/E of 20.06, FCF yield of 5.3%, EV/EBITDA of 17.13, and dividend yield of 2.69%. The price looks fair, not bargain-bin. The balance sheet warrants caution: FairStock's Altman Z-score is -0.33 and Piotroski is 6/9, while D/E and P/B are unavailable. ROCE is 8.41%, modest for a capital-intensive tower REIT. FairStock labels it a FAST GROWER based on 112.9% annual profit growth and 13.7% revenue growth over five years, but I discount any classification when revenue reporting is noisy. Depreciation distorts REIT EPS, so FFO/AFFO would be the right measures; they are not in the data. Overall, a good asset with recurring cash flow and a reasonable price; the missing FFO/AFFO and leverage clarity keep me cautious.

In plain English: SBA owns cellphone towers and leases space on them to wireless carriers. The business looks strong: it earns high margins and generates plenty of cash, though debt and missing cash-flow details are worth watching. At $185.92, the price looks fair rather than cheap versus its earnings and cash generation.

The full AI analysis, bull and bear case and key monitorables are in FairStock Pro.

Data as of 2026-10-26 close · note generated 2026-10-28 · model deepseek-flash

Sources (SEC EDGAR): fiscal Q2 2026 10-Q (period ended 2026-06-30) · fiscal Q1 2026 10-Q (period ended 2026-03-31) · fiscal Q4 2025 10-K (period ended 2025-12-31) · fiscal Q3 2025 10-Q (period ended 2025-09-30) · FY2025 10-K (period ended 2025-12-31) · FY2024 10-K (period ended 2024-12-31) · FY2023 10-K (period ended 2023-12-31)

Fundamentals from company filings and market-data providers; prices are end-of-day, not real-time. AI-generated analysis is general and educational — not personal investment advice. Scoring methodology · Score test · Disclaimer