SBA Communications Q3 revenue misses analyst expectations

Overview

• US wireless tower operator's Q3 revenue declined and missed analyst expectations

• Adjusted FFO per share fell 3% yr/yr to $3.19

• Company repurchased 1.7 mln shares and sold all towers in Chile and Ecuador

Outlook

• SBA Communications lowers full-year 2026 total revenue outlook to $2.83 bln-$2.86 bln

• Company now expects 2026 AFFO per share of $12.15-$12.37

• Outlook reflects negative impact from Chile and Ecuador tower sales, reducing 2026 revenue by $10 mln

Result Drivers

• DOMESTIC CHURN AND DECLINES - Co attributed lower domestic site leasing revenue to customer churn and consolidation

• SOUTH AMERICA EXIT - Co said sale of towers in Chile and Ecuador reduced site leasing revenue and tower cash flow

Company press release:

Key Details

Analyst Coverage

• The current average analyst rating on the shares is "buy" and the breakdown of recommendations is 13 "strong buy" or "buy", 9 "hold" and no "sell" or "strong sell"

• The average consensus recommendation for the specialized reits peer group is "buy"

• Wall Street's median 12-month price target for SBA Communications Corp is $229.50, about 22.6% above its October 30 closing price of $187.15

• The stock recently traded at 23 times the next 12-month earnings vs. a P/E of 22 three months ago

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(This story was created using Reuters automation and AI based on LSEG and company data. It was checked and edited by a Reuters journalist prior to publication.)