Headquartered in Boca Raton, Florida, SBA Communications Corporation (SBAC) operates as an independent owner and manager of wireless communications infrastructure, including towers, buildings, rooftops, distributed antenna systems, and small cells. With a market capitalization of approximately $23.7 billion, it commands over 17,464 sites across the U.S. and its territories. Its International Site Leasing segment further extends its footprint, overseeing more than 22,285 towers in 13 international markets.
Over the past 52 weeks, SBAC stock has inched up 1.9%, underperforming the S&P 500 Index’s ($SPX) 14.3% surge during the same stretch. Yet, year-to-date (YTD), the stock has outpaced the SPX, rising 9.8% compared with the index’s 8.7% gain.
Within the real estate sector, SBAC stock has surpassed the S&P 500 Real Estate Sector SPDR (XLRE), which experienced a marginal drop over the past year. Even on a YTD basis, SBAC has clearly outshone XLRE’s 2.9% growth. This signals resilience in the face of sector headwinds.
The stock’s steadiness received further support from macroeconomic signals, as Federal Reserve minutes from the July 29-30 meeting pointed to a measured approach on interest rates, emphasizing a data-driven, wait-and-see stance amid lingering inflation concerns. The clarity on policy expectations eased borrowing pressures and provided a timely boost, lifting SBAC stock 1.6% on Aug. 20.
For the fiscal year 2025, ending in December, analysts forecast a 9.7% decline in AFFO, estimating $12.07 per share, on a diluted basis. Nevertheless, the company has consistently outperformed analyst estimates over the last four quarters.
Among 20 analysts covering SBAC, the consensus rating stands at "Moderate Buy," consisting of nine "Strong Buy" ratings, one "Moderate Buy," and 10 “Hold” recommendations.
The current analyst sentiment remains largely unchanged from three months ago.
Raymond James Financial, Inc. (RJF) analyst Ric Prentiss has lowered SBAC’s price target to $265 from $268 but maintained a “Strong Buy” rating, citing the stock’s appeal among non-cyclical, cash-generating tower businesses capable of navigating tariffs and economic challenges while sustaining long-term growth.
Meanwhile, on Aug. 5, JMP Securities raised its price target to $280 from $270 and kept a “Market Outperform” rating, pointing to stronger-than-expected year-end prospects and continued robust leasing activity.
The mean price target of $255 represents a 14% premium to SBAC’s current price levels. Meanwhile, the Street-high price target of $285 suggests a potential upside of 27.4%.
