American Tower Corporation (AMT) vs SBA Communications Corporation (SBAC)

American Tower Corporation and SBA Communications Corporation are both Reit Specialty companies. American Tower Corporation is the larger, with a market value of $78.0B against $17.6B — 4.4× the size. SBA Communications Corporation trades at the lower P/E: 17.8× against 23.2×. American Tower Corporation grew revenue faster over the last twelve months: 6.65% against 5.36%. SBA Communications Corporation has the higher net margin (34.5% vs 31.1%) and the higher return on invested capital (11.0% vs 6.73%). Both pay a dividend; American Tower Corporation yields more (3.31% vs 1.59%). Across the 22 metrics below, SBA Communications Corporation leads on 15 and American Tower Corporation on 7.

Valuation

Metric AMT SBAC Reit Specialty median
P/E 23.20 17.85 26.27
P/S 7.19 6.14 5.86
P/B 7.67 n/m 2.19
Price to free cash flow 19.87 13.09 14.62
EV/EBITDA 16.22 17.55 16.22
EV/Sales 10.42 10.45 8.93
Earnings yield 4.31% 5.60% 3.43%
Free cash flow yield 5.03% 7.64% 5.37%

Profitability

Metric AMT SBAC Reit Specialty median
Gross margin 73.77% 75.18% 67.43%
Operating margin 44.80% 47.65% 21.38%
Net margin 31.08% 34.51% 16.14%
Free cash flow margin 36.19% 46.89% 31.07%
Return on equity 32.81% (20.71%) 4.76%
Return on assets 5.35% 8.80% 3.29%
Return on invested capital 6.73% 11.04% 4.19%

Growth

Metric AMT SBAC Reit Specialty median
Revenue growth (TTM) 6.65% 5.36% 5.36%
EPS growth (last fiscal year) 12.03% 41.21% —
Revenue growth, 5-year CAGR 5.77% 6.21% 6.70%
Net income growth, 5-year CAGR 8.39% 112.87% 0.00%

Health

Metric AMT SBAC Reit Specialty median
Debt to equity 3.63 (2.75) 0.62
Current ratio 0.52 0.17 0.70
Net debt to EBITDA 5.13 7.52 4.47

Dividend

Metric AMT SBAC Reit Specialty median
Dividend yield 3.31% 1.59% 3.88%
Payout ratio 3.00 0.67 1.14

Size

Metric AMT SBAC Reit Specialty median
Market cap 77.97b 17.62b 8.48b

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