Alexander Waters, an analyst from Bank of America Securities, has initiated a new Hold rating on Crown Castle (CCI).
Alexander Waters has given his Hold rating due to a combination of factors surrounding Crown Castle’s recent strategic decisions and financial performance. The company recently concluded a strategic review by selling its fiber solutions business for $8.5 billion, which has been factored into its 2025 guidance by excluding contributions from this segment. This sale is expected to close in the first half of 2026, and the company is now focusing on its domestic tower operations.
Additionally, Crown Castle has adjusted its capital allocation strategy, including a significant dividend reduction and the announcement of a $3 billion share buyback program. While the company remains the only domestic-only tower operator, with anticipated organic growth and increased tower applications, these are primarily overlays rather than new installations. Waters has slightly lowered the price objective to $110, reflecting a premium valuation compared to the REIT sector, and is looking for further progress in the company’s strategic initiatives before considering a rating change.
According to TipRanks, Waters is a 3-star analyst with an average return of 5.6% and a 36.36% success rate.
In another report released on March 18, BMO Capital also maintained a Hold rating on the stock with a $108.00 price target.