SBAC’s Performance In 2H10 To Be Driven By New Tower Demand

Analysts at Benchmark maintain their "buy" rating on SBA Communications Corp SBAC. The target price for SBAC is set to $40. According to Benchmark, SBA Communications reported solid results for Q2. Benchmark says. “SBA meaningfully accelerated its stock buyback, purchasing 2.6 million shares (2% of diluted shares) in 2Q10 at an average price of $33.60. 2Q10 tower revenue was $132 million, as expected. New tower demand remains steady with a modest uptick recently that should drive a slightly stronger 2H10. 2010 guidance was modestly increased due to acquisitions. Organic revenue growth remains 9%.” “LightSquared plans to build a nationwide wireless wholesale network beginning 2011… At maturity, the LightSquared network could add about $0.34 per share to SBA’s FCF on $1.55 this year (including discretionary capex),” the analysts say. More Analyst Ratings here.