It's Tme to Buy the Towers - Analyst (AMT) (CCI) (SBAC)

Analysts at Goldman Sachs said due to recent weaknesses and accelerating wireless demand, now is the time to Buy tower stocks American Tower Corp. (NYSE: AMT), Crown Castle International Corp. (NYSE: CCI) and SBA Communications Corp. (Nasdaq: SBAC).

Goldman raised its forecast for total wireless data capacity, saying smartphone penetration and data usage was too low. In addition, other layers of demand from tablets have surfaced.

"We now believe wireless traffic grows at a 48% 10-year CAGR. Adjusting for network efficiencies introduced from generational upgrades this still implies a 29% CAGR," the firm said.

Goldman notes towers stocks have underperformed in the early in part of 2011 on carrier consolidation and technology enhancements. Goldman adds that towers stocks saw a similar pattern in the 2010 on efficiency worries only to rally back. The firm said concerns are now built in and "now is the time to invest."

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