We maintain our BUY rating for CTR as we expect the company to continue its strong EBITDA growth, which will be spearheaded by the infrastructure leasing (towerco) segment. 

We cut our target price (TP) by 7% mainly due to (1) a 40-bp increase in our WACC assumption and 14% cut in our target EV/EBITDA multiple, in addition to (2) a 17% cut in our aggregate 2023F-2026F EBITDA for CTR’s towerco segment. 

We expect a 22% CAGR in CTR’s EBITDA (vs previously 31%) in 2022-2025F — led by a 42% CAGR in towerco’s EBITDA (vs previously 48%). We forecast towerco's EBITDA contribution will jump from 22% in 2021 to 42% in 2025F (vs previously 41%).

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