October 16, 2012
Shares of SBA Communications (Nasdaq: SBAC ) jumped as much as 2.2% on Monday to set a fresh 52-week high. Crown Castle (NYSE: CCI ) took a 3.9% leap to reach yearly highs of its own. Determined to top its competitors, American Tower (NYSE: AMT ) surged 4.8%, and yes, that's another 52-week high.
Why in the world are these stodgy stocks jumping sky-high? These big winners own and manage networks of cell phone towers in North and South America. We're talking real-estate investments with a side order of long-term infrastructure installations on top. Be still, my beating heart!
But the tower operators actually have good reason to cheer today. Japanese telephony giant Softbank is preparing to pump some $20 billion into American laggard Sprint Nextel (NYSE: S ) , and that deal would pump this sector's cash flow veins full of adrenaline.
Sprint desperately wants to build an advanced 4G LTE network to compete with Verizon (NYSE: VZ ) and AT&T (NYSE: T ) , but has been held back by a lack of investable funds. High-speed networking partner Clearwire (Nasdaq: CLWR ) suffers from a very similar imbalance between desire to invest and the funds to make it happen. The Softbank deal would free up both companies to buy tower space again -- not to mention how it puts more pressure on the two market leaders to make their networks sparkle and shine.
The mobile revolution is still in its infancy, but with so many different companies, it can be daunting to know how to profit in the space. Fortunately, The Motley Fool has just released a free report on mobile named "The Next Trillion-Dollar Revolution" that tells you how. Inside the report, we not only describe why this seismic shift will dwarf any other technology revolution seen before it, but we also name the company at the forefront of the trend. Hundreds of thousands have requested access to previous reports, and you can access this new report today by clicking here -- it's free.