Momentum Stock Watch: Communications Sales & Leasing, Inc. (CSAL)

Company Profile:

Communications Sales & Leasing, Inc. (CS&L) is engaged in the ownership, acquisition and leasing of communication distribution systems. The Company holds the fiber and copper networks and other real estate (the Distribution Systems) and a small consumer competitive local exchange carrier (CLEC) business (the Consumer CLEC Business). The Company’s leasing activities consists of leasing back to Windstream Holdings, Inc., the Distribution Systems through a triple-net master lease agreement (the Master Lease). The Company also expands its portfolio by acquiring other real property assets within or outside of the communications infrastructure industry for lease to third-parties. The company is based in Little Rock, Arkansas.

Recent News:

Communications Sales & Leasing, Inc.reported revenue was $173.6 million in 3Q15, a rise of 34.9% when compared to revenue of $128.7 million in 2Q15. Revenue from Rents and Consumer CLEC (competitive local exchange carrier) rose by 34.5% and 45.9%, respectively, in 3Q15. Its net income and EPS (earnings per share) rose to $9.4 million and $0.06 per share, respectively, in 3Q15 compared to net income of $8.3 million and EPS of $0.05 per share in 2Q15.

On Nov. 06, 2015, Communications Sales & Leasing, Inc. announced that its Board of Directors declared a quarterly cash dividend of $0.60 per share, payable on January 15, 2016 to stockholders of record on December 31, 2015.


Fundamental Analysis:

Ninestocks analyzes several different financial aspects: Growth, Profitability, solvency and efficiency.

Growth – Measures the growth of both the company’s income statement and cash flow.


Profitability – Measures the historical price movement of the stock.


Solvency – Measures the solvency of the company based on several ratios.


Efficiency – Measures the strength and historic growth of a company’s return on invested capital.



CSAL’s strengths can be seen in its strong growth, robust profitability and great efficiency. Technical indicators signal the bullish signs, as there is a bullish cross inStochastic Oscillator. RSI is increasing to 48.14, which is in bull territory. We rateCommunications Sales & Leasing, Inc. (CSAL) a STRONG BUY.






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