UPDATE: Stifel Nicolaus Upgrades SBA Communications to Buy on Continuing Momentum

Stifel Nicolaus raised its rating on SBA Communications (NASDAQ: SBAC) from Hold to Buy and established a price target of $70 per share.

Stifel Nicolaus commented, "We believe there are signs of continued momentum with respect to overall demand trends, which we believe was reflected in a solid beat and raise from Crown Castle yesterday. We believe SBA represents an attractive way to invest within the tower group as we believe the company is positioned to deliver industry-leading AFFO growth over the next several years driven by organic same-tower growth augmented by additional development/acquisition activities. Although valuation is not inexpensive, in our opinion, we believe it is attractive when considering the growth outlook for SBA."

SBA Communications closed at $57.89 on Thursday.