Cellnex Reports 6% Growth in 2022; Maintaining Our EUR 52 FVE

Narrow-moat Cellnex's fourth-quarter results were more or less a reiteration of what we already heard last quarter. Management remains committed to getting an investment-grade rating from Standard & Poor's while executing its organic business plan. Cellnex could also sell minority stakes in some of its subsidiaries to unlock hidden value and accelerate the investment-grade rating process. We believe this measure will have a neutral impact on shareholders, as it would raise cash and optically strengthen Cellnex’s balance sheet, but would also entitle any minority investors to dividend payments. We maintain our EUR 52 fair value estimate.