(AD) Array Digital - Overview
Sector: Communication Services | Industry: Telecom Services | Exchange: NYSE (USA) | Market Cap: 4.445m USD | Total Return: 0.3% in 12m
Avg Turnover: 7.94M
Qual. Beats: 1
Rev. Trend: -74.5%
Warnings
Altman Z'' 0.28 < 1.0 - financial distress zone
Below Avwap Earnings
Tailwinds
No distinct edge detected
Array Digital Infrastructure, Inc. (NYSE: AD) is a Chicago-based provider of shared wireless communications infrastructure, operating 4,400 cell towers across the United States. Formerly known as United States Cellular Corporation, the company rebranded in August 2025 following its pivot toward a specialized infrastructure model. It primarily generates revenue by leasing vertical space on its towers to wireless carriers, government agencies, and internet service providers to support 5G deployment and broadband connectivity.
The tower industry typically operates on long-term lease agreements with built-in rent escalators, providing a predictable recurring revenue stream. As a subsidiary of Telephone and Data Systems, Inc., Array Digital Infrastructure functions within the capital-intensive wireless telecommunications sector, where high barriers to entry are maintained by zoning regulations and the physical necessity of localized hardware. Investors may find it useful to review the latest valuation metrics for AD on ValueRay.
Beyond core leasing, the firm provides ancillary services to its tenants, facilitating the technical integration of 5G technologies. The company’s infrastructure serves as a critical backbone for both municipal networks and commercial wireless traffic, positioning it as a key utility-like player in the domestic digital landscape.
- 5G network expansion drives organic leasing growth across 4,400 towers
- Carrier consolidation reduces long-term tenant demand and rental revenue
- High interest rates increase debt servicing costs for infrastructure development
- Federal spectrum auctions influence wireless carrier capital expenditure cycles
- Master lease agreements with major carriers secure long-term predictable cash flows
| Net Income: 450.4m TTM > 0 and > 6% of Revenue |
| FCF/TA: 0.02 > 0.02 and ΔFCF/TA -1.04 > 1.0 |
| NWC/Revenue: 0.79% < 20% (prev 15.25%; Δ -14.47% < -1%) |
| CFO/TA 0.02 > 3% & CFO 64.7m > Net Income 450.4m |
| Net Debt (1.48b) to EBITDA (351.7m): 4.20 < 3 |
| Current Ratio: 1.03 > 1.5 & < 3 |
| Outstanding Shares: last quarter (86.5m) vs 12m ago -1.72% < -2% |
| Gross Margin: 54.04% > 18% (prev 0.57%; Δ 5.35k% > 0.5%) |
| Asset Turnover: 15.01% > 50% (prev 35.80%; Δ -20.79% > 0%) |
| Interest Coverage Ratio: 2.08 > 6 (EBITDA TTM 351.7m / Interest Expense TTM 73.0m) |
| A: 0.00 (Total Current Assets 274.1m - Total Current Liabilities 265.6m) / Total Assets 3.96b |
| B: 0.01 (Retained Earnings 59.3m / Total Assets 3.96b) |
| C: 0.02 (EBIT TTM 151.9m / Avg Total Assets 7.16b) |
| D: 0.07 (Book Value of Equity 147.3m / Total Liabilities 2.10b) |
| Altman-Z'' = 0.28 = B |
| DSRI: 0.05 (Receivables 13.3m/925.0m, Revenue 1.08b/3.71b) |
| GMI: 1.06 (GM 54.04% / 57.26%) |
| AQI: 1.30 (AQ_t 0.71 / AQ_t-1 0.55) |
| SGI: 0.29 (Revenue 1.08b / 3.71b) |
| TATA: 0.10 (NI 450.4m - CFO 64.7m) / TA 3.96b) |
| Beneish M = -3.98 (Cap -4..+1) = AAA |
As of May 25, 2026, the stock is trading at USD 50.67 with a total of 247,983 shares traded.
Over the past week, the price has changed by -0.41%,
over one month by -11.11%,
over three months by -9.76% and
over the past year by +0.25%.
Array Digital has no consensus analysts rating.
P/E Trailing = 12.9521
P/E Forward = 8.0321
P/S = 23.6445
P/B = 2.3911
P/EG = 1.8598
Revenue TTM = 1.08b USD
EBIT TTM = 151.9m USD
EBITDA TTM = 351.7m USD
Long Term Debt = 668.5m USD (from longTermDebt, last quarter)
Short Term Debt = 21.7m USD (from shortTermDebt, last quarter)
Debt = 1.73b USD (from shortLongTermDebtTotal, last quarter) + Leases 527.3m
Net Debt = 1.48b USD (calculated: Debt 1.73b - CCE 253.6m)
Enterprise Value = 5.92b USD (4.44b + Debt 1.73b - CCE 253.6m)
Interest Coverage Ratio = 2.08 (Ebit TTM 151.9m / Interest Expense TTM 73.0m)
EV/FCF = 63.23x (Enterprise Value 5.92b / FCF TTM 93.6m)
FCF Yield = 1.58% (FCF TTM 93.6m / Enterprise Value 5.92b)
FCF Margin = 8.71% (FCF TTM 93.6m / Revenue TTM 1.08b)
Net Margin = 41.88% (Net Income TTM 450.4m / Revenue TTM 1.08b)
Gross Margin = 54.04% ((Revenue TTM 1.08b - Cost of Revenue TTM 494.3m) / Revenue TTM)
Gross Margin QoQ = 34.22% (prev 41.61%)
Tobins Q-Ratio = 1.49 (Enterprise Value 5.92b / Total Assets 3.96b)
Interest Expense / Debt = 4.22% (Interest Expense 73.0m / Debt 1.73b)
Taxrate = 22.54% (52.4m / 232.4m)
NOPAT = 117.6m (EBIT 151.9m * (1 - 22.54%))
Current Ratio = 1.03 (Total Current Assets 274.1m / Total Current Liabilities 265.6m)
Debt / Equity = 0.93 (Debt 1.73b / totalStockholderEquity, last quarter 1.86b)
Debt / EBITDA = 4.20 (Net Debt 1.48b / EBITDA 351.7m)
Debt / FCF = 15.76 (Net Debt 1.48b / FCF TTM 93.6m)
Total Stockholder Equity = 2.89b (last 4 quarters mean from totalStockholderEquity)
RoA = 6.29% (Net Income 450.4m / Total Assets 3.96b)
RoE = 15.59% (Net Income TTM 450.4m / Total Stockholder Equity 2.89b)
RoCE = 4.27% (EBIT 151.9m / Capital Employed (Equity 2.89b + L.T.Debt 668.5m))
RoIC = 3.39% (NOPAT 117.6m / Invested Capital 3.47b)
WACC = 6.50% (E(4.44b)/V(6.17b) * Re(7.76%) + D(1.73b)/V(6.17b) * Rd(4.22%) * (1-Tc(0.23)))
Discount Rate = 7.76% (= CAPM, Blume Beta Adj.)
Shares (quarterly) Correlation: -48.99 | Cagr: -0.77%
[DCF] Terminal Value 73.10% ; FCFF base≈197.4m ; Y1≈173.1m ; Y5≈139.9m
[DCF] Fair Price = 14.40 (EV 2.24b - Net Debt 1.48b = Equity 769.3m / Shares 53.4m; r=8.35% [WACC [floored]]; 5y FCF grow -15.0% → 2.50% )
EPS Correlation: N/A | EPS CAGR: N/A | SUE: 1.84 | # QB: 1
Revenue Correlation: -74.55 | Revenue CAGR: -28.30% | SUE: N/A | # QB: 0
EPS current Quarter (2026-06-30): EPS=0.62 | Chg30d=-44.89% | Revisions=+20% | Analysts=2
EPS next Quarter (2026-09-30): EPS=0.15 | Chg30d=-83.24% | Revisions=+20% | Analysts=1
EPS current Year (2026-12-31): EPS=7.21 | Chg30d=+1.69% | Revisions=+20% | GrowthEPS=+192.2% | GrowthRev=+26.6%
EPS next Year (2027-12-31): EPS=0.42 | Chg30d=+1.19% | Revisions=-33% | GrowthEPS=-94.1% | GrowthRev=-2.8%
[Analyst] Revisions Ratio: -33%