"Tower Talk" AlphaWise Survey – Momentum Building into 2H26

Research evidence excerpt

"Tower Talk" AlphaWise Survey – Momentum Building into 2H26

Foundation

July 20, 2026 04:01 AM GMT

Morgan Stanley & Co. LLCMCommunications Infrastructure | North America Cameron McVeigh, CFA

Equity Analyst

"Tower Talk" AlphaWise Survey Cameron.McVeigh@morganstanley.comGaro K Amerkanian +1 212 761-4209

Research Associate

Garo.K.Amerkanian@morganstanley.com +1 212 761-1207

– Momentum Building into Patrick A Ho

Patrick.Ho@morganstanley.com +1 212 761-2764

2H26 Sean Diffley, CFA

Sean.DIFFLEY@morganstanley.com +1 212 761-5868

US Tower multiples remain near historic trough levels after a

Communications Infrastructure

period of underperformance, and we continue to expect 2026 to North America

be the trough in organic domestic growth. Our 2Q26 survey Industry View In-Line

supports this view, and points to increased leasing activity in

2H26 while tower multiples seek a floor.M

Key Takeaways

2Q26 Tower Talk results show potential for a step-up in leasing activity in 2H26,

consistent with our expectations of momentum into 2H26 and '27.

Respondents expect the greatest positive change in leasing activity at Verizon,

reflecting potential upside from recent spectrum license acquisitions.

Net leasing activity among private tower owners showed a modest sequential

decrease in 2Q26, consistent with expectations.

US Towers offer attractive risk/reward as P/AFFO valuation levels near decade

lows as market sentiment drags. We see trough growth in '26, remain OW AMT.

CCI reports AMC 7/22 with first read into organic tenant billings growth across

the public tower names.

Investment Implications: We remain constructive on US Towers, and see an

attractive risk/reward on US Tower equities, with preferred name OW AMT. We

continue to expect the domestic leasing environment to trough in 2026 with