Anterix Inc. (ATEX) | Investment Case

1. Company Snapshot

1.a. Company Description

Anterix Inc.operates as a wireless communications company.The company focuses on commercializing its spectrum assets to enable the targeted utility and critical infrastructure customers to deploy private broadband networks, technologies, and solutions.

It holds licensed spectrum in the 900 MHz band with coverage throughout the United States, Alaska, Hawaii, and Puerto Rico.The company was formerly known as pdvWireless, Inc.and changed its name to Anterix Inc.

in August 2019.Anterix Inc.was incorporated in 1997 and is headquartered in Woodland Park, New Jersey.

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1.b. Last Insights on ATEX

Anterix Inc.'s recent performance was driven by the initiation of a strategic review with Morgan Stanley, which led to a surge in shares. The company's decision to explore strategic options suggests that management is open to exploring new opportunities to create value for shareholders. Additionally, the recent earnings release reported a loss of $0.46 per share, which was narrower than expected, indicating improving operational efficiency. However, revenue fell short of estimates.

1.c. Company Highlights

Last Price	20.44
Change Percentage	0.69%
Open	20.25
Previous Close	20.3
Market Cap ( Millions)	383
Volume	107325
Year High	42.91
Year Low	17.58
M A 50	20.49
M A 200	26.28

FCF Yield	-7.88%
Dividend Yield	0.00%
ROE	18.77%
Debt / Equity	2.82%
Net Debt / EBIDTA	344.63%
Price To Book	2.06
Price Earnings Ratio	12.98
Price To FCF	-12.69
Price To sales	64.59
EV / EBITDA	-32.95

2. Anterix's Q2 Fiscal 2026 Earnings: A Strong Foundation for Expansion

Anterix reported a loss per share of -$0.14, significantly better than the estimated -$0.65. The company's financial performance was marked by a total gain of $71 million, consisting of $60 million from exchanging narrowband to broadband licenses and $11 million from selling broadband licenses. Anterix had $39 million in cash and no debt, with approximately $114 million in contracted proceeds, and over $60 million projected to come in the fourth quarter. The company's strong balance sheet and light OpEx model position it for future growth.

Publication Date: Dec -02

                                    📋 Highlights
                                    CEO Milestone & Progress:
                                                Anterix's CEO, Scott Lang, celebrated a one-year anniversary, emphasizing foundational strengthening, customer relationship deepening, and expansion positioning.
Spectrum Asset Value:
                                                The company's spectrum is valued at 10x its $325 million cost basis, with 85% unmonetized assets estimated at $1.5–$4+ billion.
Financial Position:
                                                Q2 2026 reported $39 million in cash, $114 million in contracted proceeds, and $60 million in milestone/accelerated customer payments.
New Initiatives:
                                                TowerX and CatalyX programs target $1 billion in annual market opportunities, leveraging spectrum for critical infrastructure and private networks.
FCC Expansion & Balance Sheet:
                                                Anterix seeks to expand spectrum to 10 MHz with FCC approval, supported by a light OpEx model and $71 million gain from license transactions.

                                

Strategic Progress and New Initiatives

Anterix's CEO, Scott Lang, highlighted the company's progress over the past year, including strengthening its foundation, deepening customer relationships, and positioning for expansion. The company has launched two new initiatives: TowerX, a tower optimization and access program with Crown Castle, and CatalyX, a solution to fuel adoption of private networks. These opportunities represent an annual market opportunity of roughly $1 billion, and are expected to drive future growth.

Valuation and Growth Prospects

Anterix's spectrum asset value is estimated to be significantly higher than its current cost basis, with 85% of the spectrum yet to be monetized valued in the range of roughly $1.5 to over $4 billion. The company's valuation metrics, such as a Price-to-Book Ratio of 2.0, suggest that its strong balance sheet and strategic assets are not fully reflected in its current stock price. Analysts estimate next year's revenue growth at -3.8%, but the company's long-term high-margin cash flows and strategic spectrum asset position it for potential future growth.

Outlook and Conclusion

Anterix's CFO, Elena Marquez, emphasized that the company's value lies in its strategic spectrum asset and long-term high-margin cash flows, not solely in quarterly earnings. With a strong foundation in place, new initiatives launched, and a favorable outcome expected from the FCC, Anterix is well-positioned for future expansion and growth. The company's EV/EBITDA ratio of -31.94 and ROE of 18.77% also indicate a strong potential for future growth.

3. NewsRoom

ATEX Provides Corporate Update

Nov -27

Source: newsfilecorp.com

ATEX Provides Corporate Update

Nov -14

Source: newsfilecorp.com

Anterix Inc. (ATEX) Q2 2026 Earnings Call Transcript

Nov -13

Source: seekingalpha.com

Anterix (ATEX) Reports Q2 Loss, Tops Revenue Estimates

Nov -13

Source: zacks.com

Anterix Inc. Reports Second Quarter Fiscal Year 2026 Results

Nov -12

Source: globenewswire.com

Anterix Launches Groundbreaking Utility Tower Access Product with Crown Castle to Accelerate 900 MHz Private Network Deployments

Nov -12

Source: globenewswire.com

ATEX Announces Filing of Technical Report for Valeriano Project on Updated Mineral Resource Estimate

Nov -03

Source: newsfilecorp.com

Anterix Sets Second Quarter Fiscal 2026 Earnings Conference Call for Thursday, November 13, at 9:00 a.m. ET

Oct -28

Source: globenewswire.com

4. Business Breakdown

4.a. Revenues by Country

4.b. Revenues by Segment

5. Expected revenues mid-term growth (14.40%)

6. Segments

Narrowband Spectrum - Motorola

Expected Growth: 15.4%

Growing demand for reliable and secure connectivity in mission-critical industries, such as utilities, transportation, and public safety, drives the adoption of Narrowband Spectrum. Increasing investments in IoT and smart grid infrastructure also contribute to the growth.

900 MHz Broadband Spectrum - Ameren

Expected Growth: 15.4%

The 900 MHz broadband spectrum is ideal for IoT, smart grid, and critical infrastructure applications, driving growth. Low-band frequency advantages, increasing demand for reliable connectivity, and Anterix Inc.'s strategic acquisition from Ameren position the segment for significant expansion.

900 MHz Broadband Spectrum - Evergy

Expected Growth: 12.4%

The 900 MHz broadband spectrum is ideal for IoT, smart grid, and rural broadband applications, driving growth. Increasing demand for low-band frequency bands and Anterix Inc.'s strategic acquisition from Evergy will fuel market expansion.

7. Detailed Products

900 MHz Spectrum

Anterix offers a nationwide, low-band 900 MHz spectrum, ideal for wide-area, low-power IoT applications, such as smart cities, industrial IoT, and critical infrastructure.

Private LTE Networks

Anterix provides private LTE networks for mission-critical communications, offering secure, reliable, and high-performance connectivity for industries such as utilities, transportation, and public safety.

Edge Computing

Anterix offers edge computing solutions that enable real-time processing, analytics, and AI at the edge of the network, reducing latency and improving performance for IoT applications.

Network Services

Anterix provides network services, including network design, deployment, and management, to support the deployment of private LTE networks and IoT applications.

8. Anterix Inc.'s Porter Forces

Forces Ranking

Threat Of Substitutes

Anterix Inc. operates in a niche market with limited substitutes, but the threat of substitutes is still present due to the evolving nature of the wireless communication industry.

Bargaining Power Of Customers

Anterix Inc.'s customers are largely dependent on the company's services, giving them limited bargaining power.

Bargaining Power Of Suppliers

Anterix Inc. relies on a few key suppliers for its operations, giving them some bargaining power, but the company's size and reputation mitigate this threat.

Threat Of New Entrants

The wireless communication industry is highly competitive, and new entrants can easily disrupt the market, posing a significant threat to Anterix Inc.'s market share.

Intensity Of Rivalry

The wireless communication industry is highly competitive, with many established players, leading to a high intensity of rivalry that Anterix Inc. must navigate.

9. SWOT Analysis

10. Capital Structure

10.a. Balance Sheet

10.b. Weighted Average Cost of capital

	Value
Debt Weight	2.52%
Debt Cost	3.95%
Equity Weight	97.48%
Equity Cost	7.28%
WACC	7.20%
Leverage	2.58%

11. Quality Control: Anterix Inc. passed 3 out of 9 key points

Strong Liquidity

Low Debt

Strong Interest Coverage

Healthy Cash Flow

Operating Inefficiency

Strong Return On Equity

Consistent Revenue Growth

Consistent Operating Cash Flow Growth

Margin Improvement

12.a Historical Valuation

12.b Price/Earnings Ratio

12.c Margin Valuation

12.d Peers Valuation

Peers Group Analysis

Ooma

A-Score: 4.5/10

Value: 4.9

Growth: 5.9

Quality: 5.2

Yield: 0.0

Momentum: 5.0

Volatility: 6.0

1-Year Total Return ->

Ribbon Communications

A-Score: 4.3/10

Value: 7.0

Growth: 3.9

Quality: 4.5

Yield: 0.0

Momentum: 7.0

Volatility: 3.7

1-Year Total Return ->

Globalstar

A-Score: 4.3/10

Value: 3.1

Growth: 7.3

Quality: 3.4

Yield: 0.0

Momentum: 10.0

Volatility: 2.0

1-Year Total Return ->

Anterix

A-Score: 4.3/10

Value: 6.2

Growth: 4.9

Quality: 8.8

Yield: 0.0

Momentum: 1.0

Volatility: 4.7

1-Year Total Return ->

Consolidated Communications Holdings

A-Score: 3.2/10

Value: 7.2

Growth: 0.7

Quality: 1.1

Yield: 0.0

Momentum: 5.0

Volatility: 5.0

1-Year Total Return ->

Gogo

A-Score: 2.9/10

Value: 2.0

Growth: 3.0

Quality: 4.0

Yield: 0.0

Momentum: 7.0

Volatility: 1.7

1-Year Total Return ->

Peers Metrics

12.e Scoring ^Insights

12.f DCF ^BETA

Parameters

Short Term Growth

19.80%

Short term Time

10.0

Long-Term Growth

2.00%

WACC

7.20%

Anterix Inc. - US03676C1009

1. Company Snapshot

1.a. Company Description

1.b. Last Insights on ATEX

1.c. Company Highlights

Expensive

Better Quality

Average Growth

Earnings Beats

Revenues Miss

Earnings Miss

Fairly Valued

Stable Momentum

Average Yield

Medium Volatility

Weak Momentum

Average Quality

Revenues Beats

2. Anterix's Q2 Fiscal 2026 Earnings: A Strong Foundation for Expansion

Strategic Progress and New Initiatives

Valuation and Growth Prospects

Outlook and Conclusion

3. NewsRoom

4. Business Breakdown

4.a. Revenues by Country

4.b. Revenues by Segment

5. Expected revenues mid-term growth (14.40%)

6. Segments

Narrowband Spectrum - Motorola

Expected Growth: 15.4%

900 MHz Broadband Spectrum - Ameren

Expected Growth: 15.4%

900 MHz Broadband Spectrum - Evergy

Expected Growth: 12.4%

7. Detailed Products

900 MHz Spectrum

Private LTE Networks

Edge Computing

Network Services

8. Anterix Inc.'s Porter Forces

Forces Ranking

Threat Of Substitutes

Bargaining Power Of Customers

Bargaining Power Of Suppliers

Threat Of New Entrants

Intensity Of Rivalry

9. SWOT Analysis

Strength

Weaknesses

Opportunities

Threats

10. Capital Structure

10.a. Balance Sheet

10.b. Weighted Average Cost of capital

11. Quality Control: Anterix Inc. passed 3 out of 9 key points

12.a Historical Valuation

12.b Price/Earnings Ratio

12.c Margin Valuation

12.d Peers Valuation

Peers Group Analysis

Peers Metrics

12.e Scoring Insights

12.f DCF BETA

Parameters

Short Term Growth

Short term Time

Long-Term Growth

WACC

Target Price

20.44$

Current Price

20.44$

Potential

-0.00%

Expected Cash-Flows

12.e Scoring ^Insights

12.f DCF ^BETA