The coronavirus pandemic has created a wave of demand for fast and reliable communications. Employers wanted to provide workers with access to resources and expect quick results. The content consumer didn’t want to miss a second because of the quality of the connection. This demand for high-quality Internet services has been the driving force behind the development of the 5G communications segment.
Building fifth-generation mobile networks requires significant financial investment, but promises equally high returns. So it’s worth taking a closer look at 5G technology stocks that are poised to deliver sustained returns to their owners.
Corvo (QRVO)
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corbo (NASDAQ:QRVO) is involved in high-tech products ranging from IoT and defense to automobiles and smartphones. We specialize in microchips used in various devices. The company’s interests include the development of his 5G technology. It is predicted that by the end of 2024, about half of all Android smartphones will be able to use 5G. As such, we expect Qorvo and QRVO stocks to gain significant attention.
Fifty of the company’s facilities in North America, Asia Pacific and Europe continue to provide consumers with the latest products. As a result of hard work, the company’s revenue for the second quarter of 2024 approached $1.1 billion. Almost half of this amount was made up of apple (NASDAQ:AAPL) and samsung (OTCMKTS:SSNLF). And deliveries to these companies are only increasing.
Since October 2023, QRVO has demonstrated its ability to grow rapidly as one of the promising 5G technology stocks. An analysis of the company’s intrinsic value shows that it’s worth around $162, suggesting it’s a great time to get in.
Over the next two years, the company plans to increase its cash flow and increase its revenue by 49%. If the company’s expenses continue to be managed, investors could take advantage of the current undervaluation of assets to make significant profits.
With a market capitalization of approximately $10 billion and earnings per share exceeding analyst expectations, Qorvo is a very promising investment. The stock’s one-year low and high are $80.62 and $114.97, respectively. Analysts have revised QRVO upward over the past three months. Given that Qorvo has exceeded earnings estimates for his 20th consecutive quarter, investors can feel even more confident about incorporating this company’s stock into their portfolios.
Verizon Communications (VZ)
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5G and broadband verizon communications (New York Stock Exchange:VZ). The company’s performance over the past few months shows how true that is. In the third quarter of 2023, he had 400,000 new contracts, and the success of myPlan strengthened Verizon’s position.
It’s worth keeping an eye on the company’s results for the fourth quarter of 2023. According to this data, total revenue reached his $35.1 billion, which is similar to his fourth quarter of 2022. We are seeing an increase in operating income in both the business and consumer segments. In both cases the growth rate is close to 3%. Wireless service sales proved to be an important source of revenue for the company, growing to $19.4 billion.
The expansion of the customer base shows the company’s superiority over other providers in the industry and is consistent with its marketing campaign. This is evidenced by his 16.9% increase in postpaid phone charges, the highest result in the last four years. This means that Verizon can not only retain its current customers, but also attract customers from its competitors.
The company’s stock price has stuck with these improvements, increasing its value. VZ has soared from $30 in October to more than $42, making it an attractive option among 5G technology stocks. Verizon is able to attract investors not only because of the company’s performance, but also because of its competitive dividend. The dividend yield is approximately 6.35%, which is above the market average, attracting income-oriented investors to VZ.
T-Mobile US (TMUS)
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With 21.6 million prepaid users and 96.3 million customers, T-Mobile US (TMUS) is the largest wireless carrier in the United States. In line with changing times, the company is focusing on his 5G to maintain its position in the market. Its 5G network is the largest and fastest in the country.
Comparing the third quarter of 2023 and 2022, the company made a breakthrough in terms of net income, recording an unprecedented 322% growth, making T-Mobile US a standout among 5G technology stocks. . T-Mobile made $2.1 billion in revenue in one quarter. The stock price trend is the best indicator of the company’s success. T-Mobile posted earnings of $1.82 per share, surprising even experts who had predicted a decline in profitability.
FY2024 EBITDA is expected to increase by 9%, which is a significant achievement in the field of 5G technology stocks. But analysts expect this rate could rise even higher for several reasons. These include the expected bulk acquisition of TMUS and the outcome of the transaction with Deutsche Telekom. Softbank (OTCMKTS:SFTBY).
The acquisition of Sprint in 2020 expanded the company’s 5G spectrum. This gave it an advantage over other market participants, giving T-Mobile more ways to make money and forcing it to impact customer growth. The company predicts that the number of 5G fixed broadband subscribers will increase to 7-8 million by 2025.
On the date of publication, Julia Magas did not have (directly or indirectly) any positions in the securities mentioned in this article. The opinions expressed in this article are those of the writer and are influenced by InvestorPlace.com. Publishing guidelines.
