For nearly 5 years now, 5G wireless has been creeping into our network systems. Not even the corona pandemic scare could derail the expansion of the new networks – the perceived advantages are too many, too deep, to deny. For the average customer, 5G will bring far faster mobile download times, far lower latency, and consequent higher performance from wireless devices. For the tech world, 5G will enable the full exploitation of new advances in automation, mechanization, and remote operations. From autonomous vehicles to IoT to remote surgeries, 5G promises to revolutionize the way we interact with the world through digital media.
It’s not an easy ride, though. 2022 promises to see an explosion in 5G networks, but the expansion will require a world of hard work. 5G may be a major advance over older wireless tech, but the advance comes at a cost. The cells are shorter ranged, and full coverage will require a denser tower network by an order of magnitude.
That buildout, as it happens, will bring plenty of opportunities to investors. From the companies that put up the towers to those that provide the hardware to those that offer the networking service – and with the overlap among those, and other, categories – investors will have no shortage of stocks that stand to benefit from 5G’s increasing momentum.
Using the data tools from TipRanks, we’ve pulled up the details on two stocks that are well positioned to gain from 5G’s expansion in the coming year. Let’s dive in, and add some commentary from the Wall Street analysts for color.
T-Mobile US (TMUS)
First up is T-Mobile, the second-largest wireless service provider in the US. The company boasts over 106 million subscribers – almost one-third of the total US population – as of the third quarter 2021. T-Mobile also operates the largest 5G wireless network in the US, with its ultra-capacity 5G service covering over 200 million people in the US. The company reached this coverage milestone in November of last year, a few ahead of its schedule.
The ultra-capacity network is only part of…