Sectors & Industries TechnologyCommunication Equipment
Best Communication Equipment Stocks to Buy Now (2026)
Top communication equipment stocks in 2026 ranked by overall Zen Rating. "A" Rated stocks have returned an average of +32.52% per year, and are the best communication equipment stocks to buy now. Learn More.

Industry: Communication Equipment

Overview Zen Rating Price Value Growth Financials Momentum Sentiment Forecast Dividends Due Diligence

Communication Equipment is Zen Rated B and is the 34th ranked industry out of 146 stock market industries

Ticker	Company	DD Score	Valuation Score	Financials Score	Forecast Score	Performance Score	Dividends Score
KN	KNOWLES CORP	42	29	86	33	20	–
DGII	DIGI INTERNATIONAL INC	36	29	43	33	40	–
CRNT	CERAGON NETWORKS LTD	20	14	57	0	10	–
EXTR	EXTREME NETWORKS INC	36	0	57	67	20	–
AUDC	AUDIOCODES LTD	44	71	57	33	20	40

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Use Due Diligence Score to quickly analyze stock fundamentals, even if you don't have a finance background. We run time-tested due diligence checks inspired by legendary investors like Warren Buffett, and score each company based on how many they pass/fail.

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Communication Equipment Stocks FAQ

What are the best communication equipment stocks to buy right now in May 2026?

According to Zen Ratings, our proprietary rating system that evaluates 115 factors proven to drive growth in stocks and assigns each stock in our system an overall letter grade as well as 7 individual Component Grades for Value, Growth, Momentum, Sentiment, Safety, Financials, and proprietary AI algorithms, the 3 best communication equipment stocks to buy right now are:

1. Knowles (NYSE:KN)

Knowles (NYSE:KN) is the #1 top communication equipment stock out of 54 with a Zen Rating of A. Stocks with a rating of A have had an average return of +32.52% per year. Learn more.

The Component Grade breakdown for Knowles (NYSE:KN) is: Value: C, Growth: B, Momentum: B, Sentiment: B, Safety: C, Financials: B, and AI: C.

Knowles (NYSE:KN) has a Due Diligence Score of 42, which is 10 points higher than the communication equipment industry average of 32.

KN passed 13 out of 33 due diligence checks and has strong fundamentals. Knowles has seen its stock return 130.36% over the past year, overperforming other communication equipment stocks by 13 percentage points.

Knowles has an average 1 year price target of $39.00, an upside of 1.99% from Knowles's current stock price of $38.24.

Knowles stock has a consensus Buy recommendation according to Wall Street analysts. Of the 1 analyst covering Knowles, 0% have issued a Strong Buy rating, 100% have issued a Buy, 0% have issued a hold, while 0% have issued a Sell rating, and 0% have issued a Strong Sell.

2. Digi International (NASDAQ:DGII)

Digi International (NASDAQ:DGII) is the #2 top communication equipment stock out of 54 with a Zen Rating of A. Stocks with a rating of A have had an average return of +32.52% per year. Learn more.

The Component Grade breakdown for Digi International (NASDAQ:DGII) is: Value: C, Growth: B, Momentum: B, Sentiment: C, Safety: B, Financials: C, and AI: C.

Digi International (NASDAQ:DGII) has a Due Diligence Score of 36, which is 4 points higher than the communication equipment industry average of 32.

DGII passed 12 out of 33 due diligence checks and has average fundamentals. Digi International has seen its stock return 108.25% over the past year, underperforming other communication equipment stocks by -9 percentage points.

Digi International has an average 1 year price target of $69.00, an upside of 0.86% from Digi International's current stock price of $68.41.

Digi International stock has a consensus Buy recommendation according to Wall Street analysts. Of the 2 analysts covering Digi International, 50% have issued a Strong Buy rating, 0% have issued a Buy, 50% have issued a hold, while 0% have issued a Sell rating, and 0% have issued a Strong Sell.

3. Ceragon Networks (NASDAQ:CRNT)

Ceragon Networks (NASDAQ:CRNT) is the #3 top communication equipment stock out of 54 with a Zen Rating of A. Stocks with a rating of A have had an average return of +32.52% per year. Learn more.

The Component Grade breakdown for Ceragon Networks (NASDAQ:CRNT) is: Value: B, Growth: B, Momentum: C, Sentiment: C, Safety: C, Financials: C, and AI: C.

Ceragon Networks (NASDAQ:CRNT) has a Due Diligence Score of 20, which is -12 points lower than the communication equipment industry average of 32. Although this number is below the industry average, our proven quant model rates CRNT as a "A".

CRNT passed 6 out of 33 due diligence checks and has weak fundamentals. Ceragon Networks has seen its stock return 17.23% over the past year, underperforming other communication equipment stocks by -100 percentage points.

Ceragon Networks has an average 1 year price target of $3.00, an upside of 7.53% from Ceragon Networks's current stock price of $2.79.

Ceragon Networks stock has a consensus Buy recommendation according to Wall Street analysts. Of the 1 analyst covering Ceragon Networks, 0% have issued a Strong Buy rating, 100% have issued a Buy, 0% have issued a hold, while 0% have issued a Sell rating, and 0% have issued a Strong Sell.

What are the communication equipment stocks with highest dividends?

Out of 11 communication equipment stocks that have issued dividends in the past year, the 3 communication equipment stocks with the highest dividend yields are:

1. Vistance Networks (NASDAQ:VISN)

Vistance Networks (NASDAQ:VISN) has an annual dividend yield of 157.85%, which is 142 percentage points higher than the communication equipment industry average of 16%.

Vistance Networks's dividend payout ratio of 64.5% indicates that its high dividend yield is sustainable for the long-term.

2. Ituran Location & Control (NASDAQ:ITRN)

Ituran Location & Control (NASDAQ:ITRN) has an annual dividend yield of 4.89%, which is -11 percentage points lower than the communication equipment industry average of 16%. Ituran Location & Control's dividend payout is not stable, having dropped more than 10% two times in the last 10 years. Ituran Location & Control's dividend has shown consistent growth over the last 10 years.

Ituran Location & Control's dividend payout ratio of 99% indicates that its high dividend yield might not be sustainable for the long-term.

3. Audiocodes (NASDAQ:AUDC)

Audiocodes (NASDAQ:AUDC) has an annual dividend yield of 4.41%, which is -12 percentage points lower than the communication equipment industry average of 16%. Audiocodes's dividend payout is not stable, having dropped more than 10% one times in the last 10 years. Audiocodes's dividend has not shown consistent growth over the last 10 years.

Audiocodes's dividend payout ratio of 160% indicates that its high dividend yield might not be sustainable for the long-term.

Why are communication equipment stocks up?

Communication equipment stocks were up 0.91% in the last day, and up 7.56% over the last week. Gilat Satellite Networks was the among the top gainers in the communication equipment industry, gaining 13.29% yesterday.

Shares of space-related companies are trading higher amid continued strength related to the SpaceX IPO prospectus and last week's launch of Starship V3.

What are the most undervalued communication equipment stocks?

Based on the Valuation rating, one of the 7 components of a stocks overall Zen Ratings grade, which evaluates factors including estimated earnings yield, earnings before interest and taxes/enterprise value, cash flow yield, free cash flow to price, and price-to-earnings growth (PEG ratio), the 3 most undervalued communication equipment stocks right now are:

1. Audiocodes (NASDAQ:AUDC)

Audiocodes (NASDAQ:AUDC) is the most undervalued communication equipment stock based on its Valuation Rating of A. Valuation is one of 7 Component Grades used to calculate the overall Zen Rating.

Audiocodes has a valuation score of 71, which is 51 points higher than the communication equipment industry average of 20. It passed 5 out of 7 valuation due diligence checks.

Audiocodes's stock has dropped -3.2% in the past year. It has underperformed other stocks in the communication equipment industry by -121 percentage points.

2. Belden (NYSE:BDC)

Belden (NYSE:BDC) is the second most undervalued communication equipment stock based on its Valuation Rating of A. Valuation is one of 7 Component Grades used to calculate the overall Zen Rating.

Belden has a valuation score of 57, which is 37 points higher than the communication equipment industry average of 20. It passed 4 out of 7 valuation due diligence checks.

Belden's stock has dropped -0.52% in the past year. It has underperformed other stocks in the communication equipment industry by -118 percentage points.

3. Aviat Networks (NASDAQ:AVNW)

Aviat Networks (NASDAQ:AVNW) is the third most undervalued communication equipment stock based on its Valuation Rating of A. Valuation is one of 7 Component Grades used to calculate the overall Zen Rating.

Aviat Networks has a valuation score of 57, which is 37 points higher than the communication equipment industry average of 20. It passed 4 out of 7 valuation due diligence checks.

Aviat Networks's stock has dropped -15.62% in the past year. It has underperformed other stocks in the communication equipment industry by -133 percentage points.

Are communication equipment stocks a good buy now?

55.56% of communication equipment stocks rated by analysts are a strong buy right now. On average, analysts expect communication equipment stocks to rise by 2.7% over the next year.

8.89% of communication equipment stocks have a Zen Rating of A (Strong Buy), 31.11% of communication equipment stocks are rated B (Buy), 46.67% are rated C (Hold), 8.89% are rated D (Sell), and 4.44% are rated F (Strong Sell).

What is the average p/e ratio of the communication equipment industry?

The average P/E ratio of the communication equipment industry is 53.41x.

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Information is provided 'as-is' and solely for informational purposes and is not advice. WallStreetZen does not bear any responsibility for any losses or damage that may occur as a result of reliance on this data.