Sectors & IndustriesTechnologyCommunication Equipment

Best Communication Equipment Stocks to Buy Now (2023)

Top communication equipment stocks in 2023 ranked by overall Zen Score. See the best communication equipment stocks to buy now, according to analyst forecasts for the communication equipment industry.

According to Zen Score, the 3 best communication equipment stocks to buy right now are:

Ericsson Lm Telephone Co (NASDAQ:ERIC) is the top communication equipment stock with a Zen Score of 63, which is 30 points higher than the communication equipment industry average of 33. It passed 23 out of 38 due diligence checks and has strong fundamentals. Ericsson Lm Telephone Co has seen its stock lose -23.23% over the past year, overperforming other communication equipment stocks by 5 percentage points.

Ericsson Lm Telephone Co has an average 1 year price target of $7.78, an upside of 59.1% from Ericsson Lm Telephone Co's current stock price of $4.89.

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

Cisco (NASDAQ:CSCO) is the second best communication equipment stock with a Zen Score of 60, which is 27 points higher than the communication equipment industry average of 33. It passed 22 out of 38 due diligence checks and has strong fundamentals. Cisco has seen its stock lose -2.7% over the past year, overperforming other communication equipment stocks by 26 percentage points.

Cisco has an average 1 year price target of $56.97, an upside of 17.75% from Cisco's current stock price of $48.38.

Cisco stock has a consensus Buy recommendation according to Wall Street analysts. Of the 16 analysts covering Cisco, 12.5% have issued a Strong Buy rating, 25% have issued a Buy, 56.25% have issued a hold, while 6.25% have issued a Sell rating, and 0% have issued a Strong Sell.

Clearone (NASDAQ:CLRO) is the third best communication equipment stock with a Zen Score of 59, which is 26 points higher than the communication equipment industry average of 33. It passed 21 out of 38 due diligence checks and has strong fundamentals. Clearone has seen its stock return 7.33% over the past year, overperforming other communication equipment stocks by 36 percentage points.

Out of 13 communication equipment stocks that have issued dividends in the past year, the 3 communication equipment stocks with the highest dividend yields are:

Clearone (NASDAQ:CLRO) has an annual dividend yield of 121.95%, which is 111 percentage points higher than the communication equipment industry average of 10.82%. Clearone's dividend payout is not stable, having dropped more than 10% one times in the last 10 years. Clearone's dividend has shown consistent growth over the last 10 years.

Clearone's dividend payout ratio of 113.6% indicates that its high dividend yield might not be sustainable for the long-term.

Tel (NASDAQ:PCTI) has an annual dividend yield of 9.57%, which is -1 percentage points lower than the communication equipment industry average of 10.82%. Tel's dividend payout is not stable, having dropped more than 10% one times in the last 10 years. Tel's dividend has shown consistent growth over the last 10 years.

Tel's dividend payout ratio of 300% indicates that its high dividend yield might not be sustainable for the long-term.

Ericsson Lm Telephone Co (NASDAQ:ERIC) has an annual dividend yield of 5.25%, which is -6 percentage points lower than the communication equipment industry average of 10.82%. Ericsson Lm Telephone Co's dividend payout is not stable, having dropped more than 10% five times in the last 10 years. Ericsson Lm Telephone Co's dividend has not shown consistent growth over the last 10 years.

Ericsson Lm Telephone Co's dividend payout ratio of 47.2% indicates that its high dividend yield is sustainable for the long-term.

Communication equipment stocks were down -0.15% in the last day, and up 0.61% over the last week. Applied Optoelectronics was the among the top losers in the communication equipment industry, dropping -11.07% yesterday.

Applied Optoelectronics shares are trading lower after the company announced a proposed private offering of $80 million of convertible senior notes due 2026.

Based on WallStreetZen's Valuation Score, the 3 most undervalued communication equipment stocks right now are:

Clearfield (NASDAQ:CLFD) is the most undervalued communication equipment stock based on WallStreetZen's Valuation Score. Clearfield has a valuation score of 100, which is 67 points higher than the communication equipment industry average of 33. It passed 7 out of 7 valuation due diligence checks.

Clearfield's stock has dropped -80.67% in the past year. It has underperformed other stocks in the communication equipment industry by -52 percentage points.

Clearone (NASDAQ:CLRO) is the second most undervalued communication equipment stock based on WallStreetZen's Valuation Score. Clearone has a valuation score of 100, which is 67 points higher than the communication equipment industry average of 33. It passed 7 out of 7 valuation due diligence checks.

Clearone's stock has gained 7.33% in the past year. It has overperformed other stocks in the communication equipment industry by 36 percentage points.

Ericsson Lm Telephone Co (NASDAQ:ERIC) is the third most undervalued communication equipment stock based on WallStreetZen's Valuation Score. Ericsson Lm Telephone Co has a valuation score of 100, which is 67 points higher than the communication equipment industry average of 33. It passed 7 out of 7 valuation due diligence checks.

Ericsson Lm Telephone Co's stock has dropped -23.23% in the past year. It has overperformed other stocks in the communication equipment industry by 5 percentage points.