Sectors & IndustriesCommunication Services

Best Communication Service Stocks to Buy Now (2026)

Top communication service stocks in 2026 ranked by overall Due Diligence Score. See the best communication service stocks to buy now, according to analyst forecasts for the communication services sector.

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 stocks to buy right now are:

Ooma (NYSE:OOMA) is the #1 top communication service stock out of 244 with a Zen Rating of A. Stocks with a rating of A have had an average return of +28.5% per year. Learn more.

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

Ooma (NYSE:OOMA) has a Due Diligence Score of 44, which is 16 points higher than the communication service sector average of 28. It passed 15 out of 33 due diligence checks and has strong fundamentals. Ooma has seen its stock return 79.18% over the past year, overperforming other communication service stocks by 132 percentage points.

Ooma has an average 1 year price target of $24.67, an upside of 8.14% from Ooma's current stock price of $22.81.

Ooma stock has a consensus Strong Buy recommendation according to Wall Street analysts. Of the 3 analysts covering Ooma, 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.

Cinemark Holdings (NYSE:CNK) is the #2 top communication service stock out of 244 with a Zen Rating of A. Stocks with a rating of A have had an average return of +28.5% per year. Learn more.

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

Cinemark Holdings (NYSE:CNK) has a Due Diligence Score of 27, which is -1 points lower than the communication service sector average of 28. Although this number is below the industry average, our proven quant model rates CNK as a "A".It passed 11 out of 38 due diligence checks and has average fundamentals. Cinemark Holdings has seen its stock return 22.12% over the past year, overperforming other communication service stocks by 75 percentage points.

Cinemark Holdings has an average 1 year price target of $37.67, an upside of 8.15% from Cinemark Holdings's current stock price of $34.83.

Cinemark Holdings stock has a consensus Buy recommendation according to Wall Street analysts. Of the 9 analysts covering Cinemark Holdings, 11.11% have issued a Strong Buy rating, 33.33% have issued a Buy, 55.56% have issued a Hold, while 0% have issued a Sell rating, and 0% have issued a Strong Sell.

Nexxen International (NASDAQ:NEXN) is the #3 top communication service stock out of 244 with a Zen Rating of A. Stocks with a rating of A have had an average return of +28.5% per year. Learn more.

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

Nexxen International (NASDAQ:NEXN) has a Due Diligence Score of 40, which is 12 points higher than the communication service sector average of 28. It passed 12 out of 33 due diligence checks and has average fundamentals. Nexxen International has seen its stock lose -3.01% over the past year, overperforming other communication service stocks by 50 percentage points.

Nexxen International has an average 1 year price target of $13.00, an upside of 38.89% from Nexxen International's current stock price of $9.36.

Nexxen International stock has a consensus Strong Buy recommendation according to Wall Street analysts. Of the 8 analysts covering Nexxen International, 37.5% have issued a Strong Buy rating, 62.5% have issued a Buy, 0% have issued a Hold, while 0% have issued a Sell rating, and 0% have issued a Strong Sell.

Out of 58 communication service stocks that have issued dividends in the past year, the 3 communication service stocks with the highest dividend yields are:

Shutterstock (NYSE:SSTK) has an annual dividend yield of 19.96%, which is 16 percentage points higher than the communication service sector average of 4.28%. Shutterstock's dividend payout is not stable, having dropped more than 10% one times in the last 10 years. Shutterstock's dividend has not shown consistent growth over the last 10 years.

Shutterstock's dividend payout ratio of -24.3% indicates that its high dividend yield might not be sustainable for the long-term.

Sound Group (NASDAQ:SOGP) has an annual dividend yield of 19.06%, which is 15 percentage points higher than the communication service sector average of 4.28%.

Sound Group's dividend payout ratio of 33.6% indicates that its high dividend yield is sustainable for the long-term.

Townsquare Media (NYSE:TSQ) has an annual dividend yield of 15.41%, which is 11 percentage points higher than the communication service sector average of 4.28%. Townsquare Media's dividend payout is stable, having never dropped by more than 10% in the last 10 years. Townsquare Media's dividend has shown consistent growth over the last 10 years.

Townsquare Media's dividend payout ratio of -27.9% indicates that its high dividend yield might not be sustainable for the long-term.

Communication service stocks were up 1.24% in the last day, and up 1.58% over the last week. Vs Media Holdings was the among the top gainers in the communication services sector, gaining 21.5% yesterday.

Shares of communications services are trading higher after AI executives from firms including Anthropic, OpenAI and SpaceXAI signaled that the industry's growth may have to be slowed, which may limit competition in content creation, advertising sales and other areas. The sector's cash flow from ads and subscription revenue may also be attractive to investors amid elevated bond yields, inflation fears and interest rate expectations.

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 service stocks right now are:

Doubledown Interactive Co (NASDAQ:DDI) is the most undervalued communication service stock based on its Valuation Rating of A. Valuation is one of 7 Component Grades used to calculate the overall Zen Rating.

Doubledown Interactive Co has a valuation score of 71, which is 46 points higher than the communication service sector average of 25. It passed 5 out of 7 valuation due diligence checks.

Doubledown Interactive Co's stock has gained 34.9% in the past year. It has overperformed other stocks in the communication service sector by 88 percentage points.

Nerdwallet (NASDAQ:NRDS) is the second most undervalued communication service stock based on its Valuation Rating of A. Valuation is one of 7 Component Grades used to calculate the overall Zen Rating.

Nerdwallet has a valuation score of 43, which is 18 points higher than the communication service sector average of 25. It passed 3 out of 7 valuation due diligence checks.

Nerdwallet's stock has dropped -14.1% in the past year. It has overperformed other stocks in the communication service sector by 39 percentage points.

Yelp (NYSE:YELP) is the third most undervalued communication service stock based on its Valuation Rating of A. Valuation is one of 7 Component Grades used to calculate the overall Zen Rating.

Yelp has a valuation score of 43, which is 18 points higher than the communication service sector average of 25. It passed 3 out of 7 valuation due diligence checks.

Yelp's stock has dropped -30.65% in the past year. It has overperformed other stocks in the communication service sector by 22 percentage points.

39.26% of communication service stocks rated by analysts are a strong buy right now. On average, analysts expect communication service stocks to rise by 23.1% over the next year.

4.55% of communication service stocks have a Zen Rating of A (Strong Buy), 15.34% of communication service stocks are rated B (Buy), 60.8% are rated C (Hold), 15.34% are rated D (Sell), and 3.98% are rated F (Strong Sell).