Apr 07, 2021 (StockMarket.com via COMTEX) -- 4 Top Communication Stocks To Watch Today
Communication stocks have been on the rise in the stock market since the start of the global pandemic. They are companies that focus on services such as video games, cell phone services, and internet providers. The sector also includes companies that are major creators and producers of movies and television shows. Companies like T-Mobile US Inc ( NASDAQ: TMUS ) and Facebook Inc ( NASDAQ: FB ) have been trending in line with recent technological advancements. The way we could reach a person or any information in an instance would not be possible without advancement in this industry.
The communication industry has always been pivotal in our daily lives. This is made even more apparent when we were struck by COVID-19. People were forced to work from home and this is mostly made possible due to the arrays of communication services available in this industry. Also, entertainment and streaming services were boosted significantly as there are more users. Hence, this directly affects the industry and many companies are benefiting from it. With all that in mind, are these the top communication stocks to buy right now?
Communication Stocks To Watch Right Now
Snap Inc ( NYSE: SNAP )
Netflix Inc ( NASDAQ: NFLX )
Roku Inc ( NASDAQ: ROKU )
Zoom Video Communications Inc ( NASDAQ: ZM )
For starters, we will be looking at Snap Inc. Snap is well known among millennials for its popular camera app. Essentially, people are able to communicate through short videos and images via the camera application. It also provides Spectacles, an eyewear product that connects with Snapchat and captures video from a human perspective; and advertising products, including AR and Snap ads. Snap stated in March that it can generate 50% revenue growth for multiple years. The company has to be extremely confident in its company's near future to say that. The danger here is Snap could be setting itself up if it falls short of those projections. But with millions of users utilizing camera services in their social media and unless something new comes to light, this trend is likely here to stay.
Speaking of something new, Snap itself is planning to launch an augmented reality (AR) version of its Spectacles smart glasses and a drone. The previous version requires a smartphone camera to enjoy the AR experience. The new products indicate Snap's commitment to the hardware part of the glasses. Therefore, if fully AR-enabled, this is major progress for the product.
SNAP stock has risen by over 16% in the past 3 months. Analysts are optimistic about the quarterly figures where the firm is expected to report its next earnings report on April 20. So with all these exciting prospects ahead, would you consider buying SNAP stock now?
Next, we have streaming giant Netflix Inc. The company is a provider of subscription streaming entertainment services. Netflix has paid streaming memberships in over 190 countries, It allows members to watch a variety of television series, documentaries, and feature films across a wide variety of genres and languages. Hence, someone you know likely is one of their subscribers.
Financially, the company is as impressive as you would expect. Revenues increased by 24% to $25 billion for the fiscal year ended December 31, 2020. Also, net income before extraordinary items increased by 54% to $2.67 billion. With news of Netflix testing a crackdown on password sharing, this could encourage more users to sign up. Considering all these, would you invest in NFLX stock?