5G is here. New networks are online and growing, and customers – individual consumers, institutional users and industrial applications – are using the new technology. The benefits of 5G are already known: faster connections, more efficient download and download features, reduced latency, greater security. 5G technology is essential to develop the full potential of autonomous vehicles and IoT projects. It remains to be seen how this will affect normal life. Some of Wall Street`s top analysts have taken the measure of the new network and its likely effects on related companies — and their stocks. Using the TipRanks database, we`ve tracked down the latest data on three stocks of this type that analysts have wiretapped for profits in the growing 5G environment. CommScope Holding (COMM) We start with CommScope, a hardware provider for network infrastructure. The company produces antennas for the installation of construction and tower facilities, base stations and outdoor wireless power. As a holding company, these CommScope products are produced and marketed by subsidiaries to customers around the world. The company announced last month a partnership with Nokia on a passive-active antenna platform and promised faster 5G deployment for customers. And earlier this month CommScope announced a contract with the City of Wyandotte, Michigan, for network installation, including 5G, and give the company access to more than 25,000 potential customers.CommScope reported $2.17 billion in third-quarter revenue, up 3 percent from the previous year.
The broadband segment grew by 20% over the previous year, and free cash flow reached $350 million. JPMorgan`s 5-star analyst Samik Chatterjee explains CommScope`s forward potential: “Our constructive vision of CommScope`s actions is driven by expectations of a better perspective for the outdoor wireless segment, able to take advantage of the ramp of 5G compaction efforts for wireless networks combined with sustainable cable/broadband network spending. We expect investments in the wire network to continue, with bandwidth requirements to support peak usage, in addition to a boost from initiatives such as RDOF and the recovery of satellite frequencies for 5G,” added the analyst. In line with these comments, Chatterjee considers the stock overweight (i.e. buy) and its price target of $18 indicates a 35% upward trend next year. (To see Chatterjee`s list, click here) Chatterjee is broadly in line with the rest of Wall Street, which has awarded slightly more buy-and-buy ratings than “Holds” over the past three months – and sees the stock rising about 19 percent over the next 12 months to reach a price target of $15.80. (See analysis of COMM shares on TipRanks) Crown Castle (CCI) The next action on our list, Crown Castle, acts as a real estate investment trust that owns and manages cellular network assets, including towers and chain sites. The company has more than 40,000 towers, 70,000 small operational cells and 80,000 miles of fiber optics. The Crown Castle network is part of the common infrastructure that supports the wireless communication system in the United States. The development of 5G networks has been good for Crown Castle, and the company has seen growth and expansion. In November, Crown Castle signed an agreement with DISH to expand its 5G presence.