Telecommunication services stocks make up for 11% of S&P 500 index, now representing a combination of new media and old media, which furthermore created GCIS Code 50.
While changes are being brought to the sector of telecommunication services and social media and streaming services joining the sector, some of the sub-sectors are subjected to regulations, which might play a major role in the performance of these stocks.
Facebook (FB) for instance, already dipped to showcase the drift in the market trends. Here are some of the top telecommunication services stocks to buy and hold in 2019.
Best Telecommunication Stocks: Netflix (NFLX)
Netflix is most certainly one of the better-performing stocks in the sector of telecommunication services, representing new media sub-industry.
Netflix has a market cap of 161.1 billion dollars with PE forward ratio set at 57.2. Out of 44 analysts following performance of NFLX stocks, a general consensus states that Netflix stock is rated as “buy”, with votes of 28 analysts.
Ten analysts believe Netflix is ranked as “hold”, 3 analysts recommended “overweight”, and 3 more are suggesting “sell”.
The global count of Netflix customers is 139 million, while the company has a great growth potential.
Best Telecommunication Stocks: Facebook (FB)
Facebook might have shown signs of weakness due to the bearish trend in the sub-category of social media stocks, mostly due to regulative pendulum awaiting social media companies.
However, Facebook has a massive potential in still bringing profit returns with 2.2 billion users solely on Facebook platform and yet continuing with growth. The company has a market cap of 462 billion dollars, with PE forward ratio set at 18.2.
Out of 49 polled analysts, 34 consider that FB stock is a “buy”, and as Facebook is adapting to the US and EU privacy legislation, issues with data selling fiasco may be brought to an end.
Best Telecommunication Stocks: TripAdvisor (TRIP)
Although smaller than both Facebook and Netflix, by market cap and revenues, TripAdvisor is looking at increasing revenues, more growth potential, and judging by its performance – a bright future in the market.
TripAdvisor might also retrieve its dominance in the hotel business, but for now it represents the main center of travel information and individual reviews.
Revenues grew by 8% to touch 346 million dollars in the fourth quarter of 2018, while 20 out of 27 polled analysts consider that TRIP stocks should be ranked as “hold”.