Published on 3 Apr 2024 on Zacks via Yahoo Finance

3 Wireless Non-US Stocks Set to Ride on Positive Industry Trends

The Zacks Wireless Non-US industry appears well-poised to benefit from healthy demand trends stemming from the increasing propensity to stay connected at the forefront of the digital edge. However, high capital expenditure for infrastructure upgrades, margin erosion, supply-chain disruptions due to geopolitical conflicts, raging wars, and high customer inventory levels have dented the industry’s profitability.Nevertheless, TIM S.A. TIMB, SK Telecom Co., Ltd. SKM and KT Corporation KT are likely to capitalize on the solid long-term growth opportunities and rising demand for scalable infrastructure for seamless wireless and fiber connectivity, with the wide proliferation of IoT and accelerated 5G deployment.

Industry Description

The Zacks Wireless Non-US industry comprises mobile telecommunications and broadband service providers based on foreign shores. These companies primarily offer voice services, including local, domestic and international calls, roaming services, and prepaid and postpaid services. The firms provide value-added services, such as the IoT, comprising logistics and fleet management, and automotive and health solutions. They also offer content streaming, interactive applications, wireless security services and mobile payment solutions. Some industry players sell mobile handsets and accessories through dealer networks and offer co-billing services to other telecommunications service providers. The firms provide IT solutions, cable and satellite pay television subscriptions, as well as data services and hosting services, to residential and corporate clients.