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Top 5G stocks of 2020: discover the latest news, rumours, and deals

5G stocks
(Image credit: Future)
Complete guide to 5G

(Image credit: Future)

5G technology: how it works
4G vs 5G: how they compare
5G use cases: examples of 5G
5G Dangers: the fact and fiction
5G Internet: will it replace fibre
5G security: the full picture
5G speed: guide and tools
5G deals: get the best offers
5G phones: discover the best
5G networks: in the US and UK

On March 20th, as the coronavirus pandemic spread around the world, Goldman Sachs warned that the US GDP would shrink 29% by the end of the 2nd quarter of 2020, and that unemployment could skyrocket to at least 9%. 

The stock market saw huge dips, and 5G stocks were amongst those affected. However, since then, the market has started its recovery, and the picture for 5G still looks attractive to investors. 

The Covid-19 outbreak, and the need for many people to work remotely, and access the internet on the move, has highlighted the importance of 5G technology. And rather than sideline plans for 5G investment, some reports show that the pandemic has moved 5G up the priority list of many enterprises, and consumer use is also increasing.

5G stocks prices are on the up

The launch of 5G will affect a huge number of companies, from mobile networks, to healthcare and gaming. This will consequently boost the stock market, as 5G brings new opportunities and revenue streams for companies. 5G stock prices are likely to soar, and investors will be reaping the benefits as 5G continues to grow. 

However, politics, company acquisitions and the economy can all have a huge impact on the performance of these 5G stocks. What if consumers aren’t keen to make the move to 5G or the government places restrictions on certain companies? Thankfully, we are here to bring you all of the latest news on 5G stocks so you can keep an eye on the market.

5G stock info

(Image credit: Qualcomm)

Exchange: NASDAQ

Current price: $80.24 (£64.94)

Market cap: $87.8bn (£71bn)

Year high: $96.17 (£77.83)

Year low: $58 (£46.94)

P/E ratio: 23.18

Dividend yield: 3.33%

Hot 5G stock: Qualcomm

Qualcomm (NASDAQ: QCOM) is a company we’ve covered in the past, and it continues to perform well, posting strong revenue results, toward the top end of what it projected last quarter.

Qualcomm continues to release new chipsets for 5G phones, and doesn’t look like stopping anytime soon. In December 2019, Qualcomm launched the 765G – alongside the flagship Snapdragon 865 – which were Qualcomm’s first chipsets to feature integrated 5G modems. And earlier this month, Qualcomm released the Snapdragon 768G Mobile Platform, which it says will empower “smart, immersive gaming backed by next-level performance”. And the new chip could see a new batch of mid-range 5G phones, geared towards cloud gaming.

“Virtually all of our 5G Snapdragon design wins are using our RF front-end solutions for 5G sub 6 and/or millimeter wave, including design wins based on our second-generation solutions,” Qualcomm has said.

In the first quarter of 2020, the company’s QCT division reported revenue of $3.6 billion. And Qualcomm forecasts 1.75 billion to 1.85 billion device sales in 2020, which includes 175 million to 225 million 5G devices.

5G stock info

(Image credit: Apple)

Exchange: NASDAQ

Current price: $318.11 (£257.45)

Market cap: $1.38T (£1.11T)

Year high: $327.85 (£252.25)

Year low: $170.27 (£139.87)

P/E ratio: 24.95

Dividend yield: 1.04%  

Hot 5G stock: Apple

Apple (NASDAQ: AAPL) is expected to launch its 5G iPhone in 2020. And we expect the 5G iPhone to be the next generation of the iPhone 'Pro' series, so it stands to reason that the iPhone 12 Pro and the iPhone 12 Pro Max will both be 5G handsets.

We didn't originally think the standard iPhone 12 will be a 5G phone, but – according to the notrious Apple tipster Jon Prosser, of the Front Page Tech YouTube channel – both iPhone 12 models will include 5G at launch, even if it might be a different flavour. 

"Remember, even the base models this year for the iPhone 12 are getting 5G and OLED," Prosser explained in a recent YouTube video. "Although I'm being told that it's not millimeter wave 5G for the base models, but it's still 5G, just so Apple can say."

Apple stock has recovered well since Covid-19 broke, and with Samsung and Huawei dominating 5G handset sales in 2020, you can be sure that Apple will push 5G heavily when the new iPhones are launched, as it continues to be one of the most resilient tech stocks out there.

5G stock info

(Image credit: Ericsson)

 Exchange: NASDAQ

Current price: $85.50 (£69.19)

Market cap: $290.33bn (£234.97bn)

Year high: $86.76 (£70.21)

Year low: $82.78 (£68)

P/E ratio: 139.29

Dividend yield: 1.74% 

Hot 5G stock: Ericsson

Ericsson (NASDAQ:ERIC) remains bullish, with its CEO Borje Ekholm recently saying that he believed that no one was ahead of his company when it comes to 5G. 

Ekholm was keen to dispel claims that Huawei was leading the way on 5G, and said, “I find it’s a bit difficult to say that we’re behind when I see no one ahead of us.”

He acknowledged that the tensions and accusations surrounding Huawei are “creating uncertainty in the market”, but he claimed that the “notion that we get a free ride” if Huawei is out of the picture isn’t true. He went on to say that Ericsson’s equipment was actually the first to be used in both North America and Europe. 

And when China Mobile recently announced the results of its latest round of contract negotiations for the manufacture of 230,000 5G base stations, with $4.6bn of an estimated $5.2bn going to Chinese companies, Ericsson walked away with 11.5% of the contracts, whilst Nokia – which previously secured around 6% of business in China Mobile’s first phase of its 5G roll out – got nothing. 

5G stock info

(Image credit: NEC)

Exchange: TOKYO

Current price: JPY 4,805 (£36.29)

Market cap: JPY 1.26tn (£9.51bn)

Year high: JPY 4,865 (£36.73)

Year low: JPY 4,770 (£36.02)

P/E ratio: 12.56

Dividend yield: 1.45% 

BREAKING:  NEC announces 5G ‘smart pole’ deal

NEC Corp. (TOKYO: 6701) has broad portfolio of technology products, and its historical performance has been strong, making NEC Corp is a good investment for people looking for a longer-term investment.

And NEC Corp. continues to innovate, announcing this week that it has partnered with Japan’s Tokyo Metropolitan Government to install and trial 5G smart poles within the city, enabling hundreds of small cells, which can then be deployed in areas where it is impractical or impossible to install full-size 5G towers. 

NEC’s Smart Street Lighting uses LED technology and centralized control to reduce energy usage and costs. As well as delivering 5G, these poles also act as a sensor network infrastructure that efficiently collects data about the city. And Sumitomo Corporation intends to install two types of NEC smart poles in the Nishi-shinjuku area of Tokyo by the end of June 2020.  

This diversification into 5G products, and NEC's close ties with both private and public operators in Japan, will make it one to watch over the next 12 months, as Japan begins its 5G roll-out.

The Complete Guide to 5G - free 23-page PDF download.

(Image credit: Future)

Dan is a British journalist with 20 years of experience in the design and tech sectors, producing content for the likes of Microsoft, Adobe, Dell and The Sunday Times. In 2012 he helped launch the world's number one design blog, Creative Bloq. Dan is now editor-in-chief at 5Gradar, where he oversees news, insight and reviews, providing an invaluable resource for anyone looking to stay up-to-date with the key issues facing 5G.