Invezz is an independent platform with the goal of helping users achieve financial freedom. In order to fund our work, we partner with advertisers who may pay to be displayed in certain positions on certain pages, or may compensate us for referring users to their services. While our reviews and assessments of each product are independent and unbiased, the order in which brands are presented and the placement of offers may be impacted and some of the links on this page may be affiliate links from which we earn a commission. The order in which products and services appear on Invezz does not represent an endorsement from us, and please be aware that there may be other platforms available to you than the products and services that appear on our website. Read more about how we make money >
5 Best Communications Stocks to Buy for Q2 2025
In this guide
Trade your favourite markets with our top-rated broker, .
eToro is a multi-asset investment platform. The value of your investments may go up or down. Your capital is at risk.
Here our experts choose the best communications stocks on the market right now. Read on to find out what the best stocks are and then compare the best brokers to buy their shares with.
What are the top communications stocks to buy?
Copy link to sectionHere are our expert picks in the communications sector. Follow the links in the table to find up to date stock price information, or scroll down for more detail on why each company has been chosen.
| # | Stock ticker | Company name | Learn more |
|---|---|---|---|
| 1 | META | Meta | Learn more > |
| 2 | TMUS | T-Mobile US | Learn more > |
| 3 | SNAP | Snap | Learn more > |
| 4 | CMCSA | Comcast Corporation | Learn more > |
| 5 | PINS | Learn more > |
1. Facebook (NASDAQ: FB)
Copy link to section- Market Cap: $1.28 trillion
- 2023 Revenue: $134.9 billion
- Forward Revenue Growth: 21.6%
- P/E Ratio: 25
- Stock Price: $504
Meta Platforms is the biggest communication company in the world in terms of revenue and market cap. This value comes from the quality of assets it owns, which include platforms like Facebook, Instagram, and WhatsApp.
These assets have helped it to become the most profitable company and the second-biggest advertising firm globally after Google. Its annual revenue has grown to over $134 billion while its annual profits surged to over $40 billion.
Most notably, Meta Platforms has started paying a dividend, a move that it will continue for decades because of its strong cash generation and balance sheet. In the first quarter of 2024, the company had over $80 billion in cash.
Still, Meta Platforms faces several risks ahead. The most important one is that Facebook is no longer the most popular social media platform among young people. Also, it faces major lawsuits in the US and in Europe.
2. T-Mobile US (NASDAQ: TMUS)
Copy link to section- Market Cap: $205 billion
- 2023 Revenue: $79 billion
- Forward Revenue Growth: -0.7%
- P/E Ratio: 18
- Stock Price: $175
T-Mobile is one of the biggest communication companies in the United States with a market share of about 23%. The other bigger ones are firms like AT&T and Verizon. The company’s current version came from its merger with Sprint.
T-Mobile’s business is still gaining market share, thanks to its friendlier customer care and reputation among users. However, like other phone companies, its user growth has been almost stagnant since most people are no longer switching their plans.
T-Mobile is more profitable than its peers with gross margins of 63% and net profit margin of 11.1%. The only issue is that the company’s dividend yield of 1.11% is lower than AT&T’s and Verizon’s 6.7% and 6%. It has compensated that by having a better stock return.
The other issue is that the company has a mountain of debt, which stood at over $111 billion in 2024.
3. Snap (NYSE: SNAP)
Copy link to section- Market Cap: $25 billion
- 2023 Revenue: $4.6 billion
- Forward Revenue Growth: 6.28%
- P/E Ratio: 62
- Stock Price: $15
Snap is another quality communication stock. Like Facebook, the company runs one of the most popular social media networks with over 800 million monthly active users. Most of these users are relatively young people.
Snap’s business has been growing albeit at a slower pace in the past few years. Its revenue jumped to over $4.6 billion in 2023, a big increase from the $1.7 billion it made in 2019.
Still, Snap faces several challenges. First, it exists in a highly competitive industry, with Meta Platforms and TikTok. Second, the company is struggling to add the number of active users, especially teens.
Third, it is a perennial cash incinerator that has lost billions of dollars in the past five years. All these issues could affect its overall growth.
4. Comcast Corporation (NASDAQ: CMCSA)
Copy link to section- Market Cap: $147billion
- 2023 Revenue: $121 billion
- Forward Revenue Growth: 1.5%
- P/E Ratio: 8.9
- Stock Price: $37
Comcast is another giant communication company that provides its services to millions of Americans. It operates its business in two key segments: connectivity & platforms, and content & experiences.
Its connectivity business provides telecom and internet solutions while its content business operates NBC Universal, the parent company of CNBC, MSNBC, Bravo, and Universal Studios.
Comcast’s business has done well over the years and the trend will likely continue. Its annual revenue has jumped from $108 billion to over $121 billion in the past five years. Also, its annual profit has surged to over $15 billion.
Comcast is a generous dividend payer, thanks to its dividend yield of 3.3% and a payout ratio of 28%. Like other companies in the industry, it has a mountain of debt with over $96 billion in debt and $6.5 billion in cash.
5. Pinterest (NASDAQ: PINS)
Copy link to section- Market Cap: $29 billion
- 2023 Revenue: $3 billion
- Forward Revenue Growth: 12.8%
- P/E Ratio: 29
- Stock Price: $43
Pinterest is a top communication company that runs a platform that combines social media and commerce. It has over 500 million users, especially women, from around the world.
Pinterest’s annual revenue has grown from over $1.1 billion in 2019 to over $3.05 billion in 2023. It has also become profitable and the management hopes to continue this growth.
Pinterest faces numerous challenges ahead. Its growth has started to slow and it faces substantial competition. Fortunately, it has a solid balance sheet with over $2.7 billion in cash and short-term investments and no debt.
Where to buy the best communications shares
Copy link to sectionYou can buy any of these stocks using one of the brokers in the table below. These are the best trading platforms around, and you can use the links to head straight to their website and get started.
CFDs are complex instruments and come with a high risk of losing money rapidly due to leverage. 51% of retail investor accounts lose money when trading CFDs with this provider. You should consider whether you understand how CFDs work and whether you can afford to take the high risk of losing your money.
Plus500
CFD service. 82% of retail investor accounts lose money when trading CFDs with this provider. You should consider whether you can afford to take the high risk of losing your money.
What is a communications stock?
Copy link to sectionAny company that’s involved in telephone and internet services, or that serves as a vehicle for creating film or television content. Traditionally, this sector was dominated by a few major players as the barriers to entry were so high. In modern times, there are a huge range of comms stocks available, encompassing things like social media as well.
Are communications shares a good investment?
Copy link to sectionThey can be but it depends on which one you choose. As there are now lots of different types of company available, you can choose between reliable dividend stocks or more modern business that prioritise fast growth over everything else.
The right path can depend on the rest of your portfolio and how big your budget is. It’s often best to own some low-risk stocks that you can rely on to grow steadily over time alongside sprinkling some money in companies that offer a higher reward.
With all investments, you should take time to research the company before you put money into it. Even once you have invested, it’s important to keep up to date with any developments that might affect the share price or the performance of its competitors.
Methodology: How we choose the best communications stocks
Copy link to sectionAt Invezz, our mission is to empower our readers with the most accurate and reliable financial information. Our curated selection of the best stocks in specific industries is designed to provide investors with well-researched, expertly reviewed stock recommendations. Our team follows a rigorous process to ensure our readers receive high-quality, trustworthy stock selections.
- Initial screening. Our team of experienced stock market analysts conducts an initial screening of stocks within the chosen industry. This involves analyzing a broad range of companies based on key financial metrics such as revenue growth, profitability, debt levels, and market capitalization.
- Earnings reports and financial analysis. Analysts review the latest earnings reports of shortlisted companies. This includes a detailed assessment of financial statements, looking for consistent earnings growth, strong balance sheets, and positive cash flow trends. Special attention is given to year-over-year performance and quarterly results.
- Sector analysis. A comprehensive sector analysis is conducted to understand the macroeconomic factors affecting the industry. This includes examining market trends, competitive landscape, regulatory changes, and technological advancements. Our analysts utilize industry reports, market research, and economic forecasts to gain a holistic view of the sector.
- Analyst recommendations. We consider recommendations from reputable sources such as Barron’s and Zacks. These sources provide expert opinions and ratings on stocks, which serve as an additional layer of validation for our selections. Incorporating external analyst recommendations ensures that our curated stocks are backed by a consensus of expert views.
- Internal review. After the initial selection by our analysts, the chosen stocks are reviewed by a sub-editor. The sub-editor ensures that the analysis is clear, concise, and adheres to Invezz’s editorial guidelines. This review process helps maintain the quality and readability of our content, making it accessible to a broad audience.
- Quarterly updates. To ensure our stock recommendations remain relevant and up-to-date, we update the curated section quarterly. Each update cycle involves re-evaluating the stocks based on the latest financial reports, industry developments, and market conditions. This regular update process ensures that our recommendations reflect the most current information available.
Our approach combines expert analysis, comprehensive research, and regular updates to deliver reliable and insightful investment recommendations. Read more about our review process and editorial policy.
