Sectors & Industries TechnologyCommunication Equipment
Best Communication Equipment Stocks to Buy Now (2025)
Top communication equipment stocks in 2025 ranked by overall Zen Rating. "A" Rated stocks have returned an average of +32.52% per year, and are the best communication equipment stocks to buy now. Learn More.

Industry: Communication Equipment

Price Value Growth Financials Momentum Sentiment Forecast Dividends Due Diligence

Communication Equipment is Zen Rated A and is the 20th ranked industry out of 145 stock market industries

Ticker	Company	Zen Rating	Value	Growth	Momentum	Sentiment	Safety	Financials	AI	1w Zen Rating	1m Zen Rating	3m Zen Rating	1y Zen Rating
BKTI	BK TECHNOLOGIES CORP	A	C	A	A	A	C	A	D	A	A	A	–
ERIC	ERICSSON LM TELEPHONE CO	A	C	B	B	B	B	B	A	A	B	–	–
DGII	DIGI INTERNATIONAL INC	A	B	B	C	C	C	B	B	A	A	A	–
ITRN	ITURAN LOCATION & CONTROL LTD	A	B	C	B	B	A	A	A	A	A	A	–
HLIT	HARMONIC INC	A	C	A	C	B	C	A	B	A	A	B	–

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Use the proven Zen Ratings quant model to find stocks with high potential to beat the market. Stocks Zen-Rated "A" have beaten the market by +32.52% annually. Learn More

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Communication Equipment Stocks FAQ

What are the best communication equipment stocks to buy right now in Apr 2025?

According to Zen Ratings, our proprietary rating system that evaluates 115 factors proven to drive growth in stocks and assigns each stock in our system an overall letter grade as well as 7 individual Component Grades for Value, Growth, Momentum, Sentiment, Safety, Financials, and proprietary AI algorithms, the 3 best communication equipment stocks to buy right now are:

1. Bk Technologies (NYSEMKT:BKTI)

Bk Technologies (NYSEMKT:BKTI) is the #1 top communication equipment stock out of 58 with a Zen Rating of A. Stocks with a rating of A have had an average return of +32.52% per year. Learn more.

The Component Grade breakdown for Bk Technologies (NYSEMKT:BKTI) is: Value: C, Growth: A, Momentum: A, Sentiment: A, Safety: C, Financials: A, and AI: D.

Bk Technologies (NYSEMKT:BKTI) has a Due Diligence Score of 40, which is 10 points higher than the communication equipment industry average of 30.

BKTI passed 16 out of 38 due diligence checks and has average fundamentals. Bk Technologies has seen its stock return 238.31% over the past year, overperforming other communication equipment stocks by 249 percentage points.

Bk Technologies has an average 1 year price target of $51.00, an upside of 10.85% from Bk Technologies's current stock price of $46.01.

Bk Technologies stock has a consensus Strong Buy recommendation according to Wall Street analysts. Of the 1 analyst covering Bk Technologies, 100% have issued a Strong Buy rating, 0% have issued a Buy, 0% have issued a hold, while 0% have issued a Sell rating, and 0% have issued a Strong Sell.

2. Ericsson LM Telephone Co (NASDAQ:ERIC)

Ericsson LM Telephone Co (NASDAQ:ERIC) is the #2 top communication equipment stock out of 58 with a Zen Rating of A. Stocks with a rating of A have had an average return of +32.52% per year. Learn more.

The Component Grade breakdown for Ericsson LM Telephone Co (NASDAQ:ERIC) is: Value: C, Growth: B, Momentum: B, Sentiment: B, Safety: B, Financials: B, and AI: A.

Ericsson LM Telephone Co (NASDAQ:ERIC) has a Due Diligence Score of 38, which is 8 points higher than the communication equipment industry average of 30.

ERIC passed 14 out of 38 due diligence checks and has average fundamentals. Ericsson LM Telephone Co has seen its stock return 60.27% over the past year, overperforming other communication equipment stocks by 71 percentage points.

Ericsson LM Telephone Co has an average 1 year price target of $9.80, an upside of 16.25% from Ericsson LM Telephone Co's current stock price of $8.43.

Ericsson LM Telephone Co stock has a consensus Hold recommendation according to Wall Street analysts. Of the 1 analyst covering Ericsson LM Telephone Co, 0% have issued a Strong Buy rating, 0% have issued a Buy, 100% have issued a hold, while 0% have issued a Sell rating, and 0% have issued a Strong Sell.

3. Digi International (NASDAQ:DGII)

Digi International (NASDAQ:DGII) is the #3 top communication equipment stock out of 58 with a Zen Rating of A. Stocks with a rating of A have had an average return of +32.52% per year. Learn more.

The Component Grade breakdown for Digi International (NASDAQ:DGII) is: Value: B, Growth: B, Momentum: C, Sentiment: C, Safety: C, Financials: B, and AI: B.

Digi International (NASDAQ:DGII) has a Due Diligence Score of 66, which is 36 points higher than the communication equipment industry average of 30.

DGII passed 21 out of 33 due diligence checks and has strong fundamentals. Digi International has seen its stock lose -10.17% over the past year, overperforming other communication equipment stocks by 1 percentage points.

Digi International has an average 1 year price target of $34.33, an upside of 29.61% from Digi International's current stock price of $26.49.

Digi International stock has a consensus Buy recommendation according to Wall Street analysts. Of the 3 analysts covering Digi International, 33.33% have issued a Strong Buy rating, 0% have issued a Buy, 66.67% have issued a hold, while 0% have issued a Sell rating, and 0% have issued a Strong Sell.

What are the communication equipment stocks with highest dividends?

Out of 10 communication equipment stocks that have issued dividends in the past year, the 3 communication equipment stocks with the highest dividend yields are:

1. Frequency Electronics (NASDAQ:FEIM)

Frequency Electronics (NASDAQ:FEIM) has an annual dividend yield of 5.61%, which is 3 percentage points higher than the communication equipment industry average of 2.4%. Frequency Electronics's dividend payout is stable, having never dropped by more than 10% in the last 10 years. Frequency Electronics's dividend has not shown consistent growth over the last 10 years.

Frequency Electronics's dividend payout ratio of 41.7% indicates that its high dividend yield is sustainable for the long-term.

2. Audiocodes (NASDAQ:AUDC)

Audiocodes (NASDAQ:AUDC) has an annual dividend yield of 3.9%, which is 2 percentage points higher than the communication equipment industry average of 2.4%. Audiocodes's dividend payout is not stable, having dropped more than 10% one times in the last 10 years. Audiocodes's dividend has not shown consistent growth over the last 10 years.

Audiocodes's dividend payout ratio of 70.6% indicates that its dividend yield is sustainable for the long-term.

3. Ituran Location & Control (NASDAQ:ITRN)

Ituran Location & Control (NASDAQ:ITRN) has an annual dividend yield of 3.84%, which is 1 percentage points higher than the communication equipment industry average of 2.4%. Ituran Location & Control's dividend payout is not stable, having dropped more than 10% four times in the last 10 years. Ituran Location & Control's dividend has shown consistent growth over the last 10 years.

Ituran Location & Control's dividend payout ratio of 61.9% indicates that its dividend yield is sustainable for the long-term.

Why are communication equipment stocks up?

Communication equipment stocks were up 2.83% in the last day, and down -2.07% over the last week. Hewlett Packard Enterprise Co was the among the top gainers in the communication equipment industry, gaining 2.23% yesterday.

Shares of tech stocks are trading higher after Treasury Secretary Scott Bessent reportedly said he expects de-escalation with China. A de-escalation with China could alleviate trade and supply chain uncertainty in the sector.

What are the most undervalued communication equipment stocks?

Based on the Valuation rating, one of the 7 components of a stocks overall Zen Ratings grade, which evaluates factors including estimated earnings yield, earnings before interest and taxes/enterprise value, cash flow yield, free cash flow to price, and price-to-earnings growth (PEG ratio), the 3 most undervalued communication equipment stocks right now are:

1. Ceragon Networks (NASDAQ:CRNT)

Ceragon Networks (NASDAQ:CRNT) is the most undervalued communication equipment stock based on its Valuation Rating of A. Valuation is one of 7 Component Grades used to calculate the overall Zen Rating.

Ceragon Networks has a valuation score of 43, which is 18 points higher than the communication equipment industry average of 25. It passed 3 out of 7 valuation due diligence checks.

Ceragon Networks's stock has dropped -25% in the past year. It has underperformed other stocks in the communication equipment industry by -14 percentage points.

2. Audiocodes (NASDAQ:AUDC)

Audiocodes (NASDAQ:AUDC) is the second most undervalued communication equipment stock based on its Valuation Rating of A. Valuation is one of 7 Component Grades used to calculate the overall Zen Rating.

Audiocodes has a valuation score of 71, which is 46 points higher than the communication equipment industry average of 25. It passed 5 out of 7 valuation due diligence checks.

Audiocodes's stock has dropped -12.26% in the past year. It has underperformed other stocks in the communication equipment industry by -1 percentage points.

3. Gilat Satellite Networks (NASDAQ:GILT)

Gilat Satellite Networks (NASDAQ:GILT) is the third most undervalued communication equipment stock based on its Valuation Rating of A. Valuation is one of 7 Component Grades used to calculate the overall Zen Rating.

Gilat Satellite Networks has a valuation score of 43, which is 18 points higher than the communication equipment industry average of 25. It passed 3 out of 7 valuation due diligence checks.

Gilat Satellite Networks's stock has gained 17.14% in the past year. It has overperformed other stocks in the communication equipment industry by 28 percentage points.

Are communication equipment stocks a good buy now?

45.24% of communication equipment stocks rated by analysts are a strong buy right now. On average, analysts expect communication equipment stocks to rise by 41.31% over the next year.

23.91% of communication equipment stocks have a Zen Rating of A (Strong Buy), 26.09% of communication equipment stocks are rated B (Buy), 26.09% are rated C (Hold), 15.22% are rated D (Sell), and 8.7% are rated F (Strong Sell).

What is the average p/e ratio of the communication equipment industry?

The average P/E ratio of the communication equipment industry is 566.94x.

WallStreetZen does not provide financial advice and does not issue recommendations or offers to buy stock or sell any security.

Information is provided 'as-is' and solely for informational purposes and is not advice. WallStreetZen does not bear any responsibility for any losses or damage that may occur as a result of reliance on this data.

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Communication Equipment Stocks FAQ

1. Bk Technologies (NYSEMKT:BKTI)

2. Ericsson LM Telephone Co (NASDAQ:ERIC)

3. Digi International (NASDAQ:DGII)

1. Frequency Electronics (NASDAQ:FEIM)

2. Audiocodes (NASDAQ:AUDC)

3. Ituran Location & Control (NASDAQ:ITRN)

1. Ceragon Networks (NASDAQ:CRNT)

2. Audiocodes (NASDAQ:AUDC)

3. Gilat Satellite Networks (NASDAQ:GILT)

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