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Best Telecom Stocks to Buy Now (2025)

Top telecom stocks in 2025 ranked by overall Zen Rating. "A" Rated stocks have returned an average of +32.52% per year, and are the best telecom stocks to buy now. Learn More.

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 telecommunication stocks to buy right now are:

Ooma (NYSE:OOMA) is the #1 top telecom stock out of 54 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 Ooma (NYSE:OOMA) is: Value: B, Growth: B, Momentum: B, Sentiment: A, Safety: C, Financials: B, and AI: B.

Ooma (NYSE:OOMA) has a Due Diligence Score of 20, which is -8 points lower than the telecom industry average of 28. Although this number is below the industry average, our proven quant model rates OOMA as a "A".

OOMA passed 6 out of 33 due diligence checks and has weak fundamentals. Ooma has seen its stock return 67.7% over the past year, overperforming other telecom stocks by 59 percentage points.

Ooma has an average 1 year price target of $17.63, an upside of 48.23% from Ooma's current stock price of $11.89.

Ooma stock has a consensus Strong Buy recommendation according to Wall Street analysts. Of the 4 analysts covering Ooma, 75% have issued a Strong Buy rating, 25% have issued a Buy, 0% have issued a hold, while 0% have issued a Sell rating, and 0% have issued a Strong Sell.

Ihs Holding (NYSE:IHS) is the #2 top telecom stock out of 54 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 Ihs Holding (NYSE:IHS) is: Value: C, Growth: B, Momentum: A, Sentiment: C, Safety: C, Financials: B, and AI: A.

Ihs Holding (NYSE:IHS) has a Due Diligence Score of 9, which is -19 points lower than the telecom industry average of 28. Although this number is below the industry average, our proven quant model rates IHS as a "A".

IHS passed 3 out of 33 due diligence checks and has weak fundamentals. Ihs Holding has seen its stock return 42.69% over the past year, overperforming other telecom stocks by 34 percentage points.

Ihs Holding has an average 1 year price target of $8.67, an upside of 81.32% from Ihs Holding's current stock price of $4.78.

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

Ribbon Communications (NASDAQ:RBBN) is the #3 top telecom stock out of 54 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 Ribbon Communications (NASDAQ:RBBN) is: Value: C, Growth: A, Momentum: C, Sentiment: B, Safety: B, Financials: C, and AI: C.

Ribbon Communications (NASDAQ:RBBN) has a Due Diligence Score of 22, which is -6 points lower than the telecom industry average of 28. Although this number is below the industry average, our proven quant model rates RBBN as a "A".

RBBN passed 7 out of 33 due diligence checks and has weak fundamentals. Ribbon Communications has seen its stock return 33.98% over the past year, overperforming other telecom stocks by 25 percentage points.

Ribbon Communications has an average 1 year price target of $5.83, an upside of 70.06% from Ribbon Communications's current stock price of $3.43.

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

Out of 24 telecom stocks that have issued dividends in the past year, the 3 telecom stocks with the highest dividend yields are:

Bce (NYSE:BCE) has an annual dividend yield of 16.47%, which is 12 percentage points higher than the telecom industry average of 4.07%. Bce's dividend payout is not stable, having dropped more than 10% two times in the last 10 years. Bce's dividend has shown consistent growth over the last 10 years.

Bce's dividend payout ratio of 3,147.7% indicates that its high dividend yield might not be sustainable for the long-term.

Vodafone Group Public Co (NASDAQ:VOD) has an annual dividend yield of 7.89%, which is 4 percentage points higher than the telecom industry average of 4.07%. Vodafone Group Public Co's dividend payout is not stable, having dropped more than 10% six times in the last 10 years. Vodafone Group Public Co's dividend has not shown consistent growth over the last 10 years.

Vodafone Group Public Co's dividend payout ratio of 72.3% indicates that its high dividend yield is sustainable for the long-term.

Cogent Communications Holdings (NASDAQ:CCOI) has an annual dividend yield of 7.69%, which is 4 percentage points higher than the telecom industry average of 4.07%. Cogent Communications Holdings's dividend payout is not stable, having dropped more than 10% one times in the last 10 years. Cogent Communications Holdings's dividend has shown consistent growth over the last 10 years.

Cogent Communications Holdings's dividend payout ratio of -91.6% indicates that its high dividend yield might not be sustainable for the long-term.

Telecom stocks were down -2.74% in the last day, and down -3.24% over the last week.

We couldn't find a catalyst for why telecom stocks are down.

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 telecom stocks right now are:

Veon (NASDAQ:VEON) is the most undervalued telecom stock based on its Valuation Rating of A. Valuation is one of 7 Component Grades used to calculate the overall Zen Rating.

Veon has a valuation score of 0, which is -27 points higher than the telecom industry average of 27. It passed 0 out of 7 valuation due diligence checks. Although this number is below the industry average, our proven quant model rates VEON a Valuation Rating of "A".

Veon's stock has gained 77.06% in the past year. It has overperformed other stocks in the telecom industry by 68 percentage points.

Millicom International Cellular Sa (NASDAQ:TIGO) is the second most undervalued telecom stock based on its Valuation Rating of A. Valuation is one of 7 Component Grades used to calculate the overall Zen Rating.

Millicom International Cellular Sa has a valuation score of 86, which is 59 points higher than the telecom industry average of 27. It passed 6 out of 7 valuation due diligence checks.

Millicom International Cellular Sa's stock has gained 57.95% in the past year. It has overperformed other stocks in the telecom industry by 49 percentage points.

Vodafone Group Public Co (NASDAQ:VOD) is the third most undervalued telecom stock based on its Valuation Rating of A. Valuation is one of 7 Component Grades used to calculate the overall Zen Rating.

Vodafone Group Public Co has a valuation score of 71, which is 44 points higher than the telecom industry average of 27. It passed 5 out of 7 valuation due diligence checks.

Vodafone Group Public Co's stock has gained 7.08% in the past year. It has underperformed other stocks in the telecom industry by -2 percentage points.

47.06% of telecom stocks rated by analysts are a strong buy right now. On average, analysts expect telecom stocks to rise by 37.26% over the next year.

10.42% of telecom stocks have a Zen Rating of A (Strong Buy), 14.58% of telecom stocks are rated B (Buy), 62.5% are rated C (Hold), 10.42% are rated D (Sell), and 2.08% are rated F (Strong Sell).