5G technology stands at the forefront of digital communication with unprecedented speed and connectivity. This next-generation technology is not just enhancing mobile networks but is also crucial in advancing areas such as the Internet of Things (IoT), autonomous vehicles, and smart cities, making it a pivotal element in shaping future tech landscapes and boing well for 5G stocks.

The 5G market is projected to grow significantly from $15 billion in 2024 to $229 billion by 2032. Key drivers for this staggering growth include increasing demand for high-speed transmission, low network latency, and the spread of cloud-based applications requiring advanced network technology.

As 5G technology appears poised for substantial expansion, certain 5G stocks are well-positioned to benefit from the industry’s growth. Here are three such 5G stocks that are at the helm of this technological wave, making them an attractive proposition for savvy investors.

Verizon (VZ)

Verizon (NYSE:VZ) presents a compelling case as an undervalued player in the rapidly evolving 5G landscape.

Verizon’s competitive edge in the 5G space is significantly bolstered by its expansive network coverage and pioneering technology deployments. The company has been at the forefront of deploying ultra-wideband services across the U.S., ensuring that it remains a leader in providing high-speed and reliable wireless service.

The strategic partnerships with leading tech firms and continuous investment in network enhancements have also positioned Verizon favorably against competitors. These collaborations not only enhance Verizon’s service offerings but also embed its technology in essential digital and consumer products.

The company’s free cash flow remains robust, allowing it to support a generous dividend yield of 6.49%. Moreover, the company’s stock is currently trading at a forward P/E of 9.2x. This makes the company significantly undervalued compared to other firms in the industry.

T-Mobile (TMUS)

T-Mobile (NASDAQ:TMUS) has positioned itself as a frontrunner in the 5G revolution. The company stands out not just for its impressive performance over the past decade but also for its strategic maneuvers that promise to shape its trajectory well into the future.

The company reported a record-breaking second quarter with the highest-ever postpaid phone net additions of 301 thousand, pushing its customer connections over the 100 million mark. This growth spans across various demographics and regions, affirming T-Mobile’s widespread appeal and robust market strategy.

Moreover, T-Mobile has excelled in network performance, consistently outperforming its competitors in speed and reliability. This superiority is backed by T-Mobile’s aggressive investment in network infrastructure, including significant expansions in its 5G capabilities.

Furthermore, T-Mobile has leveraged strategic acquisitions to fuel growth. One of T-Mobile’s notable strategic moves includes the acquisition of Metronet in partnership with KKR. The company is a fast-growing fiber provider aiming to expand its reach to 6.5 million homes by 2030. These acquisitions reflect T-Mobile’s commitment to providing comprehensive and competitive services that extend beyond traditional mobile offerings.

AT&T (T)

AT&T (NYSE:T) is at the forefront of the 5G revolution, redefining its operational strategy to leverage this next-generation technology across the United States.

Central to AT&T’s strategy is the aggressive expansion of its 5G network. The company has completed major spectrum purchases and is now focused on deploying these technologies to enhance service quality and expand coverage.

In addition to its 5G rollout, AT&T is heavily investing in fiber optic technology, aiming to enhance broadband speeds and reliability across the United States. The expansion into fiber optics has shown promising growth, with millions of locations already benefiting from upgraded infrastructure.

The company’s management remains focused on continued growth in high-value wireless and broadband subscribers. In Q2 2024, the company added 419,000 postpaid phone net additions and achieved a 5% increase in Mobility EBITDA. AT&T also saw consistent growth in its AT&T Fiber customers, contributing to a 7% EBITDA growth in its Consumer Wireline business.

On the date of publication, Mohammed Saqib did not hold (either directly or indirectly) any positions in the securities mentioned in this article. The opinions expressed in this article are those of the writer, subject to the InvestorPlace.com Publishing Guidelines.

On the date of publication, the responsible editor did not have (either directly or
indirectly) any positions in the securities mentioned in this article.