Investors may want to pay close attention to the 5G Internet of Things (IoT) market. That’s because, by 2030 it could be worth about $285.28 billion, according to Allied Market Research, up from about $1.45 billion in 2020. Even better, according to Precedence Research, the 5G IoT market could be worth about $823.14 billion by 2032.
According to Telefonica.com, “The growing trend of more and more connected devices thanks to the Internet of Things (IoT) will continue to increase due to advances in 5G technology. The increased speed and lower latency will enable autonomous devices to communicate with each other faster and with a high degree of confidence, making decision-making and subsequent actions more efficient.”
Even better, 5G is expected to unlock even more potential for industries. That includes smart connected homes, healthcare, factories, cities, self-driving, security, and even schools.
In short, the 5G Internet of Things will lead to significant opportunities. It could also lead to sizable profits for some of the top 5G stocks to buy now. Here are three top stocks investors may want to start accumulating today.
Verizon (VZ)
Since late 2023, Verizon (NYSE:VZ) ran from a low of about $30 to a high of nearly $43. Now at $40.40, there’s still considerable upside ahead – especially when we factor in 5G IoT.
For example, Verizon just struck a deal with Japan-based KDDI to provide 4G/5G Internet of Things connectivity for an electric vehicle from Sony Honda Mobility. Referred to as the AFEELA line of EVs, they’re expected to launch by 2025 and will be on U.S. roads by 2026.
In addition, “The global 5G IoT market is expected to gain long-term recognition due to its various uses and benefits. The development of the 5G IoT market is also being driven by the growing demand for low latency,” as noted by Advance Market Analytics.
In addition, while we wait for VZ shares to push higher, we can collect its current yield of 6.58%. Even better, analysts at Oppenheimer are bullish, giving the stock a target of $48.
AT&T (T)
We can also look at AT&T (NYSE:T), which is also expected to benefit from the growing 5G IoT market. The company is also involved with what’s known as 5G Reduced Capability (RedCap) — “a reduced set of 5G capabilities intended for devices like wearables and low-cost hotspots that have low battery consumption, lower costs and lower bandwidth requirements,” says RCRWireless.com.
While we wait for AT&T to push higher, we can collect its current yield of 6.46%.
Helping, analysts at Barclays just upgraded the telecom sock to overweight with a price target of $20. The firm’s decision to upgrade the stock was driven by a “mismatch between valuation and improvements in growth quality and execution,” said the firm, as quoted by Wall Street Zen. The site added, “Barclays believes that this presents a unique opportunity.”
From its current price of $17.17, if AT&T can break above double-top resistance at around $17.79, it could test $18.50 resistance near term. From there, it could potentially test $21.
Global X Internet of Things (SNSR)
One of the best ways to diversify your portfolio with 5G IoT is with an exchange-traded fund, like the Global X Internet of Things ETF (NASDAQ:SNSR).
With an expense ratio of 0.68%, the SNSR ETF holds 53 stocks that could benefit from broader adoption of the Internet of Things (IoT).
“While the number of connected devices worldwide has already begun to proliferate rapidly, the launch of 5G networks is expected to significantly accelerate consumer and enterprise adoption of IoT products and services,” they added.
Some of its top holdings include Garmin (NYSE:GRMN), DexCom (NASDAQ:DXCM), Lattice Semiconductor (NASDAQ:LSCC) and Qualcomm (NASDAQ:QCOM).
On the date of publication, Ian Cooper did not hold (either directly or indirectly) any positions in the securities mentioned. The opinions expressed in this article are those of the writer, subject to the InvestorPlace.com Publishing Guidelines.