Due to the COVID-19 pandemic, last year saw the telecom industry go through some tough times. However, telecom providers’ continuing efforts to invest in infrastructure and services, and a surge in demand for high-speed data connectivity have driven a solid recovery this year. So, we think telecom stocks AT&T (T), InterDigital Ooma and (NASDAQ:), both of which appear undervalued at current prices, are ideal choices now. However, telecom operators’ investments in infrastructure upgrades and value-added services have helped the industry achieve a solid recovery this year. Telecommunication companies can now capitalize on rising connectivity demand in digital age by investing in wireless technologies such as 5G.

Accelerating demand for high-speed data connectivity, rapid digitalization across industries and the explosion of consumer-generated multimedia content via Over-The-Top (OTT) applications should fuel the industry’s growth. Furthermore, the applications of wireless telegraphy, broadcasting, satellite communications, and fiber communications are expected to drive the telecom industry’s growth further. Global mobile telecommunications revenues are expected to exceed $835 billion in 2026. That’s a 3.8% annualized growth rate.

Therefore, we think it could be wise to scoop up quality telecom stocks AT&T Inc. (T), InterDigital, Inc. (IDCC), and Ooma, Inc. (OOMA). These stocks are undervalued given their current price.

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