Most Important Communications Stocks for October 2020

The communications stocks have sharply raised in the last months as many users (customers) were looking for entertainment and streaming services due to the Covid-19 pandemic. But what are communications stock, which stocks are the most valuable, and which ones have the fastest growth or the most momentum? Well, the communications sector is comprised of many different companies that sell phones and internet services via traditional landline, broadband, or wireless. It also includes Facebook Inc. (FB), Comcast Corp. (CMCSA), and T-Mobile U.S. Inc. (TMUS), as well as creators and producers of movies, television shows, and other content. Communications stocks, as represented by the Communication Services Select Sector SPDR ETF (XLC), have outperformed the broader market. XLC has provided a total return of 16.2% over the past 12 months, above the Russell 1000's total return of 11.0%, as of September 23, 2020. In this article, we are going to review the most important Communications stocks sorted by its best value, fastest earnings growth, and greatest momentum. All statistics in the tables below are as of September 24.  

Communications stocks sorted by its market value

	Price ($)	Market Cap ($B)	12-Month Trailing P/E Ratio
ViacomCBS Inc. (VIAC)	28.82	17.8	7.1
Lumen Technologies Inc. (LUMN)	10.05	11.0	8.9
Discovery Inc. (DISCK)	19.12	9.7	9.7

  ViacomCBS Inc.: With a 17.6 billion dollars market cap, ViacomCBS company comes as the most valuable communications stock. The company which is focusing on creating premium content and experiences for audiences across the world also provides cable networks, content production and distribution, television stations, and digital streaming services. The company's subscription video-on-demand and live streaming services will be rebranded under the name Paramount+ in early 2021 and extended to certain international markets, according to its announcement on September 15.   Lumen Technologies Inc.: Formerly known as CenturyLink. Lumen Technologies' market cap is estimated at 11.0 Billion dollars. The company is an integrated communications company that offers various communications services, including local and long-distance voice, broadband, Ethernet, colocation, hosting, data integration, video, network, information technology, and more.   Discovery Inc.: The global media company which provides content across a number of distribution platforms, including pay-television, free-to-air and broadcast television, and digital distribution and content licensing arrangements, has reported a 69.6% decline in its net income. This decline comes as the company's revenue fell 11.9% in Q2 2020, which ended on June 30, 2020. Discovery said that advertising revenue decreased 14%, primarily driven by lower demand during the pandemic.  

Communications stocks sorted by its fastest growth

	Price ($)	Market Cap ($B)	EPS Growth %
Zoom Video Communications Inc. (ZM)	500.53	142.4	3,050
Liberty Broadband Corp. (LBRDA)	139.83	25.4	457.1
John Wiley & Sons Inc. (JW.A)	31.69	1.8	383.3

  Zoom Video Communications Inc.: Zoom Video Communications platform’s name came more familiar at the pandemic, as people sought to use it for its Web conferencing services. It also offers cloud-based HD video conferencing, mobility, and Web meetings. All of that and more made the Zoom platform reports net income growth of 3,256.6% on revenue growth of 355.0% in Q2 of its 2021 fiscal year (FY), the three-month period ended July 31, 2020.   Liberty Broadband Corp.: The company which is engaged in cable, broadband and mobile technology businesses consider that Charter Communications (CHTR) and TruePosition companies are its main assets consist and interests. The company announced in early August that it had reached a definitive merger agreement to acquire telecommunications company GCI Liberty Inc. (GLIBA). The transaction is expected to close during the first half of 2021.   John Wiley & Sons Inc.:  A publishing company that specializes in scientific, technical, and medical books and journals recorded 383.3% EPS growth. The company also publishes professional and consumer books in both print and digital formats, as well as offering textbooks and educational materials.    

Communications stocks sorted by its most momentum

	Price ($)	Market Cap ($B)	12-Month Trailing Total Return
Zoom Video Communications Inc. (ZM)	500.53	142.4	505.8
Zillow Group Inc. (ZG)	95.93	21.8	218.4
Twilio Inc. (TWLO)	232.00	33.2	105.4
Russell 1000	N/A	N/A	11.0
Communication Services Select Sector SPDR ETF (XLC)	N/A	N/A	16.2

  Zoom Video Communications Inc.: See above for company description. Zillow Group Inc.: Zillow is an online real estate database company. Through its website and mobile applications, Zillow provides information about homes, real estate listings, and mortgages. Due to a continued increase in resale volume, the company's consolidated quarterly revenue rose 28% compared to the same quarter a year earlier. Zillow Group’s mobile apps downloads and website visits rose also to a record. However, the company reported a net loss of $84.4 million in Q2 2020 ended on June 30, 2020, higher than the net loss of $72.0 million posted in the year-ago quarter.   Twilio Inc.: The communications software development company using its platform allows developers to integrate phone calls, internet protocol voice communications, and text messages into the web, mobile, and phone applications. Source: Investopedia  

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