Recently, I’ve published a list of 13 Best Communications Stocks to Buy According to Hedge Funds. In this article, we look at where Liberty Global Ltd. (NASDAQ: LBTYA) competes against other telecom stocks.
According to Grand View Research, the global telecommunications services market is estimated at $1.98 trillion as of 2024. It is expected to grow at a CAGR of 6.5% from 2025 to 2030. This expansion is driven by increasing spending on 5G infrastructure deployment. Furthermore, the growing number of mobile subscribers, the rising demand for high-speed data connections, and the growing need for value-added management services are key factors contributing to this market’s growth.
Initially, 2019 trends, 5G, has solidified its position as an important driver of the industrial economy. Commerce’s future is projected to surge global 5G connections from 1.76 billion in 2023 to 7.9 billion, according to reports from 5G Americas and Omdia. This indicates that 5G makes up more than half of all connections. This expansion is driven by government and telecommunications companies’ investments and demand for faster internet speeds, reduced latency and improved battery life. While 5G continues to roll out, 6G will emerge, promiseing ultra-high data speeds through Terahertz Spectrum Bands, Low Latency and AI integration. It aims to revolutionize communication through applications such as smart grids and immersive XR experiences. However, challenges such as energy efficiency and responsible AI integration remain. Telecommunications companies aim to capture $100 billion in opportunities in the 5G economy.
AI is also deeply immersed in the telecommunications sector. It evolved from the basic echo cancellation of the 1950s to sophisticated algorithms for network management and failure prediction. In 2025, the role of AI will intensify, with global telephone company investment projected to increase from $3.34 billion in 2024 to $58.7 billion by 2032. AI is important in improving network topology. Promote self-healing networks, automatic transitions, and AR applications. It drives evolution towards 6G’s connectivity intelligence and enhances predictive maintenance, fault detection, security, and customer experience through predictive and cognitive AI.
I compiled an initial list of top telecom stocks using the Finviz stock screener. After that, they chose 13 most popular stocks among elite hedge funds, and analysts were bullish. Stocks were ranked in ascending order of the number of hedge funds that contain stocks in them as of the fourth quarter of 2024. Hedge fund data was sourced from Insider Monkey’s database, which tracks the movements of more than 900 elite money managers.
Why are hedge funds interested in the stocks they accumulate? The reason is simple. Our research shows that mimic the top stock picks of the best hedge funds can outperform the market. Quarterly Newsletter’s strategy was to select 14 small and large caps per quarter, returning 373.4% since May 2014, surpassing the benchmark by 218 percentage points (sFor more information about EE, click here).
Close-up of a hand pressing the screen on a mobile device to switch between company services.
Number of hedge fund holders: 38
Liberty Global Ltd. (NASDAQ: LBTYA) is an international broadband and telecommunications company that provides internet, video, telephony and mobile services to residential and business customers in Europe. With a focus on advanced connectivity and digital entertainment, it offers innovative solutions such as high-speed WiFi, a cloud-based television platform, and integrated fixed mobile services.
The company’s Liberty Telecom segment provides telephone and internet services to the UK, Ireland, Belgium and the Netherlands. This segment serves a large customer base of 80 million connections, generating $22 billion in revenue and earning $8 billion in profits. In 2024, Liberty Global Ltd. (NASDAQ: LBTYA) implemented a strategic move to increase shareholder value. They spun a Swiss subsidiary called Sunrise, which resulted in a dividend of $9 per share from shareholders. It is also developing a new fiber network in the UK, which is projected to reach 16 million homes and generate $1 billion in profits.
In the UK, Liberty Global Ltd. (NASDAQ: LBTYA) has acquired internet customers and recovered from loss of mobile phone customer. Ireland is actively upgrading its internet infrastructure. The Netherlands focuses on profitable customer relationships, while Belgium is expanding its internet customer base. The company is currently using AI to achieve between $200 million and $300 million in annual cost reductions and increased profits. The UK projected free cash flow of between $350 million and $400 million, and in 2025 the Netherlands was projected to include $300 million.
Overall, lbtya 7th place A list of the best telecom stocks to buy, according to hedge funds. Although we acknowledge the growth potential of LBTYA, our belief lies in the belief that AI stocks offer higher returns and are extremely promising to do so within a shorter time frame. If you’re looking for AI stocks that are more promising than LBTYA but trade less than five times the revenues, Cheapest AI stocks.
Read next: Best AI stocks to buy now and According to the billionaire, 30 best stocks to buy now
Disclosure: None. This article was originally published Insider Monkey.