As the hybrid working culture is being adopted rapidly due to the resurgence of COVID-19 cases, the demand for telecommunication is expected to increase. So, popular telecom stocks AT&T (T) and Orange (ORAN) should benefit. But which of these two stocks is a better buy now? Read more to find out.AT&T Inc. (T) provides telecommunication, media, and technology services worldwide. The company operates through Communications; WarnerMedia; and Latin America segments. On the other hand, Orange S.A. (ORAN) provides a range of fixed telephony and mobile telecommunications, data transmission, and other value-added services internationally. It operates through France, Spain, and Other European Countries; Africa and the Middle East; Enterprise; International Carriers & Shared Services; and Mobile Financial Services segments.
Since last year, telecommunication has been in high demand as the need for advanced connected technologies increased due to the COVID-19 pandemic, with people spending most of their time at home. In addition, with the resurgence of COVID-19 cases and omicron variant scare, telecom services are expected to keep witnessing increasing demand as hybrid working is likely to dominate in the near term. Moreover, rising expenditure on the deployment of 5G infrastructures due to the shift in customer inclination toward next-generation technologies and smartphone devices are driving the telecom industry’s growth. According to a report by Grand View Research, the global telecom services market is expected to grow at a CAGR of 5.4% from 2021 to 2028. Therefore, both T and ORAN should benefit.
But which of these two stocks is a better buy now? Let’s find out.