Stocks were mixed in early trading this morning after a reversal in the previous session. The Nasdaq composite dropped 1.7% which leaves the benchmark nearly 6% lower than its recent all time high. There’s no telling where we’re headed from here. Never-the-less, the WSWD research team is scouring the markets, looking for attractive opportunities.
Usually stocks under $10 aren’t trading enough to get picked up by institutional investors and big funds. But once they gain traction, it can be off to the races, as we’ve seen many times in the past year. Our trade alert for today highlights one stock under $10, that seems primed for take off in 2021.
Ribbon Communications (RBBN), formerly known as Sonus Networks Inc., is headquartered in Westford, Massachusetts.
The one thing the pandemic has done is lower the volume on a lot of other trends that are happening in the market. One of the big ones is the transformation to 5G mobile technology that is going hand-in-hand with increasing computing power, including an expanding array of smart devices.
But to keep that all working, you need telecom software solution providers that operated in the wireless and wired sectors to help telecom providers maximize their systems. That’s what RBBN does.
And it’s also why you likely haven’t heard of it. This is a behind-the-scenes player that rarely gets the spotlight but is doing very important work to keep the headline companies in the headlines.
It has a $1 billion market cap, so it’s not a small firm. The stock is up 152% in the past year, and 25% in the past three months. It’s also a solid takeover target for a larger telecom.
RBBN has a trailing twelve month P/E ratio of 16.62, which compares favorably with the Zacks Computer and Technology sector’s trailing twelve month P/E ratio, which stands at 32.12. This indicates that the stock is relatively undervalued compared to its peers. Moreover, the current year consensus estimate has improved by 19.7% in the past 2 months bringing an extra boost of encouragement from the pros covering the stock.
Where to invest $1,000 right now...
Before you consider buying Ribbon Communications, you'll want to see this.
Investing legend, Keith Kohl just revealed his #1 stock for 2022...
And it's not Ribbon Communications.
Jeff Bezos, Peter Thiel, and the Rockefellers are betting a colossal nine figures on this tiny company that trades publicly for $5.
Keith say’s he thinks investors will be able to turn a small $50 stake into $150,000.
Find that to be extraordinary?
But you have to act now, because a catalyst coming in a few weeks is set to take this company mainstream... And by then, it could be too late.
Matt’s #1 pick for 2021 [Buy Alert]
He’s pinpointed over 200 stocks that ALL went on to jump 100% or more. Plus 16 more recommendations that skyrocketed over 1,000%.
Today, he’s doing it all over again. [Full Story…]