5G is going to be a $667 billion a year industry by 2030. That's more than 13,000% from the 2019 number, which was $5 billion.
Today, we're going to show you the 5G penny stock to buy before that happens. It's 120% growth potential this year alone, and the sky's the limit as 5G continues to grow...
5G is going to be getting some significant catalysts in the next few years. And while a rising tide lifts all boats, it's the smaller boats that tend to rise faster.
That's just to say, your earliest chance at massive profit from the 5G industry is in penny stocks.
You see, penny stocks pop by greater percentages than other stocks, because their share price is under $5, by the U.S. Securities and Exchange Commission definition. For example, Workhorse group is up 449% since we recommended it on Jan. 30.
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But that's just one example among thousands of penny stocks that could pop at any moment as 5G ascends its peak.
Choosing the best penny stocks can be a challenge, though. There's no way a single person can sift through enough mountains of charts and financial documents to find "the one." That's why we have a team on the job.
Let's talk about a 5G penny stock that Money Morning thinks is likely to get a boost within the next 12 months...
When Will 5G Stocks Soar?
One of the earliest developers of 5G infrastructure in the United States was Verizon Communications Inc. (NYSE: VZ). The company launched its 5G network in Chicago in Minneapolis in Spring 2019.
AT&T Inc. (NYSE: T) also started its network around the same time.
Neither of these have yet topped T-Mobile US Inc. (NASDAQ: TMU) as the first nationwide 5G network. It currently serves "more than 200 million people and more than 500 cities and towns across the country."
But we're looking for 5G penny stocks. AT&T is still a good deal at $30. VZ and TMU both trade above $100. They all have growth potential 5G demands increase. But none of them have the same potential upside of a top penny stock.
You would also have to wait for those 5G stocks to pop. While 5G is set to be widespread by the end of the year, ITPro says it won't completely displace 4G before a "five-year period in which it will expand across the world."
That means the status quo in telecom might hold until 2025, when, for the first time, we'll see the effects of heightened opportunity and competition 5G has created.
Fortunately, not all 5G stocks need to wait for their big catalyst. Here's a 5G penny stock to buy that could soar 120% on the current excitement, in mere months...
Best 5G Penny Stock to Buy Now
Gogo Inc. (NASDAQ: GOGO) is a telecom company specializing in in-flight Internet service. The Illinois company provides Wi-Fi to at least 17 airlines including British Airways, American Airlines Group Inc. (NASDAQ: AAL), Delta Air Lines Inc. (NYSE: DAL) and United Airlines Holdings Inc. (NASDAQ: UAL).
That is, some of the top airlines in the world. The company serves both commercial and business flights.
Gogo has seen some stable growth over the last four years, increasing revenue by 40%. The company implemented a new plan to reduce cost structure and drive revenue in 2018. So far, it has helped them achieve positive free cash flow, going from -$213 million to $5 million.
Now, a couple catalysts sit on the horizon to pump the stock price.
It used to be that you could only connect to Gogo servers from 10,000 feet or higher. But on July 7, the company announced that it would lower that to just 3,000 feet above ground level. The company says this move will add "15-20 minutes of connectivity on many flights." It will also enable shorter flights that don't spend much time above 10,000 feet to have Internet access.
But another catalyst for Gogo stock is coming in 2021...
In late 2019, Gogo announced it would be working with Cisco Systems Inc. (NASDAQ: CSCO), Airspan, and First RF to develop its 5G network. It's set to complete in 2021, accessible on business and commercial flights in the United States and Canada.
When complete, it's going to pop the stock. In fact, analysts say Gogo could hit $7 over the next 12 months. That's 120% growth from today's share price of $3.17.
Action to Take: The 5G industry could reach a peak of $667 billion. But it will be a while until then. 5G penny stocks have more upside potential in the near term. Check out shares of Gogo Inc. (NASDAQ: GOGO) for $3.17. Analysts predict it could hit $7 in 12 months. That's 120% growth.
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About the Author
Mike Stenger, Associate Editor for Money Morning at Money Map Press, graduated from the Perdue School of Business at Salisbury University. He has combined his degree in Economics with an interest in emerging technologies by finding where tech and finance overlap. Today, he studies the cybersecurity sector, AI, streaming, and the Cloud.