AT&T's New Network Could Make This Stock Soar
Zebra Technologies (NASDAQ: ZBRA) is starting the new year on a high note after seeing its market capitalization grow more than 60% in 2019.
After exciting investors with better-than-expected earnings and a lucrative US Postal Service deal in 2019, the company is aiming to line up new contracts for its public safety mobile computing products, including "rugged" devices. The devices may have an early mover advantage because they are already certified for use with FirstNet, a nationwide US public safety network that has the potential to sign millions of new subscribers. It is worth asking if the company's expansion into public safety technology could be significant enough to drive share price even higher for this already-hot stock, and if the business segment is meaningful for those considering a long-term investment.
In 2017 AT&T (NYSE: T) was selected by The First Responder Network Authority of the United States, a government entity, to build a nationwide network that will connect first responders. The company will also operate the network under a 25-year contract. About 75% of the buildout is complete, and construction has progressed ahead of schedule, AT&T Chief Financial Officer John Joseph Stephens said at an investor event Dec. 3.
Source Fool.com
