These 2 5G Stocks Could Soar in the Second Half of 2020

Demand for 5G smartphones has remained strong even though the overall market has taken a beating in the wake of the novel coronavirus pandemic. According to Strategy Analytics, 5G smartphone shipments of 24.1 million units in the first quarter of 2020 eclipsed 2019's total shipments of 18.7 million. Global smartphone sales, however, were down 17% year-over-year during the quarter to 275 million units.

Looking ahead, the 5G smartphone market is expected to be the bright spot in an otherwise dull industry. Global smartphone sales are expected to drop 25% in 2020 as per Strategy Analytics' estimates, but 5G smartphone shipments are expected to jump to 199 million units. Now, the effects of the COVID-19 outbreak may slow down the adoption of 5G smartphones in the near-term, but the sunny forecast indicates that we are at the beginning of a new generation of mobile devices.

As such, now may be a good time to load up on stocks that could take advantage of the transition to 5G smartphones. Cirrus Logic (NASDAQ: CRUS) and Synaptics (NASDAQ: SYNA) are two such tech stocks that could win big from the 5G revolution, and they look like good picks right now despite being hammered so far this year. Let's see why.

Source Fool.com