10 Best Single Digit Stocks To Buy Now

2. CommScope Holding Company, Inc. (NASDAQ:COMM)

Share Price as of December 27: $5.51

Number of Hedge Fund Holders: 38

CommScope Holding Company, Inc. (NASDAQ:COMM) is a global leader in network connectivity. The company provides infrastructure solutions for communication, data centers, and entertainment networks. It is among the best single digit stocks to buy now.

In July 2024, COMM announced the sale of its Outdoor Wireless Networks (OWN) segment and Distributed Antenna Systems (DAS) business unit to Amphenol for $2.1 billion. The deal is expected to close during the first half of 2025. Analysts believe that by selling two of its mobile-focused divisions, the company has decided to focus on its fixed-line operations.

On November 7, CommScope Holding Company, Inc. (NASDAQ:COMM) announced encouraging financial results for the third quarter of 2024. Net sales increased 3% from last year to $1.082 billion, driven by an impressive show from the Connectivity and Cable Solutions (CCS) segment. Adjusted EBITDA from operations totaled $204 million, up 30% year-over-year. Adjusted EPS was -$0.05 per share, but increased by 58%.

The CCS segment had net sales of $737 million, up 17% from the same quarter last year. The success was attributed to its enterprise business, especially hyperscale and cloud data centers. COMM’s cash balance increased by $110 million in Q3. It ended the quarter with $456 million in global cash and total available cash and liquidity of over $1 billion.

CommScope Holding Company, Inc. (NASDAQ:COMM) is continuing to invest in capacity expansion that will put it on track to support demand in 2025. CEO Chuck Treadway believes CommScope Holding Company, Inc. (NASDAQ:COMM)’s future outlook is strong, with customers signaling robust growth in data centers over the coming years.

Hedge fund sentiment around the stock is improving as well. According to Insider Monkey’s database for Q3 2024, 38 hedge funds had investments in the company, up from 28 at the end of the second quarter. FPR Partners has the largest stake in COMM, valued at over $81.6 million, as of September 30, 2024.