The exponential rise in demand for Internet-enabled devices is strongly pushing forth the segment responsible for the same. The digital transformation brought about by the effective implementation of Internet of Things (IoT) is promising, given the way it harnesses the power of real-time data and insights. This is why one could consider taking a closer look at the segment and keep a few stocks in mind for investments in the future.
The Internet of Things market, which amounted to $170.6 billion in 2017, is expected to reach $561.0 billion by 2022. The segment is anticipated to witness a compound annual growth rate of 26.9% during the forecast period of 2017-2022, according to MarketsandMarkets data.
The impressive growth anticipated in the segment is only justified, given the boom in development and demand for Internet-enabled products.
The demand for Internet-enabled products is understandable, given the ease in communication and connectivity they offer to their consumers, things and networks. After all, IoT forms the basis of the development of concepts such as smart cities where every aspect can be studied and controlled via Internet-enabled devices.
Second, IoT’s effectiveness in areas such as healthcare, manufacturing, transportation, utilities, logistics and grid has made it a popular technology that organizations are quickly switching to. Industrial and commercial markets’ fast adoption of the technology because of its ease of usage and efficiency is going to push the segment swiftly forward in the near future.
IoT’s effectiveness in the manufacturing sector, also known as industrial Internet of Things (IIoT), promises higher productivity and better management. The new system is effective in location-tracking, centralized monitoring and predicting faults for easy maintenance, thus fueling competence.
After all, fault-tracking in a gigantic industrial setup and maintenance can be time-consuming, thereby hindering production. But with IIoT systems that offer real-time data, locating faults become much easier, therefore improving performance and raising production.
Microsoft’s expected earnings growth rate for the current year is 20%. The Zacks Consensus Estimate for the company’s current-year earnings has moved 2.3% north in the past 60 days. Microsoft belongs to the Zacks Computer – Software industry.
Cisco Systems’ expected earnings growth rate for the current year is 1.6%. The Zacks Consensus Estimate for the company’s current-year earnings has moved 2.3% north in the past 60 days. Cisco Systems belongs to the Zacks Computer – Networking industry.
Apple’s expected earnings growth rate for the current year is 3.6%. The Zacks Consensus Estimate for the company’s current-year earnings has moved 0.8% north in the past 60 days. Apple belongs to the Zacks Computer – Mini computers industry.
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