The Computer – Networking industry is experiencing growth due to cloud computing, AI technology, 5G deployment, and IoT devices. Companies like Cisco, Extreme Networks, and RADCOM are capitalizing on the opportunity. However, economic uncertainty and competition pose challenges. Wi-Fi 7 upgrade cycle and innovation in networking technologies are key trends shaping the industry. The industry ranks in the top 40% of Zacks industries, showing bright prospects.

Innovations in networking technologies are driving business opportunities, with a focus on Smart Home products and IoT devices. The rapid deployment of 5G technology and the Wi-Fi 7 upgrade cycle are boosting growth prospects. However, global macroeconomic concerns and supply-chain dynamics remain challenging. The Zacks Industry Rank for the Computer – Networking industry is #99, indicating favorable near-term prospects.

The Zacks Computer – Networking industry has outperformed the S&P 500 and the broader Computer and Technology sector over the past year. The industry has gained 31.3%, surpassing the sector’s 18.3% rally. Based on forward P/E ratio, the industry is trading at 20.27X compared to the sector’s 27.18X. Cisco, Extreme Networks, and RADCOM are key players to watch in this sector.

Extreme Networks, a leader in AI-driven cloud networking solutions, is experiencing strong demand and revenue growth. The launch of Platform ONE and focus on subscription bookings are driving momentum. Cisco, a major player in networking, is leveraging AI for security and collaboration platforms. RADCOM specializes in cloud-native service assurance for 5G networks and is expanding globally with strategic partnerships. These companies show promise in the Computer – Networking industry.

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