Is Sierra Wireless Stock a Buy?
The Internet of Things hasn't been the boon to connectivity chipmaker Sierra Wireless (NASDAQ: SWIR) that many investors thought it would be. Hardware in the industry has been commoditized, the company is still working on its 5G mobile networks technology, and software and services (where the money really is) haven't equated to growth for Sierra. Adding a U.S.-China trade war to the mix in 2018 and 2019 didn't help matters.
If the small hardware outfit wasn't floundering enough, the global spread of COVID-19 has come at a particularly inopportune time for the company. While many chipmakers started to show signs of a rebound late in 2019, Sierra was still forecasting another decline in sales for 2020. Things are thus likely to get a lot worse before they get better.
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Source Fool.com
