ew York (CNN Business)Inflation concerns have made it a brutal year for stocks, but wireless service is one area where prices aren't rising much — and the sector has been a bright spot on Wall Street.
So far in 2022, shares of T-Mobile (TMUS) are up 10% and AT&T's (T) stock has gained about 12%. Verizon (VZ) is still in the red, but it is down "just" 4%
Analysts are forecasting about a 1% to 2% increase in revenue for all three companies in 2022.
T-Mobile has been strengthened by its acquisition of Sprint and analysts are bullish on the stock thanks to big subscriber gains and an aggressive rollout of its high-speed 5G network.
Meanwhile AT&T has benefited from becoming more of a pure-play telecom once again. The company spun off WarnerMedia earlier this year and that unit merged with media company Discovery Communications to create Warner Bros. Discovery.
As for Verizon, it may be due for a comeback: It was the second-worst Dow stock last year, trailing only Disney (DIS).
AT&T and T-Mobile still better bets than Verizon
Yet there may be good reasons why Verizon could continue to lag behind Ma Bell and T-Mobile.
Verizon is the "elder statesman of the wireless industry," said Craig Moffett, an analyst with MoffettNathanson, after Verizon's most recent earnings report last month. Moffett noted that Verizon's growth potential is less exciting than AT&T's and T-Mobile's.
Moffett is also confident that T-Mobile can continue to thrive.
"T-Mobile is still the industry's upstart, and their investors demand subscriber growth. With a still-long runway in rural and business, and the industry's lowest prices, they are well positioned to deliver," he wrote.
Warren Buffett's Berkshire Hathaway (BRKB) also has a stake in T-Mobile. But the Oracle of Omaha's firm recently sold off nearly all of its stake in Verizon.