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Motorola (MSI) Solutions Boost Japan Airport Communications

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Motorola Solutions, Inc. MSI recently announced that it will deploy the TETRA (Terrestrial Trunked Radio) communication system in the Kansai International Airport in Japan in a major boost to the South East Asian country’s tourism and aviation sector. With this, the company has deployed this mission-critical communication network in five airports in Japan, following the successful integration of Narita, Naha, Haneda and Chubu international airports between 2016 and 2019.

TETRA caters to the personalized network demands of different industries, ranging from aviation to logistics to oil and gas. It offers global Land Mobile Radio open standard for digital trunked radio technology that allows public safety professionals to ensure reliable and instant communications in mission-critical and business-critical environments. It also keeps a check on voice and data traffic with best-in-class security features to curtail consumer data breaches.

The deployment of TETRA in the five major airports of Japan, which handled nearly 200 million domestic and international travelers annually before the pandemic, is widely expected to be a boon for passenger traffic and international cargo as the country reopens its borders to foreigners. It will enable effective management of critical airport functions, including security, operations and baggage handling.

Motorola has also deployed several two-way radios across these airport facilities for seamless communications with air traffic control, runway management, security, ground staff, bus transit services and commercial airlines. These communication systems serve as the backbone of the aviation sector with a coordinated set of activities to manage passenger flows, support on-time performance and maintain security, safety and customer satisfaction and are resilient against typhoons, snow storms and other natural catastrophes.

As one of the top providers of mission-critical communication products and services, Motorola has ensured a steady revenue stream from this niche market. This communications equipment maker intends to strengthen its position in the public safety domain by entering into alliances with other players in the ecosystem. It is poised to benefit from organic growth and acquisition initiatives, disciplined capital deployment and a favorable global macroeconomic environment.

Motorola expects to witness strong demand across land mobile radio products, services and software. These systems drive demand for additional device sales and promote software upgrades and infrastructure expansion. The comprehensive suite of services ensures continuity and reduces risks related to critical communications operations.

Courtesy of such coveted product offerings, the company’s shares have gained 0.9% on average in the past year against the industry’s decline of 14.1%.

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Motorola currently carries a Zacks Rank #4 (Sell).

Clearfield, Inc. CLFD, sporting a Zacks Rank #1 (Strong Buy), is a solid pick for investors in the industry. You can see the complete list of today’s Zacks #1 Rank stocks here.

Clearfield delivered an earnings surprise of 37.5%, on average, in the trailing four quarters. Earnings estimates for the current year for the stock have moved up 114.7% since June 2021. Over the past year, Clearfield has gained a solid 73.4%.

InterDigital, Inc. IDCC also sports a Zacks Rank #1. It has a long-term earnings growth expectation of 15% and delivered a stellar earnings surprise of 141.1%, on average, in the trailing four quarters. Earnings estimates for the current year have moved up 69.1% since June 2021.

InterDigital is focused on pursuing agreements with unlicensed customers in the handset and consumer electronics markets. The company aims to become a leading designer and developer of technology solutions and innovation for the mobile industry, IoT and allied technology areas. InterDigital’s global footprint, diversified product portfolio and the ability to penetrate different markets are impressive.

Sierra Wireless, Inc. SWIR carries a Zacks Rank #2 (Buy). It has a long-term earnings growth expectation of 15% and delivered an earnings surprise of 223.7%, on average, in the trailing four quarters.

Over the past year, Sierra Wireless has gained 20.5%. Earnings estimates for the current year for the stock have moved up 616.7% since June 2021. The company continues to launch innovative products for business-critical operations that require high security and optimum 5G performance.


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