Header cover image

U.S. Telecom Sector Analysis

UpdatedMay 08, 2024
DataAggregated Company Financials
Companies441
  • 7D5.2%
  • 3M7.5%
  • 1Y44.5%
  • YTD18.4%

Over the last 7 days, the Telecom industry has risen 5.2%, driven by gains from Meta Platforms of 7.6%. This means that the industry has gained 44% over the past year. As for the next few years, earnings are expected to grow by 15% per annum.

Sector Valuation and Performance

Has the U.S. Telecom Sector valuation changed over the past few years?

DateMarket CapRevenueEarningsPEAbsolute PEPS
Thu, 09 May 2024US$5.2tUS$1.5tUS$193.7b18.2x26.9x3.4x
Sat, 06 Apr 2024US$5.1tUS$1.5tUS$176.0b19.4x28.9x3.4x
Mon, 04 Mar 2024US$4.9tUS$1.5tUS$174.3b16.9x28x3.2x
Wed, 31 Jan 2024US$5.0tUS$1.5tUS$145.5b15.4x34.5x3.3x
Fri, 29 Dec 2023US$4.6tUS$1.5tUS$128.0b15.1x36.3x3.1x
Sun, 26 Nov 2023US$4.5tUS$1.5tUS$128.3b16x35.2x3x
Tue, 24 Oct 2023US$4.3tUS$1.5tUS$102.5b14.2x42x2.9x
Thu, 21 Sep 2023US$4.3tUS$1.5tUS$104.4b14x41x2.9x
Sat, 19 Aug 2023US$4.2tUS$1.5tUS$102.8b14.5x40.7x2.8x
Mon, 17 Jul 2023US$4.3tUS$1.5tUS$106.8b16.6x40x2.9x
Wed, 14 Jun 2023US$4.1tUS$1.5tUS$107.1b17.2x38.5x2.8x
Fri, 12 May 2023US$3.9tUS$1.5tUS$105.3b17.4x36.9x2.6x
Sun, 09 Apr 2023US$3.8tUS$1.5tUS$115.4b16.3x33.3x2.6x
Tue, 07 Mar 2023US$3.6tUS$1.5tUS$113.7b19x31.4x2.4x
Thu, 02 Feb 2023US$3.7tUS$1.5tUS$141.2b19x26.1x2.5x
Sat, 31 Dec 2022US$3.2tUS$1.5tUS$166.4b15.2x19.1x2.1x
Mon, 28 Nov 2022US$3.3tUS$1.5tUS$165.9b18.2x20x2.2x
Wed, 26 Oct 2022US$3.5tUS$1.5tUS$187.1b15.2x18.5x2.3x
Fri, 23 Sep 2022US$3.4tUS$1.5tUS$187.6b14.6x18x2.3x
Sun, 21 Aug 2022US$3.9tUS$1.5tUS$186.4b17.6x21x2.6x
Tue, 19 Jul 2022US$2.4tUS$1.5tUS$214.3b15.7x11.1x1.6x
Thu, 16 Jun 2022US$4.3tUS$1.5tUS$214.0b17.2x20.2x2.9x
Sat, 14 May 2022US$4.0tUS$1.5tUS$219.2b17.2x18.2x2.7x
Mon, 11 Apr 2022US$4.6tUS$1.4tUS$223.8b20x20.7x3.2x
Wed, 09 Mar 2022US$4.4tUS$1.4tUS$225.7b16.9x19.3x3x
Fri, 04 Feb 2022US$4.9tUS$1.4tUS$218.4b19.5x22.5x3.5x
Sun, 02 Jan 2022US$5.5tUS$1.4tUS$194.7b20x28.3x3.9x
Tue, 30 Nov 2021US$5.6tUS$1.4tUS$194.5b19.8x29x4x
Thu, 28 Oct 2021US$5.7tUS$1.4tUS$194.1b25.5x29.6x4.2x
Sat, 25 Sep 2021US$5.9tUS$1.3tUS$179.1b23.5x32.9x4.4x
Mon, 23 Aug 2021US$5.9tUS$1.3tUS$179.8b24.8x32.6x4.4x
Sat, 10 Jul 2021US$5.7tUS$1.3tUS$174.1b26.3x32.9x4.3x
Price to Earnings Ratio

42.2x


Total Market Cap: US$5.5tTotal Earnings: US$130.4bTotal Revenue: US$1.3tTotal Market Cap vs Earnings and Revenue0%0%0%
U.S. Telecom Sector Price to Earnings3Y Average 29x202220232024
Current Industry PE
  • Investors are relatively neutral on the American Communication Services industry at the moment, indicating that they anticipate long term growth rates to remain steady.
  • The industry is trading close to its 3-year average PE ratio of 29.0x.
  • The industry is trading close to its 3-year average PS ratio of 3.1x.
Past Earnings Growth
  • The earnings for companies in the Communication Services industry have grown 14% per year over the last three years.
  • Revenues for these companies have grown 6.6% per year.
  • This means that more sales are being generated by these companies overall, and subsequently their profits are increasing too.

Industry Trends

Which industries have driven the changes within the U.S. Telecom sector?

US Market3.31%
Telecom5.24%
Interactive Media and Services6.66%
Entertainment3.69%
Media3.38%
Telecom Services and Carriers0.67%
Wireless Telecom-1.04%
Industry PE
  • Investors are most optimistic about the Entertainment industry which is trading above its 3-year average PE ratio.
    • Analysts are expecting annual earnings growth of 27.3%, which is lower than the prior year's growth of 33.8% per year.
  • Investors are most pessimistic about the Telecom Services and Carriers industry, although it looks like investor sentiment has improved given that it's trading above its 3-year average.
Forecasted Growth
  • Analysts are most optimistic on the Entertainment industry, expecting annual earnings growth of 27% over the next 5 years.
  • This is roughly in line with its past earnings growth rate.
  • In contrast, the Telecom Services and Carriers industry is expected to see its earnings grow by 9.9% per year over the next few years.

Top Stock Gainers and Losers

Which companies have driven the market over the last 7 days?

CompanyLast Price7D1YValuation
META Meta PlatformsUS$472.607.6%
+US$84.7b		102.8%PE26.2x
GOOGL AlphabetUS$169.383.4%
+US$68.2b		51.6%PE25.4x
NFLX NetflixUS$609.4710.5%
+US$24.9b		81.7%PE40.8x
CMCSA ComcastUS$39.052.2%
+US$3.3b		-2.0%PE9.9x
SPOT Spotify TechnologyUS$298.655.0%
+US$2.8b		102.1%PS4x
Simply Wall St™
Simply Wall Street Pty Ltd
Level 7, 320 Pitt Street, Sydney
Download on the App StoreGet it on Google Play
Popular Markets
USAUUKINCAZA
About UsCareersPlansLogin
Help CenterLatest CoveragePodcastsAffiliate ProgramBusiness & Enterprise
Financial Services GuideTerms and ConditionsPrivacy Policy
Simply Wall Street Pty Ltd (ACN 600 056 611), is a Corporate Authorised Representative (Authorised Representative Number: 467183) of Sanlam Private Wealth Pty Ltd (AFSL No. 337927). Any advice contained in this website is general advice only and has been prepared without considering your objectives, financial situation or needs. You should not rely on any advice and/or information contained in this website and before making any investment decision we recommend that you consider whether it is appropriate for your situation and seek appropriate financial, taxation and legal advice. Please read our Financial Services Guide before deciding whether to obtain financial services from us.

Latest News

TRIP

US$18.16

Tripadvisor

7D

-31.0%

1Y

15.0%

SATS

US$15.45

EchoStar

7D

-4.2%

1Y

2.1%

EA

US$125.24

Electronic Arts

7D

-2.3%

1Y

0.4%

MTCH

US$29.82

Match Group

7D

-4.4%

1Y

-7.8%

ZI

US$12.14

ZoomInfo Technologies

7D

-25.8%

1Y

-42.5%

TMUS

US$162.83

T-Mobile US

7D

-1.6%

1Y

14.6%

DIS

US$105.44

Walt Disney

7D

-4.6%

1Y

4.3%

BIDU

US$109.60

Baidu

7D

5.1%

1Y

-7.8%

Baidu Is Poised To Make The Most Of China's AI Comeback

May 07

META

US$472.60

Meta Platforms

7D

7.6%

1Y

102.8%

Meta Platforms: Wall Street Is Wrong - Aggressive AI Investment And Unfettered Bullishness

May 07

SPOT

US$298.65

Spotify Technology

7D

5.0%

1Y

102.1%

Spotify Technology S.A.'s (NYSE:SPOT) Popularity With Investors Is Clear

May 06
Spotify Technology S.A.'s (NYSE:SPOT) Popularity With Investors Is Clear

GOOGL

US$169.38

Alphabet

7D

3.4%

1Y

51.6%

Alphabet's Clear Plan To Monetize AI: Why I'm Reiterating My Buy Rating

May 03

SE

US$66.75

Sea

7D

6.4%

1Y

-22.0%

We Think Sea's (NYSE:SE) Robust Earnings Are Conservative

May 03
We Think Sea's (NYSE:SE) Robust Earnings Are Conservative

CHTR

US$272.78

Charter Communications

7D

5.0%

1Y

-19.8%

Charter Communications, Inc. (NASDAQ:CHTR) Just Reported First-Quarter Earnings: Have Analysts Changed Their Mind On The Stock?

Apr 30
Charter Communications, Inc. (NASDAQ:CHTR) Just Reported First-Quarter Earnings: Have Analysts Changed Their Mind On The Stock?

NFLX

US$609.47

Netflix

7D

10.5%

1Y

81.7%

CMCSA

US$39.05

Comcast

7D

2.2%

1Y

-2.0%

Earnings Beat: Comcast Corporation Just Beat Analyst Forecasts, And Analysts Have Been Updating Their Models

Apr 28
Earnings Beat: Comcast Corporation Just Beat Analyst Forecasts, And Analysts Have Been Updating Their Models

IAS

US$8.37

Integral Ad Science Holding

7D

-13.8%

1Y

-44.9%