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U.S. Financials Sector Analysis

UpdatedFeb 17, 2026
DataAggregated Company Financials
Companies1425
  • 7D-3.9%
  • 3M1.4%
  • 1Y0.3%
  • YTD-5.3%

Over the last 7 days, the Financials industry has dropped 4.3%, driven by a pullback from JPMorgan Chase of 6.1%. As for the longer term, the industry's performance has been flat for the past year. As for the next few years, earnings are expected to grow by 10% per annum.

Sector Valuation and Performance

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

DateMarket CapRevenueEarningsPEAbsolute PEPS
Tue, 17 Feb 2026US$9.9tUS$3.3tUS$565.0b12.6x17.6x3x
Thu, 15 Jan 2026US$10.4tUS$3.2tUS$552.4b12.8x18.9x3.3x
Sat, 13 Dec 2025US$10.5tUS$3.2tUS$552.5b13x19.1x3.3x
Mon, 10 Nov 2025US$10.1tUS$3.2tUS$554.4b12.1x18.2x3.2x
Wed, 08 Oct 2025US$10.4tUS$3.3tUS$517.3b12.9x20x3.1x
Fri, 05 Sep 2025US$10.3tUS$3.3tUS$517.7b13.2x19.9x3.1x
Sun, 03 Aug 2025US$9.9tUS$3.0tUS$538.8b12.1x18.3x3.2x
Tue, 01 Jul 2025US$9.8tUS$3.0tUS$525.6b12.8x18.7x3.3x
Thu, 29 May 2025US$9.6tUS$3.0tUS$524.1b12.5x18.3x3.2x
Sat, 26 Apr 2025US$9.1tUS$3.0tUS$548.3b11.9x16.7x3.1x
Mon, 24 Mar 2025US$9.4tUS$3.0tUS$544.7b12.1x17.2x3.2x
Wed, 19 Feb 2025US$9.9tUS$3.0tUS$558.2b12.8x17.8x3.4x
Fri, 17 Jan 2025US$9.5tUS$2.9tUS$528.8b12.9x18x3.3x
Sun, 15 Dec 2024US$9.6tUS$2.9tUS$504.7b13.6x19x3.3x
Tue, 12 Nov 2024US$9.5tUS$2.9tUS$504.7b13.5x18.8x3.3x
Thu, 10 Oct 2024US$8.7tUS$2.8tUS$466.9b12.4x18.6x3.1x
Sat, 07 Sep 2024US$8.4tUS$2.8tUS$465.9b12.1x18.1x3x
Mon, 05 Aug 2024US$8.0tUS$2.8tUS$470.3b12x17x2.9x
Wed, 03 Jul 2024US$7.9tUS$2.8tUS$461.2b11.1x17.1x2.8x
Fri, 31 May 2024US$7.9tUS$2.8tUS$463.2b10.8x17x2.8x
Sun, 28 Apr 2024US$7.8tUS$2.7tUS$480.5b10.7x16.3x2.9x
Tue, 26 Mar 2024US$7.9tUS$2.7tUS$473.0b10.8x16.8x2.9x
Thu, 22 Feb 2024US$7.5tUS$2.7tUS$436.8b10.6x17.3x2.8x
Sat, 20 Jan 2024US$7.3tUS$2.7tUS$426.0b11.4x17.2x2.7x
Mon, 18 Dec 2023US$7.3tUS$2.7tUS$446.6b11.5x16.4x2.7x
Wed, 15 Nov 2023US$6.6tUS$2.7tUS$446.9b10.9x14.7x2.4x
Fri, 13 Oct 2023US$6.5tUS$2.7tUS$431.0b10.2x15.2x2.5x
Sun, 10 Sep 2023US$6.5tUS$2.7tUS$430.7b10.5x15.2x2.5x
Tue, 08 Aug 2023US$6.9tUS$2.7tUS$428.8b11.2x16.2x2.6x
Thu, 06 Jul 2023US$6.6tUS$2.6tUS$342.9b10.6x19.1x2.5x
Sat, 03 Jun 2023US$6.4tUS$2.6tUS$341.0b10.5x18.6x2.5x
Mon, 01 May 2023US$6.4tUS$2.6tUS$320.2b10.3x20.1x2.5x
Wed, 29 Mar 2023US$6.2tUS$2.6tUS$319.6b10.7x19.4x2.4x
Fri, 24 Feb 2023US$5.7tUS$2.4tUS$334.3b11.7x17.1x2.4x
Price to Earnings Ratio

17.1x


Total Market Cap: US$5.7tTotal Earnings: US$334.3bTotal Revenue: US$2.4tTotal Market Cap vs Earnings and Revenue0%0%0%
U.S. Financials Sector Price to Earnings3Y Average 17.8x202420252026
Current Industry PE
  • Investors are relatively neutral on the American Financials 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 17.8x.
  • The industry is trading close to its 3-year average PS ratio of 2.9x.
Past Earnings Growth
  • The earnings for companies in the Financials industry have grown 19% per year over the last three years.
  • Revenues for these companies have grown 11% 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. Financials sector?

US Market-1.93%
Financials-3.91%
Mortgage REITs0.79%
Insurance0.48%
Mortgage Finance0%0
Diversified Financial-2.18%
Capital Markets-5.47%
Banks-5.67%
Consumer Finance-6.26%
Industry PE
  • Investors are most optimistic about the Capital Markets industry, which is trading close to its 3-year average PE ratio of 25.7x.
    • Analysts expect its future annual earnings growth (13.1%) to be largely in line with prior year's earnings growth.
  • Investors are most pessimistic about the Insurance industry, which is trading below its 3-year average of 18.5x.
Forecasted Growth
  • Analysts are most optimistic on the Mortgage REITs industry, expecting annual earnings growth of 20% over the next 5 years.
  • This is better than its past earnings decline of 5.9% per year.
  • In contrast, the Insurance industry is expected to see its earnings grow by 4.1% 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
BRK.A Berkshire HathawayUS$751.42k0.5%
+US$5.2b		4.5%PE16x
AON AonUS$321.703.7%
+US$2.2b		-16.9%PE18.7x
ALL AllstateUS$207.513.8%
+US$2.0b		10.6%PE5.3x
PGR ProgressiveUS$204.531.5%
+US$1.8b		-22.1%PE10.6x
AIG American International GroupUS$78.274.5%
+US$1.6b		5.3%PE13.6x

Latest News

MA
US$518.36
Mastercard
7D
-3.2%
1Y
-8.2%

The Mastercard Incorporated (NYSE:MA) Yearly Results Are Out And Analysts Have Published New Forecasts

Feb 15
The Mastercard Incorporated (NYSE:MA) Yearly Results Are Out And Analysts Have Published New Forecasts
JPM
US$302.55
JPMorgan Chase
7D
-6.1%
1Y
9.4%
AIG
US$78.27
American International Group
7D
4.5%
1Y
5.3%

AIG: Future Capital Discipline And Softening P&C Cycle Will Shape Re Rating

The updated analyst price target for American International Group now reflects a modest downward adjustment of about $0.10, as analysts balance slightly firmer assumptions for revenue growth and profit margins with a higher discount rate and mixed recent price target revisions across the Street. Analyst Commentary Street research on American International Group has been mixed recently, with both price target increases and reductions clustered over the past few months.
MRSH
US$174.06
Marsh & McLennan Companies
7D
1.7%
1Y
-23.9%
AON
US$321.70
Aon
7D
3.7%
1Y
-16.9%
AFL
US$114.91
Aflac
7D
1.5%
1Y
11.2%
PRU
US$104.61
Prudential Financial
7D
2.4%
1Y
-6.2%
BRK.A
US$751,424.99
Berkshire Hathaway
7D
0.5%
1Y
4.5%
SCHW
US$93.72
Charles Schwab
7D
-12.6%
1Y
16.7%
BAC
US$52.55
Bank of America
7D
-6.8%
1Y
11.9%

BAC: Net Interest Income And Expense Discipline Will Drive Future Earnings Power

Analysts nudged their fair value target for Bank of America slightly lower to about US$62.23, reflecting a mix of recent Street price target moves and updated assumptions around the discount rate, revenue growth, profit margins, and future P/E expectations. Analyst Commentary Street research on Bank of America is mixed, with several firms tweaking price targets and ratings as they reassess earnings power, valuation, and execution risks.
WFC
US$86.98
Wells Fargo
7D
-8.1%
1Y
8.8%
PGR
US$204.53
Progressive
7D
1.5%
1Y
-22.1%

PGR: Underwriting Strength And Policy Momentum Will Support Earnings Through Cycle Changes

Analysts have trimmed their price targets on Progressive, with the updated fair value estimate moving from about $325 to about $303 as they factor in expectations for softer revenue growth, a slightly higher discount rate, a lower future P/E, and modestly higher profit margins. Analyst Commentary Recent Street research around Progressive has been mixed, but there are several clear positive threads that stand out for investors watching how professionals are framing the story.
ALL
US$207.51
Allstate
7D
3.8%
1Y
10.6%
C
US$110.86
Citigroup
7D
-10.4%
1Y
31.0%
V
US$314.08
Visa
7D
-3.5%
1Y
-11.2%

V: Stablecoin Settlement And Advisory Work Will Sustain Cross Border Network Moat

Our analyst price target for Visa has been trimmed by about US$1 to reflect a slightly lower fair value and P/E assumption, even as analysts highlight constructive views following recent upgrades and mixed target resets across the Street. Analyst Commentary Recent Street research on Visa reflects a mix of upbeat ratings shifts and recalibrated price targets, giving you a more balanced picture of how analysts are thinking about valuation, execution and growth prospects.
MS
US$171.15
Morgan Stanley
7D
-6.1%
1Y
23.2%

MS: Future Returns Will Rely On Buybacks And Higher Profitability

Analysts have raised their fair value estimate for Morgan Stanley from US$202.00 to US$221.00, citing updated assumptions for revenue growth, profit margins, the discount rate, and future P/E levels. What's in the News Morgan Stanley reported fourth quarter 2025 charge-offs of $87 million, primarily tied to a single commercial real estate loan that had been largely provisioned for in earlier periods (Key Developments).