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U.S. Financials Sector Analysis

UpdatedFeb 09, 2026
DataAggregated Company Financials
Companies1421
  • 7D1.3%
  • 3M2.5%
  • 1Y4.8%
  • YTD-1.0%

The Financials industry is up 1.3% in the last week, with Berkshire Hathaway up 4.5%. Meanwhile, S&P Global actually underperformed within the industry, shrinking 17% in the last week. This takes the industry's 12 month performance to a gain of 4.8%. Earnings are forecast to grow by 10% annually.

Sector Valuation and Performance

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

DateMarket CapRevenueEarningsPEAbsolute PEPS
Mon, 09 Feb 2026US$10.4tUS$3.3tUS$569.1b12.8x18.2x3.2x
Wed, 07 Jan 2026US$10.8tUS$3.2tUS$552.0b12.8x19.5x3.4x
Fri, 05 Dec 2025US$10.3tUS$3.2tUS$552.6b12.5x18.6x3.3x
Sun, 02 Nov 2025US$10.0tUS$3.1tUS$542.7b12x18.5x3.2x
Tue, 30 Sep 2025US$10.4tUS$3.3tUS$517.8b12.9x20.2x3.1x
Thu, 28 Aug 2025US$10.3tUS$3.3tUS$517.9b13.1x20x3.1x
Sat, 26 Jul 2025US$10.2tUS$3.0tUS$532.9b12.9x19.1x3.4x
Mon, 23 Jun 2025US$9.5tUS$3.0tUS$525.5b12.3x18x3.1x
Wed, 21 May 2025US$9.7tUS$3.0tUS$523.7b12.8x18.6x3.2x
Fri, 18 Apr 2025US$8.8tUS$3.0tUS$549.8b11.3x16x3x
Sun, 16 Mar 2025US$9.2tUS$3.0tUS$545.1b12x16.9x3.1x
Tue, 11 Feb 2025US$10.0tUS$3.0tUS$553.4b12.7x18x3.4x
Thu, 09 Jan 2025US$9.3tUS$2.9tUS$505.7b12.7x18.4x3.2x
Sat, 07 Dec 2024US$9.7tUS$2.9tUS$504.7b13.6x19.3x3.3x
Mon, 04 Nov 2024US$8.9tUS$2.9tUS$472.6b12.6x18.9x3.1x
Wed, 02 Oct 2024US$8.7tUS$2.8tUS$466.4b12.2x18.6x3.1x
Fri, 30 Aug 2024US$8.6tUS$2.8tUS$465.9b12.5x18.4x3x
Sun, 28 Jul 2024US$8.4tUS$2.8tUS$467.8b12.5x17.9x3x
Tue, 25 Jun 2024US$7.9tUS$2.8tUS$463.0b10.6x17x2.8x
Thu, 23 May 2024US$8.1tUS$2.8tUS$463.1b11x17.5x2.9x
Sat, 20 Apr 2024US$7.6tUS$2.7tUS$474.3b10.4x16.1x2.8x
Mon, 18 Mar 2024US$7.8tUS$2.7tUS$473.0b10.5x16.4x2.9x
Wed, 14 Feb 2024US$7.4tUS$2.7tUS$433.8b10.4x17.1x2.7x
Fri, 12 Jan 2024US$7.4tUS$2.7tUS$447.7b11.2x16.6x2.7x
Sun, 10 Dec 2023US$6.9tUS$2.7tUS$446.6b11x15.4x2.6x
Tue, 07 Nov 2023US$6.6tUS$2.7tUS$437.4b10.7x15x2.4x
Thu, 05 Oct 2023US$6.5tUS$2.7tUS$430.9b10.2x15x2.4x
Sat, 02 Sep 2023US$6.8tUS$2.7tUS$435.0b10.7x15.7x2.6x
Mon, 31 Jul 2023US$6.9tUS$2.6tUS$351.1b11.3x19.6x2.6x
Wed, 28 Jun 2023US$6.4tUS$2.6tUS$341.2b10.4x18.8x2.5x
Fri, 26 May 2023US$6.2tUS$2.6tUS$341.5b10.3x18.1x2.4x
Sun, 23 Apr 2023US$6.5tUS$2.6tUS$323.5b10.5x20x2.5x
Tue, 21 Mar 2023US$5.0tUS$2.4tUS$307.0b10.6x16.4x2.1x
Thu, 16 Feb 2023US$5.9tUS$2.4tUS$341.3b11.8x17.2x2.5x
Price to Earnings Ratio

17.2x


Total Market Cap: US$5.9tTotal Earnings: US$341.3bTotal 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-0.071%
Financials1.26%
Banks5.67%
Diversified Financial2.51%
Insurance1.63%
Consumer Finance0.51%
Mortgage Finance0%0
Mortgage REITs-0.26%
Capital Markets-4.27%
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 (12.6%) 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 21% over the next 5 years.
  • This is better than its past earnings decline of 4.8% per year.
  • In contrast, the Insurance industry is expected to see its earnings grow by 4.8% 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$762.57k4.5%
+US$47.7b		8.0%PE16.3x
JPM JPMorgan ChaseUS$322.404.6%
+US$38.4b		18.9%PB2.5x
BAC Bank of AmericaUS$56.534.6%
+US$18.0b		21.1%PB1.5x
C CitigroupUS$122.695.6%
+US$11.3b		52.0%PB1.1x
CB ChubbUS$330.976.3%
+US$7.0b		24.2%PE12.6x

Latest News

KKR
US$103.20
KKR
7D
-9.8%
1Y
-30.2%
CB
US$330.97
Chubb
7D
6.3%
1Y
24.2%
WFC
US$93.97
Wells Fargo
7D
1.8%
1Y
18.8%

WFC: Future Returns Will Reflect ROTCE Expansion And Mixed 2026 Sector Tailwinds

Analysts have raised their price target on Wells Fargo, with our fair value estimate moving to $101.25 from $100.44. This change reflects updated assumptions for slightly stronger profit margins, a lower discount rate, and modestly lower revenue growth and future P/E, in line with recent mixed target changes across the Street.
BAC
US$56.53
Bank of America
7D
4.6%
1Y
21.1%
SPGI
US$439.28
S&P Global
7D
-16.8%
1Y
-15.4%
C
US$122.69
Citigroup
7D
5.6%
1Y
52.0%
USB
US$60.69
U.S. Bancorp
7D
5.8%
1Y
29.5%

USB: Capital Markets Expansion And Buybacks Will Shape A Balanced Outlook

The updated analyst price target for U.S. Bancorp edges up by about US$1 to just over US$62. Analysts are factoring in slightly higher fair value, a lower discount rate, expectations for improved profit margins, and a more conservative future P/E multiple following a series of recent target hikes across the Street.
PYPL
US$40.42
PayPal Holdings
7D
-22.8%
1Y
-48.3%

PYPL: AI Commerce Partnerships And Buybacks Will Drive Future Reassessment

The analyst price target for PayPal Holdings has been revised from $105.86 to $79.19. This reflects analysts' updates to fair value, growth, profitability and future P/E assumptions following a broad wave of target cuts and rating changes across the Street.
BLK
US$1,056.38
BlackRock
7D
-5.7%
1Y
7.2%
JPM
US$322.40
JPMorgan Chase
7D
4.6%
1Y
18.9%

JPM: Premium Pricing Will Face Test From Credit And Regulatory Pressures

Analysts have nudged their price targets on JPMorgan Chase higher, citing continued best in class execution, refreshed earnings estimates, and support from factors like balance sheet growth, capital return capacity, and potential benefits from partnerships such as the Apple Card program transfer. Analyst Commentary Recent research has generally framed JPMorgan as a high quality bank with strong execution, but not all commentary is unqualifiedly positive.
HOOD
US$82.82
Robinhood Markets
7D
-16.7%
1Y
48.3%
MS
US$179.96
Morgan Stanley
7D
-2.8%
1Y
31.1%

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).
BX
US$129.69
Blackstone
7D
-8.2%
1Y
-23.1%

Blackstone (NYSE:BX) Is Increasing Its Dividend To $1.49

Feb 02
Blackstone (NYSE:BX) Is Increasing Its Dividend To $1.49
MCO
US$452.49
Moody's
7D
-12.5%
1Y
-10.3%
PNC
US$242.48
PNC Financial Services Group
7D
6.5%
1Y
22.9%

PNC: Higher Earnings Power And FirstBank Deal May Support Rerating

Analysts lifted their fair value estimate for PNC Financial Services Group by about $9.81 to $245.93, citing updated assumptions for modestly higher revenue growth and profit margins, along with a slightly lower discount rate and a recalibrated future P/E multiple in line with recent Street price target increases from firms including TD Cowen, HSBC and Evercore ISI. Analyst Commentary Recent Street research on PNC Financial Services Group centers on a series of higher price targets, updated earnings assumptions, and differing views on how quickly regional banks might regain favor with investors.
BRK.A
US$762,569.63
Berkshire Hathaway
7D
4.5%
1Y
8.0%