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U.S. Tech Sector Analysis

UpdatedJan 19, 2026
DataAggregated Company Financials
Companies988
  • 7D-0.7%
  • 3M-2.2%
  • 1Y21.4%
  • YTD-0.5%

Over the last 7 days, the Tech industry has remained flat, although notably Advanced Micro Devices gained 12%. The past year has been better, since the industry has gained 21% in that time. Looking forward, earnings are forecast to grow by 20% annually.

Sector Valuation and Performance

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

DateMarket CapRevenueEarningsPEAbsolute PEPS
Mon, 19 Jan 2026US$22.4tUS$2.6tUS$500.6b31.7x44.7x8.8x
Wed, 17 Dec 2025US$22.2tUS$2.6tUS$503.6b30.5x44x8.6x
Fri, 14 Nov 2025US$23.2tUS$2.5tUS$478.4b29.7x48.5x9.1x
Sun, 12 Oct 2025US$22.2tUS$2.5tUS$439.1b30.5x50.5x8.9x
Tue, 09 Sep 2025US$20.9tUS$2.5tUS$435.1b29.1x47.9x8.5x
Thu, 07 Aug 2025US$20.7tUS$2.4tUS$413.9b27.4x50x8.6x
Sat, 05 Jul 2025US$20.1tUS$2.4tUS$393.2b29.4x51.1x8.4x
Mon, 02 Jun 2025US$17.9tUS$2.4tUS$390.3b27x46x7.6x
Wed, 30 Apr 2025US$16.1tUS$2.3tUS$385.4b25.4x41.7x6.9x
Fri, 28 Mar 2025US$16.5tUS$2.3tUS$385.4b27.2x42.8x7.1x
Sun, 23 Feb 2025US$18.4tUS$2.3tUS$369.5b30.2x49.8x8x
Tue, 21 Jan 2025US$18.4tUS$2.3tUS$367.0b33.9x50x8.1x
Thu, 19 Dec 2024US$18.9tUS$2.3tUS$363.6b32.2x51.9x8.4x
Sat, 16 Nov 2024US$18.2tUS$2.2tUS$351.3b32.1x51.7x8.1x
Mon, 14 Oct 2024US$17.6tUS$2.2tUS$378.2b30.4x46.6x8.1x
Wed, 11 Sep 2024US$15.8tUS$2.2tUS$375.1b27.5x42.2x7.3x
Fri, 09 Aug 2024US$15.1tUS$2.1tUS$370.2b28.3x40.7x7x
Sun, 07 Jul 2024US$17.5tUS$2.1tUS$362.9b30.4x48.2x8.3x
Tue, 04 Jun 2024US$15.1tUS$2.1tUS$351.1b29.5x43x7.3x
Thu, 02 May 2024US$13.8tUS$2.0tUS$335.4b27.9x41.3x6.8x
Sat, 30 Mar 2024US$14.8tUS$2.0tUS$328.0b28.3x45x7.2x
Mon, 26 Feb 2024US$14.4tUS$2.0tUS$322.4b27.5x44.8x7.1x
Wed, 24 Jan 2024US$14.0tUS$2.0tUS$292.1b26.6x48.1x6.8x
Fri, 22 Dec 2023US$13.2tUS$2.1tUS$292.5b26.4x45.2x6.4x
Sun, 19 Nov 2023US$12.6tUS$2.0tUS$281.5b24.5x44.7x6.2x
Tue, 17 Oct 2023US$11.9tUS$2.0tUS$270.2b24.8x43.9x5.8x
Thu, 14 Sep 2023US$11.9tUS$2.0tUS$273.3b23.8x43.6x5.8x
Sat, 12 Aug 2023US$11.6tUS$2.0tUS$263.3b25.2x43.9x5.7x
Mon, 10 Jul 2023US$11.9tUS$2.0tUS$258.1b24.5x46x5.9x
Wed, 07 Jun 2023US$11.5tUS$2.0tUS$264.1b24.4x43.5x5.7x
Fri, 05 May 2023US$10.1tUS$2.0tUS$261.3b21.3x38.7x5x
Sun, 02 Apr 2023US$10.4tUS$2.0tUS$275.0b23.4x37.9x5.1x
Tue, 28 Feb 2023US$10.7tUS$2.3tUS$296.0b23.1x36.2x4.8x
Thu, 26 Jan 2023US$10.5tUS$2.3tUS$324.9b23.8x32.3x4.7x
Price to Earnings Ratio

32.3x


Total Market Cap: US$10.5tTotal Earnings: US$324.9bTotal Revenue: US$2.3tTotal Market Cap vs Earnings and Revenue0%0%0%
U.S. Tech Sector Price to Earnings3Y Average 45.1x202420252026
Current Industry PE
  • Investors are relatively neutral on the American Information Technology 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 45.1x.
  • The 3-year average PS ratio of 7.1x is lower than the industry's current PS ratio of 8.8x.
Past Earnings Growth
  • The earnings for companies in the Information Technology industry have grown 15% per year over the last three years.
  • Revenues for these companies have grown 4.4% 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. Tech sector?

US Market-0.29%
Tech-0.67%
Electronic Equipment and Components7.20%
Communications2.68%
Semiconductors2.03%
IT-0.26%
Tech Hardware-0.99%
Software-5.04%
Industry PE
  • Investors are most optimistic about the IT industry even though it's trading below its 3-year average PE ratio of 68.9x.
    • Analysts expect its future annual earnings growth (19.3%) to be largely in line with prior year's earnings growth.
  • Investors are most pessimistic about the Tech Hardware industry, although it looks like investor sentiment has improved given that it's trading above its 3-year average of 32.4x.
Forecasted Growth
  • Analysts are most optimistic on the Semiconductors industry, expecting annual earnings growth of 25% over the next 5 years.
  • This is better than its past earnings growth rate of 4.4% per year.
  • In contrast, the Tech Hardware industry is expected to see its earnings grow by 9.5% 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
AMD Advanced Micro DevicesUS$231.8311.6%
+US$39.3b		90.9%PE120.5x
NVDA NVIDIAUS$186.230.7%
+US$31.3b		35.2%PE45.6x
MU Micron TechnologyUS$362.754.9%
+US$19.0b		243.0%PE34.3x
KLAC KLAUS$1.57k9.8%
+US$18.3b		107.0%PE48.6x
AMAT Applied MaterialsUS$327.016.4%
+US$15.7b		70.3%PE37.1x

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