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U.S. Tech Sector Analysis

UpdatedSep 07, 2024
DataAggregated Company Financials
Companies918
  • 7D-7.0%
  • 3M-3.3%
  • 1Y27.6%
  • YTD18.0%

Over the last 7 days, the Tech industry has dropped 7.0%, driven by a pullback from NVIDIA of 14%. On the other hand Samsara is actually up 7.2%. This takes the industry's 12 month performance to a gain of 28%. Looking forward, earnings are forecast to grow by 17% annually.

Sector Valuation and Performance

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

DateMarket CapRevenueEarningsPEAbsolute PEPS
Sat, 07 Sep 2024US$15.6tUS$2.2tUS$374.5b27.2x41.7x7.2x
Mon, 05 Aug 2024US$15.6tUS$2.1tUS$363.3b29.6x42.9x7.3x
Wed, 03 Jul 2024US$17.1tUS$2.1tUS$362.9b30.7x47x8.1x
Fri, 31 May 2024US$15.1tUS$2.1tUS$351.1b29.8x43.1x7.3x
Sun, 28 Apr 2024US$14.2tUS$2.1tUS$335.6b28.4x42.3x6.9x
Tue, 26 Mar 2024US$14.9tUS$2.0tUS$328.6b27.7x45.5x7.3x
Thu, 22 Feb 2024US$14.0tUS$2.0tUS$311.6b27.1x44.9x6.9x
Sat, 20 Jan 2024US$13.9tUS$2.0tUS$292.0b26.4x47.4x6.8x
Mon, 18 Dec 2023US$13.4tUS$2.1tUS$293.6b26.5x45.5x6.5x
Wed, 15 Nov 2023US$12.3tUS$2.0tUS$280.4b24.2x43.9x6x
Fri, 13 Oct 2023US$12.0tUS$2.0tUS$270.1b24.7x44.2x5.9x
Sun, 10 Sep 2023US$12.0tUS$2.0tUS$272.9b24.3x43.8x5.9x
Tue, 08 Aug 2023US$11.9tUS$2.0tUS$262.2b25.3x45.5x5.9x
Thu, 06 Jul 2023US$12.0tUS$2.0tUS$258.1b24.7x46.3x5.9x
Sat, 03 Jun 2023US$11.5tUS$2.0tUS$264.1b24.6x43.7x5.7x
Mon, 01 May 2023US$10.3tUS$2.0tUS$265.6b20.9x38.9x5.1x
Wed, 29 Mar 2023US$9.9tUS$2.0tUS$278.2b22.3x35.7x4.9x
Fri, 24 Feb 2023US$10.9tUS$2.3tUS$295.6b23.4x36.7x4.8x
Sun, 22 Jan 2023US$10.3tUS$2.2tUS$327.5b23.5x31.5x4.6x
Tue, 20 Dec 2022US$9.8tUS$2.3tUS$330.1b21.6x29.7x4.4x
Thu, 17 Nov 2022US$10.3tUS$2.2tUS$333.3b22.5x30.9x4.6x
Sat, 15 Oct 2022US$9.2tUS$2.2tUS$345.2b18.6x26.8x4.2x
Mon, 12 Sep 2022US$10.9tUS$2.2tUS$346.8b21.3x31.5x5x
Wed, 10 Aug 2022US$11.5tUS$2.2tUS$351.1b22.5x32.8x5.3x
Fri, 08 Jul 2022US$10.7tUS$2.2tUS$359.4b23.2x29.6x5x
Sun, 05 Jun 2022US$11.2tUS$2.1tUS$358.6b25.6x31.2x5.2x
Tue, 03 May 2022US$11.6tUS$2.1tUS$356.5b23.9x32.7x5.6x
Thu, 31 Mar 2022US$13.3tUS$2.1tUS$346.2b26.2x38.4x6.5x
Sat, 26 Feb 2022US$12.7tUS$2.1tUS$356.1b25.5x35.7x5.9x
Mon, 24 Jan 2022US$12.9tUS$2.2tUS$346.7b27.1x37.1x6x
Wed, 22 Dec 2021US$14.5tUS$2.1tUS$346.7b28x41.8x6.8x
Fri, 19 Nov 2021US$15.0tUS$2.1tUS$339.4b29.5x44.1x7x
Sun, 17 Oct 2021US$13.9tUS$2.0tUS$314.8b32.4x44.1x6.8x
Tue, 14 Sep 2021US$13.8tUS$2.0tUS$312.4b28.2x44.1x6.8x
Price to Earnings Ratio

44.1x


Total Market Cap: US$13.8tTotal Earnings: US$312.4bTotal Revenue: US$2.0tTotal Market Cap vs Earnings and Revenue0%0%0%
U.S. Tech Sector Price to Earnings3Y Average 39.3x202220232024
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 39.3x.
  • The 3-year average PS ratio of 6.0x is lower than the industry's current PS ratio of 7.2x.
Past Earnings Growth
  • The earnings for companies in the Information Technology industry have grown 6.2% per year over the last three years.
  • Revenues for these companies have grown 2.3% 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-4.43%
Tech-7.04%
IT-2.88%
Tech Hardware-3.75%
Software-3.80%
Communications-5.53%
Electronic Equipment and Components-7.67%
Semiconductors-13.06%
Industry PE
  • Investors are most optimistic about the Semiconductors industry which is trading above its 3-year average PE ratio of 36.7x.
    • Analysts are expecting annual earnings growth of 26.6%, which is higher than its past year's earnings decline of 7.2% per year.
  • Investors are most pessimistic about the Electronic Equipment and Components industry, which is trading close to its 3-year average of 25.6x.
Forecasted Growth
  • Analysts are most optimistic on the Semiconductors industry, expecting annual earnings growth of 27% over the next 5 years.
  • This is better than its past earnings decline of 7.2% per year.
  • In contrast, the Tech Hardware industry is expected to see its earnings grow by 8.2% 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
IOT SamsaraUS$44.027.2%
+US$1.6b
44.0%PS22.1x
ORCL OracleUS$141.810.4%
+US$1.4b
12.3%PE37.3x
GWRE Guidewire SoftwareUS$161.728.7%
+US$1.1b
71.8%PS13.6x
GTLB GitLabUS$53.0912.0%
+US$985.1m
1.4%PS12.8x
SMAR SmartsheetUS$52.277.1%
+US$490.1m
21.5%PS6.9x
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Latest News

IOT

US$44.02

Samsara

7D

7.2%

1Y

44.0%

AVGO

US$137.00

Broadcom

7D

-15.9%

1Y

59.8%

AMAT

US$174.75

Applied Materials

7D

-11.4%

1Y

18.5%

MSFT

US$401.70

Microsoft

7D

-3.7%

1Y

20.2%

SMAR

US$52.27

Smartsheet

7D

7.1%

1Y

21.5%

GWRE

US$161.72

Guidewire Software

7D

8.7%

1Y

71.8%

EPAM

US$204.82

EPAM Systems

7D

2.0%

1Y

-22.8%

GTLB

US$53.09

GitLab

7D

12.0%

1Y

1.4%

VSAT

US$17.08

Viasat

7D

8.8%

1Y

-28.4%

AMD

US$134.35

Advanced Micro Devices

7D

-9.6%

1Y

26.6%

NVDA

US$102.83

NVIDIA

7D

-13.9%

1Y

125.6%

ORCL

US$141.81

Oracle

7D

0.4%

1Y

12.3%

QXO

US$14.30

QXO

7D

3.5%

1Y

-47.4%