Investing IdeasBrowse All StocksMarkets
Have your own idea? Try our Stock Screener
Header cover image

U.S. Tech Sector Analysis

UpdatedFeb 22, 2026
DataAggregated Company Financials
Companies988
  • 7D1.3%
  • 3M-2.3%
  • 1Y17.9%
  • YTD-3.9%

In the last week, the Tech industry is up 1.3%, with NVIDIA up 3.8%. Meanwhile, Oracle actually underperformed within the industry, shrinking 7.5% in the last week. In the last 12 months, the industry was up 18%. Looking forward, earnings are forecast to grow by 19% annually.

Sector Valuation and Performance

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

DateMarket CapRevenueEarningsPEAbsolute PEPS
Sun, 22 Feb 2026US$21.7tUS$2.6tUS$520.2b29.5x41.7x8.2x
Tue, 20 Jan 2026US$22.4tUS$2.6tUS$500.6b31.7x44.7x8.8x
Thu, 18 Dec 2025US$22.2tUS$2.6tUS$503.6b30.4x44x8.6x
Sat, 15 Nov 2025US$22.6tUS$2.5tUS$479.1b29.9x47.1x8.9x
Mon, 13 Oct 2025US$22.2tUS$2.5tUS$439.1b30.5x50.5x8.9x
Wed, 10 Sep 2025US$21.1tUS$2.5tUS$435.1b29.3x48.4x8.6x
Fri, 08 Aug 2025US$20.9tUS$2.4tUS$415.3b27.6x50.3x8.6x
Sun, 06 Jul 2025US$20.1tUS$2.4tUS$393.2b29.4x51.1x8.4x
Tue, 03 Jun 2025US$17.9tUS$2.4tUS$390.2b26.5x46x7.6x
Thu, 01 May 2025US$16.1tUS$2.3tUS$385.2b25.3x41.9x6.9x
Sat, 29 Mar 2025US$16.3tUS$2.3tUS$385.4b26.7x42.4x7x
Mon, 24 Feb 2025US$18.4tUS$2.3tUS$369.5b30.2x49.8x8x
Wed, 22 Jan 2025US$18.4tUS$2.3tUS$367.0b34.4x50x8.1x
Fri, 20 Dec 2024US$18.3tUS$2.3tUS$366.6b32x49.8x8.1x
Sun, 17 Nov 2024US$17.7tUS$2.2tUS$351.2b31.6x50.4x7.9x
Tue, 15 Oct 2024US$17.6tUS$2.2tUS$378.2b30.4x46.6x8.1x
Thu, 12 Sep 2024US$16.5tUS$2.2tUS$375.1b28x44.1x7.6x
Sat, 10 Aug 2024US$15.6tUS$2.1tUS$370.1b27.5x42.1x7.3x
Mon, 08 Jul 2024US$17.5tUS$2.1tUS$362.9b30.4x48.2x8.3x
Wed, 05 Jun 2024US$15.2tUS$2.1tUS$351.2b29.4x43.4x7.4x
Fri, 03 May 2024US$13.9tUS$2.1tUS$336.7b28.1x41.3x6.8x
Sun, 31 Mar 2024US$14.8tUS$2.0tUS$328.5b28.3x44.9x7.2x
Tue, 27 Feb 2024US$14.5tUS$2.0tUS$322.6b28.2x44.9x7.1x
Thu, 25 Jan 2024US$14.1tUS$2.0tUS$293.0b26.5x48.1x6.9x
Sat, 23 Dec 2023US$13.4tUS$2.1tUS$292.5b25.9x45.8x6.5x
Mon, 20 Nov 2023US$12.6tUS$2.0tUS$281.9b24.5x44.8x6.2x
Wed, 18 Oct 2023US$11.8tUS$2.0tUS$270.2b24.8x43.6x5.8x
Fri, 15 Sep 2023US$11.9tUS$2.0tUS$272.6b24.3x43.8x5.8x
Sun, 13 Aug 2023US$11.6tUS$2.0tUS$263.3b25.2x43.9x5.7x
Tue, 11 Jul 2023US$11.9tUS$2.0tUS$258.1b24.9x46.1x5.9x
Thu, 08 Jun 2023US$11.5tUS$2.0tUS$264.2b24.4x43.4x5.6x
Sat, 06 May 2023US$10.4tUS$2.0tUS$262.0b22.5x39.5x5.1x
Mon, 03 Apr 2023US$10.4tUS$2.0tUS$275.0b23.4x37.9x5.1x
Wed, 01 Mar 2023US$10.7tUS$2.3tUS$296.3b23x36.2x4.8x
Price to Earnings Ratio

36.2x


Total Market Cap: US$10.7tTotal Earnings: US$296.3bTotal Revenue: US$2.3tTotal Market Cap vs Earnings and Revenue0%0%0%
U.S. Tech Sector Price to Earnings3Y Average 45.3x202420252026
Current Industry PE
  • Investors are pessimistic on the American Information Technology industry, indicating that they anticipate long term growth rates will be lower than they have historically.
  • The industry is trading at a PE ratio of 41.7x which is lower than its 3-year average PE of 45.3x.
  • The 3-year average PS ratio of 7.2x is lower than the industry's current PS ratio of 8.2x.
Past Earnings Growth
  • The earnings for companies in the Information Technology industry have grown 21% per year over the last three years.
  • Revenues for these companies have grown 5.3% 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 Market1.04%
Tech1.26%
Electronic Equipment and Components3.12%
Tech Hardware3.09%
Semiconductors2.56%
Communications1.82%
Software-1.97%
IT-1.99%
Industry PE
  • Investors are most optimistic about the Semiconductors industry, which is trading close to its 3-year average PE ratio of 53.2x.
    • Analysts are expecting annual earnings growth of 24.4%, which is higher than its past year's earnings growth of 6.1% per year.
  • Investors are most pessimistic about the Software industry, which is trading below its 3-year average of 54.1x.
Forecasted Growth
  • Analysts are most optimistic on the Semiconductors industry, expecting annual earnings growth of 24% over the next 5 years.
  • This is better than its past earnings growth rate of 6.1% per year.
  • In contrast, the Tech Hardware industry is expected to see its earnings grow by 9.7% 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
NVDA NVIDIAUS$189.823.8%
+US$170.3b		41.2%PE46.5x
AAPL AppleUS$264.583.4%
+US$129.2b		7.7%PE33x
AVGO BroadcomUS$332.652.3%
+US$35.5b		52.1%PE68.2x
MU Micron TechnologyUS$428.174.0%
+US$18.6b		333.2%PE40.5x
SHOP ShopifyUS$126.2012.0%
+US$17.6b		9.2%PE133.7x

Latest News

PLTR
US$135.24
Palantir Technologies
7D
2.9%
1Y
33.4%
AMAT
US$375.38
Applied Materials
7D
5.8%
1Y
118.3%
ANET
US$132.79
Arista Networks
7D
-6.2%
1Y
35.1%
NET
US$177.14
Cloudflare
7D
-9.6%
1Y
16.6%
MSFT
US$397.23
Microsoft
7D
-1.0%
1Y
-2.7%
MU
US$428.17
Micron Technology
7D
4.0%
1Y
333.2%

Micron in Supercycle Mode… With One Big Risk: is Cyclicality Dead?

When I wrote the original narrative, the thesis was straightforward: Micron was riding a powerful AI driven memory supercycle, and HBM was the ticket. That thesis hasn’t changed.
AVGO
US$332.65
Broadcom
7D
2.3%
1Y
52.1%

Broadcom (AVGO): The VMWare Synergies & The Custom Silicon Moat

Broadcom in February 2026 is the ultimate "Hybrid" asset. It offers the high-margin revenue of a software giant (VMware) combined with the explosive growth of a custom AI-silicon leader.
CRWD
US$388.60
CrowdStrike Holdings
7D
-9.6%
1Y
-4.4%

CRWD: Future Performance Will Reflect AI Security Leadership And Expanding Identity Platform

Narrative Update: CrowdStrike Holdings The updated analyst price target for CrowdStrike edges higher to about $547 from roughly $533, as analysts factor in slightly stronger modeled revenue growth and profit margins, along with a more moderate future P/E assumption and mixed, but generally constructive, Street research around AI security positioning and recent rating changes. Analyst Commentary Recent research on CrowdStrike gives you a mixed but generally constructive picture, with several firms adjusting price targets and ratings as they reassess AI risk, software multiples, and security spending trends.
AMD
US$200.15
Advanced Micro Devices
7D
-3.5%
1Y
80.6%

AMD: AI Accelerator And Server Demand Will Support Long-Term Earnings Power

Analysts have trimmed their consolidated AMD price target by about $5 to reflect slightly more cautious revenue growth assumptions and a lower future P/E, while acknowledging stronger profit margin expectations supported by recent research highlighting AI accelerator demand, server CPU sell through into 2026, and ongoing debate around competitive risks. Analyst Commentary Recent research on Advanced Micro Devices points to a split tape in sentiment, but with a clear group of bullish analysts leaning into AI, server demand, and competitive positioning as key supports for valuation and growth expectations.
LRCX
US$244.92
Lam Research
7D
4.0%
1Y
184.7%

LRCX: AI Memory And WFE Upcycle Is Expected To Drive Returns

Lam Research's fair value estimate has been raised from about $204 to roughly $274 as analysts update their price targets based on higher assumed revenue growth, stronger profit margins, and slightly adjusted discount and future P/E assumptions across recent research reports. Analyst Commentary Recent research on Lam Research has been active, with a long list of firms revisiting their models and lifting price targets.
AAPL
US$264.58
Apple
7D
3.4%
1Y
7.7%

AAPL: Gemini Partnership And AI Roadmap Will Drive Future Upside

Analysts have raised their Apple fair value estimate to $350 from about $283.66, citing Street research that characterizes the recent selloff as unwarranted and highlights a clearer AI roadmap supported by the Google Gemini partnership as well as ongoing checks on demand and margins. Analyst Commentary Recent research points to a generally constructive backdrop around Apple, with many bullish analysts emphasizing AI execution, the Google Gemini partnership, and supportive checks on demand and margins.
SHOP
US$126.20
Shopify
7D
12.0%
1Y
9.2%

SHOP: Rich Multiple And Mixed Sentiment Will Likely Cap Near-Term Upside

Analysts have trimmed our Shopify fair value estimate to $110 from about $139. This reflects lower price targets across the Street as models reset for softer revenue growth assumptions, slightly reduced margin expectations, and lower sector P/E multiples despite generally solid recent results.
INTC
US$44.11
Intel
7D
-5.7%
1Y
77.4%

INTC: AI And Foundry Partnerships Will Test Rich Future P E Expectations

Intel's updated fair value estimate edged up to $47.12 from $46.97 as analysts balanced a series of upward and downward price target revisions with slightly adjusted assumptions around discount rate, revenue growth, profit margins and future P/E. This reflects a more finely tuned view of the company’s execution and foundry opportunity.
TXN
US$219.73
Texas Instruments
7D
-2.8%
1Y
8.8%

TXN: Higher Street Conviction And Tariff Uncertainty Will Shape Next Cycle

The analyst fair value estimate for Texas Instruments has shifted from about $191 to roughly $219. Analysts attribute this change to updated expectations for revenue growth, profit margins, and a higher future P/E multiple following a wave of recent price target increases across the Street.
ORCL
US$148.08
Oracle
7D
-7.5%
1Y
-11.8%
NVDA
US$189.82
NVIDIA
7D
3.8%
1Y
41.2%

NVDA: AI Infrastructure Demand And Partnerships Will Sustain Market Leadership

Analysts nudged their fair value estimate for Nvidia higher from US$326.00 to about US$334.78, as they factor in expectations for stronger profit margins, a higher future P/E and recent research that highlights Nvidia's AI leadership, data center demand and supportive partner deals such as the CoreWeave agreement. Analyst Commentary Recent Street research around Nvidia has been broadly constructive, with many bullish analysts adjusting their models after company updates, product news and partner commentary.