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U.S. Tech Sector Analysis

UpdatedDec 01, 2023
DataAggregated Company Financials
Companies1157
  • 7D0.2%
  • 3M4.0%
  • 1Y37.4%
  • YTD51.9%

Last week, the Tech industry hasn't moved much but Salesforce is up 13% in that time. As for the the longer term, the industry is up 37% over the past 12 months. 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
Fri, 01 Dec 2023US$12.8tUS$2.1tUS$292.6b24.9x43.7x6.2x
Sun, 29 Oct 2023US$11.2tUS$2.0tUS$278.4b22.2x40.1x5.5x
Tue, 26 Sep 2023US$11.5tUS$2.0tUS$273.1b24.7x42.1x5.6x
Thu, 24 Aug 2023US$11.9tUS$2.0tUS$264.9b24.3x44.9x5.9x
Sat, 22 Jul 2023US$12.2tUS$2.0tUS$258.1b25.5x47.3x6x
Mon, 19 Jun 2023US$11.9tUS$2.0tUS$264.4b24.9x45.2x5.9x
Wed, 17 May 2023US$10.5tUS$2.0tUS$262.0b22.9x39.9x5.2x
Fri, 14 Apr 2023US$10.3tUS$2.0tUS$274.9b22.9x37.3x5x
Sun, 12 Mar 2023US$10.6tUS$2.3tUS$298.6b21.8x35.7x4.7x
Tue, 07 Feb 2023US$11.0tUS$2.2tUS$314.5b24.8x35x4.9x
Thu, 05 Jan 2023US$9.7tUS$2.2tUS$327.4b21.4x29.6x4.3x
Sat, 03 Dec 2022US$10.6tUS$2.2tUS$329.3b23.3x32.1x4.7x
Mon, 31 Oct 2022US$10.2tUS$2.2tUS$331.4b20.6x30.8x4.6x
Wed, 28 Sep 2022US$9.8tUS$2.2tUS$347.2b19.1x28.3x4.5x
Fri, 26 Aug 2022US$11.5tUS$2.2tUS$346.4b23.4x33.2x5.3x
Sun, 24 Jul 2022US$11.0tUS$2.2tUS$360.2b23.1x30.5x5.1x
Tue, 21 Jun 2022US$9.9tUS$2.1tUS$358.6b22.7x27.7x4.6x
Thu, 19 May 2022US$11.0tUS$2.1tUS$357.0b23.9x30.8x5.2x
Sat, 16 Apr 2022US$12.1tUS$2.1tUS$345.8b24x34.9x5.9x
Mon, 14 Mar 2022US$11.8tUS$2.0tUS$345.0b25.1x34.1x5.8x
Wed, 09 Feb 2022US$13.5tUS$2.2tUS$354.1b26.5x38x6.2x
Fri, 07 Jan 2022US$14.1tUS$2.1tUS$346.7b28.7x40.7x6.6x
Sun, 05 Dec 2021US$14.0tUS$2.1tUS$345.9b28.1x40.6x6.6x
Tue, 02 Nov 2021US$14.3tUS$2.1tUS$339.4b31.3x42.2x6.9x
Thu, 30 Sep 2021US$13.3tUS$2.0tUS$315.2b32.8x42.3x6.6x
Sat, 28 Aug 2021US$13.8tUS$2.0tUS$310.0b31.5x44.7x6.9x
Sun, 04 Jul 2021US$12.9tUS$2.0tUS$309.3b30.9x41.7x6.5x
Wed, 07 Apr 2021US$11.7tUS$1.9tUS$289.5b31.8x40.3x6.1x
Sat, 09 Jan 2021US$11.4tUS$1.8tUS$256.8b32.2x44.5x6.2x
Price to Earnings Ratio

44.9x


Total Market Cap: US$10.8tTotal Earnings: US$240.9bTotal Revenue: US$1.8tTotal Market Cap vs Earnings and Revenue0%0%0%
U.S. Tech Sector Price to Earnings3Y Average 38.6x202120222023
Current Industry PE
  • Investors are optimistic on the American Information Technology industry, and appear confident in long term growth rates.
  • The industry is trading at a PE ratio of 43.7x which is higher than its 3-year average PE of 38.6x.
  • The industry is trading close to its 3-year average PS ratio of 5.7x.
Past Earnings Growth
  • The earnings for companies in the Information Technology industry have grown 6.7% per year over the last three years.
  • Revenues for these companies have grown 4.6% 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 Market0.50%
Tech0.24%
IT1.81%
Software1.69%
Communications0.45%
Tech Hardware0.071%
Electronic Equipment and Components-0.22%
Semiconductors-2.11%
Industry PE
  • Investors are most optimistic about the Software industry, which is trading close to its 3-year average PE ratio of 61.1x.
    • Analysts are expecting annual earnings growth of 17.5%, which is higher than its past year's earnings growth of 11.9% per year.
  • Investors are most pessimistic about the Communications industry, which is trading below its 3-year average of 23.8x.
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 growth rate of 0.8% per year.
  • In contrast, the Tech Hardware industry is expected to see its earnings grow by 6.7% 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
CRM SalesforceUS$251.9012.5%
+US$27.3b
71.4%PE94.6x
MSFT MicrosoftUS$378.910.4%
+US$11.0b
48.6%PE36.5x
PANW Palo Alto NetworksUS$295.0912.1%
+US$10.1b
65.4%PE151.6x
WDAY WorkdayUS$270.7215.6%
+US$9.8b
59.7%PE1065.7x
CRWD CrowdStrike HoldingsUS$236.9913.1%
+US$6.9b
91.0%PS20x
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Latest News

SNOW

US$187.68

Snowflake

7D

11.1%

1Y

21.8%

CRM

US$251.90

Salesforce

7D

12.5%

1Y

71.4%

WDAY

US$270.72

Workday

7D

15.6%

1Y

59.7%

NVDA

US$467.70

NVIDIA

7D

-4.0%

1Y

173.0%

AVGO

US$925.73

Broadcom

7D

-5.4%

1Y

71.2%

ADSK

US$218.43

Autodesk

7D

7.4%

1Y

8.6%

CRWD

US$236.99

CrowdStrike Holdings

7D

13.1%

1Y

91.0%

MSFT

US$378.91

Microsoft

7D

0.4%

1Y

48.6%

VMW

US$142.48

VMware

7D

-4.8%

1Y

19.4%

NOW

US$685.74

ServiceNow

7D

2.4%

1Y

61.1%

PANW

US$295.09

Palo Alto Networks

7D

12.1%

1Y

65.4%

GFS

US$53.69

GLOBALFOUNDRIES

7D

-5.6%

1Y

-15.7%

KLAC

US$544.62

KLA

7D

-2.0%

1Y

39.8%