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U.S. Communications Industry Analysis

UpdatedFeb 01, 2026
DataAggregated Company Financials
Companies74
  • 7D4.5%
  • 3M1.5%
  • 1Y29.1%
  • YTD3.9%

The Communications industry is up 4.5% in the last week, with Cisco Systems up 5.0%. Meanwhile, Ondas actually underperformed within the industry, shrinking 15% in the last week. In the last 12 months, the industry was up 29%. Looking forward, earnings are forecast to grow by 18% annually.

Industry Valuation and Performance

Has the U.S. Communications Industry valuation changed over the past few years?

DateMarket CapRevenueEarningsPEAbsolute PEPS
Mon, 02 Feb 2026US$702.8bUS$106.3bUS$16.7b31.7x42.1x6.6x
Wed, 31 Dec 2025US$678.5bUS$106.1bUS$16.7b35.4x40.6x6.4x
Fri, 28 Nov 2025US$651.8bUS$105.8bUS$16.6b31.2x39.3x6.2x
Sun, 26 Oct 2025US$676.5bUS$103.3bUS$16.0b30.6x42.2x6.5x
Tue, 23 Sep 2025US$654.3bUS$103.3bUS$16.0b30.4x40.9x6.3x
Thu, 21 Aug 2025US$594.6bUS$102.8bUS$16.1b25.4x37x5.8x
Sat, 19 Jul 2025US$566.9bUS$100.5bUS$14.0b28.5x40.5x5.6x
Mon, 16 Jun 2025US$524.7bUS$105.7bUS$14.3b26.5x36.6x5x
Wed, 14 May 2025US$520.0bUS$104.0bUS$13.9b23.4x37.4x5x
Fri, 11 Apr 2025US$472.1bUS$102.8bUS$12.4b24.5x38x4.6x
Sun, 09 Mar 2025US$509.6bUS$103.1bUS$12.4b26.7x41.2x4.9x
Tue, 04 Feb 2025US$558.5bUS$102.5bUS$12.2b25.2x45.9x5.5x
Thu, 02 Jan 2025US$538.5bUS$102.5bUS$12.1b24.5x44.6x5.3x
Sat, 30 Nov 2024US$531.7bUS$102.5bUS$12.1b24.4x43.9x5.2x
Mon, 28 Oct 2024US$497.3bUS$103.0bUS$12.0b27.3x41.5x4.8x
Wed, 25 Sep 2024US$475.1bUS$103.0bUS$12.0b26.5x39.6x4.6x
Fri, 23 Aug 2024US$441.5bUS$101.1bUS$11.6b26.1x38x4.4x
Sun, 21 Jul 2024US$345.5bUS$92.6bUS$12.6b26.7x27.4x3.7x
Tue, 18 Jun 2024US$335.2bUS$92.7bUS$12.6b27.1x26.6x3.6x
Thu, 16 May 2024US$345.6bUS$94.3bUS$14.0b27.3x24.6x3.7x
Sat, 13 Apr 2024US$402.4bUS$104.8bUS$16.3b33.5x24.7x3.8x
Mon, 11 Mar 2024US$395.6bUS$104.8bUS$16.3b31.1x24.2x3.8x
Wed, 07 Feb 2024US$339.7bUS$95.3bUS$14.9b26.2x22.7x3.6x
Fri, 05 Jan 2024US$326.1bUS$96.1bUS$15.1b24.3x21.6x3.4x
Sun, 03 Dec 2023US$313.3bUS$96.0bUS$14.9b24.9x21x3.3x
Tue, 31 Oct 2023US$307.6bUS$94.7bUS$14.6b23x21.1x3.2x
Thu, 28 Sep 2023US$321.4bUS$94.7bUS$14.6b24.7x22x3.4x
Sat, 26 Aug 2023US$334.6bUS$94.5bUS$14.6b29.4x22.9x3.5x
Mon, 24 Jul 2023US$322.9bUS$91.5bUS$13.5b26.8x23.9x3.5x
Wed, 21 Jun 2023US$315.2bUS$91.4bUS$13.5b24x23.3x3.4x
Fri, 19 May 2023US$293.0bUS$91.2bUS$13.5b25x21.7x3.2x
Sun, 16 Apr 2023US$312.4bUS$89.0bUS$13.2b27x23.7x3.5x
Tue, 14 Mar 2023US$297.3bUS$89.0bUS$13.2b27.3x22.6x3.3x
Thu, 09 Feb 2023US$291.9bUS$87.1bUS$13.0b31.5x22.5x3.4x
Price to Earnings Ratio

22.5x


Total Market Cap: US$291.9bTotal Earnings: US$13.0bTotal Revenue: US$87.1bTotal Market Cap vs Earnings and Revenue0%0%0%
U.S. Communications Industry Price to Earnings3Y Average 31.9x202420252026
Current Industry PE
  • Investors are optimistic on the American Communications industry, and appear confident in long term growth rates.
  • The industry is trading at a PE ratio of 42.1x which is higher than its 3-year average PE of 31.9x.
  • The 3-year average PS ratio of 4.5x is lower than the industry's current PS ratio of 6.6x.
Past Earnings Growth
  • The earnings for companies in the Communications industry have grown 8.7% per year over the last three years.
  • Revenues for these companies have grown 6.9% 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 industry?

US Market-0.23%
Tech-0.81%
Communications4.52%
Communications Equipment4.52%
Industry PEThere are no additional sub-industries under this industry.
Forecasted GrowthThere are no additional sub-industries under this industry.

Top Stock Gainers and Losers

Which companies have driven the market over the last 7 days?

CompanyLast Price7D1YValuation
CSCO Cisco SystemsUS$78.325.0%
+US$14.7b		29.2%PE30x
ANET Arista NetworksUS$141.744.0%
+US$6.8b		23.0%PE53.2x
LITE Lumentum HoldingsUS$391.8415.5%
+US$3.7b		360.7%PE247x
CIEN CienaUS$251.819.9%
+US$3.2b		189.0%PE287.6x
VIAV Viavi SolutionsUS$24.4630.2%
+US$1.5b		103.2%PS4.6x

Latest News

EXTR
US$14.58
Extreme Networks
7D
-1.2%
1Y
-7.8%
CALX
US$44.67
Calix
7D
-17.6%
1Y
12.6%

Fiber Build Constraints And AI Transition Will Challenge Execution Yet Ultimately Support A Stronger Business

Catalysts About Calix Calix provides a platform, appliances, cloud software and managed services that help broadband providers run their networks and grow subscriber relationships. What are the underlying business or industry changes driving this perspective?
HLIT
US$9.72
Harmonic
7D
-5.2%
1Y
-13.8%

Harmonic (NASDAQ:HLIT) Shareholders Will Want The ROCE Trajectory To Continue

Jan 30
Harmonic (NASDAQ:HLIT) Shareholders Will Want The ROCE Trajectory To Continue
VIAV
US$24.46
Viavi Solutions
7D
30.2%
1Y
103.2%

Viavi Solutions Inc.'s (NASDAQ:VIAV) P/S Is Still On The Mark Following 37% Share Price Bounce

Jan 30
Viavi Solutions Inc.'s (NASDAQ:VIAV) P/S Is Still On The Mark Following 37% Share Price Bounce
VSAT
US$45.17
Viasat
7D
4.4%
1Y
369.5%
FFIV
US$275.61
F5
7D
6.3%
1Y
-7.3%
ONDS
US$10.36
Ondas
7D
-14.9%
1Y
492.0%

Autonomous Defense And Counter Drone Demand Will Transform Long Term Prospects

Catalysts About Ondas Ondas develops and commercializes autonomous systems, counter drone technologies and industrial wireless connectivity platforms for defense, security and critical infrastructure customers. What are the underlying business or industry changes driving this perspective?
ADTN
US$9.22
ADTRAN Holdings
7D
-3.5%
1Y
-11.1%

ADTN: Fiber Contracts And AI Service Gains Will Support Future Upside

Analysts have adjusted their price target on ADTRAN Holdings slightly, reflecting updated assumptions around discount rates, revenue growth, profit margins, and future P/E expectations. Together these factors point to a refined view of the company’s valuation rather than a major reset.
ANET
US$141.74
Arista Networks
7D
4.0%
1Y
23.0%
CLFD
US$29.77
Clearfield
7D
-3.2%
1Y
-18.4%

CLFD: BEAD Momentum And Buybacks Will Support Upside Through 2026

Narrative Update: Clearfield Analyst Price Target Shift Analysts now see Clearfield's fair value at $43.50, with price targets in the low to mid $40s as they balance softer near term guidance, the Nestor Cables divestiture, BEAD related demand expectations into 2026, and support from the company's strengthened balance sheet and expanded buyback. Analyst Commentary Street research around Clearfield has become more balanced, with most firms trimming price targets but maintaining positive views on the long term setup tied to BEAD deployment, the Nestor Cables divestiture, and the share repurchase program.
LITE
US$391.84
Lumentum Holdings
7D
15.5%
1Y
360.7%

LITE: AI Data Center Optics Will Shape Future Multiple With Execution Risks

Analysts have raised their price targets on Lumentum from roughly $180 to $210 in several recent reports, citing stronger assumptions for revenue growth, profit margins, and future P/E. Together, these factors support a higher fair value estimate now modeled around $348 per share, up from about $255.
CSCO
US$78.32
Cisco Systems
7D
5.0%
1Y
29.2%

CSCO: AI Infrastructure And Networking Strength Will Support Multi Year Upside

Analysts nudged their price target on Cisco Systems higher to $86.00 from $85.43, citing firm networking trends, improving profit margins, and growing artificial intelligence related demand as key supports for the updated view. Analyst Commentary Recent research on Cisco highlights a mix of optimism around networking and artificial intelligence exposure, with some caution around security and the durability of current trends.
AAOI
US$43.61
Applied Optoelectronics
7D
22.1%
1Y
56.2%

AAOI: InP Lasers And Automation Will Support Future AI Transceiver Leadership

Analysts have lifted their blended price target range for Applied Optoelectronics toward the mid teens to mid $30s, reflecting mixed views that balance concerns about valuation and ambitious revenue assumptions with confidence in the company's InP laser capabilities and highly automated transceiver production. Analyst Commentary Recent research on Applied Optoelectronics shows a clear split between bullish analysts who see upside from the company’s technology and production capabilities and more cautious voices focused on valuation and execution risk.
CIEN
US$251.81
Ciena
7D
9.9%
1Y
189.0%

CIEN: Hyperscale AI Optical Demand And IT Spending Will Support Upside

Analysts have lifted their price target on Ciena to US$200 from US$120, citing expectations for solid results supported by hyperscale and AI driven optical demand, as well as ongoing infrastructure spending in IT hardware and networking. Analyst Commentary Bullish analysts are pointing to Ciena as a key beneficiary of rising demand for optical networking tied to hyperscale data centers and AI related workloads.
MOB
US$6.49
Mobilicom
7D
-17.9%
1Y
n/a
RBBN
US$2.62
Ribbon Communications
7D
-3.0%
1Y
-36.1%