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U.S. Communications Industry Analysis

UpdatedDec 29, 2025
DataAggregated Company Financials
Companies77
  • 7D0.4%
  • 3M4.7%
  • 1Y29.5%
  • YTD29.6%

Last week, the Communications industry hasn't moved much but Ciena is up 4.9% in that time. As for the the longer term, the industry is up 28% over the past 12 months. Looking forward, earnings are forecast to grow by 17% annually.

Industry Valuation and Performance

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

DateMarket CapRevenueEarningsPEAbsolute PEPS
Mon, 29 Dec 2025US$680.7bUS$106.1bUS$16.7b34.1x40.7x6.4x
Wed, 26 Nov 2025US$642.4bUS$105.8bUS$16.6b30.7x38.7x6.1x
Fri, 24 Oct 2025US$661.0bUS$103.3bUS$16.0b30.7x41.3x6.4x
Sun, 21 Sep 2025US$654.3bUS$103.3bUS$16.0b30.5x40.9x6.3x
Tue, 19 Aug 2025US$599.2bUS$102.8bUS$16.1b25.4x37.3x5.8x
Thu, 17 Jul 2025US$552.0bUS$100.5bUS$14.0b28.2x39.5x5.5x
Sat, 14 Jun 2025US$536.0bUS$105.7bUS$14.3b26.5x37.4x5.1x
Mon, 12 May 2025US$500.1bUS$104.0bUS$13.9b22.1x36x4.8x
Wed, 09 Apr 2025US$439.1bUS$102.8bUS$12.4b23x35.3x4.3x
Fri, 07 Mar 2025US$519.0bUS$103.1bUS$12.4b26.7x42x5x
Sun, 02 Feb 2025US$558.5bUS$102.5bUS$12.2b25.2x45.9x5.5x
Tue, 31 Dec 2024US$545.4bUS$102.5bUS$12.1b24.9x45.2x5.3x
Thu, 28 Nov 2024US$534.1bUS$102.5bUS$12.1b24.5x44.1x5.2x
Sat, 26 Oct 2024US$499.1bUS$103.0bUS$12.0b27.3x41.7x4.8x
Mon, 23 Sep 2024US$472.5bUS$103.0bUS$12.0b25.3x39.4x4.6x
Wed, 21 Aug 2024US$437.2bUS$101.2bUS$11.6b26.2x37.7x4.3x
Fri, 19 Jul 2024US$353.4bUS$92.6bUS$12.6b27x28x3.8x
Sun, 16 Jun 2024US$335.2bUS$92.7bUS$12.6b27.1x26.6x3.6x
Tue, 14 May 2024US$342.7bUS$94.4bUS$14.1b27.3x24.3x3.6x
Thu, 11 Apr 2024US$405.6bUS$104.8bUS$16.3b33.9x24.9x3.9x
Sat, 09 Mar 2024US$395.6bUS$104.8bUS$16.3b32.6x24.2x3.8x
Mon, 05 Feb 2024US$343.3bUS$95.8bUS$14.9b26.9x23x3.6x
Wed, 03 Jan 2024US$329.4bUS$96.1bUS$15.1b25x21.8x3.4x
Fri, 01 Dec 2023US$313.3bUS$96.2bUS$14.9b24.8x21.1x3.3x
Sun, 29 Oct 2023US$307.7bUS$94.7bUS$14.5b24.4x21.2x3.2x
Tue, 26 Sep 2023US$323.3bUS$94.7bUS$14.6b28.3x22.1x3.4x
Thu, 24 Aug 2023US$339.5bUS$94.5bUS$14.6b27x23.2x3.6x
Sat, 22 Jul 2023US$322.9bUS$91.5bUS$13.5b26.8x23.9x3.5x
Mon, 19 Jun 2023US$319.0bUS$91.4bUS$13.5b20.8x23.6x3.5x
Wed, 17 May 2023US$285.1bUS$89.8bUS$13.4b25.5x21.2x3.2x
Fri, 14 Apr 2023US$314.5bUS$89.0bUS$13.2b27.1x23.9x3.5x
Sun, 12 Mar 2023US$298.5bUS$89.0bUS$13.2b27.7x22.7x3.4x
Tue, 07 Feb 2023US$293.1bUS$87.1bUS$13.0b31.7x22.5x3.4x
Thu, 05 Jan 2023US$288.3bUS$86.7bUS$13.0b28.1x22.1x3.3x
Price to Earnings Ratio

22.1x


Total Market Cap: US$288.3bTotal Earnings: US$13.0bTotal Revenue: US$86.7bTotal Market Cap vs Earnings and Revenue0%0%0%
U.S. Communications Industry Price to Earnings3Y Average 31.3x20242025
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 40.7x which is higher than its 3-year average PE of 31.3x.
  • The 3-year average PS ratio of 4.4x is lower than the industry's current PS ratio of 6.4x.
Past Earnings Growth
  • The earnings for companies in the Communications industry have grown 8.6% 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 Market0.61%
Tech1.13%
Communications0.40%
Communications Equipment0.40%
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
ANET Arista NetworksUS$131.840.8%
+US$1.4b		18.3%PE49.5x
MSI Motorola SolutionsUS$377.041.2%
+US$722.8m		-18.7%PE29.7x
CIEN CienaUS$241.682.1%
+US$694.4m		184.3%PE276x
AAOI Applied OptoelectronicsUS$37.1718.7%
+US$399.4m		-1.5%PS6x
CSCO Cisco SystemsUS$78.160.06%
+US$197.6m		32.0%PE29.9x

Latest News

GILT
US$12.59
Gilat Satellite Networks
7D
6.6%
1Y
111.2%

We Ran A Stock Scan For Earnings Growth And Gilat Satellite Networks (NASDAQ:GILT) Passed With Ease

Dec 27
We Ran A Stock Scan For Earnings Growth And Gilat Satellite Networks (NASDAQ:GILT) Passed With Ease
CSCO
US$78.16
Cisco Systems
7D
0.06%
1Y
32.0%
ANET
US$131.84
Arista Networks
7D
0.8%
1Y
18.3%

ANET: AI Networking Demand Will Sustain Premium Multiple Despite Moderating Margins

Analysts have modestly increased their price target on Arista Networks to $171, citing continued AI driven networking demand and solid, though slightly slower, growth and margin profiles that support maintaining a premium valuation. Analyst Commentary Recent Street research reflects a balanced but still constructive view on Arista Networks, with analysts weighing accelerating AI driven demand against slowing growth rates and a rich valuation.
AAOI
US$37.17
Applied Optoelectronics
7D
18.7%
1Y
-1.5%

AAOI: InP Laser And Transceiver Automation Will Support Structurally Stronger Margins

We raise our fair value estimate for Applied Optoelectronics to $50 from $34, reflecting analysts' higher confidence in the company's laser and transceiver capabilities and structurally stronger margins, even as some caution that the current share price already embeds aggressive growth expectations. Analyst Commentary Bullish analysts point to Applied Optoelectronics' differentiated position in indium phosphide, or InP, laser epitaxy and advanced transceiver manufacturing as key reasons for raising price targets and assigning favorable ratings.
FFIV
US$263.14
F5
7D
1.1%
1Y
4.2%

FFIV: Share Price Should Recover As Breach Overhang And Cautious Spending Gradually Ease

We trim our F5 price target to $287.50 from $291.50 as analysts moderate FY26 growth and valuation expectations in light of the recent security breach and increasingly cautious customer purchasing behavior, despite resilient near term results and limited evidence of permanent deal losses. Analyst Commentary Street research remains mixed on F5, with most firms trimming price targets and FY26 expectations while acknowledging that recent execution has been solid.
LITE
US$390.77
Lumentum Holdings
7D
0.2%
1Y
366.1%

LITE: AI Data Center Optics And Switch Demand Will Drive Balanced Outlook

Analysts have lifted their fair value estimate for Lumentum Holdings from $165.00 to $380.00, citing stronger than expected AI driven data center optics demand, accelerating optical circuit switch adoption tied to Google TPU ramps, and improved long term growth visibility despite a slightly lower projected profit margin. Analyst Commentary Bullish analysts remain largely constructive on Lumentum, framing the latest round of price target increases as a response to a strengthening AI infrastructure cycle and the company’s improving execution against its data center roadmap.
CIEN
US$241.68
Ciena
7D
2.1%
1Y
184.3%

CIEN: AI Data Center Tailwinds Will Meet Rising Execution And Cost Risks

Analysts have raised their price target on Ciena by approximately $70 to about $200, reflecting higher expected revenue growth, improved profit margins, and accelerating AI and data center driven optical demand, including benefits from the Nubis acquisition. Analyst Commentary Bullish analysts highlight a broad reset higher in expectations, with multiple firms lifting targets into the $175 to $200 range as conviction grows around Ciena's ability to monetize AI and data center demand while integrating Nubis to enhance its optical portfolio.
ONDS
US$8.48
Ondas Holdings
7D
-8.0%
1Y
227.4%

ONDS: Roboteam Acquisition Will Drive Backlog Expansion And Future Earnings Upside

Analysts have nudged their fair value estimate for Ondas Holdings higher from $11.00 to $11.50, reflecting increased confidence in the company’s accelerating revenue growth and expanding deal pipeline following recent strategic moves and strong quarterly performance. Analyst Commentary Bullish analysts highlight that the recent acquisition activity and expanding backlog are reinforcing confidence in Ondas Holdings' ability to outpace its stated revenue targets and sustain a higher growth trajectory.
VSAT
US$34.81
Viasat
7D
-5.9%
1Y
313.9%
MSI
US$377.04
Motorola Solutions
7D
1.2%
1Y
-18.7%

MSI: Recurring Revenue Mix Will Drive Upside Despite Recent Price Target Trims

Analysts have trimmed their price target on Motorola Solutions by approximately $5 to about $494 per share. The revision reflects slightly higher discount rate assumptions and modest pressure on long term margins, while analysts remain encouraged by resilient revenue growth, recurring revenue mix, and potential upside from deferred government deals in 2026.
VIAV
US$18.20
Viavi Solutions
7D
-1.2%
1Y
80.5%

VIAV: Future AI Data Center Demand And Acquisitions Will Shape Risk Reward Balance

Analysts have raised their price target on Viavi Solutions to $23 from $16, citing the accretive Spirent asset acquisition, increasing exposure to AI data centers and aerospace defense, and the potential for higher revenue growth and margins as key drivers of the upward revision. Analyst Commentary Bullish analysts highlight that the Spirent asset acquisition is not only accretive but also strategically expands Viavi's presence in Ethernet, security, and emulation.
CALX
US$54.27
Calix
7D
-2.9%
1Y
55.5%

CALX: Third-Gen AI Platform Will Sustain Beating And Raising Performance

Analysts have lifted their price target on Calix to $85 from $65, citing the company's consistent beat and raise execution, broad based demand, and a strengthening competitive position supported by its next generation platform and agentic artificial intelligence capabilities. Analyst Commentary Bullish analysts highlight that consecutive beat and raise quarters have increased confidence in Calix's execution, supporting the higher price target and a premium multiple versus peers.
COMM
US$18.26
CommScope Holding Company
7D
-0.6%
1Y
247.1%

COMM: Rising Margins And Network Expansion Will Drive Stronger Earnings Potential

Analysts have raised their fair value estimate for CommScope Holding Company from 20.00 dollars to 25.00 dollars, citing expectations of significantly improved profit margins and a lower future price to earnings multiple, despite slightly reduced revenue growth assumptions. What's in the News Opened the CommScope Fiber Architecture Solutions Technology FAST Track facility in Catawba, North Carolina, a live FTTH network that serves as both a training center and innovation hub for service providers, now available for tours and hands on demonstrations (Key Developments).
ADTN
US$8.75
ADTRAN Holdings
7D
-3.1%
1Y
5.4%

ADTN: Broadband Cycle Recovery Will Drive Stronger Demand Across Diverse Customer Base

Analysts have raised their price target on ADTRAN Holdings from $15.00 to $16.00, citing a recovering demand environment and the company’s strong positioning in broadband access and optical equipment. Analyst Commentary Bullish analysts highlight that ADTRAN is emerging as a key beneficiary of the improving broadband investment cycle, with its solutions aligned to multi-year upgrades in access and optical networks.
UI
US$570.72
Ubiquiti
7D
-0.8%
1Y
70.1%
EXTR
US$16.88
Extreme Networks
7D
-0.6%
1Y
0.5%