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U.S. Communications Industry Analysis

UpdatedJun 25, 2026
DataAggregated Company Financials
Companies78
  • 7D-0.3%
  • 3M29.0%
  • 1Y80.9%
  • YTD44.4%

Over the last 7 days, the Communications industry has remained flat, although notably Arista Networks declined by 3.5%. As for the the longer term, the industry is up 85% over the past 12 months. As for the next few years, earnings are expected to grow by 22% per annum.

Industry Valuation and Performance

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

DateMarket CapRevenueEarningsPEAbsolute PEPS
Thu, 25 Jun 2026US$987.5bUS$115.3bUS$20.6b30.4x47.9x8.6x
Sat, 23 May 2026US$997.8bUS$114.8bUS$20.2b32.1x49.4x8.7x
Mon, 20 Apr 2026US$893.7bUS$109.2bUS$18.4b48.7x48.6x8.2x
Wed, 18 Mar 2026US$760.6bUS$109.3bUS$18.4b40.7x41.4x7x
Fri, 13 Feb 2026US$763.7bUS$108.6bUS$18.0b30.9x42.4x7x
Sun, 11 Jan 2026US$651.2bUS$106.1bUS$16.7b37.6x38.9x6.1x
Tue, 09 Dec 2025US$665.2bUS$105.8bUS$16.6b33.1x40.1x6.3x
Thu, 06 Nov 2025US$673.1bUS$103.8bUS$16.0b31.3x42.1x6.5x
Sat, 04 Oct 2025US$649.1bUS$103.3bUS$16.0b29.8x40.6x6.3x
Mon, 01 Sep 2025US$623.2bUS$103.0bUS$16.2b26.2x38.4x6x
Wed, 30 Jul 2025US$575.6bUS$100.6bUS$14.0b28.3x41.1x5.7x
Fri, 27 Jun 2025US$552.8bUS$105.7bUS$14.3b28.5x38.6x5.2x
Sun, 25 May 2025US$522.0bUS$105.5bUS$14.3b25.8x36.6x4.9x
Tue, 22 Apr 2025US$454.4bUS$102.8bUS$12.4b23.5x36.5x4.4x
Thu, 20 Mar 2025US$495.5bUS$102.8bUS$12.4b26.2x39.8x4.8x
Sat, 15 Feb 2025US$561.7bUS$104.1bUS$12.1b28.1x46.6x5.4x
Mon, 13 Jan 2025US$541.9bUS$102.4bUS$12.1b23.7x44.8x5.3x
Wed, 11 Dec 2024US$533.7bUS$102.5bUS$12.1b24.4x44x5.2x
Fri, 08 Nov 2024US$518.5bUS$102.6bUS$12.7b24.8x41x5.1x
Sun, 06 Oct 2024US$482.8bUS$103.0bUS$12.0b25.7x40.3x4.7x
Tue, 03 Sep 2024US$456.5bUS$103.1bUS$12.0b27.2x38.1x4.4x
Thu, 01 Aug 2024US$359.3bUS$92.5bUS$12.4b28.5x29x3.9x
Sat, 29 Jun 2024US$349.1bUS$92.7bUS$12.6b26.4x27.7x3.8x
Mon, 27 May 2024US$332.1bUS$92.9bUS$12.7b27.5x26.2x3.6x
Wed, 24 Apr 2024US$380.2bUS$104.8bUS$16.2b31x23.4x3.6x
Fri, 22 Mar 2024US$403.5bUS$104.8bUS$16.3b32.1x24.8x3.9x
Sun, 18 Feb 2024US$386.0bUS$104.9bUS$16.5b30.1x23.4x3.7x
Tue, 16 Jan 2024US$337.3bUS$96.1bUS$15.1b25.1x22.3x3.5x
Thu, 14 Dec 2023US$321.4bUS$96.1bUS$15.1b25.2x21.3x3.3x
Sat, 11 Nov 2023US$321.6bUS$95.2bUS$13.9b23.2x23.1x3.4x
Mon, 09 Oct 2023US$324.5bUS$94.7bUS$14.6b23.4x22.2x3.4x
Wed, 06 Sep 2023US$348.6bUS$94.7bUS$14.6b30.7x23.8x3.7x
Fri, 04 Aug 2023US$325.1bUS$92.1bUS$13.6b26.5x23.9x3.5x
Sun, 02 Jul 2023US$318.1bUS$91.4bUS$13.5b23.8x23.6x3.5x
Price to Earnings Ratio

23.6x


Total Market Cap: US$318.1bTotal Earnings: US$13.5bTotal Revenue: US$91.4bTotal Market Cap vs Earnings and Revenue0%0%0%
U.S. Communications Industry Price to Earnings3Y Average 34.9x202420252026
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 49.5x which is higher than its 3-year average PE of 34.8x.
  • The 3-year average PS ratio of 5.0x is lower than the industry's current PS ratio of 8.8x.
Past Earnings Growth
  • The earnings for companies in the Communications industry have grown 15% per year over the last three years.
  • Revenues for these companies have grown 8.0% 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-2.47%
Tech-4.47%
Communications-0.31%
Communications Equipment-0.31%
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$119.742.1%
+US$9.5b		75.6%PE39.5x
CIEN CienaUS$463.516.1%
+US$3.8b		483.5%PE149.7x
VIAV Viavi SolutionsUS$49.451.5%
+US$176.4m		402.0%PS8.9x
NTCT NetScout SystemsUS$40.292.7%
+US$76.5m		63.0%PE30.2x
OCC Optical CableUS$22.408.1%
+US$14.8m		711.6%PE196.2x

Latest News

CIEN
US$463.51
Ciena
7D
6.1%
1Y
483.5%
ONDS
US$7.68
Ondas
7D
-17.2%
1Y
338.9%
AAOI
US$146.97
Applied Optoelectronics
7D
-9.2%
1Y
429.2%
Narrative Update • Jun 24

AAOI: AI Optics Demand And US Capacity Buildout Will Drive Upside

Analysts have raised their price target on Applied Optoelectronics to $220.00 from $190.00, citing updated assumptions around revenue growth, profit margins, and a lower future P/E multiple in their valuation work. Analyst Commentary Recent research updates on Applied Optoelectronics signal a more constructive stance from bullish analysts, who are revisiting their assumptions around growth, profitability, and valuation.
VIAV
US$49.41
Viavi Solutions
7D
4.7%
1Y
398.1%
Narrative Update • Jun 24

VIAV: AI Data Center And Defense Demand Will Drive Future Upside

Analysts have raised their price targets on Viavi Solutions across a wide range, from $10 to $40, citing updated assumptions on discount rates, profit margins, and future P/E ratios that contribute to a higher consolidated valuation view for the stock. Analyst Commentary Recent price target revisions for Viavi Solutions show a wide spread in analyst expectations, with several bullish analysts revisiting their models for discount rates, profit margins, and future P/E assumptions.
VSAT
US$62.23
Viasat
7D
-3.0%
1Y
333.4%
Seeking Alpha • Jun 23

ViaSat: Market Pricing In All The Good News

Summary ViaSat is rated Sell after a 70% YTD rally, with the current valuation outpacing fundamentals and SOTP value. VSAT trades at 8.9x EV/EBITDA with flat EBITDA growth and a 2% free cash flow yield, lacking near-term upside. Communication Services faces structural headwinds from Starlink, while DAT grows mid-teens but is not enough to offset overall sluggish profitability. Activist involvement and potential business split offer optionality, but current market cap exceeds fair value; expect 10% downside to $58. Read the full article on Seeking Alpha
LITE
US$842.53
Lumentum Holdings
7D
-0.9%
1Y
789.6%
Narrative Update • Jun 23

LITE: Nvidia Partnership And New Capacity Expansion Will Support AI Optics Demand

Lumentum Holdings' analyst price target has been raised to about $1,111 from roughly $1,105 as analysts point to a more supportive AI data center demand backdrop and a shift toward optical sector P/E multiples that align more closely with peers. Analyst Commentary Recent research coverage on Lumentum Holdings centers on how the stock is priced relative to peers in the optical sector, the AI data center demand backdrop, and expectations for co-packaged optics adoption.
GILT
US$12.08
Gilat Satellite Networks
7D
-11.0%
1Y
73.8%
Narrative Update • Jun 23

GILT: Future Returns Will Rely On Comtech Deal And Multi Orbit Defense Contracts

Analysts left their $19.20 price target for Gilat Satellite Networks unchanged, reflecting only minimal tweaks to inputs such as the discount rate, forecast revenue growth, profit margin, and future P/E assumptions. What's in the News Gilat Satellite Networks agreed to acquire the majority of Comtech Telecommunications' Satellite & Space Communications segment for US$157.5 million in cash, with both boards unanimously approving the deal and closing targeted by the end of 2026, according to company announcements.
CSCO
US$119.73
Cisco Systems
7D
0.2%
1Y
73.6%
Narrative Update • Jun 23

CSCO: AI Networking Momentum And Security Risks Will Drive Future Returns

The analyst price target for Cisco Systems edges higher, with fair value moving from about $125.82 to $127.05, as analysts point to strong AI and networking order trends, refreshed AI-related targets, and a series of raised Street price objectives clustered in the $112 to $150 range, supported by views that AI infrastructure demand, campus refresh activity, and resilient margins can support the updated assumptions. Analyst Commentary Recent research on Cisco Systems points to a cluster of higher price targets and generally positive commentary around execution in AI networking, campus refresh activity, and optical demand tied to Acacia.
DGII
US$67.74
Digi International
7D
0.5%
1Y
97.6%
Narrative Update • Jun 23

DGII: Record Results And New IoT Platforms Will Support Measured Long-Term Upside

Digi International's analyst price target has shifted from $46.00 to $63.00, with analysts citing updated assumptions on revenue growth, profit margins, and future P/E as the basis for their revised views. Analyst Commentary Recent research coverage on Digi International has centered on refreshed price targets tied to updated assumptions on revenue, profitability, and future P/E multiples.
ADTN
US$13.96
ADTRAN Holdings
7D
-8.0%
1Y
59.4%
ANET
US$161.74
Arista Networks
7D
-1.9%
1Y
67.9%
NTCT
US$40.29
NetScout Systems
7D
2.7%
1Y
63.0%
Narrative Update • Jun 18

NTCT: Future Returns Will Balance AI Data Monetization And Capital Discipline

Analysts have lifted their price target on NetScout Systems stock by $8 to $41.71, citing updated assumptions around fair value, discount rate, revenue growth, profit margin and future P/E that were highlighted in recent Street research. What’s in the News for NetScout Systems The audit committee dismissed PricewaterhouseCoopers as the independent registered public accounting firm and appointed KPMG as the new auditor for the fiscal year ending March 31, 2027, with prior PwC reports containing no adverse opinion or qualification.
EXTR
US$30.93
Extreme Networks
7D
0.3%
1Y
73.9%
Narrative Update • Jun 17

EXTR: AI Networking Adoption And Execution Will Shape Measured Stock Risk Reward Profile

Analysts have raised their fair value estimate for Extreme Networks stock from $26.06 to $29.06, reflecting updated price targets tied to expectations for continued order momentum for the Extreme Platform ONE offering and projected market share gains compared with larger networking peers. Analyst Commentary Recent Street research on Extreme Networks highlights a cluster of higher price targets, with bullish analysts pointing to product traction for Extreme Platform ONE and potential market share shifts against larger networking competitors.
NTGR
US$23.21
NETGEAR
7D
1.9%
1Y
-18.5%
OCC
US$22.40
Optical Cable
7D
8.1%
1Y
711.6%
UI
US$550.00
Ubiquiti
7D
-2.3%
1Y
39.2%