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U.S. Communications Industry Analysis

UpdatedMay 21, 2026
DataAggregated Company Financials
Companies77
  • 7D2.7%
  • 3M27.1%
  • 1Y85.3%
  • YTD40.0%

The Communications industry is up 2.7% in the last week, with Cisco Systems up 12%. During this same period, the Lumentum Holdings underperformed, falling 16%. This takes the industry's 12 month performance to a gain of 85%. Looking forward, earnings are forecast to grow by 23% annually.

Industry Valuation and Performance

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

DateMarket CapRevenueEarningsPEAbsolute PEPS
Fri, 22 May 2026US$958.2bUS$114.8bUS$20.2b31.4x47.4x8.3x
Sun, 19 Apr 2026US$893.7bUS$109.2bUS$18.4b48.7x48.6x8.2x
Tue, 17 Mar 2026US$752.4bUS$109.3bUS$18.4b41.9x40.9x6.9x
Thu, 12 Feb 2026US$769.8bUS$106.8bUS$17.2b32.9x44.7x7.2x
Sat, 10 Jan 2026US$650.9bUS$106.1bUS$16.7b37.6x38.9x6.1x
Mon, 08 Dec 2025US$664.6bUS$105.8bUS$16.6b32.2x40x6.3x
Wed, 05 Nov 2025US$690.4bUS$103.8bUS$16.0b31x43.1x6.7x
Fri, 03 Oct 2025US$655.7bUS$103.3bUS$16.0b30.1x41x6.3x
Sun, 31 Aug 2025US$623.2bUS$103.0bUS$16.2b26.2x38.4x6x
Tue, 29 Jul 2025US$572.8bUS$100.6bUS$14.0b28.6x40.9x5.7x
Thu, 26 Jun 2025US$549.8bUS$105.7bUS$14.3b28.6x38.3x5.2x
Sat, 24 May 2025US$525.4bUS$105.5bUS$14.3b25.8x36.8x5x
Mon, 21 Apr 2025US$454.4bUS$102.8bUS$12.4b24.1x36.5x4.4x
Wed, 19 Mar 2025US$499.2bUS$102.8bUS$12.5b25.7x40.1x4.9x
Fri, 14 Feb 2025US$556.1bUS$104.0bUS$12.1b27.7x46.1x5.3x
Sun, 12 Jan 2025US$541.9bUS$102.4bUS$12.1b23.7x44.8x5.3x
Tue, 10 Dec 2024US$543.0bUS$102.5bUS$12.1b24.5x44.8x5.3x
Thu, 07 Nov 2024US$503.8bUS$102.8bUS$12.0b24.6x41.9x4.9x
Sat, 05 Oct 2024US$478.7bUS$102.9bUS$12.0b25.7x39.9x4.7x
Mon, 02 Sep 2024US$456.5bUS$103.1bUS$12.0b27.2x38.1x4.4x
Wed, 31 Jul 2024US$346.4bUS$92.2bUS$12.2b27.8x28.3x3.8x
Fri, 28 Jun 2024US$342.0bUS$92.7bUS$12.6b26.2x27.1x3.7x
Sun, 26 May 2024US$332.1bUS$92.9bUS$12.7b27.5x26.2x3.6x
Tue, 23 Apr 2024US$377.1bUS$104.8bUS$16.3b30.1x23.2x3.6x
Thu, 21 Mar 2024US$398.0bUS$104.8bUS$16.3b31.8x24.4x3.8x
Sat, 17 Feb 2024US$390.8bUS$104.9bUS$16.5b30.1x23.7x3.7x
Mon, 15 Jan 2024US$337.3bUS$96.1bUS$15.1b25.1x22.3x3.5x
Wed, 13 Dec 2023US$321.5bUS$96.1bUS$15.1b24.8x21.3x3.3x
Fri, 10 Nov 2023US$325.4bUS$95.2bUS$13.9b23.4x23.4x3.4x
Sun, 08 Oct 2023US$324.5bUS$94.7bUS$14.6b23.4x22.2x3.4x
Tue, 05 Sep 2023US$351.9bUS$94.7bUS$14.6b31x24x3.7x
Thu, 03 Aug 2023US$323.2bUS$92.1bUS$13.6b26.4x23.7x3.5x
Sat, 01 Jul 2023US$318.1bUS$91.4bUS$13.5b23.8x23.6x3.5x
Mon, 29 May 2023US$310.0bUS$91.2bUS$13.5b22.8x23x3.4x
Price to Earnings Ratio

23x


Total Market Cap: US$310.0bTotal Earnings: US$13.5bTotal Revenue: US$91.2bTotal Market Cap vs Earnings and Revenue0%0%0%
U.S. Communications Industry Price to Earnings3Y Average 34x202420252026
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 47.4x which is higher than its 3-year average PE of 34.0x.
  • The 3-year average PS ratio of 4.8x is lower than the industry's current PS ratio of 8.3x.
Past Earnings Growth
  • The earnings for companies in the Communications industry have grown 14% 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-0.32%
Tech0.52%
Communications2.75%
Communications Equipment2.75%
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$118.202.3%
+US$9.5b		86.6%PE39x
FFIV F5US$383.705.2%
+US$1.1b		34.9%PE30.6x
ANET Arista NetworksUS$148.590.5%
+US$982.2m		60.5%PE50.3x
MSI Motorola SolutionsUS$400.240.2%
+US$151.1m		-5.1%PE31.8x
VISN Vistance NetworksUS$11.904.1%
+US$106.0m		116.8%PE16.7x

Latest News

VIAV
US$48.10
Viavi Solutions
7D
-10.3%
1Y
428.0%
AAOI
US$165.26
Applied Optoelectronics
7D
-25.9%
1Y
868.1%
FFIV
US$382.42
F5
7D
7.0%
1Y
33.6%
CSCO
US$114.35
Cisco Systems
7D
12.3%
1Y
80.9%
New Narrative • May 20

Defensive AI infrastructure

Investment Memo: Cisco Systems (NASDAQ: CSCO) Executive Summary Cisco Systems is undergoing a strategic transformation from a legacy networking hardware company into a key infrastructure provider for artificial intelligence (AI), cybersecurity, and enterprise software. Recent institutional accumulation—including reported increases in ownership by major asset managers—appears driven by Cisco’s emerging role in AI infrastructure, combined with its strong cash generation and defensive characteristics.
EXTR
US$23.48
Extreme Networks
7D
3.1%
1Y
47.7%
MSI
US$395.92
Motorola Solutions
7D
-0.5%
1Y
-7.2%
LITE
US$868.07
Lumentum Holdings
7D
-15.8%
1Y
1,042.9%
Seeking Alpha • May 20

Lumentum: Priced For Growth, But Not For What Comes Next - Double Growth Cycles

Summary Lumentum Holdings (LITE) is rated BUY, driven by robust demand for its photonic products essential to AI and data center infrastructure. LITE's flagship EML chips, pump lasers, and narrow linewidth lasers are sold out or capacity-constrained, supporting near-term revenue and margin expansion. Long-term growth cycles are anchored by Optical Circuit Switching (OCS) and Co-Packaged Optics (CPO), with OCS targeting $100M/quarter by end of 2026. Despite high current valuations, strong product demand, conservative analyst estimates, and underappreciated growth drivers support further upside potential. Read the full article on Seeking Alpha
CIEN
US$554.76
Ciena
7D
-4.0%
1Y
594.1%
ANET
US$140.49
Arista Networks
7D
-0.1%
1Y
52.0%
Narrative Update • May 20

ANET: Ethernet AI Backend Share Gains Will Drive Future Premium Multiple

Analysts have raised their price target on Arista Networks to $188.20 from $180.33, citing broad Street optimism around the company's role in Ethernet based AI data centers, emerging "thematic AI growth vectors" such as inference workloads, and potential share gains across AI backend and campus networking. Analyst Commentary Street research around Arista Networks is clustered around the same core idea, that Ethernet based AI data centers, inference heavy workloads, and share opportunities in AI backend and campus networking are central to the long term story.
ONDS
US$9.36
Ondas
7D
5.6%
1Y
982.0%
LTRX
US$6.38
Lantronix
7D
4.1%
1Y
187.4%
UI
US$599.21
Ubiquiti
7D
-9.9%
1Y
52.3%
VSAT
US$75.27
Viasat
7D
6.6%
1Y
651.9%
CALX
US$38.37
Calix
7D
-5.0%
1Y
-18.4%
AVNW
US$15.99
Aviat Networks
7D
4.2%
1Y
-22.2%
VISN
US$11.63
Vistance Networks
7D
1.0%
1Y
109.5%
Analysis Article • May 07

Vistance Networks' (NASDAQ:VISN) Weak Earnings May Only Reveal A Part Of The Whole Picture

Despite Vistance Networks, Inc.'s ( NASDAQ:VISN ) most recent earnings report having soft headline numbers, its stock...