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U.S. Communications Industry Analysis

UpdatedJul 24, 2026
DataAggregated Company Financials
Companies77
  • 7D2.6%
  • 3M3.9%
  • 1Y68.1%
  • YTD41.2%

The Communications industry is up 2.6% in the last week, with Arista Networks up 4.8%. This takes the industry's 12 month performance to a gain of 68%. Earnings are forecast to grow by 20% annually.

Industry Valuation and Performance

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

DateMarket CapRevenueEarningsPEAbsolute PEPS
Fri, 24 Jul 2026US$964.1bUS$115.3bUS$20.6b31.6x46.7x8.4x
Sun, 21 Jun 2026US$996.8bUS$115.3bUS$20.6b31.3x48.4x8.6x
Tue, 19 May 2026US$975.5bUS$114.8bUS$20.2b30.8x48.3x8.5x
Thu, 16 Apr 2026US$846.3bUS$109.2bUS$18.4b45.2x46x7.8x
Sat, 14 Mar 2026US$747.9bUS$109.3bUS$18.4b41.9x40.7x6.8x
Mon, 09 Feb 2026US$745.5bUS$106.8bUS$17.2b32.8x43.3x7x
Wed, 07 Jan 2026US$676.5bUS$106.1bUS$16.7b40.9x40.4x6.4x
Fri, 05 Dec 2025US$660.2bUS$105.8bUS$16.6b31.9x39.8x6.2x
Sun, 02 Nov 2025US$689.8bUS$103.8bUS$16.0b32x43.2x6.6x
Tue, 30 Sep 2025US$638.5bUS$103.3bUS$16.0b30x39.9x6.2x
Thu, 28 Aug 2025US$615.1bUS$103.1bUS$16.2b25.9x37.9x6x
Sat, 26 Jul 2025US$570.1bUS$100.6bUS$14.0b28.6x40.7x5.7x
Mon, 23 Jun 2025US$526.6bUS$105.7bUS$14.3b26.8x36.7x5x
Wed, 21 May 2025US$537.4bUS$105.5bUS$14.5b25.8x37.1x5.1x
Fri, 18 Apr 2025US$455.6bUS$102.8bUS$12.4b24.1x36.6x4.4x
Sun, 16 Mar 2025US$493.9bUS$103.1bUS$12.4b25.4x39.9x4.8x
Tue, 11 Feb 2025US$572.1bUS$102.7bUS$12.3b25.6x46.6x5.6x
Thu, 09 Jan 2025US$544.3bUS$102.4bUS$12.1b24.2x45x5.3x
Sat, 07 Dec 2024US$542.0bUS$102.5bUS$12.1b24.8x44.7x5.3x
Mon, 04 Nov 2024US$496.3bUS$102.8bUS$12.1b23.8x41.1x4.8x
Wed, 02 Oct 2024US$479.7bUS$102.9bUS$12.0b24.6x40x4.7x
Fri, 30 Aug 2024US$447.6bUS$103.1bUS$12.0b27x37.4x4.3x
Sun, 28 Jul 2024US$345.5bUS$92.3bUS$12.2b27.6x28.4x3.7x
Tue, 25 Jun 2024US$345.1bUS$92.7bUS$12.6b26.5x27.3x3.7x
Thu, 23 May 2024US$338.0bUS$92.9bUS$12.7b27.3x26.6x3.6x
Sat, 20 Apr 2024US$379.9bUS$104.8bUS$16.3b30.2x23.4x3.6x
Mon, 18 Mar 2024US$393.9bUS$104.8bUS$16.3b31.7x24.2x3.8x
Wed, 14 Feb 2024US$390.1bUS$105.8bUS$16.7b29.2x23.4x3.7x
Fri, 12 Jan 2024US$336.4bUS$96.1bUS$15.1b25.1x22.2x3.5x
Sun, 10 Dec 2023US$315.5bUS$96.1bUS$15.1b25.2x20.9x3.3x
Tue, 07 Nov 2023US$327.1bUS$94.9bUS$14.7b23.2x22.2x3.4x
Thu, 05 Oct 2023US$329.2bUS$94.7bUS$14.6b27.8x22.5x3.5x
Sat, 02 Sep 2023US$351.9bUS$94.7bUS$14.6b31x24x3.7x
Mon, 31 Jul 2023US$313.0bUS$91.6bUS$13.4b24.4x23.3x3.4x
Price to Earnings Ratio

23.3x


Total Market Cap: US$313.0bTotal Earnings: US$13.4bTotal Revenue: US$91.6bTotal Market Cap vs Earnings and Revenue0%0%0%
U.S. Communications Industry Price to Earnings3Y Average 35.5x202420252026
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 46.7x which is higher than its 3-year average PE of 35.5x.
  • The 3-year average PS ratio of 5.2x is lower than the industry's current PS ratio of 8.4x.
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-1.98%
Tech0.26%
Communications2.55%
Communications Equipment2.55%
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$176.614.8%
+US$10.1b		54.9%PE59.8x
LITE Lumentum HoldingsUS$833.6413.8%
+US$7.8b		697.6%PE147.7x
CSCO Cisco SystemsUS$112.760.7%
+US$3.2b		64.2%PE37.2x
CIEN CienaUS$407.534.8%
+US$2.6b		367.4%PE131.6x
VIAV Viavi SolutionsUS$41.8013.2%
+US$1.2b		311.0%PS7.5x

Latest News

ADTN
US$10.15
ADTRAN Holdings
7D
-12.9%
1Y
10.0%
CSCO
US$112.76
Cisco Systems
7D
0.7%
1Y
64.2%
ANET
US$176.61
Arista Networks
7D
4.8%
1Y
54.9%
ONDS
US$7.93
Ondas
7D
19.2%
1Y
270.6%
NTCT
US$39.45
NetScout Systems
7D
-3.4%
1Y
75.3%
CALX
US$35.77
Calix
7D
-7.4%
1Y
-35.3%
Seeking Alpha • Jul 23

Calix: Contract Growth Is What Matters

Summary Calix, Inc. is reiterated as a buy, with platform adoption driving contracted revenue and a more attractive entry point post-Q2 2026. Q2 2026 revenue grew 21% y/y to $293.3M, with strong Calix One contract growth and current RPO up 21% y/y. Margin weakness is attributed to higher memory costs, but surcharges and software mix should support eventual margin recovery after Q3 2026. Valuation supports upside to ~$50/share, with risk centered on surcharge impacts and duration of margin trough. Read the full article on Seeking Alpha
MSI
US$407.02
Motorola Solutions
7D
-1.7%
1Y
-4.2%
FFIV
US$388.08
F5
7D
-3.8%
1Y
28.5%
Narrative Update • Jul 23

FFIV: AI Security And Hybrid Multicloud Workloads Will Support Future Upside

Analysts have lifted their fair value estimate for F5 stock to $500 from $490, citing refreshed price targets and research that highlights the company’s role in hybrid cloud, AI-related application delivery, and security demand. Analyst Commentary Recent research on F5 reflects a cluster of higher price targets and a shift toward more constructive views, particularly around AI, hybrid cloud adoption, and application security.
AAOI
US$112.02
Applied Optoelectronics
7D
11.8%
1Y
333.5%
Narrative Update • Jul 22

AAOI: Hyperscale AI Capacity Expansion Will Likely Support Further Share Upside

Analysts raised their price target on Applied Optoelectronics by $6, citing updated fair value estimates around $157 and a slightly higher assumed future P/E multiple that is in line with recent Street research. Analyst Commentary Recent Street research on Applied Optoelectronics points to a reassessment of fair value, with analysts updating their models and price targets based on revised P/E assumptions and refreshed views on the company’s ability to execute on its plans.
HLIT
US$11.60
Harmonic
7D
-3.6%
1Y
28.9%
VISN
US$11.94
Vistance Networks
7D
-1.2%
1Y
50.6%
VIAV
US$41.80
Viavi Solutions
7D
13.2%
1Y
311.0%
Narrative Update • Jul 22

VIAV: AI Data Center Demand Will Power Field Instrument Upside

The analyst price target for Viavi Solutions has shifted from $34.73 to $70.00. Analysts attribute this change to higher assumed revenue growth, stronger profit margins, and updated forecasts for Field Instrument demand linked to DCI projects at large networking customers.
LITE
US$833.64
Lumentum Holdings
7D
13.8%
1Y
697.6%
Narrative Update • Jul 21

LITE: AI Optics Demand And Execution On Nvidia Partnership Will Shape Returns

Analysts have trimmed their fair value estimate for Lumentum Holdings from $802.35 to $774.70 as modestly higher discount rate assumptions and lower projected profit margins offset stronger modeled revenue growth and a slightly lower future P/E. Analyst Commentary Recent Street research around Lumentum Holdings highlights a mix of optimism on long term optical demand and caution around execution, earnings visibility and how much of the AI and co packaged optics story is already reflected in the stock price.
VSAT
US$74.27
Viasat
7D
8.1%
1Y
413.3%
CIEN
US$407.53
Ciena
7D
4.8%
1Y
367.4%
UI
US$529.36
Ubiquiti
7D
-2.7%
1Y
18.3%
Seeking Alpha • Jul 08

Ubiquiti: Even The Bull Case Struggles To Reach Today's Price

Summary Ubiquiti is rated Sell, as the current valuation exceeds the justified fair value based on forward growth and peer multiples. Enterprise Technology drives 91% of revenue, compounding above 20%, but consensus expects a deceleration to 12.9% growth in FY2027. Despite a debt-free balance sheet and 47% gross margins, UI's price ($525) sits above a defensible fair value range of $400–$490. Thin analyst coverage and single-segment growth concentration heighten valuation risk; upside depends on sustained Enterprise Tech acceleration or Service Provider stabilization. Read the full article on Seeking Alpha