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U.S. IT Industry Analysis

UpdatedMar 20, 2026
DataAggregated Company Financials
Companies122
  • 7D1.3%
  • 3M-18.3%
  • 1Y-1.1%
  • YTD-14.6%

Over the last 7 days, the IT industry has dropped 1.1%, driven by Shopify declining 0.5%. The industry has fallen 5.1% in the last year. Looking forward, earnings are forecast to grow by 18% annually.

Industry Valuation and Performance

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

DateMarket CapRevenueEarningsPEAbsolute PEPS
Fri, 20 Mar 2026US$870.3bUS$259.6bUS$21.6b19.2x40.4x3.4x
Sun, 15 Feb 2026US$900.7bUS$256.5bUS$21.7b23.2x41.4x3.5x
Tue, 13 Jan 2026US$1.1tUS$282.8bUS$21.0b29.7x52.8x3.9x
Thu, 11 Dec 2025US$1.1tUS$282.0bUS$21.0b31.1x52.9x3.9x
Sat, 08 Nov 2025US$1.1tUS$280.3bUS$20.2b31.2x53.8x3.9x
Mon, 06 Oct 2025US$1.1tUS$283.3bUS$20.1b33.2x54.5x3.9x
Wed, 03 Sep 2025US$988.2bUS$250.9bUS$19.3b32.5x51.2x3.9x
Fri, 01 Aug 2025US$960.1bUS$243.2bUS$17.9b26.9x53.8x3.9x
Sun, 29 Jun 2025US$1.0tUS$241.7bUS$17.4b28.9x58.3x4.2x
Tue, 27 May 2025US$930.5bUS$240.2bUS$16.9b29x54.9x3.9x
Thu, 24 Apr 2025US$815.9bUS$242.4bUS$18.5b34.3x44.1x3.4x
Sat, 22 Mar 2025US$859.7bUS$240.8bUS$19.2b44.7x44.7x3.6x
Mon, 17 Feb 2025US$1.0tUS$239.4bUS$18.2b44.8x57x4.3x
Wed, 15 Jan 2025US$851.6bUS$234.0bUS$16.5b39x51.7x3.6x
Fri, 13 Dec 2024US$908.0bUS$233.2bUS$16.4b44.6x55.4x3.9x
Sun, 10 Nov 2024US$816.6bUS$233.2bUS$16.1b46.9x50.6x3.5x
Tue, 08 Oct 2024US$806.1bUS$232.9bUS$17.8b42.7x45.4x3.5x
Thu, 05 Sep 2024US$749.7bUS$233.2bUS$17.5b38.8x42.7x3.2x
Sat, 03 Aug 2024US$714.8bUS$232.5bUS$16.1b28.6x44.3x3.1x
Mon, 01 Jul 2024US$710.2bUS$237.1bUS$17.2b27.9x41.3x3x
Wed, 29 May 2024US$707.2bUS$237.0bUS$17.2b26.9x41x3x
Fri, 26 Apr 2024US$710.4bUS$228.0bUS$14.4b22.8x49.4x3.1x
Sun, 24 Mar 2024US$776.8bUS$227.6bUS$14.6b22.3x53.3x3.4x
Tue, 20 Feb 2024US$831.3bUS$227.5bUS$14.2b23.4x58.5x3.7x
Thu, 18 Jan 2024US$791.2bUS$229.4bUS$12.9b21.1x61.1x3.4x
Sat, 16 Dec 2023US$786.3bUS$229.0bUS$12.8b20.3x61.4x3.4x
Mon, 13 Nov 2023US$691.3bUS$228.4bUS$12.6b20.5x54.7x3x
Wed, 11 Oct 2023US$674.9bUS$227.2bUS$6.5b22.7x104.3x3x
Fri, 08 Sep 2023US$706.7bUS$226.6bUS$6.8b23.2x103.9x3.1x
Sun, 06 Aug 2023US$680.8bUS$226.3bUS$6.4b24x106.1x3x
Tue, 04 Jul 2023US$682.3bUS$228.6bUS$6.1b23.7x112x3x
Thu, 01 Jun 2023US$655.9bUS$228.0bUS$5.8b22.7x114x2.9x
Sat, 29 Apr 2023US$581.8bUS$225.7bUS$2.7b21.7x212.8x2.6x
Mon, 27 Mar 2023US$572.2bUS$225.5bUS$2.3b22.6x245x2.5x
Price to Earnings Ratio

245x


Total Market Cap: US$572.2bTotal Earnings: US$2.3bTotal Revenue: US$225.5bTotal Market Cap vs Earnings and Revenue0%0%0%
U.S. IT Industry Price to Earnings3Y Average 67.4x202420252026
Current Industry PE
  • Investors are pessimistic on the American IT industry, indicating that they anticipate long term growth rates will be lower than they have historically.
  • The industry is trading at a PE ratio of 40.9x which is lower than its 3-year average PE of 67.4x.
  • The industry is trading close to its 3-year average PS ratio of 3.4x.
Past Earnings Growth
  • The earnings for companies in the IT industry have grown 110% per year over the last three years.
  • Revenues for these companies have grown 4.6% 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-0.66%
Tech-0.29%
IT1.29%
IT Consulting1.51%
Internet Services and Infrastructure1.09%
Data Processing Services-0.51%
Industry PE
  • Investors are most optimistic about the Data Processing Services industry which is trading above its 3-year average PE ratio of 27.2x.
    • Analysts are expecting annual earnings growth of 13.5%, which is lower than the prior year's growth of 26.6% per year.
Forecasted Growth
  • Analysts are most optimistic on the Internet Services and Infrastructure industry, expecting annual earnings growth of 27% over the next 5 years.
  • This is roughly in line with its past earnings growth rate.
  • In contrast, the IT Consulting industry is expected to see its earnings grow by 8.3% per year over the next few years.

Top Stock Gainers and Losers

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

CompanyLast Price7D1YValuation
ACN AccentureUS$203.553.8%
+US$4.6b		-32.4%PE16.4x
NET CloudflareUS$221.364.4%
+US$3.3b		87.7%PS35.9x
IBM International Business MachinesUS$250.371.1%
+US$2.5b		2.9%PE22.2x
DOCN DigitalOcean HoldingsUS$85.3528.9%
+US$1.8b		133.5%PE30.3x
MDB MongoDBUS$270.163.6%
+US$761.9m		42.7%PS8.8x

Latest News

ACN
US$203.55
Accenture
7D
3.8%
1Y
-32.4%
APLD
US$26.70
Applied Digital
7D
-2.8%
1Y
266.3%
TSSI
US$10.91
TSS
7D
-14.3%
1Y
19.9%
NET
US$221.36
Cloudflare
7D
4.4%
1Y
87.7%
DOCN
US$85.35
DigitalOcean Holdings
7D
28.9%
1Y
133.5%

DOCN: AI Capacity Hype Will Likely Outrun Execution And Utilization

The analyst fair value estimate for DigitalOcean has increased from $32.00 to $57.00. This reflects higher Street price targets tied to stronger AI related growth expectations, updated long term revenue outlooks, and a higher assumed future P/E multiple, even as some firms maintain more cautious ratings.
SNOW
US$175.40
Snowflake
7D
-1.0%
1Y
11.6%
IBM
US$250.37
International Business Machines
7D
1.1%
1Y
2.9%

IBM: Hybrid Cloud And AI Execution Will Drive Repricing Potential

Analysts have kept the average price target for International Business Machines steady at $390.00. Recent research points to a more balanced risk/reward profile, as AI related competitive concerns around the Z mainframe platform and slower expectations for mainframe and consulting growth are weighed against ongoing interest in IBM's hybrid cloud, AI, automation and data offerings.
AKAM
US$110.00
Akamai Technologies
7D
4.3%
1Y
34.9%

AKAM: Heavy AI And Compute Spending Will Pressure Margins And Share Returns

Akamai’s updated analyst price target framework edges higher as modestly adjusted assumptions on fair value, growth, margins and future P/E reflect analysts’ focus on stabilizing delivery trends, rising contributions from security and compute, and sector-wide AI optimism, despite mixed views on near term investment and profitability. Analyst Commentary Recent Street research on Akamai highlights a split view.
SHOP
US$122.37
Shopify
7D
-0.5%
1Y
17.4%

SHOP: Agentic Commerce Optimism Will Face Test As Expectations Stay Elevated

Shopify's analyst fair value estimate has been modestly adjusted from $111.12 to $110.00 as analysts factor in updated assumptions around discount rates, revenue growth, profit margins, and a slightly lower future P/E. Recent research highlights both rising price targets from bulls focused on AI and agentic commerce potential, and reductions from others citing valuation reset and sector multiple compression.
DOX
US$64.34
Amdocs
7D
-3.9%
1Y
-27.2%

Cloud And AI Transformation Will Reshape Telecom Operations Over The Next Decade

Catalysts About Amdocs Amdocs provides software, services and managed solutions that support mission critical business and operations systems for telecom and media companies worldwide. What are the underlying business or industry changes driving this perspective?
VNET
US$9.36
VNET Group
7D
-11.4%
1Y
5.6%
BBAI
US$3.73
BigBear.ai Holdings
7D
-7.4%
1Y
24.3%
VRSN
US$239.65
VeriSign
7D
1.9%
1Y
-1.1%

VRSN: Steady .Com Base And Buybacks Will Support Future Cash Returns

Analysts have trimmed their average price target on VeriSign by $57, citing updated models that reflect a slightly higher discount rate and P/E assumption, even as they acknowledge steady. com domain trends and fairly valued shares.
CRWV
US$80.66
CoreWeave
7D
1.0%
1Y
n/a
IT
US$159.26
Gartner
7D
-0.8%
1Y
-62.0%
MDB
US$270.16
MongoDB
7D
3.6%
1Y
42.7%

MDB: Fair Outlook Sees AI Data Opportunity Tempered By Atlas And Leadership Uncertainty

Narrative Update Our updated analyst price target for MongoDB moves from $340.43 to $250.00, reflecting analysts' lower long term revenue growth assumptions, a slightly higher discount rate and a more conservative future P/E multiple, even as they highlight ongoing AI related opportunities and the recent post earnings selloff as a reset in expectations rather than a change in the core story. Analyst Commentary A wave of post earnings research on MongoDB has centered on resetting expectations after mixed guidance and a sharp pullback in the share price.