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U.S. IT Industry Analysis

UpdatedFeb 06, 2026
DataAggregated Company Financials
Companies124
  • 7D-12.8%
  • 3M-15.5%
  • 1Y-13.8%
  • YTD-12.9%

Over the last 7 days, the IT industry has dropped 13%, driven by Shopify declining 23%. In contrast, TechCreate Group has gained 100%. However, the industry is down 14% over the past year. Earnings are forecast to grow by 19% annually.

Industry Valuation and Performance

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

DateMarket CapRevenueEarningsPEAbsolute PEPS
Fri, 06 Feb 2026US$905.9bUS$255.1bUS$22.6b25.6x40.1x3.6x
Sun, 04 Jan 2026US$1.1tUS$282.9bUS$20.9b28.8x50.4x3.7x
Tue, 02 Dec 2025US$1.1tUS$281.5bUS$20.9b28.3x51x3.8x
Thu, 30 Oct 2025US$1.2tUS$283.6bUS$22.0b28.9x52.8x4.1x
Sat, 27 Sep 2025US$1.0tUS$251.9bUS$19.1b31.3x53.2x4x
Mon, 25 Aug 2025US$953.0bUS$250.5bUS$19.3b30.8x49.5x3.8x
Wed, 23 Jul 2025US$1.0tUS$241.7bUS$17.3b27.6x57.9x4.2x
Fri, 20 Jun 2025US$995.8bUS$240.4bUS$17.1b27.2x58.3x4.1x
Sun, 18 May 2025US$943.4bUS$239.9bUS$16.9b29.7x55.8x3.9x
Tue, 15 Apr 2025US$808.0bUS$242.3bUS$18.5b33.3x43.7x3.3x
Thu, 13 Mar 2025US$875.7bUS$240.0bUS$18.7b47.3x46.9x3.6x
Sat, 08 Feb 2025US$978.3bUS$234.2bUS$16.3b48.1x60.1x4.2x
Mon, 06 Jan 2025US$871.5bUS$234.0bUS$16.5b49.1x53x3.7x
Wed, 04 Dec 2024US$893.3bUS$233.1bUS$16.3b46.1x54.9x3.8x
Fri, 01 Nov 2024US$772.1bUS$233.2bUS$15.9b44.3x48.5x3.3x
Sun, 29 Sep 2024US$796.7bUS$233.8bUS$17.8b40.3x44.7x3.4x
Tue, 27 Aug 2024US$751.9bUS$233.1bUS$17.4b34.4x43.1x3.2x
Thu, 25 Jul 2024US$743.4bUS$236.9bUS$17.2b29.6x43.3x3.1x
Sat, 22 Jun 2024US$699.9bUS$237.1bUS$17.2b27.8x40.7x3x
Mon, 20 May 2024US$716.6bUS$236.8bUS$17.3b25.3x41.5x3x
Wed, 17 Apr 2024US$725.5bUS$227.7bUS$13.7b24.6x52.8x3.2x
Fri, 15 Mar 2024US$816.1bUS$227.7bUS$14.4b22.7x56.8x3.6x
Sun, 11 Feb 2024US$856.9bUS$226.8bUS$13.1b22.7x65.4x3.8x
Tue, 09 Jan 2024US$758.6bUS$229.5bUS$12.8b20x59.1x3.3x
Thu, 07 Dec 2023US$751.2bUS$229.0bUS$12.8b21.1x58.7x3.3x
Sat, 04 Nov 2023US$679.2bUS$228.3bUS$12.1b19.8x55.9x3x
Mon, 02 Oct 2023US$662.3bUS$227.2bUS$6.5b24.3x102.4x2.9x
Wed, 30 Aug 2023US$686.8bUS$226.3bUS$6.6b21.6x103.7x3x
Fri, 28 Jul 2023US$694.4bUS$228.6bUS$6.2b25.5x112x3x
Sun, 25 Jun 2023US$661.8bUS$228.6bUS$6.1b23.4x107.8x2.9x
Tue, 23 May 2023US$647.5bUS$229.1bUS$5.1b22.8x126.5x2.8x
Thu, 20 Apr 2023US$591.2bUS$225.6bUS$2.5b23.6x241x2.6x
Sat, 18 Mar 2023US$1.9tUS$463.9bUS$22.4b24x83.9x4x
Mon, 13 Feb 2023US$2.0tUS$460.3bUS$40.8b26.8x49.8x4.4x
Price to Earnings Ratio

49.8x


Total Market Cap: US$2.0tTotal Earnings: US$40.8bTotal Revenue: US$460.3bTotal Market Cap vs Earnings and Revenue0%0%0%
U.S. IT Industry Price to Earnings3Y Average 68.9x202420252026
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 40.1x which is lower than its 3-year average PE of 68.9x.
  • The industry is trading close to its 3-year average PS ratio of 3.5x.
Past Earnings Growth
  • The earnings for companies in the IT industry have declined 18% per year over the last three years,
  • Revenues have also declined 18% per year.
  • This means overall sales from these companies are declining and profits are subsequently falling as well.

Industry Trends

Which industries have driven the changes within the U.S. Tech industry?

US Market-2.98%
Tech-6.82%
IT-12.84%
Data Processing Services-8.30%
IT Consulting-8.31%
Internet Services and Infrastructure-17.97%
Industry PE
  • Investors are most optimistic about the Data Processing Services industry which is trading above its 3-year average PE ratio of 28.2x.
    • Analysts are expecting annual earnings growth of 16.0%, which is lower than the prior year's growth of 20.6% per year.
Forecasted Growth
  • Analysts are most optimistic on the Internet Services and Infrastructure industry, expecting annual earnings growth of 31% over the next 5 years.
  • This is better than its past earnings growth rate of 24% per year.
  • In contrast, the IT Consulting industry is expected to see its earnings grow by 8.5% 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
TCGL TechCreate GroupUS$172.84100.1%
+US$1.8b		n/aPS1369.6x
ASGN ASGNUS$53.076.9%
+US$146.0m		-35.9%PE20x
DOCN DigitalOcean HoldingsUS$57.662.7%
+US$140.0m		31.1%PE20.9x
RPGL Republic Power GroupUS$0.48-46.1%
US$14.3m		n/aPE104.2x
FUSE FusemachinesUS$1.9221.5%
+US$9.8m		-83.4%PS7x

Latest News

CRWV
US$74.65
CoreWeave
7D
-19.9%
1Y
n/a
ASGN
US$53.07
ASGN
7D
6.9%
1Y
-35.9%
SNOW
US$156.71
Snowflake
7D
-21.4%
1Y
-15.9%
CLPS
US$1.14
CLPS Incorporation
7D
6.1%
1Y
-10.6%
DOCN
US$57.66
DigitalOcean Holdings
7D
2.7%
1Y
31.1%

DOCN: AI Partnerships And 2026 Software Setup Will Shape A Measured Outlook

Analysts have raised their fair value target for DigitalOcean to about US$56.17 from US$54, reflecting updated views on discount rates, long term revenue growth, profit margins and future P/E multiples in light of recent price target increases from major firms. Analyst Commentary Recent research updates on DigitalOcean reflect a mix of optimism on the setup for software names in 2026 and ongoing questions about execution and valuation risk.
FUSE
US$1.92
Fusemachines
7D
21.5%
1Y
-83.4%
NET
US$163.05
Cloudflare
7D
-9.6%
1Y
15.2%

NET: AI And Security Hype Will Likely Outrun Near Term Execution

Analysts slightly raised their Cloudflare fair value estimate to about $133 per share, citing updated price targets that reflect growing interest in its role in AI infrastructure and security, even as some firms recently trimmed their official targets. Analyst Commentary Recent research opinions on Cloudflare present a mixed picture, with some firms pointing to AI infrastructure and security as important demand drivers, while others are growing more cautious about how much of that potential is already reflected in the share price.
MDB
US$326.50
MongoDB
7D
-12.7%
1Y
17.4%

MDB: AI Workloads And Cloud Recurring Revenue Will Support Future Leadership Transition

Our updated fair value estimate for MongoDB moves to $525 from $550, as analysts factor in expectations for higher long term revenue growth, a richer future P/E multiple, and a lower discount rate, partially offset by more conservative profit margin assumptions. Analyst Commentary Recent Street research has generally tilted positive on MongoDB, with a series of higher price targets and reaffirmed positive ratings.
IT
US$152.03
Gartner
7D
-28.5%
1Y
-71.6%

Benign Growth For Gartner, Inc. (NYSE:IT) Underpins Stock's 32% Plummet

Feb 04
Benign Growth For Gartner, Inc. (NYSE:IT) Underpins Stock's 32% Plummet
IBM
US$289.89
International Business Machines
7D
-6.3%
1Y
14.4%

IBM: Broad Price Reset Will Highlight Confluent Deal And AI Initiatives

The analyst price target for International Business Machines has been raised from US$350 to US$390, reflecting updated assumptions around discount rates, margins and future P/E, alongside a broad wave of recent price target increases from multiple research firms. Analyst Commentary Bullish analysts have been lifting their price targets on International Business Machines in quick succession, with several moves clustered around the same dates.
SHOP
US$111.24
Shopify
7D
-22.6%
1Y
-6.2%

SHOP: AI Efficiencies And Q4 Execution Will Support Higher Earnings Power

The analyst fair value estimate for Shopify has increased from US$200 to about US$218, reflecting updated assumptions on revenue growth, profitability and future P/E following recent research highlighting Q4 fundamentals, AI driven operating leverage and a series of price target revisions and rating changes across the Street. Analyst Commentary Street research around Shopify has skewed constructive, with several bullish analysts revisiting their models and resetting price targets and ratings after recent earnings and product updates.
RPGL
US$0.48
Republic Power Group
7D
-46.1%
1Y
n/a
ACN
US$233.58
Accenture
7D
-10.6%
1Y
-39.7%

ACN: GenAI Modernization Partnerships And Cannibalization Risks Will Steer Future Returns

Analysts have nudged their fair value estimate for Accenture higher to about $292, a move of roughly $3, as recent research highlights renewed interest in the stock, supported by fresh coverage and upward price target revisions tied to GenAI driven enterprise modernization potential. Analyst Commentary Bullish Takeaways Bullish analysts see Accenture as a relatively attractive way to gain exposure to GenAI driven enterprise modernization, with the current valuation framed as reasonable versus its own history.
TCGL
US$172.84
TechCreate Group
7D
100.1%
1Y
n/a
ORKT
US$1.18
Orangekloud Technology
7D
39.6%
1Y
-78.9%
DTST
US$4.85
Data Storage
7D
8.5%
1Y
14.7%