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U.S. IT Industry Analysis
UpdatedApr 29, 2025
DataAggregated Company Financials
Companies104
- 7D8.4%
- 3M-14.3%
- 1Y12.8%
- YTD-6.3%
The IT industry is up 8.4% in the last week, with Shopify up 21%. This means that the industry has gained 13% over the past year. Earnings are forecast to grow by 14% annually.
Industry Valuation and Performance
Has the U.S. IT Industry valuation changed over the past few years?
| Date | Market Cap | Revenue | Earnings | PE | Absolute PE | PS |
|---|---|---|---|---|---|---|
| Tue, 29 Apr 2025 | US$841.9b | US$242.4b | US$18.0b | 31.6x | 46.9x | 3.5x |
| Thu, 27 Mar 2025 | US$890.7b | US$240.8b | US$19.2b | 45.1x | 46.3x | 3.7x |
| Sat, 22 Feb 2025 | US$976.6b | US$239.7b | US$18.2b | 40.2x | 53.8x | 4.1x |
| Mon, 20 Jan 2025 | US$872.5b | US$234.1b | US$16.3b | 42.1x | 53.4x | 3.7x |
| Wed, 18 Dec 2024 | US$896.3b | US$233.2b | US$16.4b | 43.8x | 54.7x | 3.8x |
| Fri, 15 Nov 2024 | US$866.7b | US$232.6b | US$16.3b | 46.9x | 53.1x | 3.7x |
| Sun, 13 Oct 2024 | US$823.0b | US$232.9b | US$17.8b | 43.4x | 46.3x | 3.5x |
| Tue, 10 Sep 2024 | US$746.6b | US$233.3b | US$17.6b | 35.4x | 42.5x | 3.2x |
| Thu, 08 Aug 2024 | US$690.7b | US$232.5b | US$16.1b | 28.3x | 42.9x | 3x |
| Sat, 06 Jul 2024 | US$720.0b | US$237.0b | US$17.2b | 28.5x | 41.9x | 3x |
| Mon, 03 Jun 2024 | US$671.5b | US$237.1b | US$17.3b | 28.3x | 38.8x | 2.8x |
| Wed, 01 May 2024 | US$699.4b | US$228.0b | US$14.3b | 24.9x | 48.9x | 3.1x |
| Fri, 29 Mar 2024 | US$781.0b | US$227.7b | US$13.8b | 22.6x | 56.5x | 3.4x |
| Sun, 25 Feb 2024 | US$827.0b | US$227.5b | US$14.2b | 22x | 58.2x | 3.6x |
| Tue, 23 Jan 2024 | US$818.4b | US$229.4b | US$12.9b | 22.4x | 63.2x | 3.6x |
| Thu, 21 Dec 2023 | US$787.8b | US$229.5b | US$12.8b | 20.3x | 61.5x | 3.4x |
| Sat, 18 Nov 2023 | US$717.0b | US$228.4b | US$12.7b | 20.7x | 56.5x | 3.1x |
| Mon, 16 Oct 2023 | US$651.0b | US$227.2b | US$6.5b | 20.7x | 100.6x | 2.9x |
| Wed, 13 Sep 2023 | US$711.0b | US$226.6b | US$6.8b | 23.2x | 104.5x | 3.1x |
| Fri, 11 Aug 2023 | US$668.8b | US$226.3b | US$6.7b | 23.1x | 100.2x | 3x |
| Sun, 09 Jul 2023 | US$667.8b | US$228.6b | US$6.1b | 24.2x | 109.6x | 2.9x |
| Tue, 06 Jun 2023 | US$673.3b | US$228.2b | US$5.9b | 22.1x | 113.7x | 2.9x |
| Thu, 04 May 2023 | US$590.7b | US$233.0b | US$3.9b | 22.4x | 151.5x | 2.5x |
| Sat, 01 Apr 2023 | US$606.6b | US$225.6b | US$2.3b | 22.3x | 258.8x | 2.7x |
| Mon, 27 Feb 2023 | US$1.9t | US$462.7b | US$22.4b | 26.5x | 86.8x | 4.2x |
| Wed, 25 Jan 2023 | US$2.0t | US$458.2b | US$39.1b | 28.4x | 51.6x | 4.4x |
| Fri, 23 Dec 2022 | US$1.9t | US$457.9b | US$39.2b | 27.6x | 47.4x | 4.1x |
| Sun, 20 Nov 2022 | US$1.9t | US$456.6b | US$38.0b | 28.2x | 50.7x | 4.2x |
| Tue, 18 Oct 2022 | US$1.7t | US$449.5b | US$41.7b | 26.3x | 41.7x | 3.9x |
| Thu, 15 Sep 2022 | US$2.0t | US$447.1b | US$41.4b | 26.6x | 47.7x | 4.4x |
| Sat, 13 Aug 2022 | US$2.2t | US$445.4b | US$41.6b | 30.1x | 51.8x | 4.8x |
| Mon, 11 Jul 2022 | US$2.0t | US$441.7b | US$46.9b | 29.4x | 41.7x | 4.4x |
| Wed, 08 Jun 2022 | US$2.1t | US$438.7b | US$46.9b | 29.5x | 45x | 4.8x |
| Fri, 06 May 2022 | US$2.1t | US$431.4b | US$49.2b | 28.8x | 42.1x | 4.8x |
Price to Earnings Ratio
42.1x
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 46.9x which is lower than its 3-year average PE of 67.2x.
- The industry is trading close to its 3-year average PS ratio of 3.6x.
Past Earnings Growth
- The earnings for companies in the IT industry have declined 29% per year over the last three years,
- Revenues have also declined 17% 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 | 7.07% | |
| Tech | 10.65% | |
| IT | 8.44% | |
| Internet Services and Infrastructure | 17.39% | |
| IT Consulting | 3.20% | |
| Data Processing Services | 2.55% | |
Industry PE
- Investors are most optimistic about the Internet Services and Infrastructure industry which is trading above its 3-year average PE ratio.
- Analysts are expecting annual earnings growth of 19.8%, which is higher than its past year's earnings growth of 14.7% per year.
- Investors are most pessimistic about the Data Processing Services industry, which is trading below its 3-year average of 30.6x.
Forecasted Growth
- Analysts are most optimistic on the Internet Services and Infrastructure industry, expecting annual earnings growth of 20% over the next 5 years.
- This is better than its past earnings growth rate of 15% per year.
- In contrast, the IT Consulting industry is expected to see its earnings grow by 11% per year over the next few years.
Top Stock Gainers and Losers
Which companies have driven the market over the last 7 days?
| Company | Last Price | 7D | 1Y | Valuation | |
|---|---|---|---|---|---|
| SHOP Shopify | US$98.57 | 20.7% +US$21.9b | 36.0% | PE63.2x | |
| ACN Accenture | US$293.25 | 5.0% +US$8.8b | -3.3% | PE23.9x | |
| SNOW Snowflake | US$158.96 | 16.0% +US$7.3b | 1.0% | PS14.6x | |
| NET Cloudflare | US$121.00 | 18.5% +US$6.5b | 35.0% | PS25.1x | |
| VRSN VeriSign | US$276.19 | 14.4% +US$3.2b | 57.7% | PE32.8x |
