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U.S. IT Industry Analysis
UpdatedMay 06, 2025
DataAggregated Company Financials
Companies103
- 7D4.7%
- 3M-15.2%
- 1Y15.9%
- YTD-1.8%
Over the last 7 days, the IT industry has risen 4.7%, driven by gains from International Business Machines of 4.1%. In the same time, Shopify was down 5.1%. In the last 12 months, the industry was up 16%. Looking forward, earnings are forecast to grow by 15% 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 |
|---|---|---|---|---|---|---|
| Wed, 07 May 2025 | US$862.7b | US$238.5b | US$17.0b | 31.8x | 50.7x | 3.6x |
| Fri, 04 Apr 2025 | US$897.7b | US$242.3b | US$18.5b | 32.7x | 48.6x | 3.7x |
| Sun, 02 Mar 2025 | US$947.1b | US$239.9b | US$18.0b | 39.2x | 52.6x | 3.9x |
| Tue, 28 Jan 2025 | US$898.7b | US$234.1b | US$16.3b | 44.9x | 55.1x | 3.8x |
| Thu, 26 Dec 2024 | US$879.1b | US$234.7b | US$16.7b | 42x | 52.6x | 3.7x |
| Sat, 23 Nov 2024 | US$873.9b | US$233.0b | US$16.3b | 41.6x | 53.6x | 3.7x |
| Mon, 21 Oct 2024 | US$831.5b | US$232.8b | US$17.8b | 45.5x | 46.8x | 3.6x |
| Wed, 18 Sep 2024 | US$780.5b | US$233.3b | US$17.6b | 35.5x | 44.5x | 3.3x |
| Fri, 16 Aug 2024 | US$731.7b | US$232.7b | US$17.5b | 35.3x | 41.7x | 3.1x |
| Sun, 14 Jul 2024 | US$729.5b | US$236.9b | US$17.2b | 28x | 42.5x | 3.1x |
| Tue, 11 Jun 2024 | US$684.1b | US$237.2b | US$17.3b | 27.5x | 39.7x | 2.9x |
| Thu, 09 May 2024 | US$743.8b | US$236.9b | US$16.6b | 27x | 44.7x | 3.1x |
| Sat, 06 Apr 2024 | US$756.8b | US$227.8b | US$13.8b | 25.6x | 54.7x | 3.3x |
| Mon, 04 Mar 2024 | US$821.4b | US$227.7b | US$14.3b | 22.9x | 57.4x | 3.6x |
| Wed, 31 Jan 2024 | US$843.8b | US$230.1b | US$13.4b | 23x | 63.2x | 3.7x |
| Fri, 29 Dec 2023 | US$798.5b | US$229.5b | US$12.8b | 20.8x | 62.3x | 3.5x |
| Sun, 26 Nov 2023 | US$737.5b | US$228.5b | US$12.7b | 20.6x | 58.1x | 3.2x |
| Tue, 24 Oct 2023 | US$632.1b | US$227.2b | US$6.5b | 18.4x | 97.7x | 2.8x |
| Thu, 21 Sep 2023 | US$685.6b | US$226.6b | US$6.8b | 23.8x | 101.1x | 3x |
| Sat, 19 Aug 2023 | US$649.6b | US$226.1b | US$6.5b | 22.1x | 99.3x | 2.9x |
| Mon, 17 Jul 2023 | US$696.9b | US$228.7b | US$6.1b | 25.3x | 114.5x | 3x |
| Wed, 14 Jun 2023 | US$687.5b | US$228.2b | US$5.9b | 24.2x | 116.1x | 3x |
| Fri, 12 May 2023 | US$614.5b | US$229.6b | US$6.5b | 22.9x | 94.3x | 2.7x |
| Sun, 09 Apr 2023 | US$589.8b | US$225.6b | US$2.4b | 23.3x | 246.5x | 2.6x |
| Tue, 07 Mar 2023 | US$2.0t | US$463.7b | US$22.5b | 26.3x | 88.7x | 4.3x |
| Thu, 02 Feb 2023 | US$2.1t | US$460.2b | US$40.0b | 28.5x | 51.7x | 4.5x |
| Sat, 31 Dec 2022 | US$1.9t | US$457.8b | US$39.2b | 27.5x | 48.2x | 4.1x |
| Mon, 28 Nov 2022 | US$2.0t | US$456.3b | US$39.0b | 28.6x | 50x | 4.3x |
| Wed, 26 Oct 2022 | US$1.9t | US$450.4b | US$37.4b | 28.4x | 50.5x | 4.2x |
| Fri, 23 Sep 2022 | US$1.8t | US$447.0b | US$41.4b | 26.1x | 44.1x | 4.1x |
| Sun, 21 Aug 2022 | US$2.1t | US$445.9b | US$41.6b | 29.8x | 50.8x | 4.7x |
| Tue, 19 Jul 2022 | US$1.9t | US$441.6b | US$46.9b | 28.6x | 41.5x | 4.4x |
| Thu, 16 Jun 2022 | US$1.9t | US$439.3b | US$46.9b | 27.1x | 40.6x | 4.3x |
| Sat, 14 May 2022 | US$2.0t | US$438.7b | US$46.3b | 26.3x | 43.1x | 4.6x |
Price to Earnings Ratio
43.1x
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 50.4x 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 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 | 2.16% | |
| Tech | 3.30% | |
| IT | 4.69% | |
| IT Consulting | 4.90% | |
| Internet Services and Infrastructure | 4.36% | |
| Data Processing Services | 1.39% | |
Industry PE
- Investors are most optimistic about the IT Consulting industry, which is trading close to its 3-year average PE ratio of 32.1x.
- Analysts are expecting annual earnings growth of 10.8%, which is higher than its past year's earnings growth of 4.5% per year.
Forecasted Growth
- Analysts are most optimistic on the Internet Services and Infrastructure industry, expecting annual earnings growth of 22% over the next 5 years.
- However this is lower than its past earnings growth rate of 37% 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 | |
|---|---|---|---|---|---|
| IBM International Business Machines | US$249.12 | 4.1% +US$8.8b | 48.0% | PE41.2x | |
| CRWV CoreWeave | US$54.30 | 26.8% +US$5.3b | n/a | PS13.2x | |
| ACN Accenture | US$303.80 | 1.8% +US$3.3b | -2.2% | PE24.8x | |
| SNOW Snowflake | US$168.45 | 5.1% +US$2.7b | 5.9% | PS15.5x | |
| CTSH Cognizant Technology Solutions | US$77.64 | 5.9% +US$2.1b | 14.8% | PE16.2x |
