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U.S. IT Industry Analysis

UpdatedAug 06, 2026
DataAggregated Company Financials
Companies122
  • 7D9.1%
  • 3M10.8%
  • 1Y1.6%
  • YTD-3.2%

The IT industry is up 9.1% in the last week, with Shopify up 12%. In the same time, GoDaddy was down 13%. Despite this gain, the industry's performance has been flat over the past year. Looking forward, earnings are forecast to grow by 23% annually.

Industry Valuation and Performance

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

DateMarket CapRevenueEarningsPEAbsolute PEPS
Thu, 06 Aug 2026US$978.8bUS$262.2bUS$20.3b18.3x48.2x3.7x
Sat, 04 Jul 2026US$924.8bUS$260.6bUS$20.2b16.6x45.7x3.5x
Mon, 01 Jun 2026US$988.6bUS$259.4bUS$20.1b20.6x49.1x3.8x
Wed, 29 Apr 2026US$835.9bUS$261.1bUS$21.7b20.4x38.5x3.2x
Fri, 27 Mar 2026US$849.8bUS$259.6bUS$21.6b19.4x39.4x3.3x
Sun, 22 Feb 2026US$882.9bUS$256.7bUS$21.7b21.5x40.8x3.4x
Tue, 20 Jan 2026US$1.1tUS$252.7bUS$19.8b28.9x53.5x4.2x
Thu, 18 Dec 2025US$1.1tUS$282.0bUS$21.0b29.9x51.5x3.8x
Sat, 15 Nov 2025US$1.1tUS$280.7bUS$20.5b30.7x51.3x3.7x
Mon, 13 Oct 2025US$1.1tUS$282.5bUS$20.0b30.7x53.2x3.8x
Wed, 10 Sep 2025US$998.7bUS$250.9bUS$19.3b29x51.7x4x
Fri, 08 Aug 2025US$977.0bUS$244.2bUS$18.6b27.7x52.4x4x
Sun, 06 Jul 2025US$1.0tUS$241.7bUS$17.4b29.5x59.3x4.3x
Tue, 03 Jun 2025US$947.6bUS$240.3bUS$17.0b28.9x55.6x3.9x
Thu, 01 May 2025US$859.9bUS$242.4bUS$18.0b29.9x47.8x3.5x
Sat, 29 Mar 2025US$885.6bUS$242.8bUS$18.3b35.6x48.4x3.6x
Mon, 24 Feb 2025US$976.6bUS$239.7bUS$18.2b40.2x53.8x4.1x
Wed, 22 Jan 2025US$872.6bUS$234.1bUS$16.3b42.9x53.5x3.7x
Fri, 20 Dec 2024US$860.6bUS$233.2bUS$16.4b43.6x52.5x3.7x
Sun, 17 Nov 2024US$827.3bUS$232.8bUS$16.3b45.6x50.6x3.6x
Tue, 15 Oct 2024US$823.0bUS$232.9bUS$17.8b43.4x46.3x3.5x
Thu, 12 Sep 2024US$765.8bUS$233.2bUS$17.5b35.6x43.6x3.3x
Sat, 10 Aug 2024US$717.7bUS$232.7bUS$17.5b28.5x41x3.1x
Mon, 08 Jul 2024US$718.8bUS$236.9bUS$17.2b26.9x41.8x3x
Wed, 05 Jun 2024US$669.8bUS$237.1bUS$17.3b27.3x38.8x2.8x
Fri, 03 May 2024US$703.6bUS$232.4bUS$14.5b23.9x48.6x3x
Sun, 31 Mar 2024US$783.3bUS$227.8bUS$13.8b24.5x56.6x3.4x
Tue, 27 Feb 2024US$828.5bUS$227.5bUS$14.2b22.8x58.3x3.6x
Thu, 25 Jan 2024US$824.1bUS$229.4bUS$12.9b22.8x63.7x3.6x
Sat, 23 Dec 2023US$791.8bUS$229.5bUS$12.8b20.8x61.8x3.4x
Mon, 20 Nov 2023US$722.2bUS$228.5bUS$12.7b20.9x56.9x3.2x
Wed, 18 Oct 2023US$665.1bUS$227.2bUS$6.5b20.5x102.8x2.9x
Fri, 15 Sep 2023US$693.9bUS$226.6bUS$6.8b23x102.2x3.1x
Sun, 13 Aug 2023US$665.1bUS$226.3bUS$6.7b22.8x99.6x2.9x
Price to Earnings Ratio

99.6x


Total Market Cap: US$665.1bTotal Earnings: US$6.7bTotal Revenue: US$226.3bTotal Market Cap vs Earnings and Revenue0%0%0%
U.S. IT Industry Price to Earnings3Y Average 53.8x202420252026
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 48.2x which is lower than its 3-year average PE of 53.8x.
  • 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 grown 45% per year over the last three years.
  • Revenues for these companies have grown 5.0% 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 Market5.51%
Tech11.22%
IT9.06%
Internet Services and Infrastructure13.69%
IT Consulting2.79%
Data Processing Services0.25%
Industry PE
  • Investors are most optimistic about the Data Processing Services industry which is trading above its 3-year average PE ratio of 27.8x.
    • Analysts are expecting annual earnings growth of 13.7%, which is lower than the prior year's growth of 25.8% per year.
Forecasted Growth
  • Analysts are most optimistic on the Internet Services and Infrastructure industry, expecting annual earnings growth of 34% over the next 5 years.
  • However this is lower than its past earnings growth rate of 63% per year.
  • In contrast, the IT Consulting industry is expected to see its earnings grow by 8.2% 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
SHOP ShopifyUS$144.2411.7%
+US$19.6b		-6.9%PE97.3x
CRWV CoreWeaveUS$89.8947.8%
+US$15.9b		-18.5%PS7.9x
SNOW SnowflakeUS$316.8412.0%
+US$11.8b		50.5%PS21.8x
IBM International Business MachinesUS$235.924.2%
+US$8.9b		-6.5%PE20.8x
NET CloudflareUS$292.968.4%
+US$8.0b		35.9%PS44.7x

Latest News

DXC
US$11.12
DXC Technology
7D
-5.5%
1Y
-16.1%
SHOP
US$144.24
Shopify
7D
11.7%
1Y
-6.9%
IBM
US$235.92
International Business Machines
7D
4.2%
1Y
-6.5%
NET
US$292.96
Cloudflare
7D
8.4%
1Y
35.9%
IOND
US$59.20
Ionic Digital
7D
-12.9%
1Y
n/a
SNOW
US$316.84
Snowflake
7D
12.0%
1Y
50.5%
DOCN
US$124.46
DigitalOcean Holdings
7D
16.6%
1Y
241.3%
AKAM
US$122.27
Akamai Technologies
7D
13.8%
1Y
64.2%
CRWV
US$89.89
CoreWeave
7D
47.8%
1Y
-18.5%
GDDY
US$91.77
GoDaddy
7D
-12.7%
1Y
-40.7%
MDB
US$376.36
MongoDB
7D
17.2%
1Y
59.6%
CTSH
US$55.78
Cognizant Technology Solutions
7D
-0.3%
1Y
-21.3%
Narrative Update • Aug 04

CTSH: AI Bookings And Large Deal Volatility Will Pressure Future Repricing

The analyst price target for Cognizant Technology Solutions has been revised higher in this update, with the fair value estimate moving from $42.00 to about $44.28, as analysts factor in recent price target changes that cite better-than-feared Q2 results, solid large deal bookings, and improving peer group multiples. Analyst Commentary Recent research on Cognizant Technology Solutions shows a split picture.
ACN
US$170.73
Accenture
7D
-1.4%
1Y
-31.0%
CSQR
US$20.29
Csquare
7D
-1.9%
1Y
n/a
UIS
US$2.93
Unisys
7D
-15.3%
1Y
-25.6%
MGRT
US$94.33
Mega Fortune
7D
-2.7%
1Y
2,356.5%
Analysis Article • Jul 16

We Ran A Stock Scan For Earnings Growth And Mega Fortune (NASDAQ:MGRT) Passed With Ease

It's common for many investors, especially those who are inexperienced, to buy shares in companies with a good story...