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U.S. Application Software Industry Analysis

UpdatedJan 07, 2026
DataAggregated Company Financials
Companies363
  • 7D-1.6%
  • 3M-7.9%
  • 1Y7.0%
  • YTDn/a

Over the last 7 days, the Application Software industry has dropped 3.0%, driven by a pullback from AppLovin of 8.8%. Over the past 12 months, the industry was up 5.4%. Earnings are forecast to grow by 24% annually.

Industry Valuation and Performance

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

DateMarket CapRevenueEarningsPEAbsolute PEPS
Wed, 07 Jan 2026US$2.2tUS$232.0bUS$39.4b31.2x56.9x9.6x
Fri, 05 Dec 2025US$2.3tUS$227.5bUS$38.5b29.6x58.5x9.9x
Sun, 02 Nov 2025US$2.4tUS$224.4bUS$35.0b34.6x69.6x10.9x
Tue, 30 Sep 2025US$2.4tUS$221.3bUS$31.9b35x75.3x10.9x
Thu, 28 Aug 2025US$2.3tUS$218.3bUS$30.7b35.1x73.3x10.3x
Sat, 26 Jul 2025US$2.3tUS$213.6bUS$16.5b48x139.2x10.8x
Mon, 23 Jun 2025US$2.2tUS$216.0bUS$16.9b40.6x128.3x10x
Wed, 21 May 2025US$2.2tUS$210.5bUS$17.1b36.4x127.3x10.3x
Fri, 18 Apr 2025US$1.8tUS$209.2bUS$21.4b31.4x83.3x8.5x
Sun, 16 Mar 2025US$1.9tUS$210.8bUS$20.8b27.6x92x9.1x
Tue, 11 Feb 2025US$2.2tUS$206.8bUS$20.6b42.8x108.3x10.8x
Thu, 09 Jan 2025US$2.1tUS$206.7bUS$20.1b40.4x103.9x10.1x
Sat, 07 Dec 2024US$2.3tUS$205.4bUS$19.9b43.6x113.4x11x
Mon, 04 Nov 2024US$1.9tUS$201.7bUS$18.6b38.7x99.7x9.2x
Wed, 02 Oct 2024US$1.8tUS$201.2bUS$19.0b38.1x93.4x8.8x
Fri, 30 Aug 2024US$1.7tUS$201.9bUS$17.5b37.8x98.4x8.6x
Sun, 28 Jul 2024US$1.7tUS$197.4bUS$16.9b40.8x101.4x8.7x
Tue, 25 Jun 2024US$1.7tUS$197.6bUS$16.4b40.8x102.4x8.5x
Thu, 23 May 2024US$1.7tUS$194.4bUS$14.3b42.8x120.5x8.9x
Sat, 20 Apr 2024US$1.6tUS$195.6bUS$11.3b44.6x144.8x8.4x
Mon, 18 Mar 2024US$1.8tUS$200.0bUS$11.0b49.6x159.1x8.8x
Wed, 14 Feb 2024US$1.8tUS$194.5bUS$5.2b50.1x338.5x9x
Fri, 12 Jan 2024US$1.8tUS$209.4bUS$1.9b49x946x8.5x
Sun, 10 Dec 2023US$1.7tUS$208.8bUS$2.2b51.6x783.5x8.3x
Tue, 07 Nov 2023US$1.6tUS$205.8b-US$86,998,979.0043.4x-17924.8x7.6x
Thu, 05 Oct 2023US$1.6tUS$203.9b-US$1,433,365,879.0046.1x-1082.3x7.6x
Sat, 02 Sep 2023US$1.6tUS$202.7b-US$2,130,842,098.0045.6x-770.2x8.1x
Mon, 31 Jul 2023US$1.6tUS$199.2b-US$7,748,629,518.0047.7x-208.4x8.1x
Wed, 28 Jun 2023US$1.5tUS$198.4b-US$5,985,441,339.0043.2x-251.3x7.6x
Fri, 26 May 2023US$1.4tUS$196.7b-US$6,799,115,420.0038.8x-202x7x
Sun, 23 Apr 2023US$1.4tUS$196.8b-US$4,465,002,368.0041.2x-311.6x7.1x
Tue, 21 Mar 2023US$1.3tUS$196.8b-US$5,520,401,817.0041.9x-242.4x6.8x
Thu, 16 Feb 2023US$1.4tUS$194.1b-US$5,355,366,980.0042.7x-260.6x7.2x
Sat, 14 Jan 2023US$1.2tUS$193.1b-US$5,461,864,196.0039.9x-226.9x6.4x
Price to Earnings Ratio

-226.9x


Total Market Cap: US$1.2tTotal Earnings: -US$5,461,864,196.00Total Revenue: US$193.1bTotal Market Cap vs Earnings and Revenue0%0%0%
U.S. Application Software Industry Price to Earnings3Y Average -4.1x202420252026
Current Industry PE
  • Investors are optimistic on the American Application Software industry, and appear confident in long term growth rates.
  • The industry is trading at a PE ratio of 56.9x which is higher than its 3-year average PE of -4.4x.
  • The industry is trading close to its 3-year average PS ratio of 8.9x.
Past Earnings Growth
  • Total earnings for the Application Software industry have gone up over the last three years, and the industry is now profitable. Revenues have grown 5.8% per year.
  • This means that more sales are being generated by the industry overall, and subsequently profits are increasing too.

Industry Comparison

How does U.S. Application Software compare with similar industries?

US Market1.04%
Tech-0.10%
Software-1.73%
Application Software-1.58%
Systems Software-1.80%
Industry PEThere are no additional sub-industries under this industry.
Forecasted GrowthThere are no additional sub-industries under this industry.

Top Stock Gainers and Losers

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

CompanyLast Price7D1YValuation
SNPS SynopsysUS$508.777.2%
+US$6.6b		4.3%PE72.9x
IREN IRENUS$45.9119.9%
+US$2.5b		303.4%PE28.8x
BMNR Bitmine Immersion TechnologiesUS$32.3316.6%
+US$2.0b		432.1%PE42x
QBTS D-Wave QuantumUS$31.2719.1%
+US$1.8b		227.4%PS453.5x
HUT Hut 8US$58.3526.1%
+US$1.3b		134.8%PE30.9x

Latest News

PLTR
US$179.67
Palantir Technologies
7D
-0.6%
1Y
156.7%
SNPS
US$508.77
Synopsys
7D
7.2%
1Y
4.3%
QBTS
US$31.27
D-Wave Quantum
7D
19.1%
1Y
227.4%
INTU
US$647.20
Intuit
7D
-3.4%
1Y
5.2%
ROP
US$436.51
Roper Technologies
7D
-3.0%
1Y
-13.9%
FICO
US$1,599.96
Fair Isaac
7D
-8.4%
1Y
-17.3%

FICO: Mortgage Credit Score Changes Will Support Future Share Gains

Analysts have trimmed their fair value estimate for Fair Isaac by about US$8.60 to reflect slightly lower revenue growth assumptions and a modestly higher discount rate, while still highlighting FICO 10T and ongoing credit score adoption as key supports for the updated price targets. Analyst Commentary Recent Street research on Fair Isaac presents a mixed picture, with several firms highlighting growth drivers tied to FICO 10T and long term revenue potential, while others flag valuation and regulatory risks that could limit upside from current levels.
CIFR
US$17.54
Cipher Mining
7D
20.2%
1Y
225.4%

CIFR: AWS Lease Is Expected To Redefine AI Data Center Role

Analysts have lifted their price expectations for Cipher Mining to about US$43 from roughly US$9, citing the company’s large power capacity, new high performance compute and AI data center positioning, and the long term US$5.5b Amazon Web Services lease as key supports for higher assumed growth, lower margins, and a much higher future P/E multiple. Analyst Commentary Recent research coverage has converged on a broadly optimistic view of Cipher Mining, with several bullish analysts highlighting the company’s expanding role in high performance compute and AI data centers, as well as the long term Amazon Web Services lease.
BMNR
US$32.33
Bitmine Immersion Technologies
7D
16.6%
1Y
432.1%
WDAY
US$210.30
Workday
7D
-3.1%
1Y
-15.8%
CRCL
US$84.85
Circle Internet Group
7D
6.2%
1Y
n/a
HUT
US$58.35
Hut 8
7D
26.1%
1Y
134.8%

HUT: AI Power Pipeline Euphoria Will Likely Outrun Real Contract Execution

Analysts have lifted their consolidated price target on Hut 8 from about $24 to roughly $37.43 per share, citing the company’s expanding high performance computing pipeline, improving profitability assumptions, and enhanced valuation support from sector wide AI infrastructure demand. Analyst Commentary Recent Street research has turned increasingly constructive on Hut 8, with multiple firms sharply lifting price targets to a range of about $60 to $65 while reiterating positive ratings.
ADBE
US$335.99
Adobe
7D
-4.7%
1Y
-20.5%

ADBE: Rising AI Costs Will Pressure Margins And Drive Multiple Compression

Analysts have reduced their fair value estimate for Adobe from $380.00 to about $271.93 per share, citing expectations for slightly slower revenue growth, lower long term profit margins, and a more conservative valuation multiple. Analyst Commentary Bearish analysts have become more vocal on Adobe, pointing to a combination of moderating growth expectations and tighter competitive dynamics across creative, document, and marketing workflows.
IREN
US$45.91
IREN
7D
19.9%
1Y
303.4%

IREN: AI Cloud Contracts With Major Hyperscaler Will Drive Re-Rating

Analysts have lifted their fair value estimate for IREN sharply from $40 to $136 per share, as they factor in a much larger, higher visibility AI cloud opportunity supported by new hyperscaler partnerships, improved power monetization and a sector wide re-rating of high performance computing infrastructure providers. They have also modestly reduced the discount rate and assumed faster revenue growth but lower long term profit margins and a higher future P/E multiple.
CRM
US$262.90
Salesforce
7D
-1.1%
1Y
-19.1%

CRM: Expanding AI Customer Engagement Will Drive Durable Long Term Shareholder Value

Analysts have inched up their Salesforce price target, with fair value rising roughly $3 to about $330 per share, as modestly stronger long term revenue growth assumptions and a slightly lower discount rate more than offset a marginally softer profit margin outlook amid shifting competitive dynamics in customer engagement and AI driven marketing tools. Analyst Commentary Analyst sentiment on Salesforce remains mixed as the competitive backdrop in customer engagement and AI driven marketing tools evolves rapidly, leading to both upward and downward adjustments to growth and execution assumptions embedded in valuation models.
APP
US$617.24
AppLovin
7D
-11.0%
1Y
87.0%

Subdued Growth No Barrier To AppLovin Corporation (NASDAQ:APP) With Shares Advancing 31%

Dec 19
Subdued Growth No Barrier To AppLovin Corporation (NASDAQ:APP) With Shares Advancing 31%
PONY
US$17.34
Pony AI
7D
18.4%
1Y
13.6%