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U.S. Software Industry Analysis

UpdatedJun 21, 2025
DataAggregated Company Financials
Companies406
  • 7D-0.3%
  • 3M17.8%
  • 1Y16.8%
  • YTD10.3%

Last week, the Software industry hasn't moved much but Circle Internet Group is up 80% in that time. As for the the longer term, the industry is up 17% over the past 12 months. Looking forward, earnings are forecast to grow by 19% annually.

Industry Valuation and Performance

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

DateMarket CapRevenueEarningsPEAbsolute PEPS
Sun, 22 Jun 2025US$7.1tUS$599.0bUS$131.1b40.7x53.9x11.8x
Tue, 20 May 2025US$6.7tUS$591.1bUS$131.4b36.1x51.3x11.4x
Thu, 17 Apr 2025US$5.7tUS$580.5bUS$131.7b29.9x43.3x9.8x
Sat, 15 Mar 2025US$5.7tUS$582.9bUS$131.3b28.7x43.3x9.7x
Mon, 10 Feb 2025US$6.5tUS$586.2bUS$132.4b43.2x49x11.1x
Wed, 08 Jan 2025US$6.5tUS$569.1bUS$129.0b38.4x50.2x11.4x
Fri, 06 Dec 2024US$6.8tUS$566.4bUS$127.7b42.8x53.2x12x
Sun, 03 Nov 2024US$6.0tUS$561.9bUS$126.3b39x47.5x10.7x
Tue, 01 Oct 2024US$6.0tUS$552.4bUS$124.0b38.7x48.8x10.9x
Thu, 29 Aug 2024US$5.8tUS$550.3bUS$121.8b36.8x47.6x10.5x
Sat, 27 Jul 2024US$5.7tUS$532.0bUS$117.8b40.7x48.2x10.7x
Mon, 24 Jun 2024US$5.9tUS$531.3bUS$118.0b40.6x50.1x11.1x
Wed, 22 May 2024US$5.4tUS$474.6bUS$105.4b43x51.3x11.4x
Fri, 19 Apr 2024US$5.1tUS$466.6bUS$98.4b42x51.9x10.9x
Sun, 17 Mar 2024US$5.3tUS$471.0bUS$98.1b45.8x54.4x11.3x
Tue, 13 Feb 2024US$5.4tUS$464.2bUS$90.0b41.8x60.3x11.7x
Thu, 11 Jan 2024US$5.1tUS$486.2bUS$82.2b45.5x62.4x10.5x
Sat, 09 Dec 2023US$5.0tUS$485.6bUS$82.5b47.1x60.8x10.3x
Mon, 06 Nov 2023US$4.7tUS$481.2bUS$79.0b43.3x58.9x9.7x
Wed, 04 Oct 2023US$4.4tUS$477.3bUS$73.4b44.2x60.6x9.3x
Fri, 01 Sep 2023US$4.6tUS$475.5bUS$72.4b44.9x63.3x9.6x
Sun, 30 Jul 2023US$4.6tUS$466.2bUS$64.9b47.7x70.3x9.8x
Tue, 27 Jun 2023US$4.4tUS$460.6bUS$62.3b43.8x69.9x9.4x
Thu, 25 May 2023US$4.1tUS$458.2bUS$61.4b40.5x67x9x
Sat, 22 Apr 2023US$3.9tUS$453.7bUS$60.6b42.4x64.4x8.6x
Mon, 20 Mar 2023US$3.8tUS$453.6bUS$59.7b42.2x63.5x8.4x
Wed, 15 Feb 2023US$3.7tUS$437.2bUS$58.1b42.1x64.2x8.5x
Fri, 13 Jan 2023US$3.3tUS$434.5bUS$60.2b39.9x54.9x7.6x
Sun, 11 Dec 2022US$3.3tUS$433.7bUS$60.9b43.9x54.6x7.7x
Tue, 08 Nov 2022US$3.0tUS$421.6bUS$62.7b40.4x47.8x7.1x
Thu, 06 Oct 2022US$3.4tUS$412.2bUS$64.7b39.9x52.7x8.3x
Sat, 03 Sep 2022US$3.5tUS$412.7bUS$65.0b43.9x54.3x8.6x
Mon, 01 Aug 2022US$3.9tUS$415.9bUS$67.8b42.4x58.1x9.5x
Wed, 29 Jun 2022US$3.7tUS$408.8bUS$67.7b38.2x54x8.9x
Price to Earnings Ratio

54x


Total Market Cap: US$3.7tTotal Earnings: US$67.7bTotal Revenue: US$408.8bTotal Market Cap vs Earnings and Revenue0%0%0%
U.S. Software Industry Price to Earnings3Y Average 55.7x202320242025
Current Industry PE
  • Investors are relatively neutral on the American Software industry at the moment, indicating that they anticipate long term growth rates to remain steady.
  • The industry is trading close to its 3-year average PE ratio of 55.7x.
  • The 3-year average PS ratio of 9.9x is lower than the industry's current PS ratio of 11.8x.
Past Earnings Growth
  • The earnings for companies in the Software industry have grown 25% per year over the last three years.
  • Revenues for these companies have grown 14% 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 Market0.00049%
Tech0.92%
Software-0.29%
Application Software-0.23%
Systems Software-0.31%
Industry PE
  • Investors are most optimistic about the Application Software industry which is trading above its 3-year average PE ratio.
    • Analysts expect its future annual earnings growth (26.5%) to be largely in line with prior year's earnings growth.
  • Investors are most pessimistic about the Systems Software industry, although it looks like investor sentiment has improved given that it's trading above its 3-year average of 38.0x.
Forecasted Growth
  • Analysts are most optimistic on the Application Software industry, expecting annual earnings growth of 26% over the next 5 years.
  • This is roughly in line with its past earnings growth rate.
  • In contrast, the Systems Software industry is expected to see its earnings grow by 15% 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
CRCL Circle Internet GroupUS$240.2879.9%
+US$24.3b		n/aPE2814.7x
MSFT MicrosoftUS$477.400.5%
+US$18.1b		6.1%PE36.7x
DDOG DatadogUS$127.505.9%
+US$2.4b		8.4%PE265.6x
CRM SalesforceUS$260.630.9%
+US$2.1b		6.4%PE40.2x
INTU IntuitUS$761.140.9%
+US$2.0b		20.4%PE61.2x

Latest News

ADBE
US$376.92
Adobe
7D
-3.8%
1Y
-29.3%
DDOG
US$127.50
Datadog
7D
5.9%
1Y
8.4%
ADSK
US$297.21
Autodesk
7D
1.7%
1Y
22.7%
GWRE
US$237.75
Guidewire Software
7D
-6.1%
1Y
73.2%
INTU
US$761.14
Intuit
7D
0.9%
1Y
20.4%
WDAY
US$238.19
Workday
7D
-2.6%
1Y
8.7%
ORCL
US$205.17
Oracle
7D
-4.7%
1Y
45.0%
MSFT
US$477.40
Microsoft
7D
0.5%
1Y
6.1%
CRM
US$260.63
Salesforce
7D
0.9%
1Y
6.4%
CRCL
US$240.28
Circle Internet Group
7D
79.9%
1Y
n/a
APP
US$324.70
AppLovin
7D
-10.9%
1Y
313.2%
NOW
US$971.41
ServiceNow
7D
-1.7%
1Y
29.6%
NXTT
US$3.44
Next Technology Holding
7D
184.3%
1Y
-29.4%
MSTR
US$369.70
MicroStrategy
7D
-3.4%
1Y
149.2%
PANW
US$199.24
Palo Alto Networks
7D
1.5%
1Y
24.4%
TEAM
US$189.53
Atlassian
7D
-3.7%
1Y
16.7%