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U.S. Tech Sector Analysis

UpdatedNov 05, 2025
DataAggregated Company Financials
Companies965
  • 7D-3.1%
  • 3M11.4%
  • 1Y33.3%
  • YTD27.2%

Over the last 7 days, the Tech industry has dropped 3.1%, driven by a pullback from Microsoft of 5.1%. On the other hand Western Digital is actually up 22%. In the past year, the industry has gained 33%. Looking forward, earnings are forecast to grow by 20% annually.

Sector Valuation and Performance

Has the U.S. Tech Sector valuation changed over the past few years?

DateMarket CapRevenueEarningsPEAbsolute PEPS
Wed, 05 Nov 2025US$18.9tUS$2.5tUS$481.7b30.6x39.2x7.5x
Fri, 03 Oct 2025US$22.7tUS$2.5tUS$439.1b32.2x51.7x9.1x
Sun, 31 Aug 2025US$20.8tUS$2.5tUS$429.3b29.4x48.5x8.5x
Tue, 29 Jul 2025US$20.7tUS$2.4tUS$392.9b28.5x52.7x8.7x
Thu, 26 Jun 2025US$19.2tUS$2.4tUS$391.7b28.1x49.1x8.1x
Sat, 24 May 2025US$17.8tUS$2.4tUS$385.8b26.6x46.1x7.5x
Mon, 21 Apr 2025US$14.9tUS$2.3tUS$386.6b24.6x38.4x6.4x
Wed, 19 Mar 2025US$16.5tUS$2.3tUS$386.3b26.7x42.7x7.1x
Fri, 14 Feb 2025US$18.4tUS$2.3tUS$371.2b32.5x49.6x8x
Sun, 12 Jan 2025US$18.0tUS$2.3tUS$367.4b32.3x49.1x8x
Tue, 10 Dec 2024US$18.8tUS$2.3tUS$362.4b33.6x52x8.4x
Thu, 07 Nov 2024US$17.5tUS$2.2tUS$352.9b32.6x49.5x7.8x
Sat, 05 Oct 2024US$17.1tUS$2.2tUS$378.1b29.7x45.1x7.9x
Mon, 02 Sep 2024US$16.8tUS$2.2tUS$378.3b29.6x44.4x7.8x
Wed, 31 Jul 2024US$16.3tUS$2.1tUS$361.3b30.9x45x7.7x
Fri, 28 Jun 2024US$16.9tUS$2.1tUS$360.6b29.9x46.8x8x
Sun, 26 May 2024US$15.4tUS$2.1tUS$349.8b30.5x43.9x7.5x
Tue, 23 Apr 2024US$13.5tUS$2.0tUS$328.6b28x41x6.6x
Thu, 21 Mar 2024US$14.7tUS$2.0tUS$325.2b27.6x45.2x7.2x
Sat, 17 Feb 2024US$14.4tUS$2.0tUS$310.3b27.4x46.3x7.1x
Mon, 15 Jan 2024US$13.4tUS$2.0tUS$292.0b26x46x6.5x
Wed, 13 Dec 2023US$13.1tUS$2.1tUS$293.3b24.9x44.6x6.4x
Fri, 10 Nov 2023US$12.1tUS$2.0tUS$279.1b23.1x43.5x6x
Sun, 08 Oct 2023US$11.8tUS$2.0tUS$269.9b24.3x43.6x5.8x
Tue, 05 Sep 2023US$12.3tUS$2.0tUS$272.5b24.7x45x6x
Thu, 03 Aug 2023US$12.1tUS$2.0tUS$263.7b24.8x45.9x6x
Sat, 01 Jul 2023US$12.0tUS$2.0tUS$260.0b24.8x46.3x5.9x
Mon, 29 May 2023US$11.4tUS$2.0tUS$261.9b24.2x43.3x5.6x
Wed, 26 Apr 2023US$9.9tUS$2.0tUS$275.1b20.8x35.9x4.9x
Fri, 24 Mar 2023US$10.0tUS$2.0tUS$278.5b22.2x36x4.9x
Sun, 19 Feb 2023US$11.0tUS$2.3tUS$297.3b24.1x36.9x4.9x
Tue, 17 Jan 2023US$10.2tUS$2.2tUS$327.5b23.8x31.2x4.5x
Thu, 15 Dec 2022US$10.5tUS$2.2tUS$330.7b22.9x31.7x4.7x
Sat, 12 Nov 2022US$10.5tUS$2.3tUS$346.7b21.9x30.1x4.6x
Price to Earnings Ratio

30.1x


Total Market Cap: US$10.5tTotal Earnings: US$346.7bTotal Revenue: US$2.3tTotal Market Cap vs Earnings and Revenue0%0%0%
U.S. Tech Sector Price to Earnings3Y Average 44.1x202320242025
Current Industry PE
  • Investors are pessimistic on the American Information Technology 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 39.2x which is lower than its 3-year average PE of 44.1x.
  • The industry is trading close to its 3-year average PS ratio of 6.8x.
Past Earnings Growth
  • The earnings for companies in the Information Technology industry have grown 12% per year over the last three years.
  • Revenues for these companies have grown 3.5% 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 sector?

US Market-2.15%
Tech-3.08%
Tech Hardware0.50%
Electronic Equipment and Components-1.42%
Communications-2.39%
Semiconductors-2.63%
IT-4.31%
Software-5.46%
Industry PE
  • Investors are most optimistic about the IT industry even though it's trading below its 3-year average PE ratio of 68.8x.
    • Analysts are expecting annual earnings growth of 21.2%, which is higher than its past year's earnings growth of 11.6% per year.
  • Investors are most pessimistic about the Semiconductors industry, which is trading below its 3-year average of 50.1x.
Forecasted Growth
  • Analysts are most optimistic on the Semiconductors industry, expecting annual earnings growth of 24% over the next 5 years.
  • This is better than its past earnings growth rate of 9.4% per year.
  • In contrast, the Tech Hardware industry is expected to see its earnings grow by 8.7% 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
WDC Western DigitalUS$152.1821.8%
+US$9.2b		127.7%PE20x
STX Seagate Technology HoldingsUS$250.3812.3%
+US$6.0b		146.3%PE31.2x
TER TeradyneUS$175.6521.7%
+US$4.5b		66.6%PE62.1x
NET CloudflareUS$232.914.0%
+US$3.5b		165.5%PS40.5x
GLW CorningUS$85.21-1.4%
US$3.2b		80.2%PE53.5x

Latest News

SHOP
US$160.94
Shopify
7D
-10.1%
1Y
102.3%
PLTR
US$190.74
Palantir Technologies
7D
-4.1%
1Y
243.5%
STX
US$250.38
Seagate Technology Holdings
7D
12.3%
1Y
146.3%
WDC
US$152.18
Western Digital
7D
21.8%
1Y
127.7%
TWLO
US$129.97
Twilio
7D
14.5%
1Y
46.5%

Subdued Growth No Barrier To Twilio Inc. (NYSE:TWLO) With Shares Advancing 32%

Nov 04
Subdued Growth No Barrier To Twilio Inc. (NYSE:TWLO) With Shares Advancing 32%
TER
US$175.65
Teradyne
7D
21.7%
1Y
66.6%
SNDK
US$194.57
Sandisk
7D
10.8%
1Y
n/a
GLW
US$85.21
Corning
7D
-1.4%
1Y
80.2%

GLW: Optical And Solar Demand Will Drive Earnings While Risks Remain

Corning's analyst price target has risen significantly from $77.75 to $92.75, as analysts cite stronger profit margins, improving revenue growth, and optimism about expanding opportunities in key business segments. Analyst Commentary Analyst sentiment around Corning has grown increasingly positive, with several firms raising their price targets and citing both recent execution and promising future growth drivers.
AVGO
US$351.94
Broadcom
7D
-5.6%
1Y
102.4%

AVGO: Upcoming AI Chip Production With Key Partner Will Shape Competitive Position

Broadcom's analyst price target has been raised from approximately $387 to $392, as analysts point to significant revenue and profit margin upside following recent AI-focused collaborations with OpenAI and positive supply chain checks. Analyst Commentary Analyst sentiment on Broadcom has grown increasingly favorable following major AI partnerships and a notable ramp in custom chip orders.
ORCL
US$248.17
Oracle
7D
-11.6%
1Y
44.5%

ORCL: Accelerating AI Cloud Demand Will Drive Upside Through Major Multi-Year Contracts

Oracle's analyst price target saw a modest increase, rising by $10 to $360. Analysts pointed to continued strength in AI infrastructure demand and the company’s ability to accelerate earnings growth through fiscal 2028.
FSLR
US$262.70
First Solar
7D
9.6%
1Y
21.7%

FSLR: Domestic Manufacturing Expansion And Policy Tailwinds Will Offset Sector Risks

First Solar's analyst price target has increased from $238.59 to $259.11 per share, as analysts cite the company's resilient market position, margin stability, and favorable policy developments, even though expectations for near-term revenue growth have been somewhat tempered. Analyst Commentary Analyst reactions to First Solar's latest results and updated guidance reflect a mix of continued optimism for the company's long-term positioning and acknowledgement of industry headwinds affecting near-term performance.
NET
US$232.91
Cloudflare
7D
4.0%
1Y
165.5%

NET: Revenue Acceleration and New Collaborations Will Drive Market Expansion

Cloudflare's analyst price target has increased from $209.01 to $232.49. This reflects improved growth and profitability metrics as analysts cite accelerating revenue and strong quarterly performance.
NVDA
US$198.69
NVIDIA
7D
-1.2%
1Y
42.0%

NVDA: Expanding AI Demand Will Drive Major Data Center Investments Through 2026

Nvidia's analyst price target has been raised from approximately $218.51 to $225.50. Analysts cite stronger revenue growth expectations and improved profit margins based on increased visibility into future AI infrastructure demand.
MSFT
US$514.33
Microsoft
7D
-5.1%
1Y
25.0%
INTC
US$37.03
Intel
7D
-10.8%
1Y
58.8%
ARM
US$160.73
Arm Holdings
7D
-7.1%
1Y
14.3%

ARM: Future AI Partnerships And Market Expansion Will Drive Measured Upside

Arm Holdings' analyst price target has increased modestly from $155.61 to $157.52. This reflects analysts' confidence in the company's expanding market presence and deepening value proposition within the semiconductor industry.