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U.S. Tech Sector Analysis

UpdatedJul 01, 2025
DataAggregated Company Financials
Companies935
  • 7D4.5%
  • 3M23.2%
  • 1Y15.0%
  • YTD8.2%

The Tech industry is up 4.5% in the last week, with NVIDIA up 9.6%. During this same period, the Circle Internet Group underperformed, falling 31%. This means that the industry has gained 15% over the past year. As for the next few years, earnings are expected to grow by 18% per annum.

Sector Valuation and Performance

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

DateMarket CapRevenueEarningsPEAbsolute PEPS
Tue, 01 Jul 2025US$19.6tUS$2.4tUS$393.2b28.8x49.8x8.2x
Thu, 29 May 2025US$18.0tUS$2.4tUS$386.0b27.4x46.6x7.6x
Sat, 26 Apr 2025US$15.8tUS$2.3tUS$386.0b26x41x6.8x
Mon, 24 Mar 2025US$16.6tUS$2.3tUS$386.9b27.2x42.9x7.1x
Wed, 19 Feb 2025US$18.9tUS$2.3tUS$369.6b32.1x51x8.2x
Fri, 17 Jan 2025US$18.3tUS$2.3tUS$367.0b33.3x49.8x8.1x
Sun, 15 Dec 2024US$18.8tUS$2.3tUS$363.6b32.5x51.6x8.3x
Tue, 12 Nov 2024US$18.3tUS$2.2tUS$349.2b33.7x52.3x8.2x
Thu, 10 Oct 2024US$17.4tUS$2.2tUS$378.2b30.3x46x8x
Sat, 07 Sep 2024US$15.6tUS$2.2tUS$374.5b27.2x41.7x7.2x
Mon, 05 Aug 2024US$15.6tUS$2.1tUS$363.3b29.6x42.9x7.3x
Wed, 03 Jul 2024US$17.1tUS$2.1tUS$362.9b30.7x47x8.1x
Fri, 31 May 2024US$15.1tUS$2.1tUS$351.1b29.8x43.1x7.3x
Sun, 28 Apr 2024US$14.2tUS$2.1tUS$335.6b28.4x42.3x6.9x
Tue, 26 Mar 2024US$14.9tUS$2.0tUS$328.6b27.7x45.5x7.3x
Thu, 22 Feb 2024US$14.0tUS$2.0tUS$311.6b27.1x44.9x6.9x
Sat, 20 Jan 2024US$13.9tUS$2.0tUS$292.0b26.4x47.4x6.8x
Mon, 18 Dec 2023US$13.4tUS$2.1tUS$293.6b26.5x45.5x6.5x
Wed, 15 Nov 2023US$12.3tUS$2.0tUS$280.4b24.2x43.9x6x
Fri, 13 Oct 2023US$12.0tUS$2.0tUS$270.1b24.7x44.2x5.9x
Sun, 10 Sep 2023US$12.0tUS$2.0tUS$272.9b24.3x43.8x5.9x
Tue, 08 Aug 2023US$11.9tUS$2.0tUS$262.2b25.3x45.5x5.9x
Thu, 06 Jul 2023US$12.0tUS$2.0tUS$258.1b24.7x46.3x5.9x
Sat, 03 Jun 2023US$11.5tUS$2.0tUS$264.1b24.6x43.7x5.7x
Mon, 01 May 2023US$10.3tUS$2.0tUS$265.6b20.9x38.9x5.1x
Wed, 29 Mar 2023US$9.9tUS$2.0tUS$278.2b22.3x35.7x4.9x
Fri, 24 Feb 2023US$10.9tUS$2.3tUS$295.6b23.4x36.7x4.8x
Sun, 22 Jan 2023US$10.3tUS$2.2tUS$327.5b23.5x31.5x4.6x
Tue, 20 Dec 2022US$9.8tUS$2.3tUS$330.1b21.6x29.7x4.4x
Thu, 17 Nov 2022US$10.3tUS$2.2tUS$333.3b22.5x30.9x4.6x
Sat, 15 Oct 2022US$9.2tUS$2.2tUS$345.2b18.6x26.8x4.2x
Mon, 12 Sep 2022US$10.9tUS$2.2tUS$346.8b21.3x31.5x5x
Wed, 10 Aug 2022US$11.5tUS$2.2tUS$351.1b22.5x32.8x5.3x
Fri, 08 Jul 2022US$10.7tUS$2.2tUS$359.4b23.2x29.6x5x
Price to Earnings Ratio

29.6x


Total Market Cap: US$10.7tTotal Earnings: US$359.4bTotal Revenue: US$2.2tTotal Market Cap vs Earnings and Revenue0%0%0%
U.S. Tech Sector Price to Earnings3Y Average 41.7x202320242025
Current Industry PE
  • Investors are optimistic on the American Information Technology industry, and appear confident in long term growth rates.
  • The industry is trading at a PE ratio of 49.8x which is higher than its 3-year average PE of 41.7x.
  • The 3-year average PS ratio of 6.4x is lower than the industry's current PS ratio of 8.2x.
Past Earnings Growth
  • The earnings for companies in the Information Technology industry have grown 3.0% per year over the last three years.
  • Revenues for these companies have grown 3.6% 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 Market2.87%
Tech4.51%
Semiconductors8.20%
Communications5.08%
Electronic Equipment and Components3.37%
Software2.56%
Tech Hardware2.11%
IT1.74%
Industry PE
  • Investors are most optimistic about the Semiconductors industry which is trading above its 3-year average PE ratio of 45.1x.
    • Analysts are expecting annual earnings growth of 22.5%, which is higher than its past year's earnings decline of 0.7% per year.
  • Investors are most pessimistic about the Tech Hardware industry, which is trading close to its 3-year average of 29.9x.
Forecasted Growth
  • Analysts are most optimistic on the Semiconductors industry, expecting annual earnings growth of 22% over the next 5 years.
  • This is better than its past earnings decline of 0.7% per year.
  • In contrast, the Tech Hardware industry is expected to see its earnings grow by 9.3% 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
NVDA NVIDIAUS$157.999.6%
+US$337.2b
27.1%PE50.2x
AVGO BroadcomUS$275.658.6%
+US$102.9b
68.0%PE97.9x
MSFT MicrosoftUS$497.412.3%
+US$84.8b
8.9%PE38.3x
AAPL AppleUS$205.171.8%
+US$54.8b
-5.3%PE31.5x
ORCL OracleUS$218.635.6%
+US$32.6b
52.8%PE49.4x

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