Investing IdeasBrowse All StocksMarkets
Have your own idea? Try our Stock Screener
Header cover image

U.S. Tech Sector Analysis

UpdatedJul 14, 2025
DataAggregated Company Financials
Companies932
  • 7D0.3%
  • 3M29.2%
  • 1Y12.7%
  • YTD8.9%

Last week, the Tech industry hasn't moved much but NVIDIA is up 3.5% in that time. As for the the longer term, the industry is up 13% over the past 12 months. Earnings are forecast to grow by 18% annually.

Sector Valuation and Performance

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

DateMarket CapRevenueEarningsPEAbsolute PEPS
Mon, 14 Jul 2025US$20.0tUS$2.4tUS$393.2b28.9x50.9x8.4x
Wed, 11 Jun 2025US$18.6tUS$2.4tUS$391.8b27.8x47.6x7.8x
Fri, 09 May 2025US$16.6tUS$2.3tUS$387.4b26.3x42.9x7.1x
Sun, 06 Apr 2025US$14.1tUS$2.3tUS$386.8b24.1x36.4x6x
Tue, 04 Mar 2025US$17.3tUS$2.3tUS$378.5b28.8x45.7x7.5x
Thu, 30 Jan 2025US$18.3tUS$2.3tUS$366.4b34.6x50.1x8.1x
Sat, 28 Dec 2024US$18.8tUS$2.3tUS$366.9b32.1x51.2x8.3x
Mon, 25 Nov 2024US$18.1tUS$2.3tUS$361.1b33x50.2x8.1x
Wed, 23 Oct 2024US$17.9tUS$2.2tUS$378.2b30.1x47.4x8.3x
Fri, 20 Sep 2024US$16.5tUS$2.2tUS$375.4b28.9x44.1x7.6x
Sun, 18 Aug 2024US$16.8tUS$2.1tUS$368.0b29.1x45.7x7.9x
Tue, 16 Jul 2024US$17.6tUS$2.1tUS$363.1b31.3x48.5x8.3x
Thu, 13 Jun 2024US$16.0tUS$2.1tUS$351.3b29.9x45.4x7.8x
Sat, 11 May 2024US$14.4tUS$2.0tUS$337.0b30.1x42.9x7.1x
Mon, 08 Apr 2024US$14.6tUS$2.0tUS$328.6b28.3x44.4x7.1x
Wed, 06 Mar 2024US$14.8tUS$2.0tUS$327.5b27.3x45.3x7.3x
Fri, 02 Feb 2024US$14.0tUS$2.1tUS$302.2b25.8x46.3x6.8x
Sun, 31 Dec 2023US$13.4tUS$2.1tUS$292.6b26.1x45.9x6.5x
Tue, 28 Nov 2023US$12.7tUS$2.0tUS$290.1b25.1x43.8x6.2x
Thu, 26 Oct 2023US$11.3tUS$2.0tUS$274.4b22.6x41.3x5.5x
Sat, 23 Sep 2023US$11.5tUS$2.0tUS$272.9b24.4x42x5.6x
Mon, 21 Aug 2023US$11.4tUS$2.0tUS$264.4b24.5x43.2x5.6x
Wed, 19 Jul 2023US$12.6tUS$2.0tUS$257.8b25.7x48.7x6.2x
Fri, 16 Jun 2023US$11.9tUS$2.0tUS$264.3b24.8x45x5.9x
Sun, 14 May 2023US$10.4tUS$2.0tUS$262.0b22.8x39.5x5.1x
Tue, 11 Apr 2023US$10.2tUS$2.0tUS$275.0b22.8x37.2x5x
Thu, 09 Mar 2023US$11.0tUS$2.3tUS$298.2b22.8x37x4.9x
Sat, 04 Feb 2023US$11.2tUS$2.2tUS$320.4b25.4x34.8x5x
Mon, 02 Jan 2023US$9.8tUS$2.2tUS$327.4b21.8x29.8x4.3x
Wed, 30 Nov 2022US$10.1tUS$2.2tUS$332.6b21.9x30.4x4.5x
Fri, 28 Oct 2022US$9.9tUS$2.2tUS$337.0b20.1x29.5x4.5x
Sun, 25 Sep 2022US$9.9tUS$2.2tUS$347.0b19.3x28.4x4.5x
Tue, 23 Aug 2022US$11.5tUS$2.2tUS$349.1b22.5x33.1x5.3x
Thu, 21 Jul 2022US$11.0tUS$2.2tUS$360.2b23.3x30.6x5.1x
Price to Earnings Ratio

30.6x


Total Market Cap: US$11.0tTotal Earnings: US$360.2bTotal Revenue: US$2.2tTotal Market Cap vs Earnings and Revenue0%0%0%
U.S. Tech Sector Price to Earnings3Y Average 42x202320242025
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 50.9x which is higher than its 3-year average PE of 42.0x.
  • The 3-year average PS ratio of 6.4x is lower than the industry's current PS ratio of 8.4x.
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 3.5% 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 Market0.14%
Tech0.28%
Semiconductors2.29%
Electronic Equipment and Components1.02%
Tech Hardware0.55%
Communications0.21%
Software-0.98%
IT-5.93%
Industry PE
  • Investors are most optimistic about the Semiconductors industry which is trading above its 3-year average PE ratio of 45.6x.
    • Analysts are expecting annual earnings growth of 22.5%, which is higher than its past year's earnings decline of 4.1% per year.
  • Investors are most pessimistic about the Tech Hardware industry, although it looks like investor sentiment has improved given that it's trading above its 3-year average of 30.1x.
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 4.1% per year.
  • In contrast, the Tech Hardware industry is expected to see its earnings grow by 9.5% 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$164.923.5%
+US$136.2b		27.6%PE52.4x
MSFT MicrosoftUS$503.320.9%
+US$33.3b		11.0%PE38.7x
PLTR Palantir TechnologiesUS$142.105.8%
+US$18.3b		406.2%PE587.6x
AMD Advanced Micro DevicesUS$146.426.2%
+US$13.8b		-19.4%PE106.6x
MSTR MicroStrategyUS$434.587.6%
+US$8.5b		211.1%PS264.3x

Latest News

ORCL
US$230.56
Oracle
7D
-2.8%
1Y
59.3%
MSFT
US$503.32
Microsoft
7D
0.9%
1Y
11.0%
NVDA
US$164.92
NVIDIA
7D
3.5%
1Y
27.6%
AAPL
US$211.16
Apple
7D
-1.1%
1Y
-8.4%
CRWV
US$125.84
CoreWeave
7D
-23.8%
1Y
n/a
CRM
US$258.07
Salesforce
7D
-5.2%
1Y
1.6%
AMD
US$146.42
Advanced Micro Devices
7D
6.2%
1Y
-19.4%
ANET
US$108.57
Arista Networks
7D
5.9%
1Y
20.0%
ARM
US$145.94
Arm Holdings
7D
-5.9%
1Y
-19.5%
MSTR
US$434.58
MicroStrategy
7D
7.6%
1Y
211.1%
NOW
US$938.78
ServiceNow
7D
-10.1%
1Y
23.8%
AMAT
US$197.93
Applied Materials
7D
3.6%
1Y
-18.7%

Applied Materials (NASDAQ:AMAT) Could Easily Take On More Debt

Jul 05
Applied Materials (NASDAQ:AMAT) Could Easily Take On More Debt
ACN
US$281.06
Accenture
7D
-7.8%
1Y
-9.5%
PLTR
US$142.10
Palantir Technologies
7D
5.8%
1Y
406.2%
PANW
US$187.39
Palo Alto Networks
7D
-7.1%
1Y
11.4%
TXN
US$221.25
Texas Instruments
7D
2.4%
1Y
9.6%