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U.S. Tech Sector Analysis

UpdatedAug 05, 2026
DataAggregated Company Financials
Companies980
  • 7D9.5%
  • 3M7.9%
  • 1Y33.0%
  • YTD22.6%

Over the last 7 days, the Tech industry has risen 9.5%, driven by gains from Microsoft of 25%. Meanwhile, Apple actually underperformed within the industry, shrinking 9.0% in the last week. This means that the industry has gained 33% over the past year. As for the next few years, earnings are expected to grow by 22% per annum.

Sector Valuation and Performance

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

DateMarket CapRevenueEarningsPEAbsolute PEPS
Wed, 05 Aug 2026US$21.7tUS$2.9tUS$634.8b35x34.2x7.4x
Fri, 03 Jul 2026US$26.6tUS$2.9tUS$645.0b32.9x41.3x9.2x
Sun, 31 May 2026US$23.0tUS$2.8tUS$612.4b36.9x37.6x8.2x
Tue, 28 Apr 2026US$19.3tUS$2.7tUS$549.5b31.9x35.1x7.1x
Thu, 26 Mar 2026US$20.9tUS$2.7tUS$555.3b31.2x37.6x7.7x
Sat, 21 Feb 2026US$21.6tUS$2.6tUS$520.2b29.5x41.5x8.2x
Mon, 19 Jan 2026US$22.4tUS$2.6tUS$500.6b31.7x44.7x8.8x
Wed, 17 Dec 2025US$22.2tUS$2.6tUS$503.6b30.5x44x8.6x
Fri, 14 Nov 2025US$23.2tUS$2.5tUS$478.4b29.7x48.5x9.1x
Sun, 12 Oct 2025US$22.2tUS$2.5tUS$439.1b30.5x50.5x8.9x
Tue, 09 Sep 2025US$20.9tUS$2.5tUS$435.1b29.1x47.9x8.5x
Thu, 07 Aug 2025US$20.7tUS$2.4tUS$413.9b27.4x50x8.6x
Sat, 05 Jul 2025US$20.1tUS$2.4tUS$393.2b29.4x51.1x8.4x
Mon, 02 Jun 2025US$17.9tUS$2.4tUS$390.3b27x46x7.6x
Wed, 30 Apr 2025US$16.1tUS$2.3tUS$385.4b25.4x41.7x6.9x
Fri, 28 Mar 2025US$16.5tUS$2.3tUS$385.4b27.2x42.8x7.1x
Sun, 23 Feb 2025US$18.4tUS$2.3tUS$369.5b30.2x49.8x8x
Tue, 21 Jan 2025US$18.4tUS$2.3tUS$367.0b33.9x50x8.1x
Thu, 19 Dec 2024US$18.9tUS$2.3tUS$363.6b32.2x51.9x8.4x
Sat, 16 Nov 2024US$18.2tUS$2.2tUS$351.3b32.1x51.7x8.1x
Mon, 14 Oct 2024US$17.6tUS$2.2tUS$378.2b30.4x46.6x8.1x
Wed, 11 Sep 2024US$15.8tUS$2.2tUS$375.1b27.5x42.2x7.3x
Fri, 09 Aug 2024US$15.1tUS$2.1tUS$370.2b28.3x40.7x7x
Sun, 07 Jul 2024US$17.5tUS$2.1tUS$362.9b30.4x48.2x8.3x
Tue, 04 Jun 2024US$15.1tUS$2.1tUS$351.1b29.5x43x7.3x
Thu, 02 May 2024US$13.8tUS$2.0tUS$335.4b27.9x41.3x6.8x
Sat, 30 Mar 2024US$14.8tUS$2.0tUS$328.0b28.3x45x7.2x
Mon, 26 Feb 2024US$14.4tUS$2.0tUS$322.4b27.5x44.8x7.1x
Wed, 24 Jan 2024US$14.0tUS$2.0tUS$292.1b26.6x48.1x6.8x
Fri, 22 Dec 2023US$13.2tUS$2.1tUS$292.5b26.4x45.2x6.4x
Sun, 19 Nov 2023US$12.6tUS$2.0tUS$281.5b24.5x44.7x6.2x
Tue, 17 Oct 2023US$11.9tUS$2.0tUS$270.2b24.8x43.9x5.8x
Thu, 14 Sep 2023US$11.9tUS$2.0tUS$273.3b23.8x43.6x5.8x
Sat, 12 Aug 2023US$11.6tUS$2.0tUS$263.3b25.2x43.9x5.7x
Price to Earnings Ratio

43.9x


Total Market Cap: US$11.6tTotal Earnings: US$263.3bTotal Revenue: US$2.0tTotal Market Cap vs Earnings and Revenue0%0%0%
U.S. Tech Sector Price to Earnings3Y Average 45x202420252026
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 34.2x which is lower than its 3-year average PE of 45.0x.
  • The industry is trading close to its 3-year average PS ratio of 7.7x.
Past Earnings Growth
  • The earnings for companies in the Information Technology industry have grown 34% per year over the last three years.
  • Revenues for these companies have grown 13% 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 Market4.85%
Tech9.52%
Software19.38%
Electronic Equipment and Components15.99%
Semiconductors11.90%
Communications9.13%
IT7.24%
Tech Hardware-5.57%
Industry PE
  • Investors are most optimistic about the Communications industry which is trading above its 3-year average PE ratio of 35.8x.
    • Analysts are expecting annual earnings growth of 19.7%, which is higher than its past year's earnings growth of 8.9% per year.
  • Investors are most pessimistic about the Semiconductors industry, which is trading below its 3-year average of 53.9x.
Forecasted Growth
  • Analysts are most optimistic on the Semiconductors industry, expecting annual earnings growth of 28% over the next 5 years.
  • This is roughly in line with its past earnings growth rate.
  • In contrast, the Tech Hardware industry is expected to see its earnings grow by 11% 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
MSFT MicrosoftUS$492.8125.3%
+US$737.4b		-6.6%PE27.4x
NVDA NVIDIAUS$211.9411.5%
+US$531.2b		18.1%PE32.2x
AVGO BroadcomUS$418.169.8%
+US$177.2b		42.8%PE67.9x
AMD Advanced Micro DevicesUS$518.5814.1%
+US$104.3b		197.5%PE171.5x
PLTR Palantir TechnologiesUS$162.6632.2%
+US$96.0b		-9.4%PE129.6x

Latest News

PLTR
US$162.66
Palantir Technologies
7D
32.2%
1Y
-9.4%
AMD
US$518.58
Advanced Micro Devices
7D
14.1%
1Y
197.5%
TYL
US$313.33
Tyler Technologies
7D
-6.0%
1Y
-48.5%
ROP
US$392.76
Roper Technologies
7D
-3.8%
1Y
-27.5%
FICO
US$1,046.99
Fair Isaac
7D
-21.6%
1Y
-22.0%
SHOP
US$123.30
Shopify
7D
-4.5%
1Y
-20.4%
MSFT
US$492.81
Microsoft
7D
25.3%
1Y
-6.6%
GDDY
US$89.09
GoDaddy
7D
-13.4%
1Y
-41.9%
CHKP
US$123.92
Check Point Software Technologies
7D
-10.0%
1Y
-34.4%
INTC
US$100.86
Intel
7D
23.2%
1Y
394.2%
MU
US$892.67
Micron Technology
7D
8.8%
1Y
718.5%
AAPL
US$309.38
Apple
7D
-9.0%
1Y
52.5%
ORCL
US$145.74
Oracle
7D
21.5%
1Y
-43.0%
AVGO
US$418.16
Broadcom
7D
9.8%
1Y
42.8%
NVDA
US$211.94
NVIDIA
7D
11.5%
1Y
18.1%
CDNS
US$340.62
Cadence Design Systems
7D
-1.2%
1Y
-5.5%
Narrative Update • Jul 30

CDNS: Agentic AI Engineer And Hardware Strength Will Support Future Upside

Analysts have nudged their fair value estimate for Cadence Design Systems higher from $450 to $470 as they weigh stronger AI and hardware demand, raised guidance, and a growing addressable market against questions around AI monetization, margin pressure, and a still elevated future P/E profile. Analyst Commentary Recent commentary on Cadence Design Systems points to a generally constructive tone from bullish analysts, even as they highlight valuation and margin questions.