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U.S. Tech Sector Analysis

UpdatedSep 18, 2026
DataAggregated Company Financials
Companies990
  • 7D1.2%
  • 3M0.7%
  • 1Y26.2%
  • YTD23.7%

The Tech industry is up 1.2% in the last week, with Apple up 3.2%. This takes the industry's 12 month performance to a gain of 26%. As for the next few years, earnings are expected to grow by 23% per annum.

Sector Valuation and Performance

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

DateMarket CapRevenueEarningsPEAbsolute PEPS
Fri, 18 Sep 2026US$22.2tUS$3.1tUS$687.3b34.2x32.2x7.2x
Sun, 16 Aug 2026US$22.7tUS$3.0tUS$636.0b34.6x35.7x7.6x
Tue, 14 Jul 2026US$27.0tUS$2.9tUS$645.3b34.6x41.8x9.3x
Thu, 11 Jun 2026US$21.5tUS$2.8tUS$617.5b34.4x34.8x7.6x
Sat, 09 May 2026US$20.6tUS$2.8tUS$570.4b35.4x36.2x7.4x
Mon, 06 Apr 2026US$20.8tUS$2.7tUS$554.9b30x37.6x7.7x
Wed, 04 Mar 2026US$21.4tUS$2.7tUS$539.7b29.5x39.7x8x
Fri, 30 Jan 2026US$22.9tUS$2.6tUS$520.3b30.8x44x8.8x
Sun, 28 Dec 2025US$22.9tUS$2.6tUS$506.9b30.7x45.1x8.8x
Tue, 25 Nov 2025US$21.7tUS$2.6tUS$492.7b29x44x8.4x
Thu, 23 Oct 2025US$22.8tUS$2.5tUS$439.2b30x52x9.1x
Sat, 20 Sep 2025US$22.0tUS$2.5tUS$435.4b31.4x50.4x8.9x
Mon, 18 Aug 2025US$21.1tUS$2.4tUS$418.3b27.8x50.5x8.7x
Wed, 16 Jul 2025US$20.0tUS$2.4tUS$393.2b28.9x50.9x8.4x
Fri, 13 Jun 2025US$18.7tUS$2.4tUS$390.6b28.1x47.8x7.8x
Sun, 11 May 2025US$16.8tUS$2.3tUS$383.7b25.7x43.7x7.1x
Tue, 08 Apr 2025US$14.2tUS$2.3tUS$386.8b24.2x36.6x6.1x
Thu, 06 Mar 2025US$17.0tUS$2.3tUS$378.8b28.9x44.9x7.3x
Sat, 01 Feb 2025US$18.1tUS$2.3tUS$370.8b33.3x48.8x7.9x
Mon, 30 Dec 2024US$18.7tUS$2.3tUS$366.9b32.1x51x8.3x
Wed, 27 Nov 2024US$18.1tUS$2.2tUS$361.4b33.1x50x8x
Fri, 25 Oct 2024US$17.7tUS$2.2tUS$376.4b30x46.9x8.1x
Sun, 22 Sep 2024US$17.0tUS$2.2tUS$375.4b28.8x45.2x7.8x
Tue, 20 Aug 2024US$16.8tUS$2.1tUS$368.0b29.8x45.7x7.9x
Thu, 18 Jul 2024US$17.4tUS$2.1tUS$363.1b31.5x48x8.2x
Sat, 15 Jun 2024US$16.9tUS$2.1tUS$360.4b29.2x46.9x8x
Mon, 13 May 2024US$14.5tUS$2.0tUS$337.0b30.1x43x7.1x
Wed, 10 Apr 2024US$14.6tUS$2.0tUS$328.6b28.8x44.3x7.1x
Fri, 08 Mar 2024US$14.9tUS$2.0tUS$327.8b28.5x45.5x7.3x
Sun, 04 Feb 2024US$14.2tUS$2.1tUS$305.8b26.6x46.3x6.9x
Tue, 02 Jan 2024US$13.4tUS$2.1tUS$292.6b26.1x45.9x6.5x
Thu, 30 Nov 2023US$12.7tUS$2.0tUS$291.1b25.5x43.8x6.2x
Sat, 28 Oct 2023US$11.2tUS$2.0tUS$278.4b22.2x40.1x5.5x
Mon, 25 Sep 2023US$11.5tUS$2.0tUS$273.1b24.4x41.9x5.6x
Price to Earnings Ratio

41.9x


Total Market Cap: US$11.5tTotal Earnings: US$273.1bTotal Revenue: US$2.0tTotal Market Cap vs Earnings and Revenue0%0%0%
U.S. Tech Sector Price to Earnings3Y Average 44.6x202420252026
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 32.2x which is lower than its 3-year average PE of 44.6x.
  • 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 36% 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 sector?

US Market0.54%
Tech1.22%
IT3.13%
Communications2.65%
Tech Hardware2.35%
Software2.09%
Semiconductors0.16%
Electronic Equipment and Components-2.05%
Industry PE
  • Investors are most optimistic about the Communications industry which is trading above its 3-year average PE ratio of 37.4x.
    • Analysts are expecting annual earnings growth of 23.4%, which is higher than its past year's earnings growth of 14.4% per year.
  • Investors are most pessimistic about the Semiconductors industry, which is trading below its 3-year average of 53.0x.
Forecasted Growth
  • Analysts are most optimistic on the Semiconductors industry, expecting annual earnings growth of 31% 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 9.4% 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
AAPL AppleUS$337.003.2%
+US$152.2b		41.7%PE38.1x
AMD Advanced Micro DevicesUS$545.098.2%
+US$67.7b		245.2%PE137.6x
DELL Dell TechnologiesUS$588.4016.1%
+US$52.0b		345.4%PE32.9x
INTC IntelUS$108.808.5%
+US$44.6b		255.9%PS10x
CRWD CrowdStrike HoldingsUS$245.7017.6%
+US$38.3b		95.5%PE5603.3x

Latest News

AAPL
US$337.00
Apple
7D
3.2%
1Y
41.7%
GLW
US$147.80
Corning
7D
-9.4%
1Y
85.6%
AMD
US$545.09
Advanced Micro Devices
7D
8.2%
1Y
245.2%
Seeking Alpha • 23h

AMD Stock: Growth Is Catching Up With The Valuation

Summary Advanced Micro Devices, Inc. delivered a robust Q2 FY26, with over 100% YoY growth in data center revenue and strong margin expansion. Data Center revenue, now 58% of total, should remain a key topline growth engine through the rest of FY26 with rapid AI accelerator adoption, notably the MI450/Helios platform. Increasing contribution of high-margin data center revenue should meaningfully benefit overall profitability over the coming quarters. Despite premium valuation, AMD's accelerating earnings and upward estimate revisions justify maintaining a Buy rating. Read the full article on Seeking Alpha
PANW
US$375.06
Palo Alto Networks
7D
10.8%
1Y
82.4%
STX
US$803.13
Seagate Technology Holdings
7D
-6.9%
1Y
270.7%
CRWD
US$245.70
CrowdStrike Holdings
7D
17.6%
1Y
95.5%
Narrative Update • Sep 17

CRWD: Frontier AI Security Demand Will Support Long Duration ARR Upside

CrowdStrike Holdings' analyst fair value estimate has been adjusted from $256.00 to about $295.41. This reflects analysts' updated price targets and models that emphasize the company's AI-driven security positioning, expanded product set and long term recurring revenue ambitions.
AMAT
US$417.40
Applied Materials
7D
-8.1%
1Y
120.0%
Narrative Update • Sep 17

AMAT: AI DRAM And Advanced Packaging Demand Will Sustain Multi Year Upside

Applied Materials' updated analyst price target edges lower as fair value is reset from about $870.69 to $848.57. This reflects modest P/E multiple compression even as analysts highlight ongoing AI driven wafer fab equipment demand and continued strength in DRAM, advanced logic, and advanced packaging.
NVDA
US$219.34
NVIDIA
7D
0.4%
1Y
24.5%
Narrative Update • Sep 17

NVDA: AI Infrastructure Financing And Software Expansion Will Sustain Future Leadership

Nvidia's updated analyst fair value estimate has moved from about $405 to roughly $451, as analysts factor in stronger modeled revenue growth, a lower assumed future P/E, and the recent Hugging Face acquisition, which they see as reinforcing the company's position across the AI compute and software stack. Analyst Commentary Recent research coverage on Nvidia points to a generally upbeat stance from bullish analysts who see the company as a central supplier in AI compute and systems.
PLTR
US$176.24
Palantir Technologies
7D
5.4%
1Y
-3.4%
Narrative Update • Sep 17

PLTR: AI Sovereignty Momentum Will Likely Struggle Against Extreme Valuation Multiples

Analysts lifted their Palantir Technologies price target, with the fair value estimate moving from about $99.77 to roughly $102.32. They cited higher long term revenue growth expectations, solid profitability assumptions, and recent Street research that highlights strong commercial momentum, expanding AI partnerships, and customer interest in the company's AI platform.
INTC
US$108.80
Intel
7D
8.5%
1Y
255.9%
LRCX
US$269.31
Lam Research
7D
-9.6%
1Y
113.2%
AVGO
US$347.30
Broadcom
7D
-3.7%
1Y
0.6%
Seeking Alpha • Sep 15

Broadcom's Biggest Customers Want To Slow AI Down - They're Still Buying

Summary Broadcom Inc. maintains a Strong Buy rating as AI chip demand is robust, with $350 billion in shipments locked for fiscal 2027–2028. AVGO's AI revenue targets—$115B in 2027 and $230B in 2028—are grounded in secured supply and customer power constraints, not theoretical ceilings. Capex is rising sharply to address supply chokepoints, but operating margin remains strong at 67.9%, with AI now 56% of total revenue. AVGO's valuation has compressed to ~11.5x management's $30+ 2028 EPS target as market focus shifts to credit risk from AI lease guarantees. Read the full article on Seeking Alpha
SNDK
US$1,614.39
Sandisk
7D
-4.6%
1Y
1,532.8%
Seeking Alpha • Sep 14

Sandisk And The NAND Stabilization Test

Summary Sandisk Corporation's major upcoming test will be preserving and attempting to increase its earnings power as potentially NAND supply stabilizes and pricing becomes less favorable. Multi-year New Business Model agreements covering about half of projected fiscal 2027 bit shipments and roughly two-thirds of fiscal 2028 bits could reduce SNDK’s exposure to the NAND cycle. Growing enterprise SSD demand from AI inference, combined with Sandisk’s UltraQLC, BiCS9, BiCS10, and High Bandwidth Flash initiatives, could support a higher-value product mix and lower costs per bit. While acknowledging risks, I rate SNDK stock a cautious Buy, as the company has unique tools for this stage of the cycle, including increased exposure to AI inference. Read the full article on Seeking Alpha
DELL
US$588.40
Dell Technologies
7D
16.1%
1Y
345.4%
Seeking Alpha • Sep 13

Dell: Powerhouse AI Stock

Summary Dell Technologies has transformed into a mission-critical supplier for the global AI rollout, achieving record highs and justifying its momentum with robust fundamentals. ISG revenue surged 89% year-over-year to $31.8 billion, driven by unprecedented AI server demand, while CSG posted its strongest commercial growth in over four years. Fiscal Q2 2027 delivered a record $47.0 billion revenue and $7.04 adjusted EPS, with management raising full-year guidance to $192 billion revenue and $25.50 EPS. Despite a 345% YTD rally, DELL remains attractively valued at under 22x EPS, with a $95 billion backlog and a medium-term price target of $700 if execution persists. However, there are notable risks that can derail the momentum. Read the full article on Seeking Alpha
WDC
US$423.87
Western Digital
7D
-8.0%
1Y
303.1%
Seeking Alpha • Sep 11

Western Digital: The Correction Priced Out The Froth, Not The Compounding

Summary Western Digital is rated a Buy, with compounding AI-driven storage demand and a reasonable ~17.5x forward EV/EBITDA multiple supporting the thesis. Structural shifts from inference, agentic, and physical AI workloads underpin a 'new normal' of robust, less-cyclical storage demand, with pricing power intact through FY2027. Medium-term growth expectations have moderated to ~25% exabyte shipment growth, but pricing-led revenue and margin expansion remain strong, mitigating short-term volume fluctuations. Outer-year risks center on potential margin compression and multiple contraction, but base-case scenarios still screen net positive through FY2029, supporting near-term upside. Read the full article on Seeking Alpha
KLAC
US$168.98
KLA
7D
-4.6%
1Y
61.4%
Seeking Alpha • Sep 09

KLA Corporation Is A Buy The Dip Opportunity (Technical Analysis)

Summary KLA Corporation exhibits a bullish trend, with price action showing higher highs and recapturing its 30-week EMA. KLAC's fundamentals are robust, with FY 2027 and FY 2028 revenue and EPS estimates projecting 33%-57% and 44%-77% growth, respectively. Management targets doubling revenues and a 123% EPS increase by FY 2030, supported by strong cash flow, buybacks, and consistent dividend hikes. Despite recent volume weakness and short-term underperformance versus the S&P 500, the current pullback is viewed as a buy-the-dip opportunity. Read the full article on Seeking Alpha