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U.S. Tech Sector Analysis

UpdatedMay 16, 2026
DataAggregated Company Financials
Companies997
  • 7D0.9%
  • 3M23.7%
  • 1Y46.4%
  • YTD17.7%

Last week, the Tech industry hasn't moved much but NVIDIA is up 4.7% in that time. The past year has been better, since the industry has gained 46% in that time. Looking forward, earnings are forecast to grow by 21% annually.

Sector Valuation and Performance

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

DateMarket CapRevenueEarningsPEAbsolute PEPS
Sat, 16 May 2026US$21.2tUS$2.8tUS$571.5b35.1x37x7.6x
Mon, 13 Apr 2026US$21.8tUS$2.7tUS$555.0b31.2x39.3x8.1x
Wed, 11 Mar 2026US$21.5tUS$2.7tUS$542.2b29.7x39.7x8x
Fri, 06 Feb 2026US$21.1tUS$2.6tUS$529.4b27.9x39.9x8.1x
Sun, 04 Jan 2026US$22.5tUS$2.6tUS$506.7b31x44.5x8.7x
Tue, 02 Dec 2025US$22.6tUS$2.6tUS$494.1b30.3x45.7x8.8x
Thu, 30 Oct 2025US$19.2tUS$2.5tUS$463.7b30x41.4x7.7x
Sat, 27 Sep 2025US$22.1tUS$2.5tUS$437.8b31.3x50.5x9x
Mon, 25 Aug 2025US$20.8tUS$2.4tUS$418.9b28.4x49.7x8.6x
Wed, 23 Jul 2025US$20.4tUS$2.4tUS$392.8b29x52x8.6x
Fri, 20 Jun 2025US$18.8tUS$2.4tUS$391.4b27.5x48x7.9x
Sun, 18 May 2025US$18.1tUS$2.4tUS$385.4b27.1x47.1x7.7x
Tue, 15 Apr 2025US$15.4tUS$2.3tUS$386.7b24.9x39.8x6.6x
Thu, 13 Mar 2025US$16.1tUS$2.3tUS$385.5b26.8x41.8x6.9x
Sat, 08 Feb 2025US$18.3tUS$2.3tUS$372.2b33.2x49.3x8x
Mon, 06 Jan 2025US$18.6tUS$2.3tUS$366.9b32.7x50.7x8.2x
Wed, 04 Dec 2024US$18.3tUS$2.2tUS$361.4b33.6x50.8x8.2x
Fri, 01 Nov 2024US$17.1tUS$2.2tUS$378.5b29.3x45.3x7.7x
Sun, 29 Sep 2024US$17.2tUS$2.2tUS$378.1b29.7x45.4x7.9x
Tue, 27 Aug 2024US$17.0tUS$2.1tUS$367.7b29.6x46.3x8x
Thu, 25 Jul 2024US$17.0tUS$2.1tUS$362.3b30.1x47x8.1x
Sat, 22 Jun 2024US$17.0tUS$2.1tUS$360.5b30.4x47.2x8x
Mon, 20 May 2024US$14.9tUS$2.0tUS$337.1b29.9x44.4x7.3x
Wed, 17 Apr 2024US$14.2tUS$2.0tUS$328.5b27.7x43.4x7x
Fri, 15 Mar 2024US$14.8tUS$2.0tUS$325.3b28.2x45.4x7.2x
Sun, 11 Feb 2024US$14.6tUS$2.0tUS$308.4b26.8x47.2x7.2x
Tue, 09 Jan 2024US$12.9tUS$2.1tUS$292.6b26.4x44.1x6.3x
Thu, 07 Dec 2023US$12.6tUS$2.1tUS$292.8b24.9x43.1x6.2x
Sat, 04 Nov 2023US$11.8tUS$2.0tUS$279.2b23.1x42.4x5.8x
Mon, 02 Oct 2023US$11.5tUS$2.0tUS$269.9b24.7x42.5x5.6x
Wed, 30 Aug 2023US$12.1tUS$2.0tUS$270.6b24.7x44.5x5.9x
Fri, 28 Jul 2023US$12.3tUS$2.0tUS$260.0b24.9x47.2x6x
Sun, 25 Jun 2023US$11.7tUS$2.0tUS$264.6b24.1x44.2x5.7x
Tue, 23 May 2023US$10.8tUS$2.0tUS$260.8b23.6x41.6x5.3x
Price to Earnings Ratio

41.6x


Total Market Cap: US$10.8tTotal Earnings: US$260.8bTotal Revenue: US$2.0tTotal Market Cap vs Earnings and Revenue0%0%0%
U.S. Tech Sector Price to Earnings3Y Average 45.4x202420252026
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 37.0x which is lower than its 3-year average PE of 45.4x.
  • The industry is trading close to its 3-year average PS ratio of 7.5x.
Past Earnings Growth
  • The earnings for companies in the Information Technology industry have grown 30% per year over the last three years.
  • Revenues for these companies have grown 11% 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-0.92%
Tech0.94%
Communications9.03%
Tech Hardware1.66%
Software1.07%
Electronic Equipment and Components0.73%
Semiconductors0.35%
IT-4.08%
Industry PE
  • Investors are most optimistic about the Electronic Equipment and Components industry which is trading above its 3-year average PE ratio of 33.2x.
    • Analysts are expecting annual earnings growth of 25.3%, which is higher than its past year's earnings growth of 12.5% per year.
  • Investors are most pessimistic about the Semiconductors industry, which is trading below its 3-year average of 54.3x.
Forecasted Growth
  • Analysts are most optimistic on the Semiconductors industry, expecting annual earnings growth of 26% over the next 5 years.
  • This is better than its past earnings growth rate of 12% per year.
  • 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
NVDA NVIDIAUS$225.324.7%
+US$228.9b		66.4%PE45.5x
AAPL AppleUS$300.232.4%
+US$101.5b		42.1%PE36x
CSCO Cisco SystemsUS$118.2122.4%
+US$85.5b		85.8%PE39x
MSFT MicrosoftUS$421.921.6%
+US$50.5b		-7.1%PE25x
PANW Palo Alto NetworksUS$242.8316.8%
+US$28.3b		25.8%PE153.6x

Latest News

CSCO
US$118.21
Cisco Systems
7D
22.4%
1Y
85.8%
INTC
US$108.77
Intel
7D
-12.9%
1Y
402.2%
NBIS
US$219.94
Nebius Group
7D
24.2%
1Y
489.3%
Narrative Update • May 15

NBIS: Meta AI Megadeal And Nvidia Backing Will Support Future Capacity

Analysts have increased the Nebius Group fair value estimate from $270.06 to $291.00, citing recent price target revisions across the Street that are tied to stronger demand signals, higher GPU pricing, and improved profitability expectations. Analyst Commentary Recent research points to a cluster of higher valuation targets on Nebius Group, with bullish analysts largely tying their revisions to stronger demand signals, higher GPU pricing, large contract wins, and improving profitability metrics.
SHOP
US$100.28
Shopify
7D
-9.2%
1Y
-9.5%
MSFT
US$421.92
Microsoft
7D
1.6%
1Y
-7.1%
AAPL
US$300.23
Apple
7D
2.4%
1Y
42.1%
Narrative Update • May 15

AAPL: AI Spending And Rising Input Costs Will Pressure Future Margins

Analysts have raised the implied fair value for Apple stock from about $231.03 to roughly $235.23, citing confidence in the company's AI powered ecosystem, higher margin Services mix, resilient cash generation, and earnings compounding potential supported by premium hardware and an expanding product breadth. Analyst Commentary Across recent research, Apple continues to attract a wide range of views, with several firms lifting price targets and highlighting the role of AI, Services and cash generation.
MU
US$724.66
Micron Technology
7D
-3.0%
1Y
639.4%
Narrative Update • May 15

MU: AI Cycle Hype Will Eventually Collide With Memory Supply Expansion

Micron Technology's analyst fair value estimate has shifted higher to $584.62 from $526.48, as analysts factor in a larger AI data center memory opportunity and stronger assumptions around margins and future P/E multiples. Analyst Commentary Street research on Micron has turned increasingly active, with a cluster of higher price targets as analysts adjust models for AI driven memory demand, tighter supply conditions, and potential for higher margins and P/E multiples.
UI
US$623.25
Ubiquiti
7D
-26.0%
1Y
42.9%
TXN
US$302.73
Texas Instruments
7D
5.2%
1Y
60.6%
CRWD
US$594.08
CrowdStrike Holdings
7D
12.6%
1Y
35.2%
NVDA
US$225.32
NVIDIA
7D
4.7%
1Y
66.4%
PANW
US$242.83
Palo Alto Networks
7D
16.8%
1Y
25.8%
AMD
US$424.10
Advanced Micro Devices
7D
-6.8%
1Y
262.0%
Narrative Update • May 14

AMD: AI Accelerator Momentum Is Real, But Valuation Now Needs Perfect Execution

AMD remains one of the clearest second-place beneficiaries of the AI infrastructure buildout. Hyperscalers want a credible alternative to Nvidia, and AMD’s data-center CPUs, Instinct accelerators, and broader adaptive-computing portfolio give it a real path to take share as customers diversify suppliers.
QCOM
US$201.49
QUALCOMM
7D
-8.0%
1Y
32.1%
SNDK
US$1,407.61
Sandisk
7D
-9.9%
1Y
3,380.7%
AVGO
US$425.19
Broadcom
7D
-1.1%
1Y
86.0%