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U.S. Tech Sector Analysis

UpdatedSep 18, 2025
DataAggregated Company Financials
Companies939
  • 7D0.2%
  • 3M15.0%
  • 1Y30.9%
  • YTD18.1%

Over the last 7 days, the Tech industry has remained flat, although notably Apple gained 5.4%. As for the the longer term, the industry is up 31% over the past 12 months. Looking forward, earnings are forecast to grow by 19% annually.

Sector Valuation and Performance

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

DateMarket CapRevenueEarningsPEAbsolute PEPS
Thu, 18 Sep 2025US$21.8tUS$2.5tUS$435.5b29.8x50x8.8x
Sat, 16 Aug 2025US$21.2tUS$2.4tUS$418.3b27.9x50.8x8.7x
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
Price to Earnings Ratio

28.4x


Total Market Cap: US$9.9tTotal Earnings: US$347.0bTotal Revenue: US$2.2tTotal Market Cap vs Earnings and Revenue0%0%0%
U.S. Tech Sector Price to Earnings3Y Average 43.1x202320242025
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 50.0x which is higher than its 3-year average PE of 43.1x.
  • The 3-year average PS ratio of 6.6x is lower than the industry's current PS ratio of 8.8x.
Past Earnings Growth
  • The earnings for companies in the Information Technology industry have grown 7.9% per year over the last three years.
  • Revenues for these companies have grown 4.0% 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 Market1.17%
Tech0.19%
Tech Hardware5.51%
Software0.91%
IT0.75%
Electronic Equipment and Components0.23%
Communications-1.62%
Semiconductors-2.65%
Industry PE
  • Investors are most optimistic about the Semiconductors industry which is trading above its 3-year average PE ratio of 48.2x.
    • Analysts are expecting annual earnings growth of 24.1%, which is higher than its past year's earnings decline of 3.1% 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 30.6x.
Forecasted Growth
  • Analysts are most optimistic on the Semiconductors industry, expecting annual earnings growth of 24% over the next 5 years.
  • This is better than its past earnings decline of 3.1% per year.
  • 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$238.995.4%
+US$181.1b		8.3%PE35.7x
MSFT MicrosoftUS$510.021.9%
+US$71.7b		18.4%PE37.2x
LRCX Lam ResearchUS$121.9013.5%
+US$18.4b		61.3%PE28.8x
APP AppLovinUS$606.667.0%
+US$13.4b		392.6%PE81.6x
AMAT Applied MaterialsUS$178.139.0%
+US$11.7b		-4.3%PE20.8x

Latest News

MSFT
US$510.02
Microsoft
7D
1.9%
1Y
18.4%
APP
US$606.66
AppLovin
7D
7.0%
1Y
392.6%

AXON And Shopify Integration Will Unlock Global Mobile Advertising

The upward revision in AppLovin’s price target reflects a modest increase in its expected future P/E multiple while revenue growth forecasts remain largely unchanged, resulting in a new consensus target of $517.81. What's in the News Repurchased 732,000 shares for $270.03 million from April to June, completing the buyback of 75.45 million shares (21.07%) for $3.67 billion.
NVDA
US$170.29
NVIDIA
7D
-3.9%
1Y
44.5%

Advancements In AI Will Drive Future Data Center Demand

NVIDIA’s price target was raised to $209.19 as analysts cite robust AI compute demand, accelerating new product shipments, and multi-billion-dollar China revenue tailwinds, with bullish views tempered by competition and high expectations. Analyst Commentary Bullish analysts are raising targets based on ongoing, robust demand continuing to outstrip supply for Nvidia’s AI compute, with key product ramps (especially Blackwell and GB300/B300) driving sharply higher sales and visibility into multi-year growth, even as capacity scales and new product cycles launch.
LRCX
US$121.90
Lam Research
7D
13.5%
1Y
61.3%
ORCL
US$301.41
Oracle
7D
-8.2%
1Y
83.2%
AVGO
US$346.17
Broadcom
7D
-6.3%
1Y
114.1%
SNOW
US$217.96
Snowflake
7D
-3.5%
1Y
96.8%

Enterprise AI Adoption And Cloud Migration Will Generate Lasting Momentum

Following robust Q2 results marked by accelerating product revenue growth, increased enterprise adoption, and strong AI-driven momentum across its platform, analysts have raised Snowflake’s consensus price target from $260.62 to $263.43. Analyst Commentary Bullish analysts raised price targets on Snowflake following Q2 results, citing a powerful acceleration in product revenue growth (31.5-32% y/y), significant outperformance versus guidance, and robust momentum across all product lines, including analytics, data engineering, AI/ML, and collaboration.
AMAT
US$178.13
Applied Materials
7D
9.0%
1Y
-4.3%
NET
US$213.88
Cloudflare
7D
-4.1%
1Y
173.9%

AI And IoT Adoption Will Transform Cloud Infrastructure

Key Takeaways Strong demand for cloud-native security and resilient infrastructure, with expanding high-value partnerships and rising adoption of zero-trust, is driving long-term growth and customer retention. Operational efficiencies, cross-selling, and innovation initiatives are improving profitability and margin outlook while unlocking new, high-margin business opportunities.
MU
US$159.99
Micron Technology
7D
6.3%
1Y
79.3%
DDOG
US$134.23
Datadog
7D
-3.5%
1Y
18.6%
ANET
US$142.84
Arista Networks
7D
-5.2%
1Y
58.0%
AAPL
US$238.99
Apple
7D
5.4%
1Y
8.3%
PLTR
US$168.33
Palantir Technologies
7D
2.4%
1Y
357.0%
KLAC
US$989.87
KLA
7D
6.1%
1Y
35.4%
TXN
US$180.30
Texas Instruments
7D
-2.0%
1Y
-10.2%

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Aug 01
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