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

U.S. Tech Sector Analysis

UpdatedFeb 12, 2026
DataAggregated Company Financials
Companies986
  • 7D4.9%
  • 3M-3.4%
  • 1Y17.6%
  • YTD-2.5%

The Tech industry is up 4.9% in the last week, with NVIDIA up 11%. Meanwhile, International Business Machines actually underperformed within the industry, shrinking 5.6% in the last week. In the last 12 months, the industry was up 18%. 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, 12 Feb 2026US$22.0tUS$2.6tUS$517.2b29.6x42.5x8.4x
Sat, 10 Jan 2026US$22.4tUS$2.6tUS$507.0b32.4x44.2x8.7x
Mon, 08 Dec 2025US$23.0tUS$2.6tUS$496.4b31.2x46.2x8.9x
Wed, 05 Nov 2025US$18.9tUS$2.5tUS$481.7b30.6x39.2x7.5x
Fri, 03 Oct 2025US$22.7tUS$2.5tUS$439.1b32.2x51.7x9.1x
Sun, 31 Aug 2025US$20.8tUS$2.5tUS$429.3b29.4x48.5x8.5x
Tue, 29 Jul 2025US$20.7tUS$2.4tUS$392.9b28.5x52.7x8.7x
Thu, 26 Jun 2025US$19.2tUS$2.4tUS$391.7b28.1x49.1x8.1x
Sat, 24 May 2025US$17.8tUS$2.4tUS$385.8b26.6x46.1x7.5x
Mon, 21 Apr 2025US$14.9tUS$2.3tUS$386.6b24.6x38.4x6.4x
Wed, 19 Mar 2025US$16.5tUS$2.3tUS$386.3b26.7x42.7x7.1x
Fri, 14 Feb 2025US$18.4tUS$2.3tUS$371.2b32.5x49.6x8x
Sun, 12 Jan 2025US$18.0tUS$2.3tUS$367.4b32.3x49.1x8x
Tue, 10 Dec 2024US$18.8tUS$2.3tUS$362.4b33.6x52x8.4x
Thu, 07 Nov 2024US$17.5tUS$2.2tUS$352.9b32.6x49.5x7.8x
Sat, 05 Oct 2024US$17.1tUS$2.2tUS$378.1b29.7x45.1x7.9x
Mon, 02 Sep 2024US$16.8tUS$2.2tUS$378.3b29.6x44.4x7.8x
Wed, 31 Jul 2024US$16.3tUS$2.1tUS$361.3b30.9x45x7.7x
Fri, 28 Jun 2024US$16.9tUS$2.1tUS$360.6b29.9x46.8x8x
Sun, 26 May 2024US$15.4tUS$2.1tUS$349.8b30.5x43.9x7.5x
Tue, 23 Apr 2024US$13.5tUS$2.0tUS$328.6b28x41x6.6x
Thu, 21 Mar 2024US$14.7tUS$2.0tUS$325.2b27.6x45.2x7.2x
Sat, 17 Feb 2024US$14.4tUS$2.0tUS$310.3b27.4x46.3x7.1x
Mon, 15 Jan 2024US$13.4tUS$2.0tUS$292.0b26x46x6.5x
Wed, 13 Dec 2023US$13.1tUS$2.1tUS$293.3b24.9x44.6x6.4x
Fri, 10 Nov 2023US$12.1tUS$2.0tUS$279.1b23.1x43.5x6x
Sun, 08 Oct 2023US$11.8tUS$2.0tUS$269.9b24.3x43.6x5.8x
Tue, 05 Sep 2023US$12.3tUS$2.0tUS$272.5b24.7x45x6x
Thu, 03 Aug 2023US$12.1tUS$2.0tUS$263.7b24.8x45.9x6x
Sat, 01 Jul 2023US$12.0tUS$2.0tUS$260.0b24.8x46.3x5.9x
Mon, 29 May 2023US$11.4tUS$2.0tUS$261.9b24.2x43.3x5.6x
Wed, 26 Apr 2023US$9.9tUS$2.0tUS$275.1b20.8x35.9x4.9x
Fri, 24 Mar 2023US$10.0tUS$2.0tUS$278.5b22.2x36x4.9x
Sun, 19 Feb 2023US$11.0tUS$2.3tUS$297.3b24.1x36.9x4.9x
Price to Earnings Ratio

36.9x


Total Market Cap: US$11.0tTotal Earnings: US$297.3bTotal Revenue: US$2.3tTotal Market Cap vs Earnings and Revenue0%0%0%
U.S. Tech Sector Price to Earnings3Y Average 45.3x202420252026
Current Industry PE
  • Investors are relatively neutral on the American Information Technology industry at the moment, indicating that they anticipate long term growth rates to remain steady.
  • The industry is trading close to its 3-year average PE ratio of 45.3x.
  • The 3-year average PS ratio of 7.2x 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 20% per year over the last three years.
  • Revenues for these companies have grown 5.3% 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 Market1.43%
Tech4.94%
Semiconductors9.86%
Electronic Equipment and Components8.49%
Communications8.08%
Software1.47%
IT0.71%
Tech Hardware-0.22%
Industry PE
  • Investors are most optimistic about the Semiconductors industry, which is trading close to its 3-year average PE ratio of 52.9x.
    • Analysts are expecting annual earnings growth of 24.3%, which is higher than its past year's earnings growth of 4.3% per year.
  • Investors are most pessimistic about the Software 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 24% over the next 5 years.
  • This is better than its past earnings growth rate of 4.3% 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$190.0510.6%
+US$441.5b		40.5%PE46.6x
AVGO BroadcomUS$342.7611.3%
+US$164.6b		45.0%PE70.3x
MSFT MicrosoftUS$404.372.7%
+US$79.5b		-1.5%PE25.2x
MU Micron TechnologyUS$410.348.2%
+US$34.8b		347.6%PE38.8x
AMAT Applied MaterialsUS$339.8814.2%
+US$33.6b		87.9%PE38.5x

Latest News

NOW
US$100.58
ServiceNow
7D
-9.4%
1Y
-48.8%
ORCL
US$157.16
Oracle
7D
7.2%
1Y
-8.7%
APP
US$456.81
AppLovin
7D
17.9%
1Y
20.1%
CRM
US$185.00
Salesforce
7D
-7.2%
1Y
-43.3%
MSFT
US$404.37
Microsoft
7D
2.7%
1Y
-1.5%
AAPL
US$275.50
Apple
7D
-0.4%
1Y
16.3%
AMAT
US$339.88
Applied Materials
7D
14.2%
1Y
87.9%
INTU
US$399.69
Intuit
7D
-8.1%
1Y
-31.5%
QCOM
US$141.04
QUALCOMM
7D
-5.3%
1Y
-17.2%
IBM
US$272.81
International Business Machines
7D
-5.6%
1Y
6.6%
LRCX
US$235.12
Lam Research
7D
12.1%
1Y
188.2%
NVDA
US$190.05
NVIDIA
7D
10.6%
1Y
40.5%

NVDA: AI Infrastructure Demand And Partnerships Will Sustain Market Leadership

Analysts nudged their fair value estimate for Nvidia higher from US$326.00 to about US$334.78, as they factor in expectations for stronger profit margins, a higher future P/E and recent research that highlights Nvidia's AI leadership, data center demand and supportive partner deals such as the CoreWeave agreement. Analyst Commentary Recent Street research around Nvidia has been broadly constructive, with many bullish analysts adjusting their models after company updates, product news and partner commentary.
PLTR
US$135.68
Palantir Technologies
7D
-2.8%
1Y
15.6%

Need To Know: Analysts Are Much More Bullish On Palantir Technologies Inc. (NASDAQ:PLTR)

Feb 06
Need To Know: Analysts Are Much More Bullish On Palantir Technologies Inc. (NASDAQ:PLTR)
ADBE
US$257.16
Adobe
7D
-8.1%
1Y
-44.4%

ADBE: AI Transition And Semrush Deal Will Reshape Future Cash Flows

Analysts have trimmed their fair value estimate for Adobe slightly, to about $576 per share. They cite a wave of recent downgrades and reduced price targets that reflect concerns about limited near term upside, competitive pressure in creative tools, and uncertainty over how much the current AI transition will benefit the business.
AVGO
US$342.76
Broadcom
7D
11.3%
1Y
45.0%

AVGO: AI Custom Silicon Demand Will Shape Future Earnings Power

Analysts have lifted their Broadcom fair value estimate from US$415.56 to US$535.00, citing stronger AI related revenue assumptions, slightly leaner profit margins, and a lower future P/E expectation as they recalibrate forecasts alongside a series of recent upgrades and higher price targets across the semiconductor group. Analyst Commentary Recent Street research around Broadcom has leaned constructive, with several firms revising price targets, initiating coverage, or resuming opinions that highlight the company as a key beneficiary of AI related spending and custom silicon demand.
MU
US$410.34
Micron Technology
7D
8.2%
1Y
347.6%

MU: AI Memory Shortages Will Eventually Draw New Capacity And Pressure Returns

Analysts have lifted their fair value estimate for Micron from US$249.31 to US$365.22. They point to higher assumed revenue growth, wider profit margins and a lower future P/E multiple, supported by recent price target increases and generally positive commentary around tight memory supply and AI driven demand.