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

U.S. Tech Sector Analysis

UpdatedAug 27, 2026
DataAggregated Company Financials
Companies986
  • 7D-0.8%
  • 3M-2.9%
  • 1Y28.7%
  • YTD20.6%

Over the last 7 days, the Tech industry has remained flat, although notably NVIDIA gained 5.1%. The past year has been better, since the industry has gained 29% in that time. Earnings are forecast to grow by 22% annually.

Sector Valuation and Performance

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

DateMarket CapRevenueEarningsPEAbsolute PEPS
Fri, 28 Aug 2026US$21.9tUS$3.0tUS$638.7b34.2x34.2x7.3x
Sun, 26 Jul 2026US$21.1tUS$2.9tUS$637.7b33.1x33x7.3x
Tue, 23 Jun 2026US$22.7tUS$2.8tUS$618.6b33.6x36.7x8x
Thu, 21 May 2026US$20.6tUS$2.8tUS$570.9b34.3x36.2x7.4x
Sat, 18 Apr 2026US$23.3tUS$2.7tUS$550.6b32.9x42.3x8.6x
Mon, 16 Mar 2026US$21.0tUS$2.7tUS$542.8b30.6x38.7x7.8x
Wed, 11 Feb 2026US$22.1tUS$2.6tUS$516.8b30.3x42.7x8.4x
Fri, 09 Jan 2026US$22.6tUS$2.6tUS$506.9b31.8x44.7x8.8x
Sun, 07 Dec 2025US$23.0tUS$2.6tUS$496.4b31.2x46.2x8.9x
Tue, 04 Nov 2025US$23.9tUS$2.5tUS$481.9b30.4x49.5x9.4x
Thu, 02 Oct 2025US$22.5tUS$2.5tUS$438.2b31.8x51.3x9.1x
Sat, 30 Aug 2025US$21.0tUS$2.5tUS$429.2b28.4x49x8.6x
Mon, 28 Jul 2025US$20.6tUS$2.4tUS$392.9b28.3x52.5x8.6x
Wed, 25 Jun 2025US$19.2tUS$2.4tUS$391.7b28.3x49.1x8.1x
Fri, 23 May 2025US$17.7tUS$2.4tUS$385.3b26.7x46x7.5x
Sun, 20 Apr 2025US$14.9tUS$2.3tUS$386.6b24.6x38.5x6.4x
Tue, 18 Mar 2025US$16.6tUS$2.3tUS$386.3b26.9x42.9x7.1x
Thu, 13 Feb 2025US$18.4tUS$2.3tUS$370.6b32.7x49.7x8x
Sat, 11 Jan 2025US$18.4tUS$2.3tUS$367.3b32.6x50.2x8.1x
Mon, 09 Dec 2024US$18.8tUS$2.3tUS$362.4b33.4x52x8.4x
Wed, 06 Nov 2024US$17.2tUS$2.2tUS$353.5b30.2x48.7x7.7x
Fri, 04 Oct 2024US$17.0tUS$2.2tUS$378.1b29.1x44.9x7.8x
Sun, 01 Sep 2024US$16.8tUS$2.2tUS$378.3b29.6x44.4x7.8x
Tue, 30 Jul 2024US$16.3tUS$2.1tUS$361.7b31.2x45.2x7.7x
Thu, 27 Jun 2024US$16.8tUS$2.1tUS$360.6b29.8x46.6x8x
Sat, 25 May 2024US$15.2tUS$2.1tUS$349.8b30.4x43.5x7.4x
Mon, 22 Apr 2024US$13.5tUS$2.0tUS$328.6b28x41x6.6x
Wed, 20 Mar 2024US$14.6tUS$2.0tUS$325.3b27.3x45x7.2x
Fri, 16 Feb 2024US$14.4tUS$2.0tUS$310.1b27.2x46.4x7.1x
Sun, 14 Jan 2024US$13.4tUS$2.0tUS$292.0b26x46x6.5x
Tue, 12 Dec 2023US$13.0tUS$2.1tUS$293.3b25.3x44.2x6.3x
Thu, 09 Nov 2023US$12.1tUS$2.0tUS$279.6b22.6x43.2x5.9x
Sat, 07 Oct 2023US$11.8tUS$2.0tUS$269.9b24.3x43.6x5.8x
Mon, 04 Sep 2023US$12.3tUS$2.0tUS$272.5b24.7x45x6x
Price to Earnings Ratio

45x


Total Market Cap: US$12.3tTotal Earnings: US$272.5bTotal Revenue: US$2.0tTotal Market Cap vs Earnings and Revenue0%0%0%
U.S. Tech Sector Price to Earnings3Y Average 44.8x202420252026
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 44.8x.
  • 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 33% 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 Market-0.42%
Tech-0.84%
Communications3.75%
Software1.62%
Electronic Equipment and Components0.68%
Tech Hardware-0.95%
IT-1.43%
Semiconductors-2.54%
Industry PE
  • Investors are most optimistic about the Communications industry which is trading above its 3-year average PE ratio of 36.5x.
    • Analysts are expecting annual earnings growth of 24.5%, which is higher than its past year's earnings growth of 14.3% per year.
  • Investors are most pessimistic about the Semiconductors industry, which is trading below its 3-year average of 53.4x.
Forecasted Growth
  • Analysts are most optimistic on the Semiconductors industry, expecting annual earnings growth of 29% 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 9.7% 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$227.985.1%
+US$252.8b		26.5%PE28.5x
MSFT MicrosoftUS$505.064.5%
+US$162.0b		-0.3%PE28x
AAPL AppleUS$314.581.1%
+US$47.9b		35.3%PE35.6x
CRWD CrowdStrike HoldingsUS$227.9619.8%
+US$38.3b		106.3%PE5158.8x
CRM SalesforceUS$252.0522.7%
+US$38.2b		-1.0%PE21.4x

Latest News

CRM
US$252.05
Salesforce
7D
22.7%
1Y
-1.0%
CRWD
US$227.96
CrowdStrike Holdings
7D
19.8%
1Y
106.3%
P
US$99.24
Everpure
7D
-9.8%
1Y
23.2%
MU
US$933.90
Micron Technology
7D
-4.1%
1Y
665.5%
Narrative Update • Aug 26

MU: AI Memory Supercycle Will Eventually Face Contract And Supply Saturation Risk

Micron Technology's analyst fair value estimate has been raised by about $81 to roughly $844 as analysts factor in stronger modeled revenue growth, slightly higher profit margins, and a richer future P/E based on recent research that highlights tight memory supply, long term customer agreements, and continued AI related demand for DRAM and NAND. Analyst Commentary Recent Street research on Micron Technology points to a generally constructive view on the stock, but with a wide spread in fair value estimates and a growing focus on how current conditions in memory pricing and AI driven demand translate into sustainable earnings power.
NVDA
US$227.98
NVIDIA
7D
5.1%
1Y
26.5%
New Narrative • Aug 26

NVDA | Nvidia Corporation: What They Said vs. What They Did

TheGapReport: NVIDIA Corporation (NVDA) Q2 2027 (may 20 - aug 26) NVIDIA's Q2 fiscal 2027 results, arrived with a structural admission that management had not offered 90 days earlier: supply is now the binding constraint on the company's growth, not demand, not product readiness, not market development. The $96 billion quarter — record revenue, fourth consecutive year-over-year acceleration — lands differently when the accompanying FY2028 guide of approximately 70% growth is immediately qualified as supply-constrained, with unconstrained demand running "a lot higher." ✅ Delivered Vera Rubin Launch — Production and Ramp In May, Colette Kress said Vera Rubin production shipments would commence in the second half of fiscal 2027, starting in Q3.
MSFT
US$504.91
Microsoft
7D
4.9%
1Y
-0.9%
AMAT
US$482.36
Applied Materials
7D
-2.8%
1Y
191.9%
AVGO
US$371.54
Broadcom
7D
2.1%
1Y
20.4%
Seeking Alpha • Aug 26

Broadcom Is The New Nvidia, And That's The Problem

Summary Broadcom Inc. shares are roughly flat year-to-date, and we don't expect things to turn for the better anytime soon. AVGO stock is caught in a similar situation to Nvidia, holding 70% of the ASIC market and now needing to fend off the growing competition or lose share. This means cutting price to remain competitive or losing market share as hyperscalers increasingly multi-source custom AI ASICs, which Google has already exemplified well. AVGO shares are down 15% since our sell call, and we don't think it's time to step back, as "all roads leading to ASIC" is no longer synonymous with just Broadcom. Read the full article on Seeking Alpha
ORCL
US$151.94
Oracle
7D
6.9%
1Y
-36.8%
Seeking Alpha • Aug 26

Oracle: Why I Am Staying Strong After Q4 2026

Summary I reiterate a Strong Buy on Oracle Corporation with a $185 price target, driven by robust Q4 2026 results and accelerating AI infrastructure momentum. The $638 billion RPO looks more credible than it did eight months ago. The majority of incremental Q4 RPO also came through customer prepayments or bring-your-own-hardware structures. 2027 could mark a major growth inflection. Forward revenue growth of 31.54% is about 151% above the sector median, which tells me ORCL's growth profile is moving well beyond it. The valuation gives me room to stay aggressive. Using a 23x multiple on 2027 non-GAAP EPS guidance of $8.05 gives me a $185 price target. The AI infrastructure thesis is getting stronger. ORCL is adding close to another 1 GW of data center capacity in Q1 2027, which should support another step-up in OCI revenue. Read the full article on Seeking Alpha
CBRS
US$186.67
Cerebras Systems
7D
-11.0%
1Y
n/a
Seeking Alpha • Aug 26

Sizing Up Cerebras Systems: Why Its Latency Moat Makes It A Buy For Aggressive Growth Investors

Summary Cerebras targets dominance in AI inference with its CS-4 chip and unique wafer-scale architecture, aiming to capture latency-sensitive workloads. Gross margin expansion, data center buildout, and core operating margin improvement are essential for CBRS to achieve GAAP profitability and justify its premium valuation. Major risks include Nvidia’s entrenched ecosystem, manufacturing yield challenges, and limited competitiveness in applications requiring large KV caches. CBRS is rated a buy for aggressive growth investors due to its rapid cloud revenue growth, architectural advantages, and potential to scale recurring high-margin services. Read the full article on Seeking Alpha
AAPL
US$314.58
Apple
7D
1.1%
1Y
35.3%
INTU
US$348.00
Intuit
7D
-3.8%
1Y
-47.9%
New Narrative • Aug 26

Intuit’s Big Bets Are Working — and the Market Is Still Pricing the Old Story

Intuit just closed fiscal 2026 (ended 31 July) with $21.4 billion in revenue, up 14%. GAAP and non-GAAP diluted EPS both rose 20%.
MRVL
US$241.45
Marvell Technology
7D
-3.8%
1Y
212.6%
Seeking Alpha • Aug 25

Marvell Technology: Strong Buy After A 23% Selloff

Summary Marvell Technology remains a strong buy, with a new price target of $435, indicating 90% upside despite recent share price volatility. MRVL is expected to deliver robust revenue and EPS growth, with consensus projecting 35% revenue growth and 39% EPS growth for Q2 FY27. Long-term growth is underpinned by accelerating demand for high-speed optical connectivity and custom silicon, supporting sustained 40%-45% annual growth through FY29. Margins may face short-term pressure from product mix and ramp-up, but free cash flow and shareholder returns are set to increase substantially in coming years. Read the full article on Seeking Alpha
KLAC
US$183.77
KLA
7D
-1.1%
1Y
105.6%
Seeking Alpha • Aug 25

KLA Corporation: Buy The 2027+ Double Tailwind

Summary KLA Corporation is rated 'Buy' after a sharp selloff, with fundamentals and 2027 outlook improving despite high market expectations. KLAC delivered record Q4 revenue of $3.66B (+15.2% Y/Y) and strong free cash flow, supporting robust buybacks and dividend growth. Management projects 2027 as an inflection year, driven by 1D DRAM/1.4nm process intensity and easing memory cost headwinds. KLAC trades at ~32x forward P/E, with FY2027E revenue/EPS growth rates of ~33%/~45%, and benefits from industry-wide WFE growth. Read the full article on Seeking Alpha
SNDK
US$1,484.95
Sandisk
7D
-7.2%
1Y
2,819.1%
Seeking Alpha • Aug 24

Why Sandisk? Cyclicality Is Not The Only Open Question

Summary Two-thirds of Sandisk's impressive sequential revenue growth came from Pricing, only one-third from volume. One key question is, therefore, sustainability beyond the current rush driven by AI datacenter buildout. More notably, however, SNDK's growth projections closely track the overall flash storage market, with no expected market share gains. Given industry-wide drivers, rather than idiosyncratic ones, a Memory or Storage ETF might be preferable to single-stock exposure. Read the full article on Seeking Alpha
PLTR
US$185.93
Palantir Technologies
7D
6.9%
1Y
17.6%