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U.S. Tech Sector Analysis

UpdatedFeb 03, 2026
DataAggregated Company Financials
Companies985
  • 7D-1.8%
  • 3M-5.7%
  • 1Y23.1%
  • YTD-1.9%

Over the last 7 days, the Tech industry has dropped 1.8%, driven by Microsoft declining 10.0%. Over the past 12 months, the industry was up 23%. As for the next few years, earnings are expected to grow by 19% per annum.

Sector Valuation and Performance

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

DateMarket CapRevenueEarningsPEAbsolute PEPS
Tue, 03 Feb 2026US$22.3tUS$2.6tUS$528.4b30.3x42.1x8.5x
Thu, 01 Jan 2026US$22.7tUS$2.6tUS$506.8b31x44.8x8.8x
Sat, 29 Nov 2025US$22.6tUS$2.6tUS$494.1b30.2x45.7x8.8x
Mon, 27 Oct 2025US$23.3tUS$2.5tUS$463.2b30.7x50.2x9.3x
Wed, 24 Sep 2025US$22.6tUS$2.5tUS$435.4b31.8x51.8x9.2x
Fri, 22 Aug 2025US$20.6tUS$2.4tUS$418.1b27.2x49.2x8.5x
Sun, 20 Jul 2025US$20.5tUS$2.4tUS$392.6b29.1x52.2x8.6x
Tue, 17 Jun 2025US$18.6tUS$2.4tUS$391.0b27.9x47.5x7.8x
Thu, 15 May 2025US$18.0tUS$2.4tUS$384.0b27x46.8x7.6x
Sat, 12 Apr 2025US$15.0tUS$2.3tUS$386.7b24.5x38.9x6.5x
Mon, 10 Mar 2025US$16.9tUS$2.3tUS$384.4b28.1x44x7.3x
Wed, 05 Feb 2025US$17.7tUS$2.3tUS$371.0b33x47.7x7.7x
Fri, 03 Jan 2025US$18.3tUS$2.3tUS$366.8b31.9x49.9x8.1x
Sun, 01 Dec 2024US$18.2tUS$2.2tUS$361.4b32.9x50.3x8.1x
Tue, 29 Oct 2024US$17.8tUS$2.2tUS$377.9b30.4x47.1x8x
Thu, 26 Sep 2024US$17.1tUS$2.2tUS$375.4b28.9x45.5x7.9x
Sat, 24 Aug 2024US$16.9tUS$2.1tUS$367.4b29.6x45.9x7.9x
Mon, 22 Jul 2024US$16.7tUS$2.1tUS$363.1b30.7x46x7.9x
Wed, 19 Jun 2024US$17.2tUS$2.1tUS$360.7b29.5x47.6x8.1x
Fri, 17 May 2024US$15.0tUS$2.0tUS$336.2b29.7x44.7x7.4x
Sun, 14 Apr 2024US$14.8tUS$2.0tUS$328.5b28x45.1x7.2x
Tue, 12 Mar 2024US$14.6tUS$2.0tUS$325.0b28.3x44.9x7.1x
Thu, 08 Feb 2024US$14.0tUS$2.0tUS$306.8b26x45.5x6.9x
Sat, 06 Jan 2024US$12.8tUS$2.1tUS$292.6b26x43.8x6.2x
Mon, 04 Dec 2023US$12.8tUS$2.1tUS$292.3b25.4x43.8x6.2x
Wed, 01 Nov 2023US$11.3tUS$2.0tUS$277.5b22.7x40.9x5.6x
Fri, 29 Sep 2023US$11.4tUS$2.0tUS$269.7b24.5x42.4x5.6x
Sun, 27 Aug 2023US$11.7tUS$2.0tUS$270.6b24.4x43.3x5.8x
Tue, 25 Jul 2023US$12.2tUS$2.0tUS$258.1b25.4x47.4x6x
Thu, 22 Jun 2023US$11.7tUS$2.0tUS$264.4b24.7x44.3x5.8x
Sat, 20 May 2023US$10.8tUS$2.0tUS$260.9b23.4x41.4x5.3x
Mon, 17 Apr 2023US$10.2tUS$2.0tUS$274.9b22.6x37.2x5x
Wed, 15 Mar 2023US$10.8tUS$2.3tUS$298.6b22.1x36.1x4.7x
Fri, 10 Feb 2023US$11.1tUS$2.2tUS$314.2b24x35.2x4.9x
Price to Earnings Ratio

35.2x


Total Market Cap: US$11.1tTotal Earnings: US$314.2bTotal Revenue: US$2.2tTotal Market Cap vs Earnings and Revenue0%0%0%
U.S. Tech Sector Price to Earnings3Y Average 45.2x202420252026
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 42.1x which is lower than its 3-year average PE of 45.2x.
  • The 3-year average PS ratio of 7.2x is lower than the industry's current PS ratio of 8.5x.
Past Earnings Growth
  • The earnings for companies in the Information Technology industry have grown 19% per year over the last three years.
  • Revenues for these companies have grown 5.1% 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-0.35%
Tech-1.75%
Tech Hardware5.21%
Communications2.93%
Electronic Equipment and Components1.44%
Semiconductors0.54%
IT-2.02%
Software-9.83%
Industry PE
  • Investors are most optimistic about the Semiconductors industry, which is trading close to its 3-year average PE ratio of 52.7x.
    • Analysts are expecting annual earnings growth of 24.4%, which is higher than its past year's earnings growth of 4.9% per year.
  • Investors are most pessimistic about the Software industry, which is trading below its 3-year average of 54.6x.
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 growth rate of 4.9% per year.
  • In contrast, the Tech Hardware industry is expected to see its earnings grow by 9.6% 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$270.014.5%
+US$168.0b		16.0%PE33.7x
MU Micron TechnologyUS$437.806.7%
+US$31.0b		382.9%PE41.4x
SNDK SandiskUS$665.2441.3%
+US$29.2b		n/aPS11x
TXN Texas InstrumentsUS$225.0114.5%
+US$25.5b		24.4%PE40.8x
INTC IntelUS$48.8111.1%
+US$24.4b		153.0%PS4.6x

Latest News

PLTR
US$147.76
Palantir Technologies
7D
-10.8%
1Y
42.3%
ORCL
US$160.06
Oracle
7D
-12.3%
1Y
-5.1%
INTC
US$48.81
Intel
7D
11.1%
1Y
153.0%

INTC: AI And Foundry Partnerships Will Test Elevated Future P E Assumptions

Intel's updated analyst price target has moved higher to US$46.97 from US$38.14, as analysts balance a higher assumed future P/E with slightly lower revenue growth and profit margin inputs, alongside a modestly reduced discount rate and a series of recent target increases across the Street, which are offset by a handful of small cuts. Analyst Commentary Beneath the headline move in the average price target, research updates over the past few weeks show a mix of optimism and caution on Intel, with most recent changes skewing toward higher targets but several firms still urging patience on execution and valuation.
TXN
US$225.01
Texas Instruments
7D
14.5%
1Y
24.4%

TXN: Richer P E Framework Will Test 30% Margin Assumptions

Analysts have raised their price target framework for Texas Instruments to $160.00 from $141.27, reflecting updated assumptions for slightly higher revenue growth, a modestly richer future P/E multiple, and a profit margin outlook that now centers closer to 30%. Analyst Commentary Recent Street research on Texas Instruments has been active, with several firms revisiting their models and resetting price targets.
KLAC
US$1,410.45
KLA
7D
-8.6%
1Y
90.5%

KLAC: AI And DRAM Upswing Will Eventually Expose Rich P E Risk

Analysts have lifted their fair value estimate for KLA to US$1,280 from about US$1,083, citing stronger modeled revenue growth, expectations for a higher future P/E and ongoing support from a broad series of recent price target increases across Wall Street research. Analyst Commentary Recent Street research on KLA has been active, with a wide range of price target changes and a mix of upbeat and more guarded opinions.
MU
US$437.80
Micron Technology
7D
6.7%
1Y
382.9%

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.
IBM
US$314.73
International Business Machines
7D
6.2%
1Y
20.7%
MSFT
US$423.37
Microsoft
7D
-10.0%
1Y
3.0%
NOW
US$118.00
ServiceNow
7D
-13.5%
1Y
-42.2%
SNDK
US$665.24
Sandisk
7D
41.3%
1Y
n/a
STX
US$432.95
Seagate Technology Holdings
7D
20.8%
1Y
363.1%
AAPL
US$270.01
Apple
7D
4.5%
1Y
16.0%
INTU
US$487.12
Intuit
7D
-13.3%
1Y
-18.9%
APP
US$483.00
AppLovin
7D
-9.8%
1Y
32.2%
LRCX
US$237.50
Lam Research
7D
6.6%
1Y
196.2%
NVDA
US$185.61
NVIDIA
7D
-0.5%
1Y
59.1%