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U.S. Tech Sector Analysis

UpdatedMay 09, 2026
DataAggregated Company Financials
Companies984
  • 7D6.5%
  • 3M19.9%
  • 1Y54.9%
  • YTD15.5%

The Tech industry is up 6.5% in the last week, with NVIDIA up 8.4%. In the same time, Arista Networks was down 18%. This takes the industry's 12 month performance to a gain of 55%. 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
Sun, 10 May 2026US$20.6tUS$2.8tUS$570.4b35.4x36.2x7.4x
Tue, 07 Apr 2026US$20.8tUS$2.7tUS$554.9b30x37.6x7.7x
Thu, 05 Mar 2026US$21.2tUS$2.7tUS$539.8b30.3x39.3x7.9x
Sat, 31 Jan 2026US$22.4tUS$2.6tUS$528.5b30.2x42.3x8.6x
Mon, 29 Dec 2025US$22.9tUS$2.6tUS$506.9b30.7x45.1x8.8x
Wed, 26 Nov 2025US$22.2tUS$2.6tUS$492.8b29.1x45x8.6x
Fri, 24 Oct 2025US$22.7tUS$2.5tUS$442.4b30.4x51.2x9x
Sun, 21 Sep 2025US$22.2tUS$2.5tUS$435.4b31.4x51x9x
Tue, 19 Aug 2025US$21.1tUS$2.4tUS$418.3b27.8x50.5x8.7x
Thu, 17 Jul 2025US$20.3tUS$2.4tUS$393.2b29.1x51.6x8.5x
Sat, 14 Jun 2025US$18.7tUS$2.4tUS$391.0b27.5x47.9x7.9x
Mon, 12 May 2025US$16.8tUS$2.3tUS$383.7b25.7x43.7x7.1x
Wed, 09 Apr 2025US$14.1tUS$2.3tUS$386.8b23.6x36.5x6.1x
Fri, 07 Mar 2025US$17.0tUS$2.3tUS$379.3b28.1x44.9x7.3x
Sun, 02 Feb 2025US$18.0tUS$2.3tUS$370.8b33.3x48.5x7.9x
Tue, 31 Dec 2024US$18.7tUS$2.3tUS$366.8b32x51x8.3x
Thu, 28 Nov 2024US$18.2tUS$2.2tUS$361.4b33x50.3x8.1x
Sat, 26 Oct 2024US$17.7tUS$2.2tUS$378.1b30.6x46.8x8x
Mon, 23 Sep 2024US$17.0tUS$2.2tUS$375.4b28.8x45.2x7.8x
Wed, 21 Aug 2024US$17.1tUS$2.1tUS$368.2b29.7x46.3x8x
Fri, 19 Jul 2024US$17.0tUS$2.1tUS$363.1b31.3x46.8x8x
Sun, 16 Jun 2024US$17.0tUS$2.1tUS$360.7b29.1x47.1x8x
Tue, 14 May 2024US$14.6tUS$2.0tUS$337.0b29.5x43.3x7.2x
Thu, 11 Apr 2024US$14.6tUS$2.0tUS$328.6b28.1x44.4x7.1x
Sat, 09 Mar 2024US$14.7tUS$2.0tUS$324.8b28.3x45.1x7.2x
Mon, 05 Feb 2024US$14.2tUS$2.1tUS$305.9b26.6x46.3x6.9x
Wed, 03 Jan 2024US$13.1tUS$2.1tUS$292.7b25.9x44.6x6.4x
Fri, 01 Dec 2023US$12.8tUS$2.1tUS$292.6b24.9x43.7x6.2x
Sun, 29 Oct 2023US$11.2tUS$2.0tUS$278.4b22.2x40.1x5.5x
Tue, 26 Sep 2023US$11.5tUS$2.0tUS$273.1b24.7x42.1x5.6x
Thu, 24 Aug 2023US$11.9tUS$2.0tUS$264.9b24.3x44.9x5.9x
Sat, 22 Jul 2023US$12.2tUS$2.0tUS$258.1b25.5x47.3x6x
Mon, 19 Jun 2023US$11.9tUS$2.0tUS$264.4b24.9x45.2x5.9x
Wed, 17 May 2023US$10.5tUS$2.0tUS$262.0b22.9x39.9x5.2x
Price to Earnings Ratio

39.9x


Total Market Cap: US$10.5tTotal Earnings: US$262.0bTotal Revenue: US$2.0tTotal Market Cap vs Earnings and Revenue0%0%0%
U.S. Tech Sector Price to Earnings3Y Average 45.5x202420252026
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 36.2x which is lower than its 3-year average PE of 45.5x.
  • 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 Market2.14%
Tech6.51%
Semiconductors10.49%
Tech Hardware6.00%
Software3.13%
Electronic Equipment and Components2.51%
IT-1.75%
Communications-4.87%
Industry PE
  • Investors are most optimistic about the Electronic Equipment and Components industry which is trading above its 3-year average PE ratio of 33.0x.
    • Analysts are expecting annual earnings growth of 24.2%, 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 11% 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$215.208.4%
+US$407.0b		84.5%PE43.5x
MU Micron TechnologyUS$746.8137.7%
+US$230.7b		769.8%PE34.9x
AAPL AppleUS$293.324.7%
+US$193.6b		47.7%PE35.1x
INTC IntelUS$124.9225.4%
+US$127.2b		483.2%PS11.7x
ORCL OracleUS$194.5920.6%
+US$95.5b		29.5%PE34.6x

Latest News

AAPL
US$293.32
Apple
7D
4.7%
1Y
47.7%
INTC
US$124.92
Intel
7D
25.4%
1Y
483.2%
AMAT
US$435.44
Applied Materials
7D
11.9%
1Y
179.8%
Seeking Alpha • May 09

Applied Materials: Supplying Intel Comes With Its Perks

Summary Applied Materials, Inc. is a top "picks and shovels" play in the semiconductor equipment space, benefiting from broad chip demand and recent U.S. production catalysts. AMAT stands out for its financial prudence, distributing 90% of excess free cash flow to shareholders and maintaining a robust balance sheet. With a forward P/E near 40x versus a 3-year average of 22x, AMAT stock's valuation is elevated, making pre-earnings entry risky despite strong secular tailwinds. I rate AMAT stock a Buy for long-term investors, but prefer to watch for a potential post-earnings pullback before initiating or adding to a position. Read the full article on Seeking Alpha
UI
US$926.69
Ubiquiti
7D
-8.4%
1Y
162.3%
SNDK
US$1,339.96
Sandisk
7D
22.2%
1Y
3,555.1%
AMD
US$408.46
Advanced Micro Devices
7D
15.2%
1Y
301.6%
ANET
US$141.75
Arista Networks
7D
-17.9%
1Y
62.4%
ORCL
US$194.59
Oracle
7D
20.6%
1Y
29.5%
Narrative Update • May 08

ORCL: AI Data Center Financing And Capacity Execution Will Drive Future Upside

Oracle's updated analyst price target edges slightly lower to $242.10 from $243.87, as analysts factor in modestly higher long term revenue growth and profit margins, along with a reduced future P/E multiple after a mix of recent target cuts, upgrades and reassessments following the fiscal Q3 report and subsequent share selloff. Analyst Commentary Recent Street research around Oracle clusters into two camps, with bullish analysts focusing on execution around cloud, AI and large revenue targets, and bearish analysts highlighting valuation reset, capital intensity and margin questions.
APH
US$136.62
Amphenol
7D
-7.2%
1Y
69.5%
CDW
US$110.25
CDW
7D
-19.5%
1Y
-38.8%
MU
US$746.81
Micron Technology
7D
37.7%
1Y
769.8%
MRVL
US$160.02
Marvell Technology
7D
-3.1%
1Y
177.7%
Narrative Update • May 07

MRVL: Accelerating Custom AI Silicon Supercycle and 1.6T Optical Interconnect Inflection Point Drive >50% Data Center Growth

Vestra has increased revenue growth from 21.5% to 44.9%.
AVGO
US$412.56
Broadcom
7D
-1.2%
1Y
98.6%
SHOP
US$110.41
Shopify
7D
-13.5%
1Y
20.3%
PLTR
US$137.06
Palantir Technologies
7D
-1.5%
1Y
15.0%
Seeking Alpha • May 07

Palantir's AI Control Layer Is Emerging

Summary Palantir shifts from proving AI demand to establishing itself as the operational execution layer for enterprise AI at scale. The Ontology moat strengthened through institutional dependency, while concerns shifted toward long-term orchestration control and valuation durability. Management increasingly positioned AIP as a governed orchestration layer for enterprise AI agents, not merely another software analytics platform. Valuation remains high, but PLTR's durability hinges on maintaining its orchestration moat as AI infrastructure commoditizes and competitive risks intensify. Read the full article on Seeking Alpha
NVDA
US$215.20
NVIDIA
7D
8.4%
1Y
84.5%
New Narrative • May 07

NVIDIA: The Indispensable Backbone of the AI Revolution

NVIDIA Corporation is not just another semiconductor company — it is the foundational infrastructure layer upon which the entire AI economy is being built. But even the best companies can be overbought.