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U.S. Tech Sector Analysis

UpdatedAug 21, 2026
DataAggregated Company Financials
Companies979
  • 7D-3.7%
  • 3M1.3%
  • 1Y32.3%
  • YTD21.1%

Over the last 7 days, the Tech industry has dropped 2.7%, driven by a pullback from Broadcom of 13%. In the past year, the industry has gained 34%. Looking forward, earnings are forecast to grow by 23% annually.

Sector Valuation and Performance

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

DateMarket CapRevenueEarningsPEAbsolute PEPS
Fri, 21 Aug 2026US$22.0tUS$3.0tUS$637.3b33.3x34.6x7.4x
Sun, 19 Jul 2026US$26.1tUS$2.9tUS$645.1b33.1x40.4x9x
Tue, 16 Jun 2026US$26.9tUS$2.8tUS$618.5b35.5x43.5x9.5x
Thu, 14 May 2026US$20.8tUS$2.8tUS$569.9b35x36.5x7.5x
Sat, 11 Apr 2026US$21.8tUS$2.7tUS$554.9b31.2x39.3x8.1x
Mon, 09 Mar 2026US$21.1tUS$2.7tUS$542.3b29.3x39x7.9x
Wed, 04 Feb 2026US$22.2tUS$2.6tUS$529.1b29.9x41.9x8.5x
Fri, 02 Jan 2026US$22.5tUS$2.6tUS$506.7b31.4x44.4x8.7x
Sun, 30 Nov 2025US$22.6tUS$2.6tUS$494.1b30.2x45.7x8.8x
Tue, 28 Oct 2025US$23.3tUS$2.5tUS$463.2b30.3x50.3x9.3x
Thu, 25 Sep 2025US$22.3tUS$2.5tUS$437.8b31.2x50.8x9x
Sat, 23 Aug 2025US$20.5tUS$2.4tUS$418.7b28.4x48.9x8.4x
Mon, 21 Jul 2025US$20.5tUS$2.4tUS$392.6b29.1x52.2x8.6x
Wed, 18 Jun 2025US$18.8tUS$2.4tUS$391.4b27.7x48.1x7.9x
Fri, 16 May 2025US$18.1tUS$2.4tUS$385.1b26.5x47.1x7.7x
Sun, 13 Apr 2025US$15.4tUS$2.3tUS$386.7b24.5x39.8x6.6x
Tue, 11 Mar 2025US$16.9tUS$2.3tUS$384.4b27.5x43.9x7.3x
Thu, 06 Feb 2025US$18.0tUS$2.3tUS$370.9b33.2x48.4x7.9x
Sat, 04 Jan 2025US$18.3tUS$2.3tUS$366.9b32.7x49.8x8.1x
Mon, 02 Dec 2024US$18.2tUS$2.2tUS$361.4b32.9x50.3x8.1x
Wed, 30 Oct 2024US$17.8tUS$2.2tUS$376.2b30.7x47.3x8x
Fri, 27 Sep 2024US$17.2tUS$2.2tUS$378.0b30x45.4x7.9x
Sun, 25 Aug 2024US$17.0tUS$2.1tUS$367.7b29.6x46.3x8x
Tue, 23 Jul 2024US$16.7tUS$2.1tUS$363.1b31.9x46.1x7.9x
Thu, 20 Jun 2024US$17.3tUS$2.1tUS$360.7b29.6x47.9x8.2x
Sat, 18 May 2024US$15.0tUS$2.0tUS$336.9b29.6x44.6x7.4x
Mon, 15 Apr 2024US$14.5tUS$2.0tUS$328.5b28.1x44.3x7.1x
Wed, 13 Mar 2024US$14.6tUS$2.0tUS$325.1b28.5x44.9x7.1x
Fri, 09 Feb 2024US$14.2tUS$2.0tUS$306.4b26.6x46.3x7x
Sun, 07 Jan 2024US$12.8tUS$2.1tUS$292.6b26x43.9x6.3x
Tue, 05 Dec 2023US$12.8tUS$2.1tUS$292.3b25.1x43.8x6.2x
Thu, 02 Nov 2023US$11.3tUS$2.0tUS$277.8b22.3x40.8x5.6x
Sat, 30 Sep 2023US$11.4tUS$2.0tUS$269.7b24.3x42.4x5.6x
Mon, 28 Aug 2023US$11.7tUS$2.0tUS$270.6b24.4x43.3x5.8x
Price to Earnings Ratio

43.3x


Total Market Cap: US$11.7tTotal Earnings: US$270.6bTotal 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 34.8x 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-2.09%
Tech-3.71%
Tech Hardware0.92%
Software-3.49%
Communications-4.77%
Semiconductors-5.09%
IT-6.69%
Electronic Equipment and Components-8.24%
Industry PE
  • Investors are most optimistic about the Communications industry which is trading above its 3-year average PE ratio of 36.3x.
    • Analysts are expecting annual earnings growth of 24.2%, 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 53.6x.
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
AAPL AppleUS$311.302.0%
+US$88.1b		38.4%PE35.2x
MU Micron TechnologyUS$974.292.6%
+US$27.6b		741.4%PE21.8x
MRVL Marvell TechnologyUS$251.1513.0%
+US$25.4b		252.7%PE87x
SNDK SandiskUS$1.60k4.7%
+US$6.7b		3,417.8%PE20.5x
MSTR StrategyUS$112.3815.7%
+US$5.9b		-66.7%PS86.6x

Latest News

AAPL
US$311.30
Apple
7D
2.0%
1Y
38.4%
Seeking Alpha • 3h

Apple's Immunity To Headwinds Is Fading (Rating Downgrade)

Summary Apple is downgraded to a sell rating due to unjustified valuation premiums amid deteriorating growth and margin prospects. Q3 results were robust, with 16.36% YoY revenue growth and significant margin expansion, but Q4 guidance signals deceleration and potential gross margin contraction. Cost pressures, especially in memory and components, threaten future profitability, while attempts to mitigate them via CXMT chips face political and pricing obstacles. Potential catalysts like the Alibaba AI partnership and new product launches exist, but rising risks and premium multiples outweigh the positives. Read the full article on Seeking Alpha
AMD
US$469.46
Advanced Micro Devices
7D
-8.7%
1Y
179.8%
PANW
US$349.56
Palo Alto Networks
7D
-11.7%
1Y
90.7%
AVGO
US$364.03
Broadcom
7D
-7.4%
1Y
23.8%
Seeking Alpha • 12h

Broadcom: Marvell Panic Causes A Huge Buying Opportunity

Summary Broadcom Inc. remains a prime beneficiary of the AI boom, with robust profit growth expected for years. The recent selloff following the Marvell-Alphabet deal is seen as an overreaction; the partnership does not threaten AVGO’s position or growth trajectory. AVGO’s valuation is compelling, with downside risk already priced in even under conservative growth assumptions. Even with bearish growth scenarios, AVGO offers attractive annualized returns of 12%+, with potential for much higher upside if consensus is met or exceeded. Read the full article on Seeking Alpha
MRVL
US$251.01
Marvell Technology
7D
13.1%
1Y
243.8%
MSTR
US$112.39
Strategy
7D
20.8%
1Y
-68.6%
Seeking Alpha • 17h

Strategy Doubles Down On Its Aggressive Defense Of 12.6% Yielding STRC

Summary Strategy has aggressively defended its STRC preferreds, restoring prices close to the $100 per share redemption anchor after a deep 25% discount in June. STRC now offers a 13.6% dividend yield, about 900 basis points above the 10-year Treasury, reflecting its unique risk profile. MSTR’s $63 billion liquidity wall, from USD reserves and BTC holdings, underpins ongoing STRC repurchases and dividend stability. I maintain a Hold rating on STRC on the back of its high yield and the recent defensive actions. The security is speculative, and liabilities are material. Read the full article on Seeking Alpha
INTC
US$92.13
Intel
7D
-10.1%
1Y
271.5%
Seeking Alpha • 20h

Intel: Why I Am Not Buying The Dip

Summary Intel delivered impressive second-quarter revenue growth of 25% year-over-year alongside strong gross margin expansion and doubled consensus EPS estimates today. Data Center and AI momentum surged 59% annually, benefiting from server CPU demand, higher average selling prices, and 40% margins. Shareholder dilution from pricing 210.5 million new shares, elevated capital expenditures, and ongoing foundry operating losses create near-term fundamental headwinds. Long-term structural catalysts include Intel 14A foundry customer adoption, Tesla partnerships, EMIB advanced packaging scaling, and expanding agentic CPU demand. Extreme valuation multiples compared to semiconductor peers make execution risks asymmetric, warranting a Hold rating until shares pull back significantly. Read the full article on Seeking Alpha
MU
US$974.33
Micron Technology
7D
0.3%
1Y
727.9%
ORCL
US$142.07
Oracle
7D
-9.1%
1Y
-39.1%
Narrative Update • Aug 19

ORCL: AI Infrastructure Backlog Will Test Funding Capacity And Margin Resilience

Oracle's updated analyst price target has shifted marginally lower to reflect a fair value of about $135, as analysts weigh stronger long term cloud and AI growth assumptions against higher required returns and a slightly reduced future P/E from roughly 15x to 14.9x. Analyst Commentary Recent Street research around Oracle highlights a wide spread in price targets and opinions, especially after the latest earnings update and capital plans.
MSFT
US$481.15
Microsoft
7D
-2.9%
1Y
-5.1%
Narrative Update • Aug 19

MSFT: AI Infrastructure And Custom Chips Will Sustain Premium Earnings Multiples

Microsoft's updated analyst price target framework reflects a higher fair value estimate of $717.92, with analysts pointing to the company's AI driven Azure and M365 Commercial Cloud growth, stronger profit margin assumptions, and a lower projected future P/E multiple as key supports for the change. Analyst Commentary Recent Street research shows a broadly constructive tone around Microsoft, with many bullish analysts updating price targets and reiterating confidence in the company’s AI centric cloud strategy.
SNDK
US$1,600.62
Sandisk
7D
4.7%
1Y
3,417.8%
INTU
US$361.87
Intuit
7D
4.7%
1Y
-45.4%
Narrative Update • Aug 18

INTU: AI Restructuring And Workforce Reset Will Support Future Multiple Re Rating

Intuit's analyst price target has shifted lower, with the fair value estimate moving from $488.17 to $449.20 as analysts build in slightly more conservative assumptions around growth, margins, and future P/E multiples in advance of potential guidance resets into fiscal 2027. Analyst Commentary Recent Street commentary on Intuit highlights a split view on the stock.
ADBE
US$272.22
Adobe
7D
3.1%
1Y
-24.8%
Seeking Alpha • Aug 17

Adobe: Even If It Wins With AI, The Market May Take Years To Forgive

Summary Rating downgraded to Strong Sell, even after ADBE's 30% rebound from its $192 low, because the core AI-disruption thesis remains unchanged. Q2 FY2026 results beat expectations, but full-year ARR growth guidance stayed flat at 10.2%. The freemium strategy is boosting user numbers but not revenue. Market sentiment can lag fundamentals for years—as shown by Microsoft, which took 16 years to recover its share price despite strong underlying growth. Read the full article on Seeking Alpha
NVDA
US$216.85
NVIDIA
7D
-3.8%
1Y
23.9%
New Narrative • Aug 17

NVDA Is Priced for a Decade of Growth — The Real Risk Is "How Long," Not "If"

NVIDIA posted $81.6B in Q1 FY27 revenue (+85% YoY), with the Data Center segment up 92% YoY to $75.2B. Q2 FY27 guidance ($91.0B ±2%, reporting August 26, 2026) implies sequential momentum is intact — though management explicitly excludes any Data Center compute revenue from China, a reminder that reported growth no longer includes that market.
DELL
US$434.78
Dell Technologies
7D
-12.1%
1Y
240.1%
CRM
US$205.43
Salesforce
7D
2.0%
1Y
-16.4%
Seeking Alpha • Aug 14

Salesforce: Ride The Buyback Boost

Summary Salesforce, Inc. offers a compelling dip-buying opportunity as SaaS sector sentiment rebounds and private equity eyes peers like Workday. CRM trades at just 14x forward EPS, presenting relative value versus Workday, which is attracting buyout interest at a higher multiple. Massive $27.1 billion share buybacks and a 23% net buyback yield, position CRM for significant EPS growth, despite increased debt. With FQ2 guidance for 10–11% revenue growth and robust free cash flow, the stock remains attractive below all-time highs amid AI-driven enterprise demand. Read the full article on Seeking Alpha