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U.S. Telecom Sector Analysis

UpdatedMar 06, 2026
DataAggregated Company Financials
Companies499
  • 7D0.006%
  • 3M-3.1%
  • 1Y29.9%
  • YTD-1.4%

Over the last 7 days, the Telecom industry has remained flat. The past year has been better, since the industry has gained 28% in that time. As for the next few years, earnings are expected to grow by 14% per annum.

Sector Valuation and Performance

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

DateMarket CapRevenueEarningsPEAbsolute PEPS
Fri, 06 Mar 2026US$7.7tUS$1.7tUS$271.8b17.8x28.2x4.6x
Sun, 01 Feb 2026US$8.1tUS$1.7tUS$279.2b16.7x29.1x4.9x
Tue, 30 Dec 2025US$7.8tUS$1.6tUS$282.4b16.3x27.6x4.7x
Thu, 27 Nov 2025US$7.8tUS$1.6tUS$283.1b16.5x27.5x4.7x
Sat, 25 Oct 2025US$7.3tUS$1.6tUS$295.4b17.4x24.9x4.5x
Mon, 22 Sep 2025US$7.6tUS$1.6tUS$286.1b20.4x26.7x4.7x
Wed, 20 Aug 2025US$7.1tUS$1.6tUS$286.5b19.5x24.6x4.3x
Fri, 18 Jul 2025US$6.6tUS$1.6tUS$249.6b17.9x26.4x4.1x
Sun, 15 Jun 2025US$6.4tUS$1.6tUS$250.1b17.3x25.5x4x
Tue, 13 May 2025US$5.8tUS$1.6tUS$247.3b16.9x23.6x3.7x
Thu, 10 Apr 2025US$5.3tUS$1.6tUS$227.2b15.9x23.5x3.4x
Sat, 08 Mar 2025US$6.1tUS$1.6tUS$228.0b16.3x26.6x3.8x
Mon, 03 Feb 2025US$6.6tUS$1.6tUS$209.4b19x31.4x4.2x
Wed, 01 Jan 2025US$6.1tUS$1.6tUS$189.8b18.7x32.1x3.9x
Fri, 29 Nov 2024US$5.9tUS$1.6tUS$189.7b20.2x30.9x3.7x
Sun, 27 Oct 2024US$5.6tUS$1.5tUS$180.7b18x31x3.6x
Tue, 24 Sep 2024US$5.5tUS$1.5tUS$188.2b18.1x29.2x3.6x
Thu, 22 Aug 2024US$5.4tUS$1.6tUS$189.2b19.3x28.6x3.5x
Sat, 20 Jul 2024US$5.4tUS$1.5tUS$191.7b18.2x28.1x3.5x
Mon, 17 Jun 2024US$5.4tUS$1.5tUS$191.0b16.4x28.3x3.5x
Wed, 15 May 2024US$5.2tUS$1.5tUS$193.8b18.3x26.8x3.4x
Fri, 12 Apr 2024US$5.2tUS$1.5tUS$176.0b19x29.3x3.4x
Sun, 10 Mar 2024US$4.9tUS$1.5tUS$173.8b16.7x27.9x3.2x
Tue, 06 Feb 2024US$4.8tUS$1.5tUS$158.6b14.5x30.5x3.2x
Thu, 04 Jan 2024US$4.6tUS$1.5tUS$128.1b15.9x35.8x3x
Sat, 02 Dec 2023US$4.4tUS$1.5tUS$128.0b16.4x34.6x2.9x
Mon, 30 Oct 2023US$4.0tUS$1.5tUS$126.0b12.5x31.9x2.7x
Wed, 27 Sep 2023US$4.2tUS$1.5tUS$104.7b13.8x39.8x2.8x
Fri, 25 Aug 2023US$4.2tUS$1.5tUS$103.5b13.5x40.3x2.8x
Sun, 23 Jul 2023US$4.2tUS$1.5tUS$107.2b14.9x38.8x2.8x
Tue, 20 Jun 2023US$4.2tUS$1.5tUS$107.1b17.4x38.7x2.8x
Thu, 18 May 2023US$4.0tUS$1.5tUS$106.9b16.4x37x2.7x
Sat, 15 Apr 2023US$3.9tUS$1.5tUS$115.8b16.7x33.3x2.6x
Mon, 13 Mar 2023US$3.4tUS$1.5tUS$115.0b17.8x29.5x2.3x
Price to Earnings Ratio

29.5x


Total Market Cap: US$3.4tTotal Earnings: US$115.0bTotal Revenue: US$1.5tTotal Market Cap vs Earnings and Revenue0%0%0%
U.S. Telecom Sector Price to Earnings3Y Average 30.5x202420252026
Current Industry PE
  • Investors are relatively neutral on the American Communication Services 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 30.5x.
  • The 3-year average PS ratio of 3.6x is lower than the industry's current PS ratio of 4.5x.
Past Earnings Growth
  • The earnings for companies in the Communication Services industry have grown 33% per year over the last three years.
  • Revenues for these companies have grown 4.3% 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. Telecom sector?

US Market-1.24%
Telecom0.0058%
Telecom Services and Carriers4.71%
Media3.71%
Wireless Telecom3.16%
Entertainment0.75%
Interactive Media and Services-0.92%
Industry PE
  • Investors are most optimistic about the Entertainment industry which is trading above its 3-year average PE ratio.
    • Analysts are expecting annual earnings growth of 19.1%, which is higher than its past year's earnings decline of 3.6% per year.
Forecasted Growth
  • Analysts are most optimistic on the Media industry, expecting annual earnings growth of 31% over the next 5 years.
  • This is better than its past earnings decline of 2.8% per year.
  • In contrast, the Telecom Services and Carriers industry is expected to see its earnings grow by 4.6% 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
META Meta PlatformsUS$660.571.9%
+US$31.3b		5.6%PE27.6x
NFLX NetflixUS$99.173.0%
+US$12.4b		11.3%PE38.1x
SPOT Spotify TechnologyUS$552.1211.4%
+US$11.6b		1.6%PE44.3x
T AT&TUS$28.975.5%
+US$10.6b		8.4%PE9.3x
VZ Verizon CommunicationsUS$51.184.7%
+US$9.7b		15.7%PE12.6x

Latest News

BILI
US$25.55
Bilibili
7D
-10.3%
1Y
14.7%
RBLX
US$66.08
Roblox
7D
-7.5%
1Y
12.8%
ASTS
US$93.86
AST SpaceMobile
7D
9.4%
1Y
191.7%
SPOT
US$552.12
Spotify Technology
7D
11.4%
1Y
1.6%
CMCSA
US$31.60
Comcast
7D
2.4%
1Y
-12.9%

CMCSA: Future Returns Will Be Pressured By Rising Fiber Competition

Narrative Update The analyst price target for Comcast has edged lower, with fair value moving from about $23.85 to $23.70 as analysts factor in increased fiber competition, adjustments for the Versant spin off, and a series of reduced price targets from several firms partly offset by one modest upward revision. Analyst Commentary Recent research on Comcast has leaned more cautious, with several bearish analysts either cutting price targets or shifting to more negative stock ratings.
GOOGL
US$300.88
Alphabet
7D
-2.1%
1Y
74.6%
DIS
US$102.41
Walt Disney
7D
-3.0%
1Y
-2.9%

DIS: IP Strength And Leadership Transition Will Shape Future Share Repricing

Our Walt Disney narrative remains anchored to a fair value of $130.57. The updated inputs reflect a modestly higher discount rate and slightly firmer revenue growth, profit margin, and future P/E assumptions that line up with recent analyst price target revisions and their focus on the company’s intellectual property strength and early fiscal year performance.
NFLX
US$99.17
Netflix
7D
3.0%
1Y
11.3%

Netflix was right to decline in raising their offer for Warner Brothers

I think everyone who is invested in the American stock market has their eyes on Netflix as of late. Especially after the company declined to raise their offer for Warner Brothers in their bidding war against Paramount Skydance.
WBD
US$28.00
Warner Bros. Discovery
7D
-2.8%
1Y
161.7%
BIDU
US$117.93
Baidu
7D
-5.8%
1Y
26.3%

BIDU: Chip Spinoff And AI Scale Are Expected To Reprice Shares

Analysts have raised their Baidu price targets by a few dollars, citing support from increasing Street targets related to the proposed Kunlun Chip spinoff and expectations for steadier long term profitability that, in their view, support a slightly higher future P/E of around 25x. Analyst Commentary Bullish Takeaways Bullish analysts point to the proposed Kunlun Chip spinoff as a key reason for higher valuation, with one large bank explicitly tying a US$180 target to this business being valued more fully on a standalone basis.
T
US$28.97
AT&T
7D
5.5%
1Y
8.4%

T: Cloud Partnerships And Buybacks Will Shape Balanced Return Potential

Analysts have nudged their price target narrative on AT&T slightly higher to about $29.41, reflecting updated assumptions for discount rate, fair value and future P/E that fine-tune rather than overhaul the prior view. What's in the News AT&T, Amazon Web Services and Amazon Leo are working together to combine AT&T’s fiber network with AWS cloud and AI tools, including migrating AT&T workloads to AWS Outposts and connecting AWS data centers with high capacity fiber, while Amazon Leo will provide satellite based connectivity for fixed broadband services in harder to serve areas (Key Developments).
TMUS
US$220.54
T-Mobile US
7D
3.5%
1Y
-16.1%

TMUS: Long Term Service And EBITDA Guidance Will Drive Future Upside

T-Mobile US's updated analyst price target edges up by $0.22, as analysts highlight sector leading long term service revenue and core adjusted EBITDA guidance, along with a continued focus on higher margin wireless and spectrum assets. Analyst Commentary Recent research on T-Mobile US highlights a mix of optimism around long term growth targets and some recalibration of price targets as analysts reassess sector conditions ahead of upcoming results.
VZ
US$51.18
Verizon Communications
7D
4.7%
1Y
15.7%
RDDT
US$144.34
Reddit
7D
-4.6%
1Y
-4.2%
META
US$660.57
Meta Platforms
7D
1.9%
1Y
5.6%

META: AI Data Center Spend And Regulatory Pressures Will Shape Balanced Return Prospects

The updated analyst price target for Meta Platforms is $722.91. Analysts broadly attribute this to expectations of stronger revenue growth and higher profit margin assumptions, partly offset by a lower future P/E multiple and a slightly higher discount rate.
TME
US$13.47
Tencent Music Entertainment Group
7D
-8.6%
1Y
1.1%

TME: Core Paying Users Will Support Future Recovery From Competitive Concerns

Analysts have made a small upward adjustment to their fair value estimate for Tencent Music Entertainment Group to $30.90 from $30.26, reflecting updated views on revenue growth, profit margins, and future P/E after recent research that kept a Neutral stance and highlighted steady user-paying fundamentals despite competitive noise from Bytedance's Soda Music. Analyst Commentary Recent commentary from bullish analysts has centered on how Tencent Music Entertainment Group's core business model and user-paying proposition remain intact, even as competition from Bytedance's Soda Music attracts attention.