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U.S. Telecom Sector Analysis

UpdatedJul 24, 2026
DataAggregated Company Financials
Companies479
  • 7D-8.9%
  • 3M-9.1%
  • 1Y11.8%
  • YTD-9.5%

Over the last 7 days, the Telecom industry has dropped 8.9%, driven by a pullback from Alphabet of 10%. In the past year, the industry has gained 12%. Looking forward, earnings are forecast to grow by 17% annually.

Sector Valuation and Performance

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

DateMarket CapRevenueEarningsPEAbsolute PEPS
Fri, 24 Jul 2026US$9.3tUS$1.8tUS$385.1b17.6x24x5.2x
Sun, 21 Jun 2026US$10.4tUS$1.7tUS$300.7b18x34.6x6x
Tue, 19 May 2026US$8.4tUS$1.7tUS$308.0b16.2x27.4x4.9x
Thu, 16 Apr 2026US$7.9tUS$1.7tUS$272.3b16x29.1x4.7x
Sat, 14 Mar 2026US$7.5tUS$1.7tUS$272.5b18.1x27.6x4.5x
Mon, 09 Feb 2026US$7.8tUS$1.7tUS$283.2b16.1x27.4x4.6x
Wed, 07 Jan 2026US$7.8tUS$1.6tUS$282.6b16.5x27.7x4.8x
Fri, 05 Dec 2025US$7.8tUS$1.6tUS$281.1b16.4x27.7x4.7x
Sun, 02 Nov 2025US$7.4tUS$1.6tUS$296.2b17.8x25.1x4.5x
Tue, 30 Sep 2025US$7.4tUS$1.6tUS$286.1b20.9x26x4.6x
Thu, 28 Aug 2025US$7.1tUS$1.6tUS$287.3b21.2x24.6x4.3x
Sat, 26 Jul 2025US$6.7tUS$1.6tUS$256.7b18.9x26.3x4.2x
Mon, 23 Jun 2025US$6.3tUS$1.6tUS$250.2b16.8x25.1x3.9x
Wed, 21 May 2025US$6.2tUS$1.6tUS$247.7b17.2x24.9x3.8x
Fri, 18 Apr 2025US$5.3tUS$1.6tUS$227.2b16x23.5x3.4x
Sun, 16 Mar 2025US$5.9tUS$1.6tUS$228.4b15.5x25.7x3.7x
Tue, 11 Feb 2025US$6.5tUS$1.6tUS$218.8b19.3x29.6x4.1x
Thu, 09 Jan 2025US$6.2tUS$1.6tUS$189.8b19.2x32.6x3.9x
Sat, 07 Dec 2024US$6.1tUS$1.6tUS$189.5b18.8x31.9x3.8x
Mon, 04 Nov 2024US$5.7tUS$1.6tUS$188.0b17.9x30.2x3.6x
Wed, 02 Oct 2024US$5.6tUS$1.5tUS$188.3b18.8x29.9x3.6x
Fri, 30 Aug 2024US$5.3tUS$1.6tUS$189.1b18.8x28.2x3.4x
Sun, 28 Jul 2024US$5.2tUS$1.5tUS$197.1b20.6x26.3x3.4x
Tue, 25 Jun 2024US$5.4tUS$1.5tUS$191.1b16.5x28.4x3.6x
Thu, 23 May 2024US$5.3tUS$1.5tUS$191.3b17.5x27.8x3.5x
Sat, 20 Apr 2024US$5.1tUS$1.5tUS$176.3b17.6x28.7x3.4x
Mon, 18 Mar 2024US$4.9tUS$1.5tUS$175.5b18.1x27.7x3.2x
Wed, 14 Feb 2024US$4.8tUS$1.5tUS$172.3b14.5x28x3.2x
Fri, 12 Jan 2024US$4.7tUS$1.5tUS$128.1b15.1x36.6x3.1x
Sun, 10 Dec 2023US$4.5tUS$1.5tUS$128.1b16.6x34.8x2.9x
Tue, 07 Nov 2023US$4.3tUS$1.5tUS$122.9b13.1x34.9x2.8x
Thu, 05 Oct 2023US$4.3tUS$1.5tUS$104.7b13.9x40.8x2.8x
Sat, 02 Sep 2023US$4.3tUS$1.5tUS$104.5b14.5x41.4x2.9x
Mon, 31 Jul 2023US$4.4tUS$1.5tUS$110.7b15.9x39.8x2.9x
Price to Earnings Ratio

39.8x


Total Market Cap: US$4.4tTotal Earnings: US$110.7bTotal Revenue: US$1.5tTotal Market Cap vs Earnings and Revenue0%0%0%
U.S. Telecom Sector Price to Earnings3Y Average 29.7x202420252026
Current Industry PE
  • Investors are pessimistic on the American Communication Services 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 24.0x which is lower than its 3-year average PE of 29.7x.
  • The 3-year average PS ratio of 3.9x is lower than the industry's current PS ratio of 5.2x.
Past Earnings Growth
  • The earnings for companies in the Communication Services industry have grown 52% per year over the last three years.
  • Revenues for these companies have grown 5.6% 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-1.98%
Telecom-8.87%
Entertainment-5.31%
Media-5.35%
Telecom Services and Carriers-7.60%
Interactive Media and Services-9.87%
Wireless Telecom-10.19%
Industry PE
  • Investors are most optimistic about the Telecom Services and Carriers industry which is trading above its 3-year average PE ratio of 1.3x.
    • Analysts are expecting annual earnings growth of 49.0%, which is higher than its past year's earnings decline of 9.7% per year.
Forecasted Growth
  • Analysts are most optimistic on the Telecom Services and Carriers industry, expecting annual earnings growth of 49% over the next 5 years.
  • This is better than its past earnings decline of 9.7% per year.
  • In contrast, the Interactive Media and Services industry is expected to see its earnings grow by 5.0% 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
T AT&TUS$22.964.5%
+US$5.2b		-17.8%PE7.4x
ASTS AST SpaceMobileUS$59.187.6%
+US$1.2b		-1.5%PS208.2x
CNK Cinemark HoldingsUS$32.699.5%
+US$328.2m		12.8%PE22.4x
EA Electronic ArtsUS$209.000.6%
+US$290.9m		36.9%PE59.1x
IMAX IMAXUS$43.9612.8%
+US$274.5m		55.4%PE65.8x

Latest News

GOOGL
US$317.69
Alphabet
7D
-10.4%
1Y
65.3%
CMCSA
US$21.92
Comcast
7D
-7.9%
1Y
-34.9%
META
US$606.10
Meta Platforms
7D
-8.8%
1Y
-15.2%
TMUS
US$170.42
T-Mobile US
7D
-11.6%
1Y
-31.1%
Seeking Alpha • 22h

T-Mobile: Market Reaction Over-Stated, Strong Earnings Keep Me At Buy

Summary T-Mobile (TMUS) delivered a strong Q2 earnings report, beating on postpaid net adds and net income, and raising free cash flow guidance. TMUS faces investor concerns over forced plan migrations and minor revenue shortfall, but pricing power and strategic spectrum acquisitions remain intact. Despite cable competitors' wireless growth, TMUS's triopoly position and network investments support continued broadband share gains. I see no flashing red lights; the recent sell-off appears disconnected from fundamentals, and I remain long TMUS. Read the full article on Seeking Alpha
MSGS
US$394.30
Madison Square Garden Sports
7D
1.8%
1Y
93.9%
Narrative Update • Jul 23

MSGS: Playoff And Spin Off Catalysts Will Test Elevated Future P E Assumptions

Analysts have lifted the fair value estimate for Madison Square Garden Sports from $295.00 to about $362.80. This reflects higher price targets across Wall Street as they point to strong secular demand for live events, the potential impact of Knicks playoff success, and possible value creation from a Knicks and Rangers separation along with related media and expansion themes.
T
US$22.96
AT&T
7D
4.5%
1Y
-17.8%
RBLX
US$47.55
Roblox
7D
-12.0%
1Y
-59.7%
Seeking Alpha • Jul 22

Roblox: AI Could Turn A Great Flywheel Into A Dominant One

Summary Roblox is positioned as an AI-native entertainment platform, leveraging AI across its ecosystem to drive growth and operational leverage. Q1 results showed 39% revenue growth to $1.44B, 43% bookings growth, and 71% adjusted EBITDA growth, underscoring accelerating scale and engagement. AI-driven productivity, creator empowerment, and improved user discovery are expected to yield 5-8% annual growth above baseline and significant long-term free cash flow. I rate RBLX a strong buy, targeting $109/share in three years, supported by robust growth, low debt, and peer-relative valuation. Read the full article on Seeking Alpha
DIS
US$92.83
Walt Disney
7D
-6.9%
1Y
-23.9%
AMC
US$2.28
AMC Entertainment Holdings
7D
10.1%
1Y
-32.1%
Narrative Update • Jul 22

AMC: Elevated Leverage And Ongoing Cash Burn Will Limit Future Upside

Analysts have raised the fair value estimate for AMC Entertainment Holdings to $1.80 from $1.20. This change reflects updated models after stronger than expected Q2 results, a higher assumed future P/E ratio, and a continued focus on debt reduction and premium screen expansion.
IMAX
US$43.96
IMAX
7D
12.8%
1Y
55.4%
NFLX
US$68.89
Netflix
7D
-7.3%
1Y
-41.7%
New Narrative • Jul 20

Fair value of $81.50 suggests Netflix's strong future

Netflix (NASDAQ: NFLX) — Full Equity Underwrite Research posture: Constructive long term, cautious near term Price: $68.95 at the July 17, 2026 close Data cut-off: July 17, 2026 Short-term score: 46/100 — Mixed Long-term score: 80/100 — Strong The analysis follows the uploaded full-company, business-model, performance, risk and management frameworks. Valuation is structured around the valuation-method, DCF, reverse-DCF, price-trend and investment-score modules.
SPCX
US$118.24
Space Exploration Technologies
7D
-9.8%
1Y
n/a
EA
US$209.00
Electronic Arts
7D
0.6%
1Y
36.9%
ASTS
US$59.18
AST SpaceMobile
7D
7.6%
1Y
-1.5%
Seeking Alpha • Jul 17

AST SpaceMobile: Why I Bought The Dip

Summary AST SpaceMobile has dropped nearly 60%, but dilution was only the catalyst after weakening sentiment, execution concerns, and an unsustainably rich valuation. Nearly 60 global carriers have committed over $1.2 billion, providing access to more than 3 billion subscribers worldwide. Consensus expects revenue to grow from $170 million in 2026 to $2.84 billion by 2029, rapidly compressing valuation multiples. August's BlueBird Block 2 launch, Rakuten expansion, and commercialization milestones could fundamentally reshape investor sentiment during 2026. Despite execution risks, the recent correction offers a significantly improved risk-reward profile for long-term investors willing to tolerate volatility. Read the full article on Seeking Alpha
LUMN
US$6.53
Lumen Technologies
7D
3.5%
1Y
48.1%
CNK
US$32.69
Cinemark Holdings
7D
9.5%
1Y
12.8%