Investing IdeasBrowse All StocksMarkets
Have your own idea? Try our Stock Screener
Header cover image

U.S. Telecom Sector Analysis

UpdatedMay 24, 2025
DataAggregated Company Financials
Companies481
  • 7D-0.7%
  • 3M-3.5%
  • 1Y17.1%
  • YTD0.9%

Over the last 7 days, the Telecom industry has remained flat. The past year has been better, since the industry has gained 20% in that time. Earnings are forecast to grow by 12% annually.

Sector Valuation and Performance

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

DateMarket CapRevenueEarningsPEAbsolute PEPS
Sat, 24 May 2025US$6.2tUS$1.6tUS$248.0b17.1x24.8x3.8x
Mon, 21 Apr 2025US$5.4tUS$1.6tUS$227.8b16x23.5x3.4x
Wed, 19 Mar 2025US$5.9tUS$1.6tUS$228.5b16.7x25.8x3.7x
Fri, 14 Feb 2025US$6.5tUS$1.6tUS$218.3b19.1x29.9x4.1x
Sun, 12 Jan 2025US$6.1tUS$1.6tUS$189.3b18.6x32.2x3.9x
Tue, 10 Dec 2024US$6.1tUS$1.6tUS$189.5b18.8x32.4x3.9x
Thu, 07 Nov 2024US$5.7tUS$1.6tUS$188.5b18.2x30.2x3.6x
Sat, 05 Oct 2024US$5.7tUS$1.5tUS$188.2b18.3x30.1x3.7x
Mon, 02 Sep 2024US$5.4tUS$1.6tUS$189.1b18.8x28.4x3.5x
Wed, 31 Jul 2024US$5.2tUS$1.5tUS$197.1b20.3x26.5x3.4x
Fri, 28 Jun 2024US$5.5tUS$1.5tUS$191.0b17.6x29.1x3.6x
Sun, 26 May 2024US$5.3tUS$1.5tUS$191.4b17.6x27.7x3.5x
Tue, 23 Apr 2024US$5.0tUS$1.5tUS$177.3b17.6x28x3.3x
Thu, 21 Mar 2024US$5.0tUS$1.5tUS$175.9b18.9x28.4x3.3x
Sat, 17 Feb 2024US$4.9tUS$1.5tUS$174.4b17.3x28.1x3.3x
Mon, 15 Jan 2024US$4.7tUS$1.5tUS$128.1b15.3x36.7x3.1x
Wed, 13 Dec 2023US$4.5tUS$1.5tUS$128.0b16.5x34.8x2.9x
Fri, 10 Nov 2023US$4.3tUS$1.5tUS$123.8b13.8x34.9x2.8x
Sun, 08 Oct 2023US$4.3tUS$1.5tUS$104.7b13.9x41.4x2.9x
Tue, 05 Sep 2023US$4.3tUS$1.5tUS$104.5b14.5x41.4x2.9x
Thu, 03 Aug 2023US$4.3tUS$1.5tUS$102.6b14.9x41.9x2.9x
Sat, 01 Jul 2023US$4.1tUS$1.5tUS$107.0b17.1x38.7x2.8x
Mon, 29 May 2023US$4.0tUS$1.5tUS$107.1b16.2x37.5x2.7x
Wed, 26 Apr 2023US$3.7tUS$1.5tUS$115.0b16.2x31.9x2.5x
Fri, 24 Mar 2023US$3.7tUS$1.5tUS$115.3b16.8x32.2x2.5x
Sun, 19 Feb 2023US$3.6tUS$1.5tUS$122.0b20.1x29.4x2.4x
Tue, 17 Jan 2023US$3.4tUS$1.5tUS$166.4b17.6x20.7x2.3x
Thu, 15 Dec 2022US$3.3tUS$1.5tUS$166.5b18.1x19.9x2.2x
Sat, 12 Nov 2022US$3.3tUS$1.5tUS$163.4b18.7x20.2x2.2x
Mon, 10 Oct 2022US$3.3tUS$1.5tUS$187.6b15x17.6x2.2x
Wed, 07 Sep 2022US$3.6tUS$1.5tUS$187.7b15.3x19.2x2.4x
Fri, 05 Aug 2022US$3.9tUS$1.5tUS$195.3b17.1x20x2.7x
Sun, 03 Jul 2022US$4.3tUS$1.5tUS$213.6b17.2x20.3x3x
Tue, 31 May 2022US$4.6tUS$1.5tUS$216.6b18.3x21.3x3.1x
Price to Earnings Ratio

21.3x


Total Market Cap: US$4.6tTotal Earnings: US$216.6bTotal Revenue: US$1.5tTotal Market Cap vs Earnings and Revenue0%0%0%
U.S. Telecom Sector Price to Earnings3Y Average 29x202320242025
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 24.8x which is lower than its 3-year average PE of 29.0x.
  • The 3-year average PS ratio of 3.1x is lower than the industry's current PS ratio of 3.8x.
Past Earnings Growth
  • The earnings for companies in the Communication Services industry have grown 4.6% per year over the last three years.
  • Revenues for these companies have grown 2.6% 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-2.68%
Telecom-0.71%
Wireless Telecom0.0056%
Interactive Media and Services-0.36%
Entertainment-0.90%
Telecom Services and Carriers-1.41%
Media-3.40%
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 21.2%, which is higher than its past year's earnings decline of 3.6% per year.
  • Investors are most pessimistic about the Telecom Services and Carriers industry, although it looks like investor sentiment has improved given that it's trading above its 3-year average of 0.72x.
Forecasted Growth
  • Analysts are most optimistic on the Entertainment industry, expecting annual earnings growth of 21% over the next 5 years.
  • This is better than its past earnings decline of 3.6% per year.
  • In contrast, the Interactive Media and Services industry is expected to see its earnings grow by 9.4% 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
GOOGL AlphabetUS$168.471.4%
+US$27.7b		-3.7%PE18.4x
SE SeaUS$164.061.6%
+US$1.5b		127.9%PE111.5x
TME Tencent Music Entertainment GroupUS$17.525.4%
+US$1.4b		18.4%PE20.9x
TTWO Take-Two Interactive SoftwareUS$224.99-0.8%
US$992.2m		45.5%PS7.3x
RBLX RobloxUS$82.261.2%
+US$671.5m		151.8%PS14.5x
Simply Wall St™
Simply Wall Street Pty Ltd
Level 7, 320 Pitt Street, Sydney
Download on the App StoreGet it on Google Play
Popular Markets
USAUUKINCAZA
About UsCareersPlans & PricingLogin
Help CenterLatest CoveragePodcastsAffiliate ProgramBusiness & EnterpriseWhat's New
Financial Services GuideTerms and ConditionsPrivacy Policy
Simply Wall Street Pty Ltd (ACN 600 056 611), is a Corporate Authorised Representative (Authorised Representative Number: 467183) of Sanlam Private Wealth Pty Ltd (AFSL No. 337927). Any advice contained in this website is general advice only and has been prepared without considering your objectives, financial situation or needs. You should not rely on any advice and/or information contained in this website and before making any investment decision we recommend that you consider whether it is appropriate for your situation and seek appropriate financial, taxation and legal advice. Please read our Financial Services Guide before deciding whether to obtain financial services from us.

Latest News

RBLX

US$82.26

Roblox

7D

1.2%

1Y

151.8%

TTWO

US$224.99

Take-Two Interactive Software

7D

-0.8%

1Y

45.5%

Earnings Update: Take-Two Interactive Software, Inc. (NASDAQ:TTWO) Just Reported And Analysts Are Trimming Their Forecasts

May 23
Earnings Update: Take-Two Interactive Software, Inc. (NASDAQ:TTWO) Just Reported And Analysts Are Trimming Their Forecasts

TMUS

US$242.88

T-Mobile US

7D

0.09%

1Y

46.3%

WB

US$9.37

Weibo

7D

10.2%

1Y

6.8%

CHTR

US$406.36

Charter Communications

7D

-4.9%

1Y

49.7%

META

US$627.06

Meta Platforms

7D

-2.1%

1Y

31.1%

TME

US$17.52

Tencent Music Entertainment Group

7D

5.4%

1Y

18.4%

Tencent Music Entertainment Group's (NYSE:TME) Shares Climb 38% But Its Business Is Yet to Catch Up

May 21
Tencent Music Entertainment Group's (NYSE:TME) Shares Climb 38% But Its Business Is Yet to Catch Up

CMCSA

US$34.52

Comcast

7D

-2.7%

1Y

-10.4%

DIS

US$109.72

Walt Disney

7D

-3.3%

1Y

7.8%

Here's Why Walt Disney (NYSE:DIS) Has Caught The Eye Of Investors

May 21
Here's Why Walt Disney (NYSE:DIS) Has Caught The Eye Of Investors

T

US$27.42

AT&T

7D

-1.1%

1Y

56.7%

GOOGL

US$168.47

Alphabet

7D

1.4%

1Y

-3.7%

Alphabet: Things Aren't Looking Good, But At Least It's Cheap

May 20

LZMH

US$17.25

LZ Technology Holdings

7D

27.0%

1Y

n/a

RDDT

US$100.76

Reddit

7D

-11.0%

1Y

84.1%

SE

US$164.06

Sea

7D

1.6%

1Y

127.9%

Sea Limited (NYSE:SE) Stocks Shoot Up 37% But Its P/S Still Looks Reasonable

May 16
Sea Limited (NYSE:SE) Stocks Shoot Up 37% But Its P/S Still Looks Reasonable

VZ

US$43.32

Verizon Communications

7D

-1.5%

1Y

9.0%

Here's Why Shareholders May Want To Be Cautious With Increasing Verizon Communications Inc.'s (NYSE:VZ) CEO Pay Packet

May 15
Here's Why Shareholders May Want To Be Cautious With Increasing Verizon Communications Inc.'s (NYSE:VZ) CEO Pay Packet

NFLX

US$1,185.39

Netflix

7D

-0.5%

1Y

83.3%

Wall Street Lunch: Tariffs For Tinseltown

May 05