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U.S. Telecom Sector Analysis

UpdatedSep 15, 2025
DataAggregated Company Financials
Companies480
  • 7D1.0%
  • 3M16.8%
  • 1Y42.2%
  • YTD23.6%

The Telecom industry is up 1.0% in the last week, with Alphabet up 2.9%. This takes the industry's 12 month performance to a gain of 42%. As for the next few years, earnings are expected to grow by 11% per annum.

Sector Valuation and Performance

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

DateMarket CapRevenueEarningsPEAbsolute PEPS
Mon, 15 Sep 2025US$7.4tUS$1.6tUS$286.1b20.7x25.8x4.6x
Wed, 13 Aug 2025US$6.9tUS$1.6tUS$285.8b20x24.2x4.2x
Fri, 11 Jul 2025US$6.6tUS$1.6tUS$250.2b18.4x26.4x4.1x
Sun, 08 Jun 2025US$6.4tUS$1.6tUS$250.0b17.2x25.8x4x
Tue, 06 May 2025US$5.9tUS$1.6tUS$243.7b16.9x24.2x3.7x
Thu, 03 Apr 2025US$5.7tUS$1.6tUS$227.4b17.4x25.3x3.6x
Sat, 01 Mar 2025US$6.1tUS$1.6tUS$228.1b17.1x26.9x3.9x
Mon, 27 Jan 2025US$6.4tUS$1.6tUS$198.3b18.8x32.2x4.1x
Wed, 25 Dec 2024US$6.2tUS$1.6tUS$189.6b18x32.9x4x
Fri, 22 Nov 2024US$5.9tUS$1.6tUS$189.7b19.8x31.3x3.8x
Sun, 20 Oct 2024US$5.7tUS$1.5tUS$188.9b18.5x29.9x3.7x
Tue, 17 Sep 2024US$5.3tUS$1.5tUS$187.4b18.7x28.3x3.4x
Thu, 15 Aug 2024US$5.3tUS$1.6tUS$189.6b18.8x28.1x3.4x
Sat, 13 Jul 2024US$5.5tUS$1.5tUS$191.2b17.3x28.9x3.6x
Mon, 10 Jun 2024US$5.3tUS$1.5tUS$191.0b15.3x28x3.5x
Wed, 08 May 2024US$5.2tUS$1.5tUS$193.7b18.2x26.9x3.4x
Fri, 05 Apr 2024US$5.2tUS$1.5tUS$176.0b19.5x29.3x3.4x
Sun, 03 Mar 2024US$4.9tUS$1.5tUS$174.0b16.9x28.1x3.2x
Tue, 30 Jan 2024US$5.0tUS$1.5tUS$145.5b15.3x34.2x3.3x
Thu, 28 Dec 2023US$4.6tUS$1.5tUS$127.9b14.7x36.4x3.1x
Sat, 25 Nov 2023US$4.5tUS$1.5tUS$128.3b16x35.2x3x
Mon, 23 Oct 2023US$4.3tUS$1.5tUS$102.5b14.9x41.7x2.8x
Wed, 20 Sep 2023US$4.4tUS$1.5tUS$104.4b14.3x41.8x2.9x
Fri, 18 Aug 2023US$4.2tUS$1.5tUS$102.7b14.9x41x2.8x
Sun, 16 Jul 2023US$4.3tUS$1.5tUS$106.8b16.6x40x2.9x
Tue, 13 Jun 2023US$4.1tUS$1.5tUS$107.1b15.9x38.3x2.8x
Thu, 11 May 2023US$3.8tUS$1.5tUS$104.6b17.1x36.6x2.6x
Sat, 08 Apr 2023US$3.8tUS$1.5tUS$115.4b16.6x33.3x2.6x
Mon, 06 Mar 2023US$3.6tUS$1.5tUS$113.7b20x31.4x2.4x
Wed, 01 Feb 2023US$3.6tUS$1.5tUS$141.4b19.1x25.7x2.5x
Fri, 30 Dec 2022US$3.2tUS$1.5tUS$166.4b15.5x19.1x2.1x
Sun, 27 Nov 2022US$3.3tUS$1.5tUS$165.9b18.2x20x2.2x
Tue, 25 Oct 2022US$3.4tUS$1.5tUS$187.1b15.6x17.9x2.3x
Thu, 22 Sep 2022US$3.4tUS$1.5tUS$187.6b14.9x18.1x2.3x
Price to Earnings Ratio

18.1x


Total Market Cap: US$3.4tTotal Earnings: US$187.6bTotal Revenue: US$1.5tTotal Market Cap vs Earnings and Revenue0%0%0%
U.S. Telecom Sector Price to Earnings3Y Average 29.6x202320242025
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 25.8x which is lower than its 3-year average PE of 29.6x.
  • The 3-year average PS ratio of 3.2x is lower than the industry's current PS ratio of 4.6x.
Past Earnings Growth
  • The earnings for companies in the Communication Services industry have grown 15% per year over the last three years.
  • Revenues for these companies have grown 2.9% 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 Market1.57%
Telecom1.04%
Interactive Media and Services1.74%
Telecom Services and Carriers1.25%
Wireless Telecom-0.42%
Entertainment-0.74%
Media-1.19%
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 17.0%, which is higher than its past year's earnings decline of 2.2% per year.
  • Investors are most pessimistic about the Media industry, which is trading below its 3-year average of 19.4x.
Forecasted Growth
  • Analysts are most optimistic on the Entertainment industry, expecting annual earnings growth of 17% over the next 5 years.
  • This is better than its past earnings decline of 2.2% per year.
  • In contrast, the Media industry is expected to see its earnings grow by 4.5% 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$240.802.9%
+US$81.8b		52.3%PE25.2x
WBD Warner Bros. DiscoveryUS$18.8752.8%
+US$16.1b		120.4%PE60.5x
META Meta PlatformsUS$755.590.4%
+US$8.3b		41.7%PE26.5x
T AT&TUS$29.572.3%
+US$4.8b		32.8%PE16.7x
RDDT RedditUS$254.2910.6%
+US$4.6b		329.9%PE220x

Latest News

DIS
US$115.96
Walt Disney
7D
-2.4%
1Y
26.2%

Subdued Growth No Barrier To The Walt Disney Company's (NYSE:DIS) Price

Sep 13
Subdued Growth No Barrier To The Walt Disney Company's (NYSE:DIS) Price
WBD
US$18.87
Warner Bros. Discovery
7D
52.8%
1Y
120.4%

Global Streaming Expansion And Iconic Content Will Unlock Future Potential

Warner Bros. Discovery’s consensus price target rose slightly to $14.90 as analysts cite improved Studios and direct-to-consumer performance, potential bid interest, and expected EBITDA beats, while headwinds in linear TV and uncertainty around long-term earnings temper optimism.
RDDT
US$254.29
Reddit
7D
10.6%
1Y
329.9%
META
US$755.59
Meta Platforms
7D
0.4%
1Y
41.7%
PSKY
US$18.79
Paramount Skydance
7D
23.7%
1Y
80.3%
NFLX
US$1,188.44
Netflix
7D
-4.5%
1Y
70.6%
TTD
US$45.15
Trade Desk
7D
-13.2%
1Y
-57.2%

CTV Partnerships With Disney And Netflix Will Transform Media

Trade Desk’s consensus price target was modestly lowered to $74.48 as analysts cited persistent growth uncertainty, mounting competitive pressures, and a weaker valuation premium offset only partially by improved online ad sentiment and potential outperformance if macro conditions improve. Analyst Commentary Bearish analysts express concern about Trade Desk’s muted growth outlook, citing increased macroeconomic uncertainty, lower visibility on a Kokai-driven turnaround, and heightened risk from agency and client in-housing trends.
SATS
US$74.89
EchoStar
7D
-7.1%
1Y
183.2%

LEO Satellite Constellation Will Expand Global Connectivity

Despite a notable downgrade in revenue growth forecasts and a higher expected future P/E, the consensus analyst price target for EchoStar has sharply increased from $45.21 to $81.71. What's in the News EchoStar has agreed to sell its 3.45 GHz and 600 MHz spectrum licenses (50 MHz nationwide) to AT&T for approximately $23 billion, pending regulatory approval.
PINS
US$35.03
Pinterest
7D
-7.7%
1Y
21.3%

Pinterest, Inc.'s (NYSE:PINS) Share Price Could Signal Some Risk

Sep 09
Pinterest, Inc.'s (NYSE:PINS) Share Price Could Signal Some Risk
FOXA
US$58.25
Fox
7D
-6.8%
1Y
46.7%
QMMM
US$74.22
QMMM Holdings
7D
558.6%
1Y
1,216.0%
RBLX
US$133.31
Roblox
7D
3.8%
1Y
188.3%
GOOGL
US$240.80
Alphabet
7D
2.9%
1Y
52.3%

AI Adoption And Cloud Demand Will Boost Market Opportunity

Analysts view the DOJ antitrust ruling as materially less punitive than expected, reducing regulatory risks and supporting Alphabet’s competitive positioning in search, AI, and cloud, leading to a constructive outlook and maintaining the consensus price target at $226.71. Analyst Commentary Bullish analysts are raising price targets as the recent DOJ antitrust remedy in the Google search case removes major regulatory overhangs, with remedies considered materially less punitive than feared and allowing Google to maintain key distribution and Traffic Acquisition Cost payments.
CMCSA
US$33.06
Comcast
7D
-2.8%
1Y
-16.0%
T
US$29.57
AT&T
7D
2.3%
1Y
32.8%
SPOT
US$696.40
Spotify Technology
7D
-3.0%
1Y
105.5%