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U.S. Telecom Sector Analysis

UpdatedDec 26, 2024
DataAggregated Company Financials
Companies470
  • 7D2.7%
  • 3M12.7%
  • 1Y40.6%
  • YTD43.0%

Over the last 7 days, the Telecom industry has risen 2.7%, driven by gains from Alphabet of 4.0%. In the last 12 months, the industry was up 41%. Earnings are forecast to grow by 15% annually.

Sector Valuation and Performance

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

DateMarket CapRevenueEarningsPEAbsolute PEPS
Fri, 27 Dec 2024US$6.2tUS$1.6tUS$189.6b18x32.9x4x
Sun, 24 Nov 2024US$5.8tUS$1.6tUS$189.7b20.1x30.4x3.7x
Tue, 22 Oct 2024US$5.7tUS$1.6tUS$189.2b17.8x29.9x3.6x
Thu, 19 Sep 2024US$5.4tUS$1.5tUS$188.2b18.8x28.6x3.5x
Sat, 17 Aug 2024US$5.3tUS$1.6tUS$189.1b19.3x28.2x3.4x
Mon, 15 Jul 2024US$5.5tUS$1.5tUS$191.2b17.3x28.9x3.6x
Wed, 12 Jun 2024US$5.4tUS$1.5tUS$191.0b16.6x28.2x3.5x
Fri, 10 May 2024US$5.2tUS$1.5tUS$193.5b18.3x26.8x3.4x
Sun, 07 Apr 2024US$5.2tUS$1.5tUS$176.0b19.4x29.3x3.4x
Tue, 05 Mar 2024US$4.8tUS$1.5tUS$173.8b17.7x27.7x3.2x
Thu, 01 Feb 2024US$5.0tUS$1.5tUS$152.7b15.3x32.6x3.2x
Sat, 30 Dec 2023US$4.7tUS$1.5tUS$128.0b15.7x36.4x3.1x
Mon, 27 Nov 2023US$4.5tUS$1.5tUS$128.3b16x35.2x3x
Wed, 25 Oct 2023US$4.3tUS$1.5tUS$102.5b14x42x2.9x
Fri, 22 Sep 2023US$4.2tUS$1.5tUS$104.7b14.4x40.1x2.8x
Sun, 20 Aug 2023US$4.1tUS$1.5tUS$102.8b14.5x40.3x2.8x
Tue, 18 Jul 2023US$4.3tUS$1.5tUS$106.8b16.9x40.1x2.9x
Thu, 15 Jun 2023US$4.1tUS$1.5tUS$107.1b17.1x38.5x2.8x
Sat, 13 May 2023US$3.9tUS$1.5tUS$105.2b17.1x36.9x2.6x
Mon, 10 Apr 2023US$3.8tUS$1.5tUS$115.4b16.6x33.3x2.6x
Wed, 08 Mar 2023US$3.5tUS$1.5tUS$113.7b18.6x30.9x2.4x
Fri, 03 Feb 2023US$3.9tUS$1.5tUS$140.9b19.8x27.8x2.7x
Sun, 01 Jan 2023US$3.2tUS$1.5tUS$166.4b15.2x19.1x2.1x
Tue, 29 Nov 2022US$3.3tUS$1.5tUS$165.9b17.9x19.7x2.2x
Thu, 27 Oct 2022US$3.5tUS$1.5tUS$182.0b15x19x2.3x
Sat, 24 Sep 2022US$3.3tUS$1.5tUS$187.6b14.4x17.7x2.2x
Mon, 22 Aug 2022US$3.9tUS$1.5tUS$186.4b17.6x21x2.6x
Wed, 20 Jul 2022US$2.4tUS$1.5tUS$214.3b15.7x11.1x1.6x
Fri, 17 Jun 2022US$4.2tUS$1.5tUS$214.0b16.3x19.5x2.8x
Sun, 15 May 2022US$4.0tUS$1.5tUS$219.1b17.1x18.2x2.7x
Tue, 12 Apr 2022US$4.5tUS$1.4tUS$223.8b19.9x20.2x3.1x
Thu, 10 Mar 2022US$4.5tUS$1.4tUS$225.8b16.8x20x3.1x
Sat, 05 Feb 2022US$4.9tUS$1.4tUS$218.4b19.7x22.7x3.5x
Mon, 03 Jan 2022US$5.5tUS$1.4tUS$194.7b20x28.3x3.9x
Price to Earnings Ratio

28.3x


Total Market Cap: US$5.5tTotal Earnings: US$194.7bTotal Revenue: US$1.4tTotal Market Cap vs Earnings and Revenue0%0%0%
U.S. Telecom Sector Price to Earnings3Y Average 28.2x20232024
Current Industry PE
  • Investors are optimistic on the American Communication Services industry, and appear confident in long term growth rates.
  • The industry is trading at a PE ratio of 32.9x which is higher than its 3-year average PE of 28.2x.
  • The 3-year average PS ratio of 3.0x is lower than the industry's current PS ratio of 4.0x.
Past Earnings Growth
  • The earnings for companies in the Communication Services industry have remained mostly flat over the last three years.
  • Meanwhile revenues for these companies have grown 4.0% per year.
  • This means that although more sales are being generated, either the cost of doing business or the level of investment back into businesses has increased and as a result, profits have held steady.

Industry Trends

Which industries have driven the changes within the U.S. Telecom sector?

US Market2.79%
Telecom2.67%
Interactive Media and Services3.26%
Wireless Telecom2.20%
Entertainment1.87%
Media1.01%
Telecom Services and Carriers0.64%
Industry PE
  • Investors are most optimistic about the Entertainment industry which is trading above its 3-year average PE ratio of 465x.
    • Analysts are expecting annual earnings growth of 27.6%, which is higher than its past year's earnings decline of 13.9% per year.
  • Investors are most pessimistic about the Wireless Telecom industry, which is trading below its 3-year average of 41.5x.
Forecasted Growth
  • Analysts are most optimistic on the Entertainment industry, expecting annual earnings growth of 28% over the next 5 years.
  • This is better than its past earnings decline of 14% per year.
  • In contrast, the Interactive Media and Services industry is expected to see its earnings grow by 12% 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$195.603.8%
+US$86.8b		39.5%PE25.4x
META Meta PlatformsUS$603.351.3%
+US$19.6b		68.4%PE27.4x
NFLX NetflixUS$924.142.5%
+US$9.4b		88.4%PE50.8x
TMUS T-Mobile USUS$223.682.6%
+US$6.6b		40.7%PE25x
CMCSA ComcastUS$38.252.3%
+US$3.3b		-13.3%PE10x
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