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U.S. Telecom Sector Analysis

UpdatedDec 06, 2022
DataAggregated Company Financials
Companies518
  • 7D3.7%
  • 3M-6.1%
  • 1Y-37.5%
  • YTD-38.5%

Over the last 7 days, the Telecom industry has risen 3.7%, driven by gains from Alphabet of 3.6%. However, the industry is down 38% over the past year. Earnings are forecast to grow by 18% annually.

Sector Valuation and Performance

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

DateMarket CapRevenueEarningsPEAbsolute PEPS
Wed, 07 Dec 2022US$3.4tUS$1.5tUS$166.6b17.8x20.4x2.3x
Fri, 04 Nov 2022US$3.1tUS$1.5tUS$170.0b15.6x18x2.1x
Sun, 02 Oct 2022US$3.2tUS$1.5tUS$187.6b14x17.2x2.2x
Tue, 30 Aug 2022US$3.7tUS$1.5tUS$186.9b16.3x19.9x2.5x
Thu, 28 Jul 2022US$3.8tUS$1.5tUS$209.7b17.1x18.2x2.6x
Sat, 25 Jun 2022US$4.4tUS$1.5tUS$213.9b17.7x20.5x3x
Mon, 23 May 2022US$3.9tUS$1.5tUS$218.3b17.4x17.7x2.6x
Wed, 20 Apr 2022US$4.6tUS$1.4tUS$224.6b22.1x20.4x3.2x
Fri, 18 Mar 2022US$4.6tUS$1.4tUS$225.9b17.6x20.3x3.2x
Sun, 13 Feb 2022US$4.8tUS$1.4tUS$222.6b19.5x21.5x3.4x
Tue, 11 Jan 2022US$5.3tUS$1.4tUS$194.6b19.6x27.3x3.8x
Thu, 09 Dec 2021US$5.6tUS$1.4tUS$194.4b20.2x28.7x4x
Sat, 06 Nov 2021US$5.9tUS$1.4tUS$197.6b26.8x29.6x4.2x
Mon, 04 Oct 2021US$5.8tUS$1.3tUS$179.4b25.3x32.2x4.3x
Wed, 01 Sep 2021US$6.1tUS$1.3tUS$179.9b24.5x33.8x4.5x
Thu, 08 Jul 2021US$5.7tUS$1.3tUS$174.1b26.3x32.9x4.3x
Wed, 31 Mar 2021US$5.1tUS$1.3tUS$130.4b27.1x39.4x4.1x
Sat, 02 Jan 2021US$4.7tUS$1.2tUS$98.7b24.4x48x3.9x
Tue, 06 Oct 2020US$4.1tUS$1.2tUS$108.9b18.8x37.2x3.4x
Fri, 10 Jul 2020US$3.7tUS$1.2tUS$102.7b17.9x36x3.1x
Thu, 02 Apr 2020US$3.0tUS$1.2tUS$128.5b14.4x23.4x2.5x
Sun, 05 Jan 2020US$3.6tUS$1.2tUS$133.7b20.6x27.3x3x
Price to Earnings Ratio

27.3x


Total Market Cap: US$3.6tTotal Earnings: US$133.7bTotal Revenue: US$1.2tTotal Market Cap vs Earnings and Revenue0%0%0%
U.S. Telecom Sector Price to Earnings3Y Average 30.8x20212022
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 20.4x which is lower than its 3-year average PE of 30.8x.
  • The 3-year average PS ratio of 3.4x is higher than the industry's current PS ratio of 2.3x.
Past Earnings Growth
  • The earnings for companies in the Communication Services industry have grown 7.6% per year over the last three years.
  • Revenues for these companies have grown 7.7% 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 Market1.07%
Telecom3.67%
Interactive Media and Services5.51%
Entertainment4.90%
Wireless Telecom0.45%
Media0.013%
Telecom Services and Carriers-1.73%
Industry PE
  • Investors are most optimistic about the Entertainment industry even though it's trading below its 3-year average PE ratio of 724x.
    • Analysts are expecting annual earnings growth of 28.7%, which is higher than its past year's earnings decline of 1.1% per year.
  • Investors are most pessimistic about the Telecom Services and Carriers industry, which is trading below its 3-year average of 19.1x.
Forecasted Growth
  • Analysts are most optimistic on the Wireless Telecom industry, expecting annual earnings growth of 38% over the next 5 years.
  • This is better than its past earnings decline of 45% per year.
  • In contrast, the Telecom Services and Carriers industry is expected to see its earnings grow by 2.4% 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$99.483.6%
+US$44.4b
-30.5%PE19.2x
META Meta PlatformsUS$122.4312.5%
+US$36.2b
-61.5%PE11.3x
NFLX NetflixUS$312.5911.2%
+US$14.0b
-49.0%PE27.6x
BIDU BaiduUS$116.9223.5%
+US$7.7b
-20.8%PE69.9x
SE SeaUS$59.0210.4%
+US$3.1b
-76.1%PS2.7x
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TME

US$7.39

Tencent Music Entertainment Group

7D

18.8%

1Y

19.6%

NFLX

US$312.59

Netflix

7D

11.2%

1Y

-49.0%

BIDU

US$117.33

Baidu

7D

17.8%

1Y

-21.7%

GOOGL

US$96.98

Alphabet

7D

1.9%

1Y

-34.1%

CMCSA

US$34.77

Comcast

7D

-2.0%

1Y

-29.9%

DIS

US$92.29

Walt Disney

7D

-2.5%

1Y

-38.8%

BILI

US$20.56

Bilibili

7D

33.5%

1Y

-66.4%

LBRD.K

US$85.50

Liberty Broadband

7D

-4.4%

1Y

-46.0%

SIRI

US$6.18

Sirius XM Holdings

7D

-3.1%

1Y

-2.2%

IPG

US$32.68

Interpublic Group of Companies

7D

-4.8%

1Y

-7.8%

SE

US$59.02

Sea

7D

10.4%

1Y

-76.1%

META

US$114.12

Meta Platforms

7D

4.3%

1Y

-64.6%

ATVI

US$76.11

Activision Blizzard

7D

2.4%

1Y

29.5%