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U.S. Telecom Sector Analysis

UpdatedJul 06, 2026
DataAggregated Company Financials
Companies480
  • 7D5.3%
  • 3M7.9%
  • 1Y20.7%
  • YTD1.4%

The Telecom industry is up 5.3% in the last week, with Alphabet up 6.7%. Meanwhile, Verizon Communications actually underperformed within the industry, shrinking 8.6% in the last week. This means that the industry has gained 21% over the past year. As for the next few years, earnings are expected to grow by 25% per annum.

Sector Valuation and Performance

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

DateMarket CapRevenueEarningsPEAbsolute PEPS
Mon, 06 Jul 2026US$10.0tUS$1.7tUS$300.8b18.3x33.3x5.8x
Wed, 03 Jun 2026US$8.2tUS$1.7tUS$308.8b17.5x26.6x4.8x
Fri, 01 May 2026US$8.3tUS$1.7tUS$311.3b18.7x26.8x4.9x
Sun, 29 Mar 2026US$6.8tUS$1.7tUS$272.8b15x25x4.1x
Tue, 24 Feb 2026US$7.7tUS$1.7tUS$275.7b15.2x27.8x4.6x
Thu, 22 Jan 2026US$7.7tUS$1.6tUS$283.0b16.3x27x4.6x
Sat, 20 Dec 2025US$7.7tUS$1.6tUS$280.9b16.4x27.3x4.7x
Mon, 17 Nov 2025US$7.2tUS$1.6tUS$285.5b17x25.3x4.4x
Wed, 15 Oct 2025US$7.3tUS$1.6tUS$286.1b17.8x25.4x4.5x
Fri, 12 Sep 2025US$7.4tUS$1.6tUS$286.1b21x25.7x4.6x
Sun, 10 Aug 2025US$6.9tUS$1.6tUS$285.6b20.7x24.2x4.3x
Tue, 08 Jul 2025US$6.6tUS$1.6tUS$250.2b17.8x26.6x4.1x
Thu, 05 Jun 2025US$6.2tUS$1.6tUS$249.9b17.5x24.9x3.9x
Sat, 03 May 2025US$5.8tUS$1.6tUS$245.5b16.9x23.6x3.6x
Mon, 31 Mar 2025US$5.7tUS$1.6tUS$227.4b17.3x25x3.6x
Wed, 26 Feb 2025US$6.3tUS$1.6tUS$225.2b17.8x28x4x
Fri, 24 Jan 2025US$6.3tUS$1.6tUS$190.6b18.5x33x4x
Sun, 22 Dec 2024US$6.1tUS$1.6tUS$189.6b17.8x32.2x3.9x
Tue, 19 Nov 2024US$5.8tUS$1.6tUS$189.7b19.7x30.4x3.7x
Thu, 17 Oct 2024US$5.6tUS$1.5tUS$188.2b18.5x30x3.7x
Sat, 14 Sep 2024US$5.3tUS$1.5tUS$188.1b18.7x27.9x3.4x
Mon, 12 Aug 2024US$5.3tUS$1.5tUS$189.8b20.2x27.8x3.4x
Wed, 10 Jul 2024US$5.6tUS$1.5tUS$190.9b17.3x29.5x3.7x
Fri, 07 Jun 2024US$5.4tUS$1.5tUS$191.0b15.4x28.3x3.6x
Sun, 05 May 2024US$5.1tUS$1.5tUS$194.6b18.5x26.3x3.4x
Tue, 02 Apr 2024US$5.1tUS$1.5tUS$176.1b19.2x28.7x3.4x
Thu, 29 Feb 2024US$4.9tUS$1.5tUS$174.2b18.9x27.9x3.3x
Sat, 27 Jan 2024US$5.0tUS$1.5tUS$145.5b15.1x34.1x3.3x
Mon, 25 Dec 2023US$4.6tUS$1.5tUS$127.9b15.6x36.3x3x
Wed, 22 Nov 2023US$4.5tUS$1.5tUS$127.1b16.3x35.1x2.9x
Fri, 20 Oct 2023US$4.3tUS$1.5tUS$102.5b15.1x42.3x2.9x
Sun, 17 Sep 2023US$4.3tUS$1.5tUS$104.4b14.1x41.6x2.9x
Tue, 15 Aug 2023US$4.3tUS$1.5tUS$102.5b14.9x42.1x2.9x
Thu, 13 Jul 2023US$4.2tUS$1.5tUS$106.8b16.4x39.5x2.8x
Price to Earnings Ratio

39.5x


Total Market Cap: US$4.2tTotal Earnings: US$106.8bTotal Revenue: US$1.5tTotal Market Cap vs Earnings and Revenue0%0%0%
U.S. Telecom Sector Price to Earnings3Y Average 29.8x202420252026
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 33.3x which is higher than its 3-year average PE of 29.8x.
  • The 3-year average PS ratio of 3.8x is lower than the industry's current PS ratio of 5.8x.
Past Earnings Growth
  • The earnings for companies in the Communication Services industry have grown 41% per year over the last three years.
  • Revenues for these companies have grown 5.4% 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 Market1.63%
Telecom5.25%
Interactive Media and Services6.54%
Media6.32%
Telecom Services and Carriers3.71%
Entertainment3.29%
Wireless Telecom-2.07%
Industry PE
  • Investors are most optimistic about the Telecom Services and Carriers industry which is trading above its 3-year average PE ratio of 0.82x.
    • Analysts are expecting annual earnings growth of 55.0%, 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 55% over the next 5 years.
  • This is better than its past earnings decline of 9.7% per year.
  • In contrast, the Wireless Telecom industry is expected to see its earnings grow by 11% 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$359.916.7%
+US$274.8b		100.5%PE27.4x
SPCX Space Exploration TechnologiesUS$162.005.7%
+US$115.5b		n/aPS110.6x
META Meta PlatformsUS$582.905.9%
+US$82.9b		-18.9%PE21x
NFLX NetflixUS$77.655.2%
+US$16.2b		-40.1%PE24.4x
RBLX RobloxUS$55.4116.5%
+US$5.6b		-46.5%PS7.5x

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