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U.S. Telecom Sector Analysis

UpdatedMay 09, 2025
DataAggregated Company Financials
Companies473
  • 7D0.01%
  • 3M-10.0%
  • 1Y13.9%
  • YTD-3.9%

The Telecom is pretty flat in the last 7 days, but Meta Platforms has stood out, gaining 4.5%. The past year has been better, since the industry has gained 14% 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
Fri, 09 May 2025US$5.8tUS$1.6tUS$246.6b17x23.6x3.6x
Sun, 06 Apr 2025US$5.2tUS$1.6tUS$227.3b15.3x22.8x3.3x
Tue, 04 Mar 2025US$6.2tUS$1.6tUS$227.7b16.4x27.2x3.9x
Thu, 30 Jan 2025US$6.4tUS$1.6tUS$201.0b17.1x32.1x4.1x
Sat, 28 Dec 2024US$6.2tUS$1.6tUS$189.6b18.5x32.8x4x
Mon, 25 Nov 2024US$5.8tUS$1.6tUS$189.7b20.1x30.4x3.7x
Wed, 23 Oct 2024US$5.6tUS$1.5tUS$183.4b18.2x30.5x3.6x
Fri, 20 Sep 2024US$5.4tUS$1.5tUS$188.1b19x28.6x3.5x
Sun, 18 Aug 2024US$5.3tUS$1.6tUS$189.1b18.8x28.2x3.4x
Tue, 16 Jul 2024US$5.5tUS$1.5tUS$191.2b16.9x28.9x3.6x
Thu, 13 Jun 2024US$5.4tUS$1.5tUS$191.0b16.5x28.3x3.6x
Sat, 11 May 2024US$5.2tUS$1.5tUS$193.7b18.4x26.9x3.4x
Mon, 08 Apr 2024US$5.2tUS$1.5tUS$176.0b19.4x29.3x3.4x
Wed, 06 Mar 2024US$4.8tUS$1.5tUS$173.8b17.4x27.7x3.2x
Fri, 02 Feb 2024US$4.8tUS$1.5tUS$152.6b14.9x31.6x3.1x
Sun, 31 Dec 2023US$4.6tUS$1.5tUS$128.0b15.7x36.2x3x
Tue, 28 Nov 2023US$4.5tUS$1.5tUS$128.3b15.6x35.2x3x
Thu, 26 Oct 2023US$4.1tUS$1.5tUS$108.4b13.7x38.2x2.7x
Sat, 23 Sep 2023US$4.2tUS$1.5tUS$104.7b14.1x40.1x2.8x
Mon, 21 Aug 2023US$4.1tUS$1.5tUS$102.8b14.5x40.3x2.8x
Wed, 19 Jul 2023US$4.3tUS$1.5tUS$106.8b16.3x40x2.9x
Fri, 16 Jun 2023US$4.1tUS$1.5tUS$107.1b17.5x38.5x2.8x
Sun, 14 May 2023US$3.9tUS$1.5tUS$105.2b16.3x36.9x2.6x
Tue, 11 Apr 2023US$3.8tUS$1.5tUS$115.8b16.9x33x2.6x
Thu, 09 Mar 2023US$3.5tUS$1.5tUS$115.1b18.8x30.6x2.4x
Sat, 04 Feb 2023US$3.8tUS$1.5tUS$136.3b19.7x28x2.6x
Mon, 02 Jan 2023US$3.2tUS$1.5tUS$166.4b15.2x19.1x2.1x
Wed, 30 Nov 2022US$3.3tUS$1.5tUS$165.9b17.8x19.7x2.2x
Fri, 28 Oct 2022US$3.3tUS$1.5tUS$168.4b15.4x19.6x2.2x
Sun, 25 Sep 2022US$3.3tUS$1.5tUS$187.6b14.4x17.7x2.2x
Tue, 23 Aug 2022US$3.8tUS$1.5tUS$186.4b16.7x20.4x2.6x
Thu, 21 Jul 2022US$3.9tUS$1.5tUS$214.4b17.2x18.3x2.7x
Sat, 18 Jun 2022US$4.2tUS$1.5tUS$214.0b16.9x19.5x2.9x
Mon, 16 May 2022US$4.0tUS$1.5tUS$219.1b17.1x18.2x2.7x
Price to Earnings Ratio

18.2x


Total Market Cap: US$4.0tTotal Earnings: US$219.1bTotal Revenue: US$1.5tTotal Market Cap vs Earnings and Revenue0%0%0%
U.S. Telecom Sector Price to Earnings3Y Average 28.9x202320242025
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 23.6x which is lower than its 3-year average PE of 28.9x.
  • The 3-year average PS ratio of 3.0x is lower than the industry's current PS ratio of 3.6x.
Past Earnings Growth
  • The earnings for companies in the Communication Services industry have grown 4.0% 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 Market1.33%
Telecom0.013%
Entertainment3.58%
Media3.55%
Telecom Services and Carriers0.039%
Wireless Telecom-0.04%
Interactive Media and Services-1.48%
Industry PE
  • Investors are most optimistic about the Entertainment industry which is trading above its 3-year average PE ratio.
    • Analysts expect its future annual earnings growth (21.9%) to be largely in line with prior year's earnings growth.
  • 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 0.60x.
Forecasted Growth
  • Analysts are most optimistic on the Entertainment industry, expecting annual earnings growth of 22% over the next 5 years.
  • This is roughly in line with its past earnings growth rate.
  • 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
META Meta PlatformsUS$598.014.5%
+US$64.9b		25.8%PE22.6x
DIS Walt DisneyUS$105.1215.8%
+US$24.8b		-0.6%PE21.2x
SPOT Spotify TechnologyUS$655.268.8%
+US$10.9b		119.4%PE102.7x
SE SeaUS$145.826.2%
+US$5.0b		121.0%PE194.3x
TTD Trade DeskUS$59.9012.9%
+US$3.4b		-32.4%PE74.9x
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