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U.S. Telecom Sector Analysis

UpdatedDec 29, 2025
DataAggregated Company Financials
Companies505
  • 7D0.9%
  • 3M5.3%
  • 1Y30.0%
  • YTD29.8%

In the last week, the Telecom industry is flat overall, with AST SpaceMobile standing out by going down 17%. As for the the longer term, the industry is up 30% over the past 12 months. Looking forward, earnings are forecast to grow by 13% annually.

Sector Valuation and Performance

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

DateMarket CapRevenueEarningsPEAbsolute PEPS
Mon, 29 Dec 2025US$7.8tUS$1.6tUS$282.2b16.3x27.7x4.7x
Wed, 26 Nov 2025US$7.7tUS$1.6tUS$283.1b16.7x27.1x4.7x
Fri, 24 Oct 2025US$7.4tUS$1.6tUS$295.7b18.3x24.9x4.6x
Sun, 21 Sep 2025US$7.6tUS$1.6tUS$286.1b20.4x26.7x4.7x
Tue, 19 Aug 2025US$7.1tUS$1.6tUS$286.5b19.6x24.8x4.3x
Thu, 17 Jul 2025US$6.6tUS$1.6tUS$249.6b17.9x26.4x4.1x
Sat, 14 Jun 2025US$6.4tUS$1.6tUS$250.1b17.3x25.7x4x
Mon, 12 May 2025US$5.8tUS$1.6tUS$247.6b17.1x23.3x3.6x
Wed, 09 Apr 2025US$5.2tUS$1.6tUS$227.2b14.6x23x3.3x
Fri, 07 Mar 2025US$6.2tUS$1.6tUS$228.1b16.6x27.2x3.9x
Sun, 02 Feb 2025US$6.6tUS$1.6tUS$209.4b17.2x31.4x4.2x
Tue, 31 Dec 2024US$6.1tUS$1.6tUS$189.8b18.6x32.4x3.9x
Thu, 28 Nov 2024US$5.9tUS$1.6tUS$189.8b20.2x30.9x3.7x
Sat, 26 Oct 2024US$5.6tUS$1.5tUS$180.7b18x30.8x3.6x
Mon, 23 Sep 2024US$5.5tUS$1.5tUS$188.2b18.1x29.2x3.6x
Wed, 21 Aug 2024US$5.4tUS$1.6tUS$189.2b19.3x28.7x3.5x
Fri, 19 Jul 2024US$5.4tUS$1.5tUS$191.1b18.4x28.2x3.5x
Sun, 16 Jun 2024US$5.4tUS$1.5tUS$191.0b16.4x28.3x3.5x
Tue, 14 May 2024US$5.2tUS$1.5tUS$193.8b18.5x26.8x3.4x
Thu, 11 Apr 2024US$5.2tUS$1.5tUS$176.0b18.5x29.4x3.4x
Sat, 09 Mar 2024US$4.9tUS$1.5tUS$173.8b16.7x27.9x3.2x
Mon, 05 Feb 2024US$5.0tUS$1.5tUS$161.9b14.8x31x3.3x
Wed, 03 Jan 2024US$4.6tUS$1.5tUS$128.1b15.6x35.8x3x
Fri, 01 Dec 2023US$4.4tUS$1.5tUS$128.0b16x34.7x2.9x
Sun, 29 Oct 2023US$4.0tUS$1.5tUS$126.0b12.5x31.9x2.7x
Tue, 26 Sep 2023US$4.2tUS$1.5tUS$104.7b14.1x40.3x2.8x
Thu, 24 Aug 2023US$4.2tUS$1.5tUS$103.5b13.9x41.1x2.8x
Sat, 22 Jul 2023US$4.2tUS$1.5tUS$107.1b15x38.9x2.8x
Mon, 19 Jun 2023US$4.2tUS$1.5tUS$107.1b17.4x38.7x2.8x
Wed, 17 May 2023US$3.9tUS$1.5tUS$107.1b17.2x36.2x2.6x
Fri, 14 Apr 2023US$3.8tUS$1.5tUS$115.8b16.9x33.2x2.6x
Sun, 12 Mar 2023US$3.4tUS$1.5tUS$115.0b17.8x29.5x2.3x
Tue, 07 Feb 2023US$3.7tUS$1.5tUS$129.2b19.5x29x2.5x
Thu, 05 Jan 2023US$3.3tUS$1.5tUS$166.4b16.4x19.6x2.2x
Price to Earnings Ratio

19.6x


Total Market Cap: US$3.3tTotal Earnings: US$166.4bTotal Revenue: US$1.5tTotal Market Cap vs Earnings and Revenue0%0%0%
U.S. Telecom Sector Price to Earnings3Y Average 30.3x20242025
Current Industry PE
  • Investors are relatively neutral on the American Communication Services industry at the moment, indicating that they anticipate long term growth rates to remain steady.
  • The industry is trading close to its 3-year average PE ratio of 30.3x.
  • The 3-year average PS ratio of 3.4x is lower than the industry's current PS ratio of 4.7x.
Past Earnings Growth
  • The earnings for companies in the Communication Services industry have grown 19% per year over the last three years.
  • Revenues for these companies have grown 3.0% 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 Market0.61%
Telecom0.89%
Wireless Telecom2.02%
Entertainment1.47%
Interactive Media and Services0.85%
Media0.083%
Telecom Services and Carriers-0.34%
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 19.7%, which is higher than its past year's earnings decline of 4.9% per year.
  • 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 2.1x.
Forecasted Growth
  • Analysts are most optimistic on the Entertainment industry, expecting annual earnings growth of 20% over the next 5 years.
  • This is better than its past earnings decline of 4.9% per year.
  • In contrast, the Telecom Services and Carriers industry is expected to see its earnings grow by 7.4% 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$313.511.2%
+US$45.0b		63.9%PE30.4x
TMUS T-Mobile USUS$201.002.7%
+US$5.9b		-8.9%PE18.9x
NFLX NetflixUS$94.471.3%
+US$5.7b		4.9%PE41.4x
META Meta PlatformsUS$663.290.3%
+US$4.5b		12.2%PE28.6x
T AT&TUS$24.651.4%
+US$2.5b		9.0%PE7.9x

Latest News

META
US$663.29
Meta Platforms
7D
0.3%
1Y
12.2%
SATS
US$105.60
EchoStar
7D
-3.0%
1Y
358.9%

SATS: Future Spectrum Sales Will Likely Leave Upside Expectations Vulnerable

Analysts have sharply raised their price target on EchoStar, lifting fair value from 28 dollars to 85 dollars. They cite a lower perceived risk profile, modestly improved long term margin and revenue expectations, and a higher justified future earnings multiple.
RDDT
US$225.77
Reddit
7D
-3.2%
1Y
36.4%

RDDT: Elevated Expectations Will Expose Growing Risk From Weakening User Engagement

We are raising our Reddit price target to approximately $151 from about $129, as analysts now expect faster revenue growth, better margins, and a more reasonable future earnings multiple. This view is supported by strong Q3 results, an above-consensus Q4 outlook, and continued momentum in both advertising and data licensing.
GOOGL
US$313.51
Alphabet
7D
1.2%
1Y
63.9%
PINS
US$26.14
Pinterest
7D
-0.9%
1Y
-10.3%

PINS: Macro And Vertical Mix Headwinds Will Temper Ad Recovery Outlook

Analysts have trimmed their Pinterest price target by approximately $5 to align with a lower fair value estimate of about $27 per share. This adjustment reflects rising discount rate assumptions, slightly slower revenue growth expectations, and compressed profit margin forecasts amid recent macro and vertical mix headwinds in digital advertising.
NFLX
US$94.47
Netflix
7D
1.3%
1Y
4.9%

NFLX: Future Performance Will Balance Warner Bid Risks And New Revenue Streams

Analysts have modestly reduced their Netflix price target to reflect a lower fair value estimate of about $86.94, driven by slightly slower expected revenue growth and a lower future P/E multiple. These factors are only partly offset by improved long term margin assumptions and a largely stock split adjusted framework.
GSAT
US$62.89
Globalstar
7D
-5.6%
1Y
93.2%

GSAT: Future Sale Interest From SpaceX Will Drive Bullish Repricing

Analysts have raised their price target for Globalstar from $60 to $75 per share, citing stronger long term revenue growth expectations and the upside from its de risked satellite operations and underutilized terrestrial spectrum in a rapidly expanding satellite internet of things market. Analyst Commentary Bullish analysts highlight that Globalstar is evolving into a differentiated hybrid communications play, pairing a de risked satellite services platform with a strategically significant terrestrial spectrum portfolio.
ASTS
US$71.95
AST SpaceMobile
7D
-16.8%
1Y
229.9%
DIS
US$113.56
Walt Disney
7D
1.1%
1Y
2.5%
DJT
US$13.77
Trump Media & Technology Group
7D
-4.4%
1Y
-59.6%
T
US$24.65
AT&T
7D
1.4%
1Y
9.0%
CMCSA
US$29.66
Comcast
7D
1.4%
1Y
-20.7%
VZ
US$40.48
Verizon Communications
7D
1.3%
1Y
2.2%
TME
US$17.62
Tencent Music Entertainment Group
7D
-0.7%
1Y
55.4%

Calculating The Fair Value Of Tencent Music Entertainment Group (NYSE:TME)

Dec 16
Calculating The Fair Value Of Tencent Music Entertainment Group (NYSE:TME)
TMUS
US$201.00
T-Mobile US
7D
2.7%
1Y
-8.9%
NIQ
US$16.38
NIQ Global Intelligence
7D
-4.3%
1Y
n/a