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U.S. Telecom Sector Analysis

UpdatedJan 09, 2026
DataAggregated Company Financials
Companies501
  • 7D1.1%
  • 3M9.9%
  • 1Y29.7%
  • YTD1.2%

The Telecom is pretty flat in the last 7 days, but Alphabet has stood out, gaining 4.0%. As for the the longer term, the industry is up 29% 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
Fri, 09 Jan 2026US$7.8tUS$1.6tUS$282.4b16.5x27.8x4.8x
Sun, 07 Dec 2025US$7.9tUS$1.6tUS$281.0b16.4x28.2x4.8x
Tue, 04 Nov 2025US$7.5tUS$1.6tUS$296.2b17.5x25.2x4.6x
Thu, 02 Oct 2025US$7.3tUS$1.6tUS$286.1b18.8x25.6x4.5x
Sat, 30 Aug 2025US$7.1tUS$1.6tUS$287.3b20.7x24.8x4.4x
Mon, 28 Jul 2025US$6.7tUS$1.6tUS$256.9b18.9x26.2x4.2x
Wed, 25 Jun 2025US$6.4tUS$1.6tUS$250.1b17.4x25.7x4x
Fri, 23 May 2025US$6.1tUS$1.6tUS$248.0b17.1x24.8x3.8x
Sun, 20 Apr 2025US$5.4tUS$1.6tUS$227.2b16x23.6x3.4x
Tue, 18 Mar 2025US$5.9tUS$1.6tUS$228.4b15.9x25.7x3.7x
Thu, 13 Feb 2025US$6.5tUS$1.6tUS$218.1b19.1x29.9x4.1x
Sat, 11 Jan 2025US$6.2tUS$1.6tUS$189.8b18.7x32.4x3.9x
Mon, 09 Dec 2024US$6.1tUS$1.6tUS$189.5b18.7x32.4x3.9x
Wed, 06 Nov 2024US$5.6tUS$1.6tUS$188.7b17.9x29.8x3.6x
Fri, 04 Oct 2024US$5.6tUS$1.5tUS$188.3b18.3x30x3.7x
Sun, 01 Sep 2024US$5.4tUS$1.6tUS$189.1b18.8x28.4x3.5x
Tue, 30 Jul 2024US$5.2tUS$1.5tUS$197.1b20.5x26.3x3.4x
Thu, 27 Jun 2024US$5.5tUS$1.5tUS$191.0b17.7x29x3.6x
Sat, 25 May 2024US$5.2tUS$1.5tUS$191.4b17.6x27.3x3.4x
Mon, 22 Apr 2024US$5.0tUS$1.5tUS$177.3b17.6x28x3.3x
Wed, 20 Mar 2024US$5.0tUS$1.5tUS$175.9b18.2x28.3x3.3x
Fri, 16 Feb 2024US$4.9tUS$1.5tUS$172.8b17.3x28.5x3.3x
Sun, 14 Jan 2024US$4.7tUS$1.5tUS$128.1b15.3x36.7x3.1x
Tue, 12 Dec 2023US$4.4tUS$1.5tUS$128.1b16.5x34.7x2.9x
Thu, 09 Nov 2023US$4.3tUS$1.5tUS$122.2b12.8x35.3x2.8x
Sat, 07 Oct 2023US$4.3tUS$1.5tUS$104.7b13.9x41.4x2.9x
Mon, 04 Sep 2023US$4.3tUS$1.5tUS$104.5b14.5x41.4x2.9x
Wed, 02 Aug 2023US$4.4tUS$1.5tUS$110.7b15x39.7x2.9x
Fri, 30 Jun 2023US$4.1tUS$1.5tUS$107.0b17x38.3x2.8x
Sun, 28 May 2023US$4.0tUS$1.5tUS$107.1b16.2x37.5x2.7x
Tue, 25 Apr 2023US$3.7tUS$1.5tUS$115.0b16.3x32.4x2.5x
Thu, 23 Mar 2023US$3.6tUS$1.5tUS$115.3b17.2x31.6x2.5x
Sat, 18 Feb 2023US$3.6tUS$1.5tUS$122.0b20.1x29.4x2.4x
Mon, 16 Jan 2023US$3.4tUS$1.5tUS$166.4b17.6x20.7x2.3x
Price to Earnings Ratio

20.7x


Total Market Cap: US$3.4tTotal Earnings: US$166.4bTotal Revenue: US$1.5tTotal Market Cap vs Earnings and Revenue0%0%0%
U.S. Telecom Sector Price to Earnings3Y Average 30.4x202420252026
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 30.4x.
  • The 3-year average PS ratio of 3.5x 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 Market1.49%
Telecom1.10%
Interactive Media and Services2.24%
Telecom Services and Carriers0.33%
Media-1.52%
Entertainment-2.53%
Wireless Telecom-2.63%
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 19.6%, which is higher than its past year's earnings decline of 1.7% 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 1.7% per year.
  • In contrast, the Telecom Services and Carriers industry is expected to see its earnings grow by 8.9% 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$325.444.0%
+US$150.1b		67.8%PE31.6x
ASTS AST SpaceMobileUS$90.5624.7%
+US$5.0b		302.3%PS1372.4x
RDDT RedditUS$253.9510.5%
+US$4.6b		47.6%PE137.8x
BIDU BaiduUS$141.268.1%
+US$3.6b		73.7%PE40.3x
SATS EchoStarUS$116.957.6%
+US$2.4b		399.4%PS2.2x

Latest News

GOOGL
US$325.44
Alphabet
7D
4.0%
1Y
67.8%
RDDT
US$253.95
Reddit
7D
10.5%
1Y
47.6%
TMUS
US$197.91
T-Mobile US
7D
-0.8%
1Y
-6.3%
LYV
US$147.27
Live Nation Entertainment
7D
3.3%
1Y
13.0%
RBLX
US$73.89
Roblox
7D
-8.8%
1Y
19.1%

RBLX: Advertising And User Content Monetization Will Reshape Long Term Earnings Power

Analysts have nudged their Roblox fair value estimate up by $5 to $180 as they factor in updated Street research that points to stronger monetization potential from advertising and user generated content, while also acknowledging recent target cuts that reflect higher investment and more tempered bookings expectations. Analyst Commentary Recent Street research on Roblox reflects a split view, with some firms trimming targets and others highlighting what they see as meaningful upside tied to ads, user generated content and platform scale.
BIDU
US$141.26
Baidu
7D
8.1%
1Y
73.7%
CMCSA
US$28.21
Comcast
7D
-5.6%
1Y
-24.1%

CMCSA: Warner Bids And New Sports Rights Will Reframe Earnings Power

Analysts nudged their fair value estimate for Comcast slightly lower to about $33.93 from $34.65. This reflects trimmed long term revenue growth and profit margin assumptions after the Versant spin, price target cuts from several firms to a range around $23 to $44, and concerns about broadband competition and media cost pressures, even as the assumed future P/E multiple edges modestly higher.
META
US$646.06
Meta Platforms
7D
-2.1%
1Y
5.8%
NFLX
US$90.53
Netflix
7D
-3.4%
1Y
3.5%

NFLX: Future Returns Will Weigh Warner Bid Uncertainty And Advertising Momentum

Analysts have trimmed their fair value narrative for Netflix to reflect slightly lower long term revenue growth and profit margin assumptions, alongside a modestly higher future P/E multiple. Recent price target updates are clustered around stock split adjusted levels such as US$110, US$1,350, US$1,385, US$1,400 and US$1,530, as they weigh potential Warner Bros.
SPOT
US$553.68
Spotify Technology
7D
-4.7%
1Y
15.4%

SPOT: Pricing Power And AI Collaboration Will Shape Balanced Risk Reward Outlook

Analysts have nudged their price targets for Spotify higher, citing a supportive mix of pricing power, a constructive view on music industry economics, and a willingness to underwrite a richer future P/E multiple of around 38.7x. Analyst Commentary Recent research on Spotify reflects a mix of enthusiasm for the business model and pricing potential alongside debate over how much optimism is already reflected in the share price.
T
US$24.17
AT&T
7D
-2.7%
1Y
9.0%

T: Future Returns Will Reflect 5G Expansion Benefits And Margin Resilience

Analysts trimmed their price target on AT&T to US$26.00 from about US$26.14, citing updated assumptions for a slightly higher discount rate, modestly stronger revenue growth and profit margins, and a lower future P/E multiple. What's in the News Servify is partnering with AT&T to offer AT&T Business Protect Enterprise Plans, adding tiered device protection, an enterprise portal, AI-supported claims and access to more than 2,000 repair locations for mid to large business customers.
FWON.K
US$91.40
Formula One Group
7D
-7.2%
1Y
-2.2%

FWON.K: Higher Media Hopes Will Face Mounting Execution And Margin Risks

Analysts have raised their price target for Formula One Group from approximately $89.00 to about $96.00, citing a higher long term valuation multiple despite moderating growth and margin expectations, in line with recent Street target increases. Analyst Commentary Recent commentary from bearish analysts has highlighted that, even with upward revisions to select price targets, the risk reward profile for Formula One Group is becoming less compelling at current levels.
SATS
US$116.95
EchoStar
7D
7.6%
1Y
399.4%

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.
FOXA
US$75.69
Fox
7D
3.6%
1Y
54.6%

FOXA: Advertising And Distribution Strength Will Support Balanced Future Risk Reward Profile

Analysts have nudged our Fox price target higher, with fair value rising about $1.70 to roughly $73 per share as they factor in stronger advertising and distribution trends, modestly better revenue growth and margins, and a slightly richer future earnings multiple supported by a series of target hikes and rating upgrades across the Street. Analyst Commentary Recent Street research has turned more constructive on Fox, with multiple bullish analysts lifting price targets into the mid to high $60s and beyond and shifting ratings higher as they recalibrate expectations for advertising, distribution, and free cash flow.
BILI
US$28.64
Bilibili
7D
16.5%
1Y
70.7%

BILI: Games Recovery Will Test Sustainability Amid Fairly Balanced Risk Profile

Analysts have nudged their fair value estimate for Bilibili higher from approximately $22.18 to $22.82, citing a recovery in gaming revenues and an improving games up cycle that supports slightly faster growth and margins, despite a still demanding valuation. Analyst Commentary Recent Street research on Bilibili reflects a mixed but cautious stance, with rising price targets tempered by concerns around valuation and the durability of the current games led recovery.
ASTS
US$90.56
AST SpaceMobile
7D
24.7%
1Y
302.3%