Investing IdeasBrowse All StocksMarkets
Have your own idea? Try our Stock Screener
Header cover image

U.S. Telecom Sector Analysis

UpdatedApr 01, 2026
DataAggregated Company Financials
Companies480
  • 7D-1.0%
  • 3M-7.8%
  • 1Y26.1%
  • YTD-7.7%

Over the last 7 days, the Telecom industry has dropped 1.0%, driven by Meta Platforms declining 3.5%. In the past year, the industry has gained 26%. Looking forward, earnings are forecast to grow by 14% annually.

Sector Valuation and Performance

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

DateMarket CapRevenueEarningsPEAbsolute PEPS
Wed, 01 Apr 2026US$6.9tUS$1.7tUS$272.5b15.5x25.1x4.1x
Fri, 27 Feb 2026US$7.7tUS$1.7tUS$274.2b18.7x27.9x4.5x
Sun, 25 Jan 2026US$7.9tUS$1.7tUS$283.0b16.6x27.9x4.8x
Tue, 23 Dec 2025US$7.7tUS$1.6tUS$280.9b16.6x27.4x4.7x
Thu, 20 Nov 2025US$7.4tUS$1.6tUS$283.1b16.1x26.1x4.5x
Sat, 18 Oct 2025US$7.3tUS$1.6tUS$286.1b17.6x25.6x4.5x
Mon, 15 Sep 2025US$7.4tUS$1.6tUS$286.1b20.7x25.8x4.6x
Wed, 13 Aug 2025US$6.9tUS$1.6tUS$285.8b20x24.2x4.2x
Fri, 11 Jul 2025US$6.6tUS$1.6tUS$250.2b18.4x26.4x4.1x
Sun, 08 Jun 2025US$6.4tUS$1.6tUS$250.0b17.2x25.8x4x
Tue, 06 May 2025US$5.9tUS$1.6tUS$243.7b16.9x24.2x3.7x
Thu, 03 Apr 2025US$5.7tUS$1.6tUS$227.4b17.4x25.3x3.6x
Sat, 01 Mar 2025US$6.1tUS$1.6tUS$228.1b17.1x26.9x3.9x
Mon, 27 Jan 2025US$6.4tUS$1.6tUS$198.3b18.8x32.2x4.1x
Wed, 25 Dec 2024US$6.2tUS$1.6tUS$189.6b18x32.9x4x
Fri, 22 Nov 2024US$5.9tUS$1.6tUS$189.7b19.8x31.3x3.8x
Sun, 20 Oct 2024US$5.7tUS$1.5tUS$188.9b18.5x29.9x3.7x
Tue, 17 Sep 2024US$5.3tUS$1.5tUS$187.4b18.7x28.3x3.4x
Thu, 15 Aug 2024US$5.3tUS$1.6tUS$189.6b18.8x28.1x3.4x
Sat, 13 Jul 2024US$5.5tUS$1.5tUS$191.2b17.3x28.9x3.6x
Mon, 10 Jun 2024US$5.3tUS$1.5tUS$191.0b15.3x28x3.5x
Wed, 08 May 2024US$5.2tUS$1.5tUS$193.7b18.2x26.9x3.4x
Fri, 05 Apr 2024US$5.2tUS$1.5tUS$176.0b19.5x29.3x3.4x
Sun, 03 Mar 2024US$4.9tUS$1.5tUS$174.0b16.9x28.1x3.2x
Tue, 30 Jan 2024US$5.0tUS$1.5tUS$145.5b15.3x34.2x3.3x
Thu, 28 Dec 2023US$4.6tUS$1.5tUS$127.9b14.7x36.4x3.1x
Sat, 25 Nov 2023US$4.5tUS$1.5tUS$128.3b16x35.2x3x
Mon, 23 Oct 2023US$4.3tUS$1.5tUS$102.5b14.9x41.7x2.8x
Wed, 20 Sep 2023US$4.4tUS$1.5tUS$104.4b14.3x41.8x2.9x
Fri, 18 Aug 2023US$4.2tUS$1.5tUS$102.7b14.9x41x2.8x
Sun, 16 Jul 2023US$4.3tUS$1.5tUS$106.8b16.6x40x2.9x
Tue, 13 Jun 2023US$4.1tUS$1.5tUS$107.1b15.9x38.3x2.8x
Thu, 11 May 2023US$3.8tUS$1.5tUS$104.6b17.1x36.6x2.6x
Sat, 08 Apr 2023US$3.8tUS$1.5tUS$115.4b16.6x33.3x2.6x
Price to Earnings Ratio

33.3x


Total Market Cap: US$3.8tTotal Earnings: US$115.4bTotal 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 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 25.1x which is lower than its 3-year average PE of 30.4x.
  • The 3-year average PS ratio of 3.6x is lower than the industry's current PS ratio of 4.1x.
Past Earnings Growth
  • The earnings for companies in the Communication Services industry have grown 33% per year over the last three years.
  • Revenues for these companies have grown 4.2% 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 Market-0.61%
Telecom-1.01%
Entertainment2.14%
Wireless Telecom-0.64%
Media-0.69%
Telecom Services and Carriers-0.83%
Interactive Media and Services-1.71%
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 18.7%, which is higher than its past year's earnings decline of 6.2% per year.
Forecasted Growth
  • Analysts are most optimistic on the Media industry, expecting annual earnings growth of 29% over the next 5 years.
  • This is better than its past earnings decline of 0.02% per year.
  • In contrast, the Telecom Services and Carriers industry is expected to see its earnings grow by 6.6% 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
NFLX NetflixUS$96.154.2%
+US$16.3b		2.8%PE37x
TTWO Take-Two Interactive SoftwareUS$197.503.2%
+US$1.1b		-6.0%PS5.6x
RBLX RobloxUS$56.562.8%
+US$1.1b		-7.3%PS8.2x
WMG Warner Music GroupUS$25.548.0%
+US$987.2m		-18.5%PE44.2x
T AT&TUS$28.990.4%
+US$838.0m		1.8%PE9.2x

Latest News

WBD
US$27.46
Warner Bros. Discovery
7D
0.9%
1Y
160.0%
GOOGL
US$287.56
Alphabet
7D
-1.0%
1Y
83.1%

GOOGL: Expanding AI Partnerships With Apple And Walmart Will Support Multi Year Re Rating

Alphabet's updated narrative keeps fair value at $443 per share while incorporating Street price target moves such as Wells Fargo's recent lift to $397. This reflects analysts' focus on Gemini traction, AI capacity build out, and broad price target increases across the coverage group.
GSAT
US$66.42
Globalstar
7D
8.7%
1Y
220.7%

GSAT: De Risked Satellite Services Will Unlock Underused Terrestrial Spectrum Value

Analysts lifted their price target on Globalstar to $71 from $66, citing a combination of a "de-risked" Apple-supported satellite services business and what they view as valuable, underused terrestrial spectrum and government services potential as the key drivers of their updated view. Analyst Commentary Recent commentary around Globalstar highlights a mix of enthusiasm for the current business mix and questions about how fully the opportunity is reflected in the new US$71 price target.
T
US$28.99
AT&T
7D
0.4%
1Y
1.8%

T: Expanded Buybacks Will Support Confidence In Long Term Connectivity Investments

Analysts now place AT&T's fair value estimate at $36.00, up from about $31.46. This reflects updated assumptions for discount rate, revenue growth, profit margin, and future P/E that they see as better aligned with the company’s current risk and earnings profile.
NXST
US$180.83
Nexstar Media Group
7D
-18.4%
1Y
1.2%
TTWO
US$197.50
Take-Two Interactive Software
7D
3.2%
1Y
-6.0%

TTWO: GenAI Returns And GTA Guidance Will Drive Repricing Potential

Analysts have modestly reduced their average price target on Take-Two Interactive Software to about $295, reflecting updated views on Grand Theft Auto unit economics, GTA Online potential, and upcoming guidance that is expected to include the planned GTA 6 release window. Analyst Commentary Bullish analysts are generally framing the updated US$295 average price target within a wider pattern of positive sentiment on Take-Two, even as some models are recalibrated around Grand Theft Auto unit economics and GTA Online assumptions.
VZ
US$50.20
Verizon Communications
7D
-1.4%
1Y
10.6%
TMUS
US$210.03
T-Mobile US
7D
-0.6%
1Y
-21.8%

TMUS: Sector Leading 2026 Service And EBITDA Outlook Will Drive Future Upside

The analyst price target for T-Mobile US edges up slightly to $268.68 from $268.52, as analysts fine tune assumptions around revenue growth, profit margins and future P/E multiples, while also factoring in recent price target revisions and ratings changes across the Street. Analyst Commentary Recent research updates on T-Mobile US reflect a mix of optimism about the company’s growth profile and some caution around valuation and sector conditions, which together shape the modest upward move in the consensus price target.
OMC
US$75.31
Omnicom Group
7D
-0.1%
1Y
-5.6%
META
US$572.13
Meta Platforms
7D
-3.5%
1Y
-2.4%
RBLX
US$56.56
Roblox
7D
2.8%
1Y
-7.3%
CMCSA
US$28.71
Comcast
7D
-1.7%
1Y
-21.8%
WMG
US$25.54
Warner Music Group
7D
8.0%
1Y
-18.5%

AI Partnerships And Catalog Acquisitions Will Struggle Before Eventually Supporting Healthier Margins

Catalysts About Warner Music Group Warner Music Group is a global music company with recorded music, music publishing and catalog monetization businesses. What are the underlying business or industry changes driving this perspective?
NFLX
US$96.15
Netflix
7D
4.2%
1Y
2.8%

NFLX: Walking From Warner Deal Will Refocus On Content And Efficiency

Analysts have modestly increased the blended price target for Netflix by about $2 to reflect updated views on content investment, operating efficiency and valuation multiples after the company opted out of a Warner Bros. Discovery deal.
ASTS
US$82.87
AST SpaceMobile
7D
-4.7%
1Y
279.3%
TKO
US$201.65
TKO Group Holdings
7D
4.2%
1Y
31.8%