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

U.S. Telecom Sector Analysis

UpdatedSep 01, 2025
DataAggregated Company Financials
Companies483
  • 7D0.3%
  • 3M14.2%
  • 1Y35.0%
  • YTD17.6%

The Telecom industry has stayed flat over the last week. As for the the longer term, the industry is up 35% over the past 12 months. As for the next few years, earnings are expected to grow by 11% per annum.

Sector Valuation and Performance

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

DateMarket CapRevenueEarningsPEAbsolute PEPS
Mon, 01 Sep 2025US$7.1tUS$1.6tUS$287.3b21.3x24.7x4.3x
Wed, 30 Jul 2025US$6.7tUS$1.6tUS$256.8b18.2x26.1x4.1x
Fri, 27 Jun 2025US$6.5tUS$1.6tUS$250.2b17.3x25.8x4x
Sun, 25 May 2025US$6.1tUS$1.6tUS$248.0b17.1x24.7x3.8x
Tue, 22 Apr 2025US$5.4tUS$1.6tUS$227.8b15.9x23.6x3.4x
Thu, 20 Mar 2025US$5.8tUS$1.6tUS$228.5b16.4x25.3x3.6x
Sat, 15 Feb 2025US$6.6tUS$1.6tUS$218.1b19.1x30.2x4.1x
Mon, 13 Jan 2025US$6.1tUS$1.6tUS$189.3b18.6x32.2x3.9x
Wed, 11 Dec 2024US$6.1tUS$1.6tUS$189.5b18.2x31.9x3.8x
Fri, 08 Nov 2024US$5.8tUS$1.6tUS$187.5b17.9x31.1x3.7x
Sun, 06 Oct 2024US$5.7tUS$1.5tUS$188.2b18.3x30.4x3.7x
Tue, 03 Sep 2024US$5.4tUS$1.6tUS$189.1b18.8x28.4x3.5x
Thu, 01 Aug 2024US$5.3tUS$1.5tUS$197.8b20.6x26.8x3.4x
Sat, 29 Jun 2024US$5.5tUS$1.5tUS$191.3b15.7x29x3.6x
Mon, 27 May 2024US$5.3tUS$1.5tUS$191.3b17.3x27.7x3.5x
Wed, 24 Apr 2024US$5.1tUS$1.5tUS$177.0b18x28.7x3.4x
Fri, 22 Mar 2024US$5.1tUS$1.5tUS$175.9b18.5x28.7x3.4x
Sun, 18 Feb 2024US$4.8tUS$1.5tUS$174.0b16x27.7x3.2x
Tue, 16 Jan 2024US$4.7tUS$1.5tUS$128.1b15.2x36.7x3.1x
Thu, 14 Dec 2023US$4.5tUS$1.5tUS$128.0b16.6x34.8x2.9x
Sat, 11 Nov 2023US$4.3tUS$1.5tUS$125.8b13.1x34.1x2.8x
Mon, 09 Oct 2023US$4.3tUS$1.5tUS$104.7b13.9x41.4x2.9x
Wed, 06 Sep 2023US$4.3tUS$1.5tUS$104.4b14.5x41.4x2.9x
Fri, 04 Aug 2023US$4.3tUS$1.5tUS$104.8b14.5x41x2.9x
Sun, 02 Jul 2023US$4.1tUS$1.5tUS$107.0b17.1x38.7x2.8x
Tue, 30 May 2023US$4.0tUS$1.5tUS$107.1b16.1x37.5x2.7x
Thu, 27 Apr 2023US$3.6tUS$1.5tUS$114.0b16.2x32x2.5x
Sat, 25 Mar 2023US$3.7tUS$1.5tUS$115.3b16.3x32.3x2.5x
Mon, 20 Feb 2023US$3.6tUS$1.5tUS$122.0b20.1x29.4x2.4x
Wed, 18 Jan 2023US$3.4tUS$1.5tUS$166.4b17.5x20.5x2.3x
Fri, 16 Dec 2022US$3.2tUS$1.5tUS$166.5b16.8x19.2x2.1x
Sun, 13 Nov 2022US$3.3tUS$1.5tUS$163.4b18.2x20.2x2.2x
Tue, 11 Oct 2022US$3.3tUS$1.5tUS$187.6b15x17.6x2.2x
Thu, 08 Sep 2022US$3.6tUS$1.5tUS$187.7b15.3x19.2x2.4x
Price to Earnings Ratio

19.2x


Total Market Cap: US$3.6tTotal Earnings: US$187.7bTotal Revenue: US$1.5tTotal Market Cap vs Earnings and Revenue0%0%0%
U.S. Telecom Sector Price to Earnings3Y Average 29.5x202320242025
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 24.7x which is lower than its 3-year average PE of 29.5x.
  • The 3-year average PS ratio of 3.2x is lower than the industry's current PS ratio of 4.3x.
Past Earnings Growth
  • The earnings for companies in the Communication Services industry have grown 15% per year over the last three years.
  • Revenues for these companies have grown 3.3% 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 Market0.46%
Telecom0.32%
Media1.76%
Telecom Services and Carriers0.69%
Interactive Media and Services0.44%
Wireless Telecom0.014%
Entertainment-0.51%
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 18.5%, which is higher than its past year's earnings decline of 3.6% per year.
  • Investors are most pessimistic about the Media industry, which is trading below its 3-year average of 19.4x.
Forecasted Growth
  • Analysts are most optimistic on the Entertainment industry, expecting annual earnings growth of 18% over the next 5 years.
  • This is better than its past earnings decline of 3.6% per year.
  • In contrast, the Media industry is expected to see its earnings grow by 4.9% 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$212.912.1%
+US$53.5b		30.3%PE22.3x
SATS EchoStarUS$61.79106.8%
+US$9.2b		233.3%PS1.2x
T AT&TUS$29.291.9%
+US$3.9b		47.2%PE16.5x
DIS Walt DisneyUS$118.380.6%
+US$1.2b		31.0%PE18.4x
BIDU BaiduUS$95.303.7%
+US$1.2b		12.6%PE8.6x

Latest News

GOOGL
US$212.91
Alphabet
7D
2.1%
1Y
30.3%
T
US$29.29
AT&T
7D
1.9%
1Y
47.2%
WBD
US$11.64
Warner Bros. Discovery
7D
-3.3%
1Y
48.5%
SATS
US$61.79
EchoStar
7D
106.8%
1Y
233.3%
CHTR
US$265.58
Charter Communications
7D
-2.9%
1Y
-23.6%

Spectrum Mobile And AI Will Improve Service Efficiency

Charter Communications’ consensus price target edged down to $395.75 as analysts weighed ongoing network upgrades and potential cash tax relief against continued competitive pressures and decelerating ARPU growth. Analyst Commentary Bullish analysts note Charter’s ongoing network upgrades and the momentum of its Spectrum Life Unlimited offering as drivers for improvement in broadband net subscriber losses.
FWON.K
US$99.90
Formula One Group
7D
-2.5%
1Y
28.0%
META
US$738.70
Meta Platforms
7D
-1.9%
1Y
41.7%
RDDT
US$225.08
Reddit
7D
2.4%
1Y
274.9%
PSKY
US$14.70
Paramount Skydance
7D
-7.9%
1Y
40.4%
TME
US$24.52
Tencent Music Entertainment Group
7D
-4.7%
1Y
134.9%

Rising Smartphone Usage And Fan Economy Will Transform Entertainment

Tencent Music Entertainment Group’s analyst price target was raised to $28.14 following a strong Q2 beat, accelerating revenue growth, and robust monetization across its music ecosystem, reflecting increased confidence in its outlook. Analyst Commentary Bullish analysts cited a clean Q2 beat across all key metrics, with online music revenue growing 26% and significant improvement in average revenue per user.
BIDU
US$95.30
Baidu
7D
3.7%
1Y
12.6%
PINS
US$36.63
Pinterest
7D
3.2%
1Y
14.3%
DIS
US$118.38
Walt Disney
7D
0.6%
1Y
31.0%
TTD
US$54.66
Trade Desk
7D
4.4%
1Y
-47.7%

CTV Partnerships With Disney And Netflix Will Transform Media

Trade Desk’s lower Analyst Price Target reflects a notably reduced future P/E multiple despite an improved net profit margin, leading to a revised fair value estimate of $85.64. What's in the News The Trade Desk expects at least $717 million in Q3 2025 revenue and has appointed Alex Kayyal as CFO, with a planned leadership transition from Laura Schenkein.
SPOT
US$681.88
Spotify Technology
7D
-1.9%
1Y
98.9%
NFLX
US$1,208.25
Netflix
7D
-0.8%
1Y
72.3%