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U.S. Telecom Sector Analysis

UpdatedMay 06, 2026
DataAggregated Company Financials
Companies488
  • 7D3.2%
  • 3M6.2%
  • 1Y48.7%
  • YTD7.8%

The Telecom industry is up 3.2% in the last week, with Alphabet up 11%. Meanwhile, Meta Platforms actually underperformed within the industry, shrinking 9.9% in the last week. In the last 12 months, the industry was up 49%. 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
Wed, 06 May 2026US$8.4tUS$1.7tUS$311.1b18.1x26.9x4.9x
Fri, 03 Apr 2026US$7.2tUS$1.7tUS$272.6b15.5x26.6x4.3x
Sun, 01 Mar 2026US$7.7tUS$1.7tUS$274.8b19.7x28x4.6x
Tue, 27 Jan 2026US$7.9tUS$1.6tUS$283.0b16.8x28x4.8x
Thu, 25 Dec 2025US$7.8tUS$1.6tUS$280.9b16.2x27.9x4.8x
Sat, 22 Nov 2025US$7.3tUS$1.6tUS$283.1b16.6x25.6x4.4x
Mon, 20 Oct 2025US$7.4tUS$1.6tUS$286.1b17.6x25.7x4.6x
Wed, 17 Sep 2025US$7.6tUS$1.6tUS$285.9b20.1x26.5x4.7x
Fri, 15 Aug 2025US$7.0tUS$1.6tUS$286.6b18.9x24.6x4.3x
Sun, 13 Jul 2025US$6.5tUS$1.6tUS$250.2b17.8x26.2x4.1x
Tue, 10 Jun 2025US$6.5tUS$1.6tUS$250.0b17.2x25.8x4x
Thu, 08 May 2025US$5.9tUS$1.6tUS$246.9b17x23.8x3.7x
Sat, 05 Apr 2025US$5.5tUS$1.6tUS$227.3b15.2x24x3.5x
Mon, 03 Mar 2025US$6.2tUS$1.6tUS$227.8b16.8x27.2x3.9x
Wed, 29 Jan 2025US$6.4tUS$1.6tUS$200.0b17.2x31.8x4.1x
Fri, 27 Dec 2024US$6.2tUS$1.6tUS$189.6b18.6x32.9x4x
Sun, 24 Nov 2024US$5.8tUS$1.6tUS$189.7b20.1x30.4x3.7x
Tue, 22 Oct 2024US$5.7tUS$1.6tUS$189.2b17.8x29.9x3.6x
Thu, 19 Sep 2024US$5.4tUS$1.5tUS$188.2b18.8x28.6x3.5x
Sat, 17 Aug 2024US$5.3tUS$1.6tUS$189.1b19.3x28.2x3.4x
Mon, 15 Jul 2024US$5.5tUS$1.5tUS$191.2b17.3x28.9x3.6x
Wed, 12 Jun 2024US$5.4tUS$1.5tUS$191.0b16.6x28.2x3.5x
Fri, 10 May 2024US$5.2tUS$1.5tUS$193.5b18.3x26.8x3.4x
Sun, 07 Apr 2024US$5.2tUS$1.5tUS$176.0b19.4x29.3x3.4x
Tue, 05 Mar 2024US$4.8tUS$1.5tUS$173.8b17.7x27.7x3.2x
Thu, 01 Feb 2024US$5.0tUS$1.5tUS$152.7b15.3x32.6x3.2x
Sat, 30 Dec 2023US$4.7tUS$1.5tUS$128.0b15.7x36.4x3.1x
Mon, 27 Nov 2023US$4.5tUS$1.5tUS$128.3b16x35.2x3x
Wed, 25 Oct 2023US$4.3tUS$1.5tUS$102.5b14x42x2.9x
Fri, 22 Sep 2023US$4.2tUS$1.5tUS$104.7b14.4x40.1x2.8x
Sun, 20 Aug 2023US$4.1tUS$1.5tUS$102.8b14.5x40.3x2.8x
Tue, 18 Jul 2023US$4.3tUS$1.5tUS$106.8b16.9x40.1x2.9x
Thu, 15 Jun 2023US$4.1tUS$1.5tUS$107.1b17.1x38.5x2.8x
Sat, 13 May 2023US$3.9tUS$1.5tUS$105.2b17.1x36.9x2.6x
Price to Earnings Ratio

36.9x


Total Market Cap: US$3.9tTotal Earnings: US$105.2bTotal Revenue: US$1.5tTotal Market Cap vs Earnings and Revenue0%0%0%
U.S. Telecom Sector Price to Earnings3Y Average 30.2x202420252026
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 26.9x which is lower than its 3-year average PE of 30.2x.
  • The 3-year average PS ratio of 3.7x is lower than the industry's current PS ratio of 4.9x.
Past Earnings Growth
  • The earnings for companies in the Communication Services industry have grown 44% per year over the last three years.
  • Revenues for these companies have grown 4.9% 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 Market1.81%
Telecom3.18%
Interactive Media and Services4.95%
Telecom Services and Carriers-1.31%
Wireless Telecom-1.40%
Media-1.99%
Entertainment-2.70%
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 17.5%, which is higher than its past year's earnings decline of 3.2% per year.
Forecasted Growth
  • Analysts are most optimistic on the Media industry, expecting annual earnings growth of 32% over the next 5 years.
  • This is better than its past earnings growth rate of 1.9% per year.
  • In contrast, the Telecom Services and Carriers industry is expected to see its earnings grow by 8.6% 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
GOOGL AlphabetUS$388.4311.0%
+US$466.3b		156.6%PE29.4x
RDDT RedditUS$171.6316.0%
+US$4.6b		56.0%PE46.7x
TTWO Take-Two Interactive SoftwareUS$223.114.7%
+US$1.9b		-3.8%PS6.3x
ROKU RokuUS$124.4110.5%
+US$1.7b		107.7%PE91.2x
PINS PinterestUS$22.2812.1%
+US$1.0b		-17.5%PE29.9x

Latest News

PINS
US$22.28
Pinterest
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12.1%
1Y
-17.5%
TMUS
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T-Mobile US
7D
-1.9%
1Y
-22.7%
LYV
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Live Nation Entertainment
7D
1.6%
1Y
17.2%
SATS
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EchoStar
7D
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1Y
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BAND
US$47.33
Bandwidth
7D
97.8%
1Y
285.4%
ROKU
US$124.41
Roku
7D
10.5%
1Y
107.7%
NFLX
US$87.89
Netflix
7D
-4.7%
1Y
-22.7%
CMCSA
US$26.46
Comcast
7D
-4.3%
1Y
-23.3%
GOOGL
US$388.43
Alphabet
7D
11.0%
1Y
156.6%
META
US$604.96
Meta Platforms
7D
-9.9%
1Y
3.0%

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SPOT
US$419.53
Spotify Technology
7D
-3.4%
1Y
-33.7%
TTWO
US$223.11
Take-Two Interactive Software
7D
4.7%
1Y
-3.8%
RDDT
US$171.63
Reddit
7D
16.0%
1Y
56.0%
ASTS
US$63.87
AST SpaceMobile
7D
-11.1%
1Y
154.7%
RBLX
US$44.04
Roblox
7D
-21.5%
1Y
-37.8%
TTD
US$24.61
Trade Desk
7D
5.9%
1Y
-55.8%

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Analysts have trimmed Trade Desk's average price target, with several firms cutting targets by $1 to $13 to reflect softer near term ad spend in key verticals and rising concern about competitive and agency related pressures. Analyst Commentary Recent research on Trade Desk shows a clear tilt toward more cautious views, with many price targets reset lower following the latest guidance and advertising trends.