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U.S. Telecom Sector Analysis

UpdatedAug 02, 2026
DataAggregated Company Financials
Companies478
  • 7D3.0%
  • 3M-7.5%
  • 1Y17.3%
  • YTD-7.2%

In the last week, the Telecom industry is up 3.0%, with Alphabet up 11%. Meanwhile, Meta Platforms actually underperformed within the industry, shrinking 6.5% in the last week. This takes the industry's 12 month performance to a gain of 17%. Earnings are forecast to grow by 15% annually.

Sector Valuation and Performance

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

DateMarket CapRevenueEarningsPEAbsolute PEPS
Sun, 02 Aug 2026US$9.2tUS$1.8tUS$374.4b18.6x24.5x5.1x
Tue, 30 Jun 2026US$9.9tUS$1.7tUS$300.7b17.9x32.9x5.7x
Thu, 28 May 2026US$8.4tUS$1.7tUS$308.9b17.4x27.2x4.9x
Sat, 25 Apr 2026US$8.0tUS$1.7tUS$272.9b17.3x29.3x4.8x
Mon, 23 Mar 2026US$7.3tUS$1.7tUS$272.1b17.9x26.9x4.4x
Wed, 18 Feb 2026US$7.5tUS$1.7tUS$282.6b16.1x26.6x4.5x
Fri, 16 Jan 2026US$7.9tUS$1.6tUS$282.2b16.3x28x4.8x
Sun, 14 Dec 2025US$7.7tUS$1.6tUS$280.9b17.1x27.4x4.7x
Tue, 11 Nov 2025US$7.3tUS$1.6tUS$285.7b18.3x25.6x4.4x
Thu, 09 Oct 2025US$7.3tUS$1.6tUS$286.1b18.9x25.5x4.5x
Sat, 06 Sep 2025US$7.3tUS$1.6tUS$286.2b21x25.5x4.5x
Mon, 04 Aug 2025US$6.7tUS$1.6tUS$270.0b18.5x24.8x4.1x
Wed, 02 Jul 2025US$6.6tUS$1.6tUS$250.0b17.7x26.6x4.1x
Fri, 30 May 2025US$6.2tUS$1.6tUS$249.8b17.6x24.9x3.9x
Sun, 27 Apr 2025US$5.7tUS$1.6tUS$240.0b17.1x23.6x3.6x
Tue, 25 Mar 2025US$6.0tUS$1.6tUS$228.1b18x26.1x3.8x
Thu, 20 Feb 2025US$6.6tUS$1.6tUS$218.3b19.4x30.3x4.2x
Sat, 18 Jan 2025US$6.1tUS$1.6tUS$189.6b19.2x32.3x3.9x
Mon, 16 Dec 2024US$6.2tUS$1.6tUS$189.8b18.7x32.9x4x
Wed, 13 Nov 2024US$5.9tUS$1.6tUS$188.8b18.9x31.4x3.8x
Fri, 11 Oct 2024US$5.6tUS$1.5tUS$188.2b18.4x29.9x3.7x
Sun, 08 Sep 2024US$5.1tUS$1.6tUS$189.2b18.8x27x3.3x
Tue, 06 Aug 2024US$5.2tUS$1.5tUS$202.6b19.2x25.8x3.4x
Thu, 04 Jul 2024US$5.6tUS$1.5tUS$191.3b18.1x29.1x3.6x
Sat, 01 Jun 2024US$5.3tUS$1.5tUS$191.0b16.4x27.5x3.4x
Mon, 29 Apr 2024US$5.1tUS$1.5tUS$192.7b17.9x26.5x3.4x
Wed, 27 Mar 2024US$5.1tUS$1.5tUS$175.9b19.9x28.8x3.4x
Fri, 23 Feb 2024US$4.8tUS$1.5tUS$174.0b17.5x27.7x3.2x
Sun, 21 Jan 2024US$4.8tUS$1.5tUS$128.1b15.2x37.2x3.1x
Tue, 19 Dec 2023US$4.6tUS$1.5tUS$127.9b17x35.7x3x
Thu, 16 Nov 2023US$4.4tUS$1.5tUS$126.4b14.3x34.8x2.9x
Sat, 14 Oct 2023US$4.3tUS$1.5tUS$104.7b14.9x41.3x2.9x
Mon, 11 Sep 2023US$4.3tUS$1.5tUS$104.3b14.1x41.1x2.9x
Wed, 09 Aug 2023US$4.3tUS$1.5tUS$101.8b15.3x42.6x2.9x
Price to Earnings Ratio

42.6x


Total Market Cap: US$4.3tTotal Earnings: US$101.8bTotal Revenue: US$1.5tTotal Market Cap vs Earnings and Revenue0%0%0%
U.S. Telecom Sector Price to Earnings3Y Average 29.5x202420252026
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 24.5x which is lower than its 3-year average PE of 29.5x.
  • The 3-year average PS ratio of 3.9x is lower than the industry's current PS ratio of 5.1x.
Past Earnings Growth
  • The earnings for companies in the Communication Services industry have grown 54% per year over the last three years.
  • Revenues for these companies have grown 6.0% 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 Market0.97%
Telecom3.05%
Interactive Media and Services6.25%
Media3.26%
Entertainment1.07%
Wireless Telecom-3.35%
Telecom Services and Carriers-4.23%
Industry PE
  • Investors are most optimistic about the Telecom Services and Carriers industry which is trading above its 3-year average PE ratio of 1.4x.
    • Analysts are expecting annual earnings growth of 47.5%, which is higher than its past year's earnings decline of 17.6% per year.
Forecasted Growth
  • Analysts are most optimistic on the Telecom Services and Carriers industry, expecting annual earnings growth of 48% over the next 5 years.
  • This is better than its past earnings decline of 18% per year.
  • In contrast, the Interactive Media and Services industry is expected to see its earnings grow by 3.5% 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$356.1311.4%
+US$445.0b		88.3%PE17.8x
NFLX NetflixUS$71.712.3%
+US$6.7b		-38.1%PE21.9x
CMCSA ComcastUS$23.967.5%
+US$5.9b		-26.3%PE7.6x
SPOT Spotify TechnologyUS$499.943.6%
+US$3.6b		-20.3%PE32.9x
CHTR Charter CommunicationsUS$144.9817.6%
+US$2.6b		-45.2%PE3.5x

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