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

U.S. Telecom Sector Analysis

UpdatedDec 13, 2025
DataAggregated Company Financials
Companies504
  • 7D-2.9%
  • 3M3.6%
  • 1Y25.3%
  • YTD28.1%

Over the last 7 days, the Telecom industry has dropped 1.2%, driven by Alphabet declining 3.7%. On the other hand Walt Disney is actually up 6.0%. In the past year, the industry has gained 25%. 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
Sat, 13 Dec 2025US$7.8tUS$1.6tUS$280.9b17.1x27.6x4.7x
Mon, 10 Nov 2025US$7.3tUS$1.6tUS$285.6b18x25.5x4.4x
Wed, 08 Oct 2025US$7.4tUS$1.6tUS$286.1b19.1x25.7x4.6x
Fri, 05 Sep 2025US$7.2tUS$1.6tUS$286.2b21.2x25.2x4.5x
Sun, 03 Aug 2025US$6.7tUS$1.6tUS$270.0b18.5x24.8x4.1x
Tue, 01 Jul 2025US$6.6tUS$1.6tUS$250.0b17.7x26.6x4.1x
Thu, 29 May 2025US$6.2tUS$1.6tUS$249.9b17.5x25x3.9x
Sat, 26 Apr 2025US$5.6tUS$1.6tUS$239.9b17x23.5x3.5x
Mon, 24 Mar 2025US$5.9tUS$1.6tUS$228.0b17.6x25.8x3.7x
Wed, 19 Feb 2025US$6.6tUS$1.6tUS$218.3b19.4x30.3x4.2x
Fri, 17 Jan 2025US$6.2tUS$1.6tUS$189.6b19.5x32.5x3.9x
Sun, 15 Dec 2024US$6.2tUS$1.6tUS$189.8b18.7x32.9x4x
Tue, 12 Nov 2024US$5.9tUS$1.6tUS$188.8b18.7x31.2x3.8x
Thu, 10 Oct 2024US$5.7tUS$1.5tUS$188.2b18.3x30.1x3.7x
Sat, 07 Sep 2024US$5.1tUS$1.6tUS$189.2b18.8x27x3.3x
Mon, 05 Aug 2024US$5.2tUS$1.5tUS$202.5b19.9x25.9x3.4x
Wed, 03 Jul 2024US$5.5tUS$1.5tUS$191.3b15.9x28.7x3.6x
Fri, 31 May 2024US$5.2tUS$1.5tUS$191.0b16.7x27.5x3.4x
Sun, 28 Apr 2024US$5.1tUS$1.5tUS$192.7b17.9x26.5x3.4x
Tue, 26 Mar 2024US$5.1tUS$1.5tUS$175.7b18x28.9x3.4x
Thu, 22 Feb 2024US$4.8tUS$1.5tUS$174.0b16.7x27.7x3.2x
Sat, 20 Jan 2024US$4.8tUS$1.5tUS$128.1b15.2x37.2x3.1x
Mon, 18 Dec 2023US$4.6tUS$1.5tUS$128.0b17.1x35.7x3x
Wed, 15 Nov 2023US$4.3tUS$1.5tUS$125.8b14.1x34.6x2.9x
Fri, 13 Oct 2023US$4.4tUS$1.5tUS$104.7b14.7x42.4x3x
Sun, 10 Sep 2023US$4.3tUS$1.5tUS$104.3b14.1x41.1x2.9x
Tue, 08 Aug 2023US$4.4tUS$1.5tUS$102.9b15.5x42.3x2.9x
Thu, 06 Jul 2023US$4.2tUS$1.5tUS$107.0b17x39.1x2.8x
Sat, 03 Jun 2023US$4.1tUS$1.5tUS$107.4b14.8x37.8x2.7x
Mon, 01 May 2023US$3.8tUS$1.5tUS$113.1b16.4x33.9x2.6x
Wed, 29 Mar 2023US$3.7tUS$1.5tUS$115.7b16.1x31.6x2.5x
Fri, 24 Feb 2023US$3.5tUS$1.5tUS$117.6b19.2x29.6x2.4x
Sun, 22 Jan 2023US$3.5tUS$1.5tUS$165.9b17.8x21.3x2.3x
Tue, 20 Dec 2022US$3.1tUS$1.5tUS$166.5b17.1x18.7x2.1x
Price to Earnings Ratio

18.7x


Total Market Cap: US$3.1tTotal Earnings: US$166.5bTotal Revenue: US$1.5tTotal Market Cap vs Earnings and Revenue0%0%0%
U.S. Telecom Sector Price to Earnings3Y Average 30.2x202320242025
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 30.2x.
  • The 3-year average PS ratio of 3.4x is lower than the industry's current PS ratio of 4.8x.
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 2.9% 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 Market-0.66%
Telecom-2.94%
Media3.32%
Entertainment0.098%
Telecom Services and Carriers-1.43%
Interactive Media and Services-3.87%
Wireless Telecom-6.17%
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 4.9% 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 4.9% per year.
  • In contrast, the Telecom Services and Carriers industry is expected to see its earnings grow by 8.4% 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
DIS Walt DisneyUS$111.606.0%
+US$11.2b		-1.5%PE16.1x
OMC Omnicom GroupUS$80.259.3%
+US$11.2b		-11.1%PE19x
WBD Warner Bros. DiscoveryUS$29.9815.0%
+US$9.7b		148.4%PE151.9x
SATS EchoStarUS$107.3730.9%
+US$7.3b		360.0%PS2x
SPOT Spotify TechnologyUS$597.805.8%
+US$6.8b		23.7%PE74.7x

Latest News

WBD
US$29.98
Warner Bros. Discovery
7D
15.0%
1Y
148.4%
TMUS
US$195.16
T-Mobile US
7D
-6.9%
1Y
-15.9%
RDDT
US$224.78
Reddit
7D
-4.0%
1Y
30.2%
OMC
US$80.25
Omnicom Group
7D
9.3%
1Y
-11.1%
GOOGL
US$309.29
Alphabet
7D
-3.7%
1Y
62.9%
SATS
US$107.37
EchoStar
7D
30.9%
1Y
360.0%

SATS: Future Spectrum Sales Will Likely Overprice 5G And Capital Division Prospects

Narrative Update on EchoStar Analysts have raised their price target on EchoStar by approximately 13 percent to around $90 per share, reflecting a lower perceived discount rate and higher future valuation multiples that more than offset slightly softer long term revenue growth and margin assumptions. What's in the News AT&T has rapidly deployed mid band 3.45 GHz spectrum acquired from EchoStar to nearly 23,000 cell sites, boosting 5G download speeds by up to 80 percent for mobility users and 55 percent for AT&T Internet Air customers across more than 5,300 cities in 48 states (company announcement).
SPOT
US$597.80
Spotify Technology
7D
5.8%
1Y
23.7%
FOXA
US$71.10
Fox
7D
3.9%
1Y
51.0%
LYV
US$143.14
Live Nation Entertainment
7D
2.7%
1Y
5.3%

LYV: Strong Secondary Ticketing Reforms Will Support Future Profit Momentum

Analysts have nudged their average price target on Live Nation Entertainment slightly lower by about $1 to the high $170s, reflecting modestly higher long term growth expectations, but also regulatory overhang and secondary ticketing uncertainties that temper near term valuation multiples. Analyst Commentary Street research around Live Nation continues to frame the stock as a structurally attractive growth story, but with a valuation ceiling in the near term given regulatory and secondary ticketing uncertainties.
META
US$644.23
Meta Platforms
7D
-4.3%
1Y
3.8%
VZ
US$40.89
Verizon Communications
7D
-1.9%
1Y
-3.3%
DIS
US$111.60
Walt Disney
7D
6.0%
1Y
-1.5%
ROKU
US$107.51
Roku
7D
7.4%
1Y
29.5%
NFLX
US$95.19
Netflix
7D
-5.0%
1Y
3.6%

NFLX: Shares Should Gain As Warner Bros. Bid Shapes Content Leadership

Analysts make a marginal downward adjustment to their Netflix price target, trimming fair value by approximately $0.21 per share as slightly lower long term margin assumptions offset modestly higher revenue growth and a richer future P E multiple. Analyst Commentary Street research remains broadly constructive on Netflix, with most recent notes emphasizing resilient engagement, growing advertising ambitions, and durable pricing power, even as some caution emerges around execution risk and potential strategic moves.
RBLX
US$88.51
Roblox
7D
-8.1%
1Y
48.5%

RBLX: Expanding Advertising and Rewarded Video Will Unlock Major Upside Ahead

The analyst price target for Roblox has been modestly revised downward to $145.63 from $146.02. Analysts continue to see strong top-line momentum but point to increased investments and a softer margin outlook in the near term.
T
US$24.58
AT&T
7D
-2.8%
1Y
4.0%