U.S. Tech Sector Analysis
UpdatedApr 25, 2024
DataAggregated Company Financials
Companies944
- 7D-0.7%
- 3M-0.8%
- 1Y40.8%
- YTD8.3%
In the last week, Tech has been flat. As for the the longer term, the industry is up 41% over the past 12 months. Looking forward, earnings are forecast to grow by 16% annually.
Sector Valuation and Performance
Has the U.S. Tech Sector valuation changed over the past few years?
| Date | Market Cap | Revenue | Earnings | PE | Absolute PE | PS |
|---|---|---|---|---|---|---|
| Thu, 25 Apr 2024 | US$13.9t | US$2.0t | US$327.8b | 28.4x | 42.5x | 6.8x |
| Sat, 23 Mar 2024 | US$14.9t | US$2.0t | US$328.6b | 27.8x | 45.4x | 7.3x |
| Mon, 19 Feb 2024 | US$14.2t | US$2.0t | US$310.2b | 27.5x | 45.9x | 7x |
| Wed, 17 Jan 2024 | US$13.4t | US$2.0t | US$292.0b | 25.7x | 46x | 6.5x |
| Fri, 15 Dec 2023 | US$13.2t | US$2.1t | US$293.6b | 26.2x | 45x | 6.4x |
| Sun, 12 Nov 2023 | US$12.3t | US$2.0t | US$279.7b | 23.4x | 44.1x | 6.1x |
| Tue, 10 Oct 2023 | US$11.8t | US$2.0t | US$269.8b | 24.7x | 43.8x | 5.8x |
| Thu, 07 Sep 2023 | US$12.1t | US$2.0t | US$272.7b | 24.1x | 44.5x | 5.9x |
| Sat, 05 Aug 2023 | US$11.9t | US$2.0t | US$262.2b | 25.6x | 45.4x | 5.9x |
| Mon, 03 Jul 2023 | US$12.0t | US$2.0t | US$259.9b | 25x | 46.3x | 5.9x |
| Wed, 31 May 2023 | US$11.4t | US$2.0t | US$262.6b | 24x | 43.5x | 5.6x |
| Fri, 28 Apr 2023 | US$10.2t | US$2.0t | US$275.8b | 20.6x | 37.1x | 5x |
| Sun, 26 Mar 2023 | US$10.1t | US$2.0t | US$278.4b | 22.1x | 36.1x | 4.9x |
| Tue, 21 Feb 2023 | US$11.0t | US$2.3t | US$297.0b | 24.2x | 36.9x | 4.9x |
| Thu, 19 Jan 2023 | US$10.2t | US$2.2t | US$327.5b | 23.5x | 31x | 4.5x |
| Sat, 17 Dec 2022 | US$10.0t | US$2.3t | US$330.6b | 21.7x | 30.2x | 4.4x |
| Mon, 14 Nov 2022 | US$10.5t | US$2.2t | US$333.3b | 22x | 31.4x | 4.7x |
| Wed, 12 Oct 2022 | US$9.4t | US$2.2t | US$345.5b | 18.8x | 27.2x | 4.3x |
| Fri, 09 Sep 2022 | US$10.7t | US$2.2t | US$346.9b | 21.1x | 30.8x | 4.9x |
| Sun, 07 Aug 2022 | US$11.8t | US$2.2t | US$350.7b | 23x | 33.7x | 5.4x |
| Tue, 05 Jul 2022 | US$10.2t | US$2.2t | US$359.4b | 22x | 28.3x | 4.7x |
| Thu, 02 Jun 2022 | US$11.2t | US$2.1t | US$358.8b | 25.4x | 31.1x | 5.2x |
| Sat, 30 Apr 2022 | US$11.5t | US$2.1t | US$352.3b | 23.8x | 32.5x | 5.5x |
| Mon, 28 Mar 2022 | US$13.1t | US$2.1t | US$344.7b | 25.5x | 38x | 6.4x |
| Wed, 23 Feb 2022 | US$12.6t | US$2.2t | US$356.1b | 25.2x | 35.4x | 5.9x |
| Fri, 21 Jan 2022 | US$13.2t | US$2.1t | US$346.5b | 27x | 38x | 6.1x |
| Sun, 19 Dec 2021 | US$14.3t | US$2.1t | US$345.8b | 27.5x | 41.3x | 6.7x |
| Tue, 16 Nov 2021 | US$14.8t | US$2.1t | US$340.0b | 31.4x | 43.6x | 7x |
| Thu, 14 Oct 2021 | US$13.5t | US$2.0t | US$314.6b | 32.7x | 42.9x | 6.7x |
| Sat, 11 Sep 2021 | US$13.9t | US$2.0t | US$312.2b | 28.3x | 44.5x | 6.9x |
| Mon, 09 Aug 2021 | US$13.5t | US$2.0t | US$310.1b | 30.9x | 43.5x | 6.7x |
| Sun, 02 May 2021 | US$12.3t | US$1.9t | US$293.7b | 32.6x | 41.8x | 6.4x |
Price to Earnings Ratio
41.8x
Current Industry PE
- Investors are optimistic on the American Information Technology industry, and appear confident in long term growth rates.
- The industry is trading at a PE ratio of 42.5x which is higher than its 3-year average PE of 39.0x.
- The 3-year average PS ratio of 5.8x is lower than the industry's current PS ratio of 6.8x.
Past Earnings Growth
- The earnings for companies in the Information Technology industry have grown 3.7% per year over the last three years, while revenues have remained mostly flat.
- This means that companies overall are more efficiently conducting business since profits are increasing while sales have been flat.
Industry Trends
Which industries have driven the changes within the U.S. Tech sector?
| US Market | 1.21% | |
| Tech | -0.74% | |
| IT | 1.29% | |
| Electronic Equipment and Components | 1.07% | |
| Communications | 0.39% | |
| Software | 0.33% | |
| Tech Hardware | 0.085% | |
| Semiconductors | -2.97% | |
Industry PE
- Investors are most optimistic about the Semiconductors industry which is trading above its 3-year average PE ratio of 33.2x.
- Analysts are expecting annual earnings growth of 24.2%, which is higher than its past year's earnings decline of 13.5% per year.
- Investors are most pessimistic about the Communications industry, which is trading close to its 3-year average of 23.5x.
Forecasted Growth
- Analysts are most optimistic on the Semiconductors industry, expecting annual earnings growth of 24% over the next 5 years.
- This is better than its past earnings decline of 14% per year.
- In contrast, the Tech Hardware industry is expected to see its earnings grow by 6.3% per year over the next few years.
Top Stock Gainers and Losers
Which companies have driven the market over the last 7 days?
| Company | Last Price | 7D | 1Y | Valuation | |
|---|---|---|---|---|---|
| AAPL Apple | US$169.89 | 1.7% +US$44.0b | 0.9% | PE26x | |
| AVGO Broadcom | US$1.29k | 2.8% +US$16.4b | 109.3% | PE51.8x | |
| TXN Texas Instruments | US$175.25 | 7.1% +US$10.6b | 6.0% | PE27.2x | |
| ADI Analog Devices | US$197.94 | 5.5% +US$5.1b | 11.4% | PE34.9x | |
| INTU Intuit | US$626.39 | 3.0% +US$5.0b | 46.0% | PE63.3x |
