Direct Answer
24 SEC filers are classified under the Standard Industrial Classification codes that describe the technology hardware, storage & peripherals industry, and their latest annual reports show $618.4 billion of combined revenue and a median operating margin of 1.5%. Investors should still evaluate its revenue model, industry-specific KPIs, valuation framework and the risks that can change the group's economics.
Industry Overview
Technology hardware, storage and peripherals makers sell computers, storage devices, printers and accessories to consumers and businesses. Cycles follow refresh demand and component pricing, and margins are modest. The first numbers to compare across companies here are units and revenue, gross margin and average selling price.
Key Industry Metrics
- Units and revenue: Devices sold and total sales. Units show demand from refresh cycles and cloud buildouts, and in mature categories flat units are common.
- Gross margin: Revenue left after components and assembly. Commodity hardware earns thin margins, so mix toward premium or enterprise products and component price swings matter.
- Average selling price: Revenue earned per device sold. It reflects the product mix, and rising amounts show premium or enterprise models while falling amounts reflect discounting.
- Inventory: Finished goods and parts held. Stock builds when demand disappoints and often leads to price cuts or write-downs.
- Services attach: The portion of revenue from support, subscriptions and services tied to hardware. A larger share smooths cycles and carries higher margin than hardware sales alone.
Primary Macro Drivers
- Refresh cycles: Businesses and consumers replace equipment on cycles, so refresh timing drives units and revenue.
- Component costs: Memory, display and drive prices are a big share of cost, so price moves change gross margin unless products are repriced.
- Enterprise and consumer demand: Corporate budgets and household spending decide volumes and mix, shown in units and average selling price.
- Cloud and AI buildouts: Companies building cloud and AI capacity buy storage and systems, adding demand outside consumer cycles.
Major Risks
- Thin margins: Hardware is sold at small markup, so small cost or price moves erase profit; watch gross margin and operating margin.
- Mature volumes: When most buyers already own equipment, sales depend on replacement timing and units stay flat; watch units and refresh cycle length.
- Component swings: Component prices can jump before selling prices adjust, squeezing gross margin; watch component cost commentary and inventory.
- Competition: Many brands compete on price and promotion, pressuring average selling price and share; watch gross margin and inventory.
Industry Characteristics
| Characteristic | Profile |
|---|---|
| Cyclicality | Cyclical |
| Capital Intensity | Medium |
| Regulatory Intensity | Low |
| Industry Maturity | Mature |
| Geographic Importance | Global |
Technology Hardware, Storage & Peripherals Filers in the SEC Record
24 companies with annual reports in the dataset are classified by the SEC in the Standard Industrial Classification codes 3571, 3572, 3577. Their latest fiscal years end between 2025 and 2026, and together they reported $618.4 billion of revenue. Median revenue growth over the prior year was 12.9%. Median operating margin was 1.5% and median net margin 2.5%. Median total liabilities were 62% of total assets, and 13 of 24 reported a profit in their latest year.
| Company | Revenue | Growth | Operating margin | Net margin | Year |
|---|---|---|---|---|---|
| Apple Inc. | $416.2 billion | 6.4% | 32.0% | 26.9% | FY 2025 |
| Dell Technologies Inc. | $113.5 billion | 18.8% | 7.2% | 5.2% | FY 2026 |
| Super Micro Computer, Inc. | $22.0 billion | 46.6% | 5.7% | 4.8% | FY 2025 |
| Western Digital Corp | $9.5 billion | 50.7% | 24.5% | 17.3% | FY 2025 |
| Palo Alto Networks Inc | $9.2 billion | 14.9% | 13.5% | 12.3% | FY 2025 |
| Seagate Technology Holdings Plc | $9.1 billion | n/a | 20.8% | 16.1% | FY 2025 |
| Sandisk Corp | $7.4 billion | 10.4% | -18.7% | -22.3% | FY 2025 |
| Xerox Holdings Corp | $7.0 billion | 12.9% | n/a | -14.7% | FY 2025 |
The 8 largest of 24 by revenue. Source: each company's own annual report as filed with the SEC (XBRL data), figures in U.S. dollars. A company's SIC code reflects its main business as the SEC records it, so it can differ from how an index provider or analyst classifies the company, and a diversified group appears under only one code.
Where to Go Next
The Technology Hardware, Storage & Peripherals guide describes how the industry earns money, what to measure and what can go wrong. To see how it compares, read the neighbouring industries in the same sector, then apply the same checks to a specific company.
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Frequently Asked Questions
What are the main KPIs for the Technology Hardware, Storage & Peripherals industry?
Key performance indicators for the Technology Hardware, Storage & Peripherals industry include: Units and revenue, Gross margin, Average selling price, Inventory, Services attach. Which matter most depends on the company's model, so compare them across several companies rather than relying on one.
How cyclical is the Technology Hardware, Storage & Peripherals industry?
The Technology Hardware, Storage & Peripherals industry is cyclical, meaning its revenues and earnings tend to expand during economic expansions and contract during downturns. Investors should monitor leading economic indicators and interest rate trends when evaluating timing.
What are the biggest risks in the Technology Hardware, Storage & Peripherals industry?
The primary risks for Technology Hardware, Storage & Peripherals companies include: Thin margins, Mature volumes, Component swings, Competition. Investors should assess each company's exposure to these factors and its track record of navigating them.