Belgian (BEL20) Consumer Staples Sector Analysis

Sector Valuation and Performance

Has the Belgian Consumer Staples Sector valuation changed over the past few years?

Current Industry PE: Investors are relatively neutral on the industry at the moment, considering it's trading close to its 3-year average PE ratio of 28.4x. It appears they believe that earnings will grow in-line with historical growth rates.

Past Earnings Growth: The earnings for companies in the Consumer Staples industry have declined 8.5% per year over the last three years, while revenues have remained mostly flat. This means that although sales have remained flat, either the cost of doing business or the level of investment back into businesses has increased, which has decreased profits.

Industry Trends

Which industries have driven the changes within the Belgian Consumer Staples sector?

Industry PE: Investors are most optimistic about the Food industry which is trading above its 3-year average PE ratio of 34.1x. However analysts are expecting annual earnings growth of 13%, which is lower than the prior year's growth of 19% per year. So the market might believe that analysts are underestimating future growth. Meanwhile, investors are most pessimistic about the Food and Staples Retail industry, which is trading below its 3-year average of 16.8x.

Forecasted Growth: Analysts are most optimistic on the Personal Products industry, expecting annual earnings growth of 88% over the next 5 years. This is better than its past earnings decline of 71% per year. Meanwhile, the Food and Staples Retail industry is expected to see its earnings growth to stay flat over the next few years.

Top Stock Gainers and Losers

Which companies have driven the market over the last 7 days?