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Dec 02
U.S. Consumer Discretionary Sector Analysis
UpdatedDec 06, 2022
DataAggregated Company Financials
Companies871
- 7D0.1%
- 3M-14.2%
- 1Y-37.8%
- YTD-37.8%
In the last week, the Consumer Discretionary industry is up 2.0%, with Alibaba Group Holding up 19%. However, the industry is down 35% over the past year. Earnings are forecast to grow by 28% annually.
Sector Valuation and Performance
Has the U.S. Consumer Discretionary Sector valuation changed over the past few years?
| Date | Market Cap | Revenue | Earnings | PE | Absolute PE | PS |
|---|---|---|---|---|---|---|
| Wed, 07 Dec 2022 | US$4.4t | US$3.0t | US$108.2b | 12x | 40.7x | 1.5x |
| Fri, 04 Nov 2022 | US$4.1t | US$3.0t | US$111.8b | 10.7x | 37x | 1.4x |
| Sun, 02 Oct 2022 | US$4.5t | US$3.0t | US$112.5b | 10.3x | 39.8x | 1.5x |
| Tue, 30 Aug 2022 | US$5.1t | US$3.0t | US$111.1b | 11.7x | 45.8x | 1.7x |
| Thu, 28 Jul 2022 | US$4.9t | US$2.9t | US$120.7b | 11.1x | 40.6x | 1.7x |
| Sat, 25 Jun 2022 | US$4.7t | US$2.9t | US$120.1b | 11.2x | 39.3x | 1.6x |
| Mon, 23 May 2022 | US$4.5t | US$2.9t | US$118.5b | 11.1x | 37.6x | 1.5x |
| Wed, 20 Apr 2022 | US$6.0t | US$2.9t | US$134.4b | 12.5x | 44.4x | 2.1x |
| Fri, 18 Mar 2022 | US$5.7t | US$2.8t | US$129.7b | 13.4x | 44.2x | 2x |
| Sun, 13 Feb 2022 | US$5.9t | US$2.8t | US$143.5b | 14.2x | 41.3x | 2.1x |
| Tue, 11 Jan 2022 | US$6.4t | US$2.7t | US$117.0b | 15.7x | 55.1x | 2.3x |
| Thu, 09 Dec 2021 | US$6.9t | US$2.7t | US$118.0b | 16x | 58.5x | 2.5x |
| Sat, 06 Nov 2021 | US$7.2t | US$2.7t | US$125.2b | 17.1x | 57.6x | 2.7x |
| Mon, 04 Oct 2021 | US$6.3t | US$2.6t | US$123.1b | 16.6x | 50.9x | 2.4x |
| Wed, 01 Sep 2021 | US$6.5t | US$2.6t | US$120.8b | 16.2x | 53.8x | 2.5x |
| Thu, 08 Jul 2021 | US$6.6t | US$2.6t | US$115.1b | 17.8x | 57.3x | 2.6x |
| Wed, 31 Mar 2021 | US$6.2t | US$2.3t | US$66.1b | 20.4x | 93.2x | 2.7x |
| Sat, 02 Jan 2021 | US$6.2t | US$2.3t | US$47.4b | 19.5x | 130.4x | 2.7x |
| Tue, 06 Oct 2020 | US$5.2t | US$2.2t | US$50.9b | 19.4x | 102.4x | 2.4x |
| Fri, 10 Jul 2020 | US$4.1t | US$2.1t | US$51.6b | 21.1x | 78.5x | 2x |
| Thu, 02 Apr 2020 | US$3.0t | US$2.2t | US$84.3b | 10.9x | 35.2x | 1.3x |
| Sun, 05 Jan 2020 | US$3.7t | US$2.3t | US$114.7b | 18.5x | 32.3x | 1.6x |
Price to Earnings Ratio
32.3x
Current Industry PE
- Investors are pessimistic on the American Consumer Discretionary 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 40.7x which is lower than its 3-year average PE of 65.8x.
- The 3-year average PS ratio of 2.1x is higher than the industry's current PS ratio of 1.5x.
Past Earnings Growth
- The earnings for companies in the Consumer Discretionary industry have remained mostly flat over the last three years.
- Meanwhile revenues for these companies have grown 9.7% per year.
- This means that although more sales are being generated, either the cost of doing business or the level of investment back into businesses has increased and as a result, profits have held steady.
Industry Trends
Which industries have driven the changes within the U.S. Consumer Discretionary sector?
| US Market | 1.07% | |
| Consumer Discretionary | 1.96% | |
| Leisure | 4.22% | |
| Hospitality | 3.42% | |
| Luxury | 3.38% | |
| Online Retail and Ecommerce | 2.61% | |
| Auto Components | 2.44% | |
| Consumer Durables | 2.19% | |
| Auto | 1.23% | |
| Retail Distributors | 0.76% | |
| Consumer Services | 0.42% | |
| Specialty Stores | 0.33% | |
| General Merchanise and Department Stores | -3.59% | |
Industry PE
- Investors are most optimistic about the Hospitality industry which is trading above its 3-year average PE ratio.
- Analysts expect its future annual earnings growth (25.3%) to be largely in line with prior year's earnings growth.
Forecasted Growth
- Analysts are most optimistic on the Online Retail and Ecommerce industry, expecting annual earnings growth of 46% over the next 5 years.
- This is better than its past earnings decline of 61% per year.
- In contrast, the Consumer Durables industry is expected to see its earnings decline by 6.1% 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 | |
|---|---|---|---|---|---|
| BABA Alibaba Group Holding | US$91.45 | 14.5% +US$30.7b | -27.2% | PE124.2x | |
| JD JD.com | US$60.35 | 13.3% +US$11.1b | -22.7% | PE302.6x | |
| PDD Pinduoduo | US$86.91 | 10.8% +US$10.7b | 37.9% | PE26.8x | |
| NIO NIO | US$13.24 | 26.1% +US$4.5b | -60.0% | PS3.5x | |
| LI Li Auto | US$23.10 | 24.7% +US$4.5b | -25.3% | PS4.3x |
