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U.S. Consumer Discretionary Sector Analysis

UpdatedMar 01, 2026
DataAggregated Company Financials
Companies798
  • 7D-1.5%
  • 3M-5.0%
  • 1Y6.2%
  • YTD-4.8%

Over the last 7 days, the Consumer Discretionary industry has dropped 1.5%, driven by Tesla declining 2.3%. Over the past 12 months, the industry was up 6.2%. As for the next few years, earnings are expected to grow by 20% per annum.

Sector Valuation and Performance

Has the U.S. Consumer Discretionary Sector valuation changed over the past few years?

DateMarket CapRevenueEarningsPEAbsolute PEPS
Sun, 01 Mar 2026US$7.4tUS$3.6tUS$205.9b20.1x35.9x2x
Tue, 27 Jan 2026US$7.9tUS$3.6tUS$221.4b19.5x35.5x2.2x
Thu, 25 Dec 2025US$7.8tUS$3.6tUS$221.4b19.2x35.4x2.2x
Sat, 22 Nov 2025US$7.1tUS$3.6tUS$225.1b17.9x31.7x2x
Mon, 20 Oct 2025US$7.5tUS$3.5tUS$220.8b18.7x34.2x2.2x
Wed, 17 Sep 2025US$7.8tUS$3.5tUS$221.4b19.8x35.1x2.2x
Fri, 15 Aug 2025US$7.2tUS$3.5tUS$217.3b19.7x33.1x2.1x
Sun, 13 Jul 2025US$6.9tUS$3.4tUS$215.7b18.9x32x2x
Tue, 10 Jun 2025US$6.7tUS$3.4tUS$217.3b17.6x30.7x1.9x
Thu, 08 May 2025US$6.2tUS$3.4tUS$217.8b17x28.3x1.8x
Sat, 05 Apr 2025US$5.9tUS$3.4tUS$211.8b15.5x28x1.7x
Mon, 03 Mar 2025US$6.8tUS$3.4tUS$211.4b17.8x32.3x2x
Wed, 29 Jan 2025US$7.3tUS$3.3tUS$197.9b19.2x37x2.2x
Fri, 27 Dec 2024US$7.4tUS$3.3tUS$200.9b18.3x36.7x2.2x
Sun, 24 Nov 2024US$6.7tUS$3.4tUS$199.9b18.6x33.6x2x
Tue, 22 Oct 2024US$5.9tUS$3.2tUS$178.4b18.5x32.9x1.8x
Thu, 19 Sep 2024US$5.7tUS$3.2tUS$177.5b17.5x31.9x1.8x
Sat, 17 Aug 2024US$5.5tUS$3.2tUS$172.6b17.3x31.7x1.7x
Mon, 15 Jul 2024US$5.8tUS$3.1tUS$167.4b17.6x34.6x1.9x
Wed, 12 Jun 2024US$5.4tUS$3.1tUS$168.0b17.6x32.3x1.7x
Fri, 10 May 2024US$5.4tUS$3.1tUS$166.9b18.4x32.5x1.8x
Sun, 07 Apr 2024US$5.3tUS$3.1tUS$160.4b18x33.3x1.7x
Tue, 05 Mar 2024US$5.4tUS$3.1tUS$154.8b17.8x34.6x1.8x
Thu, 01 Feb 2024US$5.1tUS$3.1tUS$148.4b16.6x34.2x1.7x
Sat, 30 Dec 2023US$5.3tUS$3.1tUS$141.4b17.6x37.8x1.7x
Mon, 27 Nov 2023US$5.0tUS$3.0tUS$139.8b15.3x35.7x1.6x
Wed, 25 Oct 2023US$4.5tUS$3.0tUS$113.0b14.6x39.6x1.5x
Fri, 22 Sep 2023US$4.7tUS$3.0tUS$112.4b14.9x42.1x1.6x
Sun, 20 Aug 2023US$4.7tUS$3.0tUS$112.4b15.9x42.2x1.6x
Tue, 18 Jul 2023US$5.1tUS$2.9tUS$99.9b15.7x51.5x1.8x
Thu, 15 Jun 2023US$4.8tUS$2.9tUS$99.3b14.8x48.5x1.7x
Sat, 13 May 2023US$4.2tUS$2.9tUS$94.0b14x45.1x1.5x
Mon, 10 Apr 2023US$4.3tUS$2.9tUS$81.8b13.4x53x1.5x
Wed, 08 Mar 2023US$4.5tUS$3.1tUS$86.4b14.2x51.9x1.5x
Price to Earnings Ratio

51.9x


Total Market Cap: US$4.5tTotal Earnings: US$86.4bTotal Revenue: US$3.1tTotal Market Cap vs Earnings and Revenue0%0%0%
U.S. Consumer Discretionary Sector Price to Earnings3Y Average 36.5x202420252026
Current Industry PE
  • Investors are relatively neutral on the American Consumer Discretionary 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 36.5x.
  • The 3-year average PS ratio of 1.8x is lower than the industry's current PS ratio of 2.0x.
Past Earnings Growth
  • The earnings for companies in the Consumer Discretionary industry have grown 34% per year over the last three years.
  • Revenues for these companies have grown 5.6% 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. Consumer Discretionary sector?

US Market-0.57%
Consumer Discretionary-1.50%
Retail Distributors1.37%
Hospitality0.28%
Online Retail and Ecommerce0%0
Consumer Services-0.25%
Specialty Stores-0.29%
General Merchandise and Department Stores-1.45%
Auto-2.26%
Consumer Durables-2.70%
Leisure-3.93%
Luxury-4.30%
Auto Components-4.73%
Industry PE
  • Investors are most optimistic about the Luxury industry which is trading above its 3-year average PE ratio of 28.5x.
    • Analysts are expecting annual earnings growth of 18.5%, which is higher than its past year's earnings decline of 9.3% per year.
Forecasted Growth
  • Analysts are most optimistic on the Leisure industry, expecting annual earnings growth of 35% over the next 5 years.
  • This is better than its past earnings decline of 37% per year.
  • In contrast, the Consumer Durables industry is expected to see its earnings grow by 7.3% 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
MCD McDonald'sUS$341.063.6%
+US$7.8b		10.6%PE28.3x
BKNG Booking HoldingsUS$4.24k4.0%
+US$5.1b		-15.5%PE24.8x
ABNB AirbnbUS$135.115.6%
+US$4.3b		-2.7%PE32.3x
TJX TJX CompaniesUS$161.662.2%
+US$3.8b		29.6%PE32.7x
EXPE Expedia GroupUS$215.696.0%
+US$1.5b		9.0%PE20.4x

Latest News

FLUT
US$106.14
Flutter Entertainment
7D
-12.3%
1Y
-62.2%
CAVA
US$82.47
CAVA Group
7D
17.6%
1Y
-13.2%
GM
US$78.71
General Motors
7D
-3.4%
1Y
60.2%
MCD
US$341.06
McDonald's
7D
3.6%
1Y
10.6%

MCD: Value And Digital Execution Are Expected To Support Breakout Setup

Narrative Update McDonald's fair value estimate edges up by about $2 to $341.28 as analysts lift price targets across the stock. They cite what they see as higher quality growth, strong profitability and benefits from digital investments, marketing and value initiatives into 2026.
NKE
US$62.18
NIKE
7D
-4.9%
1Y
-21.7%
TJX
US$161.66
TJX Companies
7D
2.2%
1Y
29.6%
TSLA
US$402.51
Tesla
7D
-2.3%
1Y
37.4%
LOW
US$264.57
Lowe's Companies
7D
-5.6%
1Y
6.4%
BKNG
US$4,239.35
Booking Holdings
7D
4.0%
1Y
-15.5%
MELI
US$1,757.58
MercadoLibre
7D
-12.0%
1Y
-17.2%
YUM
US$168.16
Yum! Brands
7D
3.0%
1Y
7.5%

YUM: Portfolio Reshaping And Dividend Growth Will Guide Future Risk Balance

Our analyst fair value estimate for Yum! Brands has moved slightly higher from $170.08 to $171.75, reflecting street analysts' higher price targets across banks and a modestly stronger view on growth quality, margins, and future earnings multiples.
BABA
US$144.11
Alibaba Group Holding
7D
-6.7%
1Y
8.8%

BABA: AI Cloud Monetization And Chips Will Support Long Term Upside

Analysts have nudged their fair value estimate for Alibaba Group Holding slightly higher to about $198 per share. This reflects updated assumptions for AI focused cloud investment, modest tweaks to revenue growth and profit margin expectations, and a mix of recent rating downgrades and upgrades that highlight both rising capital intensity and ongoing monetization efforts.
EXPE
US$215.69
Expedia Group
7D
6.0%
1Y
9.0%

EXPE: AI Debate And Margin Focus Will Support Future Re Rating

Analysts now place Expedia Group's fair value at $225, up from $212.20. They recalibrated price targets around generally solid recent results, slightly softer revenue growth, and higher P/E assumptions, alongside continued focus on margins and marketing spend.
ROST
US$205.64
Ross Stores
7D
2.1%
1Y
46.6%

ROST: Holiday Foot Traffic And Off Price Execution Will Support Future Balanced Returns

Analysts have lifted their blended price target on Ross Stores to $205.13 from $195.13, citing strong holiday foot traffic data, solid card spending trends, and a series of recent target hikes across the Street as support for a slightly higher fair value and P/E outlook. Analyst Commentary Recent research on Ross Stores clusters around a more constructive view on the off price space, with several firms revisiting their models ahead of upcoming earnings updates and into 2026.
SE
US$108.45
Sea
7D
-5.7%
1Y
-14.8%

SE: Future Upside Will Stem From Higher E Commerce Monetization

Analysts have nudged their fair value estimate for Sea lower from $189.55 to $181.49, citing updated assumptions around take rates, revenue growth, margins, and future P/E following recent research on Shopee and the broader business. Analyst Commentary Bullish Takeaways Bullish analysts view Shopee’s higher take rates as a sign that Sea can better monetize its existing traffic, which supports the revised fair value despite the lower target.
ABNB
US$135.11
Airbnb
7D
5.6%
1Y
-2.7%

ABNB: AI Multiple Compression Likely To Cap Upside Despite Travel Tailwinds

Airbnb's fair value estimate edges up to about $110, reflecting a slightly lower discount rate and modestly stronger revenue growth assumptions, even as analysts recalibrate price targets around $150 and below in response to sector wide multiple compression and evolving views on AI related risks and travel demand drivers. Analyst Commentary Recent Street research on Airbnb reflects a mixed backdrop, with several firms trimming price targets at the same time others upgrade ratings and lift their targets.