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U.S. Consumer Discretionary Sector Analysis

UpdatedFeb 22, 2026
DataAggregated Company Financials
Companies799
  • 7D1.9%
  • 3M0.4%
  • 1Y4.1%
  • YTD-3.4%

In the last week, the Consumer Discretionary industry is up 1.9%, with Amazon.com up 5.7%. In the last 12 months, the industry was up 4.1%. Earnings are forecast to grow by 20% annually.

Sector Valuation and Performance

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

DateMarket CapRevenueEarningsPEAbsolute PEPS
Sun, 22 Feb 2026US$7.5tUS$3.6tUS$207.5b20.4x36.3x2.1x
Tue, 20 Jan 2026US$7.8tUS$3.6tUS$221.6b19.4x35.3x2.2x
Thu, 18 Dec 2025US$7.7tUS$3.5tUS$221.4b19.5x34.6x2.2x
Sat, 15 Nov 2025US$7.6tUS$3.5tUS$222.2b18.1x34x2.1x
Mon, 13 Oct 2025US$7.4tUS$3.5tUS$220.8b17.9x33.5x2.1x
Wed, 10 Sep 2025US$7.6tUS$3.5tUS$221.7b19.4x34.2x2.2x
Fri, 08 Aug 2025US$7.0tUS$3.4tUS$219.3b18.4x31.9x2x
Sun, 06 Jul 2025US$7.0tUS$3.4tUS$216.1b19x32.2x2x
Tue, 03 Jun 2025US$6.7tUS$3.4tUS$217.5b17x30.8x2x
Thu, 01 May 2025US$6.1tUS$3.4tUS$211.2b16.4x28.9x1.8x
Sat, 29 Mar 2025US$6.4tUS$3.4tUS$211.8b16.4x30.3x1.9x
Mon, 24 Feb 2025US$7.1tUS$3.4tUS$211.9b18.7x33.3x2.1x
Wed, 22 Jan 2025US$7.2tUS$3.3tUS$202.1b19.2x35.8x2.2x
Fri, 20 Dec 2024US$7.2tUS$3.3tUS$200.8b18.3x35.6x2.1x
Sun, 17 Nov 2024US$6.6tUS$3.4tUS$197.7b18x33.6x2x
Tue, 15 Oct 2024US$5.9tUS$3.2tUS$178.6b18x32.9x1.8x
Thu, 12 Sep 2024US$5.5tUS$3.2tUS$177.3b16.8x31.2x1.7x
Sat, 10 Aug 2024US$5.2tUS$3.2tUS$172.6b16.9x30.1x1.6x
Mon, 08 Jul 2024US$5.7tUS$3.1tUS$167.3b17.1x34.4x1.8x
Wed, 05 Jun 2024US$5.4tUS$3.1tUS$167.9b18x32x1.7x
Fri, 03 May 2024US$5.3tUS$3.1tUS$166.0b17x31.7x1.7x
Sun, 31 Mar 2024US$5.4tUS$3.1tUS$160.5b18.2x33.8x1.8x
Tue, 27 Feb 2024US$5.4tUS$3.1tUS$153.9b17.4x34.9x1.7x
Thu, 25 Jan 2024US$5.1tUS$3.1tUS$141.6b17x36x1.7x
Sat, 23 Dec 2023US$5.3tUS$3.1tUS$141.3b17.7x37.6x1.7x
Mon, 20 Nov 2023US$4.9tUS$3.0tUS$138.3b15.6x35.7x1.6x
Wed, 18 Oct 2023US$4.8tUS$3.0tUS$113.8b15.2x41.8x1.6x
Fri, 15 Sep 2023US$5.0tUS$3.0tUS$112.8b15.3x44.7x1.7x
Sun, 13 Aug 2023US$5.0tUS$3.0tUS$112.7b16.1x44.3x1.7x
Tue, 11 Jul 2023US$4.9tUS$2.9tUS$99.8b15.3x49.3x1.7x
Thu, 08 Jun 2023US$4.6tUS$2.9tUS$99.0b14.6x46.8x1.6x
Sat, 06 May 2023US$4.2tUS$2.9tUS$92.5b14.1x45.7x1.4x
Mon, 03 Apr 2023US$4.5tUS$2.9tUS$81.6b13.6x55.4x1.6x
Wed, 01 Mar 2023US$4.5tUS$3.1tUS$85.8b13.7x53x1.5x
Price to Earnings Ratio

53x


Total Market Cap: US$4.5tTotal Earnings: US$85.8bTotal Revenue: US$3.1tTotal Market Cap vs Earnings and Revenue0%0%0%
U.S. Consumer Discretionary Sector Price to Earnings3Y Average 36.6x202420252026
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 36.6x.
  • The 3-year average PS ratio of 1.8x is lower than the industry's current PS ratio of 2.1x.
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 5.5% 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 Market1.04%
Consumer Discretionary1.86%
General Merchandise and Department Stores4.67%
Luxury4.32%
Hospitality2.91%
Leisure2.21%
Consumer Services0.63%
Online Retail and Ecommerce0%0
Specialty Stores-0.099%
Consumer Durables-0.17%
Auto-1.39%
Auto Components-3.72%
Retail Distributors-13.30%
Industry PE
  • Investors are most optimistic about the Luxury industry which is trading above its 3-year average PE ratio of 28.4x.
    • Analysts are expecting annual earnings growth of 19.1%, which is higher than its past year's earnings decline of 13.9% 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 7.0% 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
AMZN Amazon.comUS$210.115.7%
+US$121.5b		-3.0%PE29x
DASH DoorDashUS$176.299.9%
+US$7.5b		-11.8%PE81.9x
PDD PDD HoldingsUS$104.944.6%
+US$6.6b		-20.1%PE10.1x
GRMN GarminUS$248.9015.9%
+US$6.6b		10.8%PE28.8x
SE SeaUS$115.007.7%
+US$4.9b		-9.9%PE48x

Latest News

BKNG
US$4,076.79
Booking Holdings
7D
-1.5%
1Y
-18.3%

BKNG: AI Execution And Solid Travel Demand Will Support Future Cash Generation

Narrative Update The updated analyst price target for Booking Holdings reflects a modest recalibration lower in fair value to about $5,874, as analysts weigh solid Q4 execution and continued investment, including in AI initiatives, against slightly lower margin assumptions and a reduced future P/E multiple. Analyst Commentary Recent research views on Booking Holdings cluster around strong Q4 execution and continued investment, with price targets shifting both higher and lower as analysts reassess margins, AI spend, and sector multiples.
TSLA
US$411.82
Tesla
7D
-1.3%
1Y
21.9%

Tesla's Revenue to Soar 16% as Fair Value Hits 391.81 in Five Years

TESLA INC. NASDAQ: TSLA The Most Controversial Bet in Investing An Equity Narrative for Simply Wall St | February 2026 1.
PDD
US$104.94
PDD Holdings
7D
4.6%
1Y
-20.1%

PDD: Tariff Resilience And Smaller Regulatory Fine Will Support Future Upside

Analysts reduced their price target on PDD Holdings by $28 to $170, reflecting slightly lower fair value and revenue growth assumptions, along with a modest increase in projected profit margin and future P/E, as they factor in recent regulatory developments and ongoing investment-driven margin pressure. Analyst Commentary Recent research on PDD Holdings shows a split between bullish analysts who focus on long-term growth potential and bearish analysts who are more focused on regulatory risk, valuation reset, and sustained margin pressure.
RIVN
US$15.27
Rivian Automotive
7D
-13.9%
1Y
17.7%

RIVN: Higher Fair Value Estimate Will Hinge On Execution Risk

The analyst fair value estimate for Rivian Automotive has been lifted from $19.89 to $25.00, reflecting updated assumptions for faster revenue growth, a slightly lower discount rate, and Street research that views recent Q4 progress and the R2 launch as supportive, despite ongoing concerns about execution and R2 ramp risks. Analyst Commentary Recent Street research on Rivian Automotive reflects a split view, with some bullish analysts highlighting progress around the Q4 update and the R2 launch, while more cautious voices focus on execution risks, cash burn, and the challenge of scaling without the support of tax credits or a traditional dealer network.
HD
US$382.25
Home Depot
7D
-2.3%
1Y
-0.8%

HD: AI Tools And Pro Trends Will Shape Post Weather Headwind Positioning

Our updated analyst price target for Home Depot moves slightly higher to $398, reflecting modest tweaks to our fair value, discount rate and margin assumptions as analysts point to steady transaction trends into Q4, despite subdued comparable sales expectations and recent weather related pressure on Pro activity. Analyst Commentary Recent Street research on Home Depot is mixed, with some bullish analysts lifting targets and others trimming them slightly as they recalibrate expectations ahead of Q4 earnings.
GRMN
US$248.90
Garmin
7D
15.9%
1Y
10.8%

GRMN: Fitness Momentum And 2026 Framework Will Drive Strong Future Upside

Analysts have lifted their Garmin price targets to a range of about $240 to $265, reflecting higher assumed revenue growth and support from recent research that highlights ongoing fitness momentum and updated 2026 guidance. Analyst Commentary Recent Street research on Garmin points to a more constructive stance, with several bullish analysts lifting price targets and, in some cases, upgrading their ratings following the latest Q4 report and 2026 guidance.
DASH
US$176.29
DoorDash
7D
9.9%
1Y
-11.8%
GPC
US$118.06
Genuine Parts
7D
-19.8%
1Y
-2.9%
SBUX
US$97.49
Starbucks
7D
3.9%
1Y
-12.8%

SBUX: Coffee Category Positioning And 2026 Outlook Will Support Repriced Earnings Power

Narrative update on Starbucks The analyst price target for Starbucks has been adjusted to $120, with analysts citing a mix of recent target increases across multiple firms and one modest cut, alongside updated assumptions for revenue growth, margins, and a slightly lower future P/E. Analyst Commentary Recent Street research on Starbucks has been dominated by upward price target revisions, with only one modest cut, which collectively underpins the updated US$120 blended target.
SE
US$115.00
Sea
7D
7.7%
1Y
-9.9%
ORLY
US$93.50
O'Reilly Automotive
7D
-3.3%
1Y
7.6%

ORLY: Steady Execution And Buybacks Expected To Support Balanced Risk Reward

Analysts have trimmed their price targets for O'Reilly Automotive, and our fair value estimate has edged down by about $4 to $105.72. They cite recent cuts from multiple research firms, even as they factor in relatively steady assumptions on growth, margins, and future P/E.
AMZN
US$210.11
Amazon.com
7D
5.7%
1Y
-3.0%
ABNB
US$127.89
Airbnb
7D
5.4%
1Y
-12.4%
BABA
US$154.45
Alibaba Group Holding
7D
-0.8%
1Y
7.4%

BABA: AI And Cloud Expansion Will Drive Future Earnings Power

Analysts have nudged their price target framework for Alibaba Group Holding slightly higher to about $198 per share, reflecting updated assumptions that include modestly adjusted revenue growth, profit margin expectations, discount rate and future P/E, informed by mixed but generally constructive recent analyst commentary on the stock. Analyst Commentary Recent research on Alibaba reflects a mix of optimism and caution, with analysts reassessing both growth drivers and execution risks across the cloud and core retail businesses.
TJX
US$158.23
TJX Companies
7D
2.4%
1Y
30.6%

TJX: Elevated Off Price Optimism May Constrain Future Share Return Potential

Analysts have nudged their price expectations for TJX higher, reflected in our fair value estimate rising from US$124.91 to US$129.14. They cite recent price target increases across the Street that point to confidence in the company's off price positioning, ongoing top line trends, Q3 performance and updated guidance.
LOW
US$280.36
Lowe's Companies
7D
-2.4%
1Y
17.2%

LOW: Lock-In Housing And AI Tools Will Support Gradual Home Improvement Recovery

Narrative Update The analyst price target for Lowe's Companies has been raised by about US$5 to reflect slightly higher modeled fair value, modest tweaks to revenue growth, profit margins and future P/E assumptions, as analysts point to valuation, pent up demand in home improvement and a healthier mix across do it yourself and pro customers as key supports for the update. Analyst Commentary Recent research on Lowe's highlights a mix of optimism around long term home improvement demand and caution around near term earnings visibility, with several firms adjusting price targets and ratings after the latest results and outlook updates.