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U.S. Consumer Discretionary Sector Analysis

UpdatedMay 25, 2026
DataAggregated Company Financials
Companies778
  • 7D2.1%
  • 3M4.9%
  • 1Y13.2%
  • YTD0.2%

The Consumer Discretionary industry is up 2.1% in the last week, with Tesla up 3.9%. This takes the industry's 12 month performance to a gain of 13%. Earnings are forecast to grow by 21% annually.

Sector Valuation and Performance

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

DateMarket CapRevenueEarningsPEAbsolute PEPS
Tue, 26 May 2026US$7.8tUS$3.7tUS$212.3b18.4x36.8x2.1x
Thu, 23 Apr 2026US$7.7tUS$3.6tUS$198.0b19.8x38.9x2.1x
Sat, 21 Mar 2026US$7.0tUS$3.6tUS$199.5b18.3x35.1x1.9x
Mon, 16 Feb 2026US$7.4tUS$3.6tUS$207.6b20.3x35.6x2.1x
Wed, 14 Jan 2026US$8.0tUS$3.6tUS$221.6b19.8x36.3x2.3x
Fri, 12 Dec 2025US$7.7tUS$3.5tUS$222.0b19.6x34.8x2.2x
Sun, 09 Nov 2025US$7.7tUS$3.5tUS$223.4b17.9x34.6x2.2x
Tue, 07 Oct 2025US$7.8tUS$3.5tUS$220.9b19.1x35.1x2.2x
Thu, 04 Sep 2025US$7.3tUS$3.5tUS$221.9b20x33.1x2.1x
Sat, 02 Aug 2025US$7.0tUS$3.4tUS$215.9b18.1x32.6x2x
Mon, 30 Jun 2025US$6.9tUS$3.4tUS$216.2b18x31.8x2x
Wed, 28 May 2025US$6.6tUS$3.4tUS$220.2b17.2x30.2x1.9x
Fri, 25 Apr 2025US$5.9tUS$3.4tUS$210.6b16.5x28x1.7x
Sun, 23 Mar 2025US$6.2tUS$3.4tUS$211.8b16.7x29.5x1.8x
Tue, 18 Feb 2025US$7.3tUS$3.4tUS$205.0b18.6x35.5x2.2x
Thu, 16 Jan 2025US$6.9tUS$3.3tUS$201.8b18.7x34.4x2.1x
Sat, 14 Dec 2024US$7.3tUS$3.3tUS$201.0b19.1x36.6x2.2x
Mon, 11 Nov 2024US$6.4tUS$3.2tUS$180.7b18.9x35.2x2x
Wed, 09 Oct 2024US$5.9tUS$3.2tUS$178.6b17.9x32.9x1.9x
Fri, 06 Sep 2024US$5.4tUS$3.2tUS$177.5b17.1x30.4x1.7x
Sun, 04 Aug 2024US$5.2tUS$3.2tUS$174.5b16.7x29.9x1.7x
Tue, 02 Jul 2024US$5.5tUS$3.1tUS$167.2b17.1x33x1.8x
Thu, 30 May 2024US$5.4tUS$3.1tUS$168.0b17.8x32x1.7x
Sat, 27 Apr 2024US$5.3tUS$3.1tUS$160.0b17x33x1.7x
Mon, 25 Mar 2024US$5.4tUS$3.1tUS$159.5b17.5x33.6x1.7x
Wed, 21 Feb 2024US$5.2tUS$3.1tUS$152.8b17.9x34.1x1.7x
Fri, 19 Jan 2024US$5.0tUS$3.1tUS$141.5b16.9x35.7x1.7x
Sun, 17 Dec 2023US$5.3tUS$3.1tUS$139.6b17.1x37.9x1.7x
Tue, 14 Nov 2023US$4.8tUS$3.0tUS$131.1b15.1x36.4x1.6x
Thu, 12 Oct 2023US$4.8tUS$3.0tUS$114.0b15.1x42.3x1.6x
Sat, 09 Sep 2023US$4.9tUS$3.0tUS$111.8b15.5x44.1x1.7x
Mon, 07 Aug 2023US$5.1tUS$3.0tUS$110.6b16.1x46.1x1.7x
Wed, 05 Jul 2023US$5.0tUS$2.9tUS$99.8b15x49.8x1.7x
Fri, 02 Jun 2023US$4.4tUS$2.9tUS$98.9b13.2x44.8x1.5x
Price to Earnings Ratio

44.8x


Total Market Cap: US$4.4tTotal Earnings: US$98.9bTotal Revenue: US$2.9tTotal Market Cap vs Earnings and Revenue0%0%0%
U.S. Consumer Discretionary Sector Price to Earnings3Y Average 35.4x202420252026
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 35.4x.
  • The 3-year average PS ratio of 1.9x 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 29% per year over the last three years.
  • Revenues for these companies have grown 8.2% 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 Market1.11%
Consumer Discretionary2.10%
Luxury7.56%
Specialty Stores5.46%
Consumer Durables5.44%
Retail Distributors4.92%
Auto Components4.84%
Auto4.16%
General Merchandise and Department Stores0.34%
Online Retail and Ecommerce0%0
Hospitality-0.58%
Consumer Services-1.61%
Leisure-1.95%
Industry PE
  • Investors are most optimistic about the Luxury industry which is trading above its 3-year average PE ratio of 28.7x.
    • Analysts expect its future annual earnings growth (18.1%) to be largely in line with prior year's earnings growth.
Forecasted Growth
  • Analysts are most optimistic on the Leisure industry, expecting annual earnings growth of 38% over the next 5 years.
  • This is better than its past earnings decline of 10% per year.
  • In contrast, the Consumer Durables industry is expected to see its earnings grow by 8.0% 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
TSLA TeslaUS$426.013.9%
+US$60.2b		25.5%PE414.3x
AMZN Amazon.comUS$266.320.6%
+US$15.7b		32.5%PE31.6x
HD Home DepotUS$313.074.4%
+US$13.2b		-13.7%PE22.3x
TJX TJX CompaniesUS$158.275.3%
+US$8.9b		25.9%PE30.2x
ROST Ross StoresUS$234.8111.2%
+US$7.6b		71.1%PE32.7x

Latest News

TSLA
US$426.01
Tesla
7D
3.9%
1Y
25.5%
F
US$14.93
Ford Motor
7D
14.6%
1Y
44.1%
Seeking Alpha • 14h

Ford: A Buy Due To The Resilient Ford Pro Division

Summary Ford earns a buy rating due to the resilient Ford Pro division, which offers stable margins and growth prospects. Ford Blue remains the core profit driver but faces significant macro, competitive, and structural risks, with volatile EBIT margins. Ford Model E's negative EBIT and uncertainty are offset by strategic necessity and the potential for future scale and efficiency gains. Valuation is attractive, with Ford Pro justifying much of the market cap, while Ford Credit and new ventures like Ford Energy provide optionality. Read the full article on Seeking Alpha
HD
US$313.07
Home Depot
7D
4.4%
1Y
-13.7%
GM
US$78.79
General Motors
7D
7.8%
1Y
61.8%
Narrative Update • May 25

GM: Future Returns Will Depend On Higher Margins From Trucks And SUVs

Analysts now see higher potential value for General Motors, lifting the average price target from about $79 to roughly $94 as they factor in stronger assumed revenue growth, higher projected profit margins, and a lower future P/E, even as recent research shows a mix of price target raises, cuts, and list removals across firms. Analyst Commentary Recent research on General Motors shows a split view, with several firms raising price targets or upgrading ratings while others reduce targets or remove the stock from preferred lists.
BKNG
US$161.06
Booking Holdings
7D
3.9%
1Y
-24.5%
Seeking Alpha • May 24

No Doubt Risks Are Higher, But Booking Holdings Rarely Trades As Cheaply

Summary Booking Holdings reported Q1 results reflecting visible headwinds from Iran tensions and lowered its full-year outlook. The decline in share prices over the past month has left Booking's valuation multiples severely reduced from historical levels, de-risking investors' entry point. Gross bookings continue to grow at a mid-teens clip, albeit buoyed by a weaker dollar substantially boosting as-reported growth rates. I believe the current macro represents a temporary setback for Booking, and it will re-rate higher when travel demand snaps back. Read the full article on Seeking Alpha
ROST
US$234.81
Ross Stores
7D
11.2%
1Y
71.1%
Analysis Article • May 24

Ross Stores, Inc. Just Beat EPS By 17%: Here's What Analysts Think Will Happen Next

Ross Stores, Inc. ( NASDAQ:ROST ) just released its quarterly report and things are looking bullish. Ross Stores beat...
TJX
US$158.27
TJX Companies
7D
5.3%
1Y
25.9%
TCOM
US$46.37
Trip.com Group
7D
-6.0%
1Y
-25.6%
NIO
US$5.20
NIO
7D
-11.6%
1Y
36.1%
LOW
US$215.03
Lowe's Companies
7D
-1.4%
1Y
-2.7%
JD
US$30.52
JD.com
7D
-3.4%
1Y
-8.5%
ABNB
US$132.35
Airbnb
7D
-1.5%
1Y
4.4%
Narrative Update • May 21

ABNB: Organic Revenue Levers And AI Resilience Will Drive Future Earnings Power

Airbnb's analyst price target has been nudged up from $180 to $181, reflecting analysts' updated assumptions for slightly stronger revenue growth, higher profit margins and a lower future P/E after a series of recent target raises and upgrades across the Street. Analyst Commentary Recent research updates show a clear tilt toward more constructive views on Airbnb, with a cluster of price target raises and several upgrades pointing to growing confidence in the company’s execution and earnings power.
AMZN
US$266.32
Amazon.com
7D
0.6%
1Y
32.5%
Seeking Alpha • May 20

Amazon: Time To Buy This Deep Value Growth Pick Now

Summary Despite a massive rally in recent months, I’m reiterating my Strong Buy rating on shares of Amazon.com, Inc. The company’s combination of a healthy e-commerce/Ads/subscription business, surging AWS sales, and soaring custom silicon business provides a slew of tailwinds to propel AMZN's future growth. Amazon ended Q1 2026 with a net cash and cash equivalents/marketable securities balance of $24 billion. AMZN shares are still trading at a 29% discount to my fair value estimate. Pairing a low valuation multiple with outsized growth prospects could generate a 48% total return through June 2027 and deliver 26% annual total returns by the end of 2031. Read the full article on Seeking Alpha
SBUX
US$103.11
Starbucks
7D
-3.3%
1Y
22.2%
BABA
US$130.00
Alibaba Group Holding
7D
-2.4%
1Y
7.7%
CMG
US$32.89
Chipotle Mexican Grill
7D
-2.5%
1Y
-35.0%
Narrative Update • May 15

CMG: 2026 Menu And Unit Expansion Plans Will Support Higher P E Multiple

Chipotle Mexican Grill's analyst price target has been adjusted slightly lower to reflect an updated fair value of about $43.40. Analysts cite modest tweaks to discount rate assumptions, slightly softer revenue growth expectations, a small improvement in profit margin, and a lower future P/E multiple, informed by a mix of recent target cuts and upgrades across the Street.