Investing IdeasBrowse All StocksMarkets
Have your own idea? Try our Stock Screener
Header cover image

U.S. Consumer Discretionary Sector Analysis

UpdatedMay 21, 2026
DataAggregated Company Financials
Companies778
  • 7D-2.0%
  • 3M4.0%
  • 1Y11.4%
  • YTD-0.8%

Over the last 7 days, the Consumer Discretionary industry has dropped 3.2%, driven by a pullback from Tesla of 5.9%. On the other hand TJX Companies is actually up 8.3%. This takes the industry's 12 month performance to a gain of 7.2%. As for the next few years, earnings are expected to grow by 21% per annum.

Sector Valuation and Performance

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

DateMarket CapRevenueEarningsPEAbsolute PEPS
Thu, 21 May 2026US$7.6tUS$3.7tUS$211.1b18.1x36x2.1x
Sat, 18 Apr 2026US$7.7tUS$3.6tUS$198.2b19.2x38.7x2.1x
Mon, 16 Mar 2026US$7.1tUS$3.6tUS$204.2b18.6x34.6x2x
Wed, 11 Feb 2026US$7.6tUS$3.6tUS$218.5b20.5x34.6x2.1x
Fri, 09 Jan 2026US$7.8tUS$3.6tUS$221.7b19.4x35.2x2.2x
Sun, 07 Dec 2025US$7.7tUS$3.6tUS$221.9b18.7x34.7x2.2x
Tue, 04 Nov 2025US$8.0tUS$3.5tUS$227.5b18.5x35.2x2.3x
Thu, 02 Oct 2025US$7.8tUS$3.5tUS$221.2b19.6x35.1x2.2x
Sat, 30 Aug 2025US$7.3tUS$3.5tUS$218.1b20.1x33.5x2.1x
Mon, 28 Jul 2025US$7.1tUS$3.4tUS$213.0b18.9x33.4x2.1x
Wed, 25 Jun 2025US$6.8tUS$3.4tUS$217.5b17.9x31.4x2x
Fri, 23 May 2025US$6.7tUS$3.4tUS$220.1b17.2x30.5x2x
Sun, 20 Apr 2025US$5.7tUS$3.4tUS$211.8b15.7x26.9x1.7x
Tue, 18 Mar 2025US$6.2tUS$3.4tUS$212.6b16.9x29.2x1.8x
Thu, 13 Feb 2025US$7.1tUS$3.4tUS$203.3b18.8x35x2.1x
Sat, 11 Jan 2025US$7.0tUS$3.3tUS$201.7b18.1x34.8x2.1x
Mon, 09 Dec 2024US$7.3tUS$3.3tUS$201.1b19.4x36.1x2.2x
Wed, 06 Nov 2024US$5.9tUS$3.2tUS$182.1b18.2x32.5x1.8x
Fri, 04 Oct 2024US$5.9tUS$3.2tUS$178.7b18.1x33.1x1.9x
Sun, 01 Sep 2024US$5.5tUS$3.2tUS$177.3b17.7x31x1.7x
Tue, 30 Jul 2024US$5.5tUS$3.1tUS$167.6b17.4x32.7x1.7x
Thu, 27 Jun 2024US$5.5tUS$3.1tUS$166.7b17.6x32.8x1.8x
Sat, 25 May 2024US$5.3tUS$3.1tUS$167.8b18.1x31.8x1.7x
Mon, 22 Apr 2024US$5.0tUS$3.1tUS$160.7b16.8x31.3x1.6x
Wed, 20 Mar 2024US$5.3tUS$3.1tUS$156.6b17x34x1.7x
Fri, 16 Feb 2024US$5.2tUS$3.1tUS$151.5b18.3x34.6x1.7x
Sun, 14 Jan 2024US$5.1tUS$3.1tUS$141.5b17.3x36.3x1.7x
Tue, 12 Dec 2023US$5.1tUS$3.1tUS$139.2b16.6x36.7x1.7x
Thu, 09 Nov 2023US$4.8tUS$3.0tUS$129.2b15x37.2x1.6x
Sat, 07 Oct 2023US$4.7tUS$3.0tUS$113.8b15x41.4x1.6x
Mon, 04 Sep 2023US$5.0tUS$3.0tUS$112.1b16.1x44.7x1.7x
Wed, 02 Aug 2023US$5.1tUS$2.9tUS$103.5b15.8x49.2x1.7x
Fri, 30 Jun 2023US$4.8tUS$2.9tUS$100.2b14.9x48.3x1.7x
Sun, 28 May 2023US$4.4tUS$2.9tUS$99.5b13.6x43.9x1.5x
Price to Earnings Ratio

43.9x


Total Market Cap: US$4.4tTotal Earnings: US$99.5bTotal Revenue: US$2.9tTotal Market Cap vs Earnings and Revenue0%0%0%
U.S. Consumer Discretionary Sector Price to Earnings3Y Average 35.5x202420252026
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 35.5x.
  • 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 28% per year over the last three years.
  • Revenues for these companies have grown 8.1% 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-0.32%
Consumer Discretionary-1.98%
Luxury3.15%
Specialty Stores2.55%
Consumer Durables2.29%
Hospitality1.08%
Online Retail and Ecommerce0%0
Consumer Services-1.12%
Retail Distributors-1.72%
Leisure-2.05%
General Merchandise and Department Stores-2.24%
Auto Components-4.17%
Auto-5.79%
Industry PE
  • Investors are most optimistic about the Luxury industry, which is trading close to its 3-year average PE ratio of 28.7x.
    • Analysts expect its future annual earnings growth (18.0%) 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 7.7% 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
TJX TJX CompaniesUS$159.218.3%
+US$13.5b		21.5%PE32x
HD Home DepotUS$310.582.7%
+US$8.0b		-16.2%PE21.9x
MAR Marriott InternationalUS$369.755.6%
+US$5.2b		41.8%PE37.7x
DASH DoorDashUS$160.737.8%
+US$5.1b		-21.5%PE75.6x
MELI MercadoLibreUS$1.65k5.7%
+US$4.5b		-36.5%PE43.6x

Latest News

MCD
US$280.27
McDonald's
7D
1.7%
1Y
-11.4%
HD
US$310.58
Home Depot
7D
2.7%
1Y
-16.2%
LI
US$16.18
Li Auto
7D
-19.2%
1Y
-44.4%
AMZN
US$265.01
Amazon.com
7D
-1.9%
1Y
31.8%
Seeking Alpha • 13h

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
TJX
US$159.21
TJX Companies
7D
8.3%
1Y
21.5%
Seeking Alpha • 17h

TJX Companies: Limited Upside Despite A Beat-And-Raise Q1

Summary TJX Companies delivered strong Q1 results, beating EPS and revenue expectations and raising FY 2027 guidance. Despite robust fundamentals and industry leadership, TJX trades at a premium ~30x P/E, leaving little margin for error. I maintain a "Hold" rating, citing valuation risk, slowing momentum, and potential consumer headwinds this summer. Technical signals are mixed; $145 is key support, with resistance at $150–$160 and a possible topping pattern forming. Read the full article on Seeking Alpha
CVNA
US$64.91
Carvana
7D
-7.1%
1Y
11.1%
NKE
US$44.19
NIKE
7D
4.4%
1Y
-26.3%
Seeking Alpha • May 20

Nike: Not Cheap Enough Yet

Summary Nike faces persistent macro headwinds, competitive pressures, and a fading brand image, driving a 76% stock decline since 2021 highs. NKE's FY25 and YTD26 results revealed declining revenues, EBIT, and EPS, with management guiding for further revenue contraction and a protracted turnaround. Despite a 3.85% dividend yield and notable insider buying, NKE trades at a 23.4x FY27E EPS multiple, which appears rich given stagnant top-line growth. An analysis around Nike, Inc. follows in the paragraphs below. Read the full article on Seeking Alpha
MAR
US$369.75
Marriott International
7D
5.6%
1Y
41.8%
SE
US$86.55
Sea
7D
-7.5%
1Y
-47.0%
NIO
US$5.59
NIO
7D
-14.5%
1Y
41.9%
DASH
US$160.73
DoorDash
7D
7.8%
1Y
-21.5%
BABA
US$134.47
Alibaba Group Holding
7D
-7.8%
1Y
8.8%
TSLA
US$417.26
Tesla
7D
-5.9%
1Y
22.3%
HLT
US$323.87
Hilton Worldwide Holdings
7D
4.0%
1Y
31.2%
Narrative Update • May 17

HLT: Unit Expansion And AI Adoption Will Shape Balanced 2026 Risk Reward Profile

Hilton Worldwide Holdings' updated analyst fair value has shifted modestly higher to about $347 per share, up from roughly $341. This reflects a series of recent price target adjustments around $320 to $360 as analysts factor in revised unit growth expectations, slightly refined discount rates, and modest tweaks to revenue growth, profit margin, and future P/E assumptions.
MELI
US$1,651.20
MercadoLibre
7D
5.7%
1Y
-36.5%
Narrative Update • May 16

MELI: Heavy Investment Cycle And Brazil Competition Will Shape Future Margin Upside

MercadoLibre's analyst fair value estimate is updated from $1,827 to $1,750 as analysts factor in softer revenue growth assumptions, lower margin expectations tied to ongoing competitive and investment pressures, and a higher discount rate, partially balanced by a higher future P/E multiple. Analyst Commentary Recent Street research points to a clear reset in expectations for MercadoLibre, with many bearish analysts cutting price targets and turning more cautious on the near term risk and reward.
RCL
US$253.89
Royal Caribbean Cruises
7D
-3.9%
1Y
6.8%