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U.S. Consumer Discretionary Sector Analysis
UpdatedFeb 13, 2025
DataAggregated Company Financials
Companies784
- 7D-2.6%
- 3M5.6%
- 1Y25.9%
- YTD2.2%
Over the last 7 days, the Consumer Discretionary industry has dropped 2.6%, driven by a pullback from Tesla of 10%. Meanwhile, Alibaba Group Holding actually outperformed within the industry, gaining 19% in the last week. This takes the industry's 12 month performance to a gain of 26%. Looking forward, earnings are forecast to grow by 17% 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 |
|---|---|---|---|---|---|---|
| Thu, 13 Feb 2025 | US$7.1t | US$3.4t | US$203.3b | 18.8x | 35x | 2.1x |
| Sat, 11 Jan 2025 | US$7.0t | US$3.3t | US$201.7b | 18.1x | 34.8x | 2.1x |
| Mon, 09 Dec 2024 | US$7.3t | US$3.3t | US$201.1b | 19.4x | 36.1x | 2.2x |
| Wed, 06 Nov 2024 | US$5.9t | US$3.2t | US$182.1b | 18.2x | 32.5x | 1.8x |
| Fri, 04 Oct 2024 | US$5.9t | US$3.2t | US$178.7b | 18.1x | 33.1x | 1.9x |
| Sun, 01 Sep 2024 | US$5.5t | US$3.2t | US$177.3b | 17.7x | 31x | 1.7x |
| Tue, 30 Jul 2024 | US$5.5t | US$3.1t | US$167.6b | 17.4x | 32.7x | 1.7x |
| Thu, 27 Jun 2024 | US$5.5t | US$3.1t | US$166.7b | 17.6x | 32.8x | 1.8x |
| Sat, 25 May 2024 | US$5.3t | US$3.1t | US$167.8b | 18.1x | 31.8x | 1.7x |
| Mon, 22 Apr 2024 | US$5.0t | US$3.1t | US$160.7b | 16.8x | 31.3x | 1.6x |
| Wed, 20 Mar 2024 | US$5.3t | US$3.1t | US$156.6b | 17x | 34x | 1.7x |
| Fri, 16 Feb 2024 | US$5.2t | US$3.1t | US$151.5b | 18.3x | 34.6x | 1.7x |
| Sun, 14 Jan 2024 | US$5.1t | US$3.1t | US$141.5b | 17.3x | 36.3x | 1.7x |
| Tue, 12 Dec 2023 | US$5.1t | US$3.1t | US$139.2b | 16.6x | 36.7x | 1.7x |
| Thu, 09 Nov 2023 | US$4.8t | US$3.0t | US$129.2b | 15x | 37.2x | 1.6x |
| Sat, 07 Oct 2023 | US$4.7t | US$3.0t | US$113.8b | 15x | 41.4x | 1.6x |
| Mon, 04 Sep 2023 | US$5.0t | US$3.0t | US$112.1b | 16.1x | 44.7x | 1.7x |
| Wed, 02 Aug 2023 | US$5.1t | US$2.9t | US$103.5b | 15.8x | 49.2x | 1.7x |
| Fri, 30 Jun 2023 | US$4.8t | US$2.9t | US$100.2b | 14.9x | 48.3x | 1.7x |
| Sun, 28 May 2023 | US$4.4t | US$2.9t | US$99.5b | 13.6x | 43.9x | 1.5x |
| Tue, 25 Apr 2023 | US$4.3t | US$2.9t | US$79.8b | 13.8x | 54.2x | 1.5x |
| Thu, 23 Mar 2023 | US$2.7t | US$2.0t | US$71.5b | 13.1x | 37.9x | 1.4x |
| Sat, 18 Feb 2023 | US$4.7t | US$3.1t | US$81.9b | 14x | 57.8x | 1.5x |
| Mon, 16 Jan 2023 | US$4.5t | US$3.0t | US$107.1b | 12.7x | 41.8x | 1.5x |
| Wed, 14 Dec 2022 | US$4.3t | US$3.0t | US$107.7b | 12.1x | 40.2x | 1.4x |
| Fri, 11 Nov 2022 | US$4.3t | US$3.0t | US$111.8b | 11.6x | 38.2x | 1.4x |
| Sun, 09 Oct 2022 | US$4.4t | US$3.0t | US$112.3b | 10.3x | 39.5x | 1.5x |
| Tue, 06 Sep 2022 | US$4.9t | US$3.0t | US$111.3b | 11.8x | 44.3x | 1.7x |
| Thu, 04 Aug 2022 | US$5.3t | US$2.9t | US$112.3b | 11.3x | 47.4x | 1.8x |
| Sat, 02 Jul 2022 | US$4.6t | US$2.9t | US$120.4b | 10.6x | 38x | 1.6x |
| Mon, 30 May 2022 | US$4.8t | US$2.9t | US$118.9b | 11.9x | 40.7x | 1.7x |
| Wed, 27 Apr 2022 | US$5.3t | US$2.8t | US$139.1b | 12.1x | 38.3x | 1.9x |
| Fri, 25 Mar 2022 | US$6.1t | US$2.8t | US$132.1b | 13.3x | 46.2x | 2.1x |
| Sun, 20 Feb 2022 | US$5.9t | US$2.8t | US$149.8b | 13.9x | 39.7x | 2.1x |
Price to Earnings Ratio
39.7x
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 35.0x which is lower than its 3-year average PE of 40.0x.
- The 3-year average PS ratio of 1.7x 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 11% per year over the last three years.
- Revenues for these companies have grown 6.4% 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 | -0.48% | |
| Consumer Discretionary | -2.56% | |
| Retail Distributors | 1.63% | |
| Consumer Services | 1.50% | |
| Hospitality | 0.85% | |
| Leisure | 0.29% | |
| Auto Components | 0.15% | |
| Online Retail and Ecommerce | 0% | 0 |
| General Merchandise and Department Stores | -0.74% | |
| Specialty Stores | -1.75% | |
| Luxury | -3.56% | |
| Consumer Durables | -5.03% | |
| Auto | -9.00% | |
Industry PE
- Investors are most optimistic about the Leisure industry which is trading above its 3-year average PE ratio of 25.8x.
- Analysts are expecting annual earnings growth of 27.0%, which is higher than its past year's earnings decline of 31.6% per year.
- Investors are most pessimistic about the Consumer Durables industry, although it looks like investor sentiment has improved given that it's trading above its 3-year average of 11.0x.
Forecasted Growth
- Analysts are most optimistic on the Auto Components industry, expecting annual earnings growth of 34% over the next 5 years.
- This is better than its past earnings decline of 2.2% per year.
- In contrast, the Consumer Durables industry is expected to see its earnings grow by 7.8% 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$118.33 | 19.2% +US$43.1b | 61.2% | PE22.8x | |
| MCD McDonald's | US$307.60 | 6.5% +US$13.5b | 6.7% | PE26.8x | |
| PDD PDD Holdings | US$118.83 | 7.9% +US$12.1b | -10.0% | PE11.1x | |
| BKNG Booking Holdings | US$5.02k | 6.8% +US$10.5b | 34.2% | PE33x | |
| ABNB Airbnb | US$140.52 | 8.4% +US$6.8b | -5.2% | PE47.8x |
