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U.S. Consumer Discretionary Sector Analysis

UpdatedJun 05, 2026
DataAggregated Company Financials
Companies769
  • 7D-4.3%
  • 3M5.8%
  • 1Y12.2%
  • YTD-1.8%

Over the last 7 days, the Consumer Discretionary industry has dropped 4.3%, driven by a pullback from Amazon.com of 9.1%. Over the past 12 months, the industry was up 12%. 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
Sat, 06 Jun 2026US$7.6tUS$3.7tUS$214.3b18x35.7x2.1x
Mon, 04 May 2026US$7.8tUS$3.7tUS$208.9b19x37.3x2.1x
Wed, 01 Apr 2026US$6.9tUS$3.6tUS$198.7b18.5x34.6x1.9x
Fri, 27 Feb 2026US$7.5tUS$3.6tUS$206.7b20.4x36.3x2.1x
Sun, 25 Jan 2026US$7.9tUS$3.6tUS$221.3b19.7x35.5x2.2x
Tue, 23 Dec 2025US$7.8tUS$3.6tUS$220.8b19.6x35.3x2.2x
Thu, 20 Nov 2025US$7.3tUS$3.6tUS$224.1b17.2x32.5x2.1x
Sat, 18 Oct 2025US$7.5tUS$3.5tUS$220.8b18.7x34x2.2x
Mon, 15 Sep 2025US$7.7tUS$3.5tUS$221.3b19.7x34.7x2.2x
Wed, 13 Aug 2025US$7.0tUS$3.4tUS$218.8b19.4x32x2x
Fri, 11 Jul 2025US$6.9tUS$3.4tUS$216.1b18.9x31.9x2x
Sun, 08 Jun 2025US$6.7tUS$3.4tUS$217.3b17.5x30.7x1.9x
Tue, 06 May 2025US$6.2tUS$3.4tUS$217.2b17.1x28.6x1.8x
Thu, 03 Apr 2025US$6.3tUS$3.4tUS$211.9b17.3x29.6x1.8x
Sat, 01 Mar 2025US$6.8tUS$3.4tUS$211.4b17.8x32.3x2x
Mon, 27 Jan 2025US$7.3tUS$3.3tUS$202.3b18.9x36.1x2.2x
Wed, 25 Dec 2024US$7.4tUS$3.3tUS$200.9b18x36.7x2.2x
Fri, 22 Nov 2024US$6.7tUS$3.4tUS$198.6b18.5x33.8x2x
Sun, 20 Oct 2024US$5.8tUS$3.2tUS$178.5b18.6x32.7x1.8x
Tue, 17 Sep 2024US$5.6tUS$3.2tUS$178.0b17.3x31.6x1.8x
Thu, 15 Aug 2024US$5.3tUS$3.2tUS$173.5b16.9x30.6x1.7x
Sat, 13 Jul 2024US$5.8tUS$3.1tUS$167.4b17.6x34.4x1.8x
Mon, 10 Jun 2024US$5.4tUS$3.1tUS$168.0b17.9x32.2x1.7x
Wed, 08 May 2024US$5.5tUS$3.1tUS$166.4b17.7x32.8x1.8x
Fri, 05 Apr 2024US$5.3tUS$3.1tUS$160.3b17.9x33.2x1.7x
Sun, 03 Mar 2024US$5.5tUS$3.1tUS$155.1b17.7x35.2x1.8x
Tue, 30 Jan 2024US$5.1tUS$3.1tUS$146.4b17.4x34.7x1.7x
Thu, 28 Dec 2023US$5.4tUS$3.1tUS$141.2b17.8x37.9x1.8x
Sat, 25 Nov 2023US$5.0tUS$3.0tUS$139.3b15.4x35.8x1.6x
Mon, 23 Oct 2023US$4.5tUS$3.0tUS$113.0b14.5x39.5x1.5x
Wed, 20 Sep 2023US$4.9tUS$3.0tUS$112.6b15x43.8x1.7x
Fri, 18 Aug 2023US$4.8tUS$3.0tUS$112.8b15.8x42.9x1.6x
Sun, 16 Jul 2023US$5.1tUS$2.9tUS$99.9b15.5x51.2x1.8x
Tue, 13 Jun 2023US$4.8tUS$2.9tUS$99.4b14.5x47.8x1.6x
Price to Earnings Ratio

47.8x


Total Market Cap: US$4.8tTotal Earnings: US$99.4bTotal 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 industry is trading close to its 3-year average PS ratio of 1.9x.
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 Market-0.11%
Consumer Discretionary-4.28%
Auto Components2.70%
Consumer Durables1.05%
Consumer Services0.32%
Online Retail and Ecommerce0%0
Hospitality-0.58%
Leisure-2.14%
Specialty Stores-2.22%
Retail Distributors-2.90%
Auto-4.92%
Luxury-5.22%
General Merchandise and Department Stores-5.92%
Industry PE
  • Investors are most optimistic about the Hospitality industry even though it's trading below its 3-year average PE ratio of 41.8x.
    • Analysts are expecting annual earnings growth of 18.2%, which is lower than the prior year's growth of 24.3% per year.
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 7.8% 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$160.713.9%
+US$6.6b		25.1%PE30.7x
MAR Marriott InternationalUS$392.514.5%
+US$4.5b		47.8%PE40.1x
HLT Hilton Worldwide HoldingsUS$343.104.7%
+US$3.5b		35.7%PE50.7x
AZO AutoZoneUS$3.12k6.2%
+US$3.0b		-16.2%PE20.6x
ORLY O'Reilly AutomotiveUS$90.334.0%
+US$2.9b		-1.7%PE28.7x

Latest News

H
US$193.06
Hyatt Hotels
7D
6.5%
1Y
45.6%
Narrative Update • Jun 04

H: AI Adoption And Capital Returns Will Support Steady Balanced Performance

Analysts have lifted their price target on Hyatt Hotels to about $194 from roughly $187, reflecting updated assumptions around revenue growth, profit margins, and a slightly adjusted future P/E multiple. What's in the News At the NYU International Hospitality Investment Forum 2026, Hyatt CEO Mark Hoplamazian discussed using artificial intelligence to streamline back office tasks so staff can focus more on guests, while also highlighting mixed trends in travel demand, with softer international travel and firm domestic leisure and higher end demand.
TJX
US$160.71
TJX Companies
7D
3.9%
1Y
25.1%
BABA
US$121.06
Alibaba Group Holding
7D
-2.5%
1Y
1.4%
CVNA
US$66.51
Carvana
7D
-8.9%
1Y
-2.6%
Narrative Update • Jun 04

CVNA: TAM Expansion And Stock Split Will Support Future Execution Upside

Carvana's updated analyst price target shifts from a prior fair value reference of $428.50 to about $92.90 per share, with analysts largely tying the recalibration to the recent 5:1 stock split, as well as modest tweaks to revenue growth, profit margin and future P/E assumptions. Analyst Commentary Recent research updates around Carvana cluster around the stock split and revised price targets, but there is still a clear split between what bullish and bearish analysts focus on.
F
US$14.90
Ford Motor
7D
-14.6%
1Y
45.2%
VSXY
US$74.60
Victoria's Secret
7D
35.6%
1Y
236.6%
Seeking Alpha • Jun 04

Victoria's Secret & Co.: Downgrade To Hold As Risk/Reward No Longer As Attractive

Summary Victoria's Secret & Co. delivered strong Q1 2026 results, with 15% net sales growth and significant margin expansion. Core intimates, PINK, and Beauty all posted double-digit growth, while international sales surged and regular-price selling improved profit quality. Despite operational progress, I downgrade VSXY to hold, as much of the turnaround is already priced in and forward margin clarity is needed. I await sustained momentum and a cleaner margin bridge before considering a more bullish stance or a better entry point. Read the full article on Seeking Alpha
MELI
US$1,607.80
MercadoLibre
7D
-5.2%
1Y
-35.2%
Seeking Alpha • Jun 03

MercadoLibre: I See An Early Digital Walled Garden Being Built

Summary MercadoLibre defies platform gravity by accelerating GMV growth and expanding take rates at massive scale, signaling deepening merchant and consumer dependency. I initiate MELI at Buy with a $2,300 price target, driven by logistics scale, fintech ecosystem strength, and anticipated EPS recovery in 2026–2027. Margin compression is a deliberate investment in logistics and fintech infrastructure, already yielding measurable cost advantages and cross-selling synergies. Key risk factors include delayed margin recovery, regulatory intervention in Mercado Pago, and LatAm FX exposure; watch Q2 2026 Brazil take rate elasticity for thesis validation. Read the full article on Seeking Alpha
NKE
US$42.98
NIKE
7D
-7.0%
1Y
-31.6%
ORLY
US$90.33
O'Reilly Automotive
7D
4.0%
1Y
-1.7%
Narrative Update • Jun 03

ORLY: Expanded Buybacks And Tactical Rating Shift Will Support Bullish Thesis

The analyst fair value estimate for O'Reilly Automotive has been revised from $84.67 to $97.40, as analysts point to higher assumed profit margins, a modest adjustment to revenue growth expectations, a slightly lower discount rate, and updated future P/E assumptions supported by a wave of recent price target increases across the sector. Analyst Commentary Recent Street research around O'Reilly Automotive has been active, with multiple firms adjusting price targets across the auto parts retail group.
TSLA
US$391.00
Tesla
7D
-10.3%
1Y
32.5%
Seeking Alpha • Jun 03

How Much Longer Can Musk's Vision Support Tesla's 400x P/E

Summary Tesla trades at a TTM P/E of 400x despite EPS contracting for three consecutive years with no meaningful recovery in sight. Q1 2026 operating margin fell from 5.7% to 4.2% as Tesla pours capital into AI and robotics at the expense of core profitability. CapEx is set to surge from $9B in 2025 to $25B in 2026, pushing free cash flow negative while new revenue streams remain years away. Consensus EPS growth of 22% annually through 2028 is comparable to Alphabet, yet Tesla trades at over seven times Alphabet's P/E multiple. Shareholders are pre-paying for robotaxis, FSD and humanoid robots that don't yet contribute enough to earnings, carrying all the risk today. Read the full article on Seeking Alpha
AMZN
US$246.03
Amazon.com
7D
-9.1%
1Y
15.2%
Narrative Update • Jun 03

AMZN: AWS AI Backlog And Anthropic OpenAI Deals Will Support Future Cash Generation

Analysts have nudged the Amazon.com fair value estimate higher to about $313 per share from roughly $308, reflecting updated assumptions for slightly stronger long term revenue growth and margins, ongoing AWS AI backlog momentum, and a Street price target cluster moving toward the low to mid $300s, including a recent Truist increase to $320 tied to large Anthropic and OpenAI partnerships. Analyst Commentary Street research around Amazon.com has been highly active, with a wide cluster of price target revisions and list additions centering in the low to mid US$300s.
HLT
US$343.10
Hilton Worldwide Holdings
7D
4.7%
1Y
35.7%
Narrative Update • Jun 03

HLT: Lifestyle Brand Expansion And AI Planning Will Shape Balanced 2026 Outlook

Analysts made a modest adjustment to Hilton Worldwide Holdings' price targets, with moves such as Bernstein trimming its target by $2 to $320, while several other firms raised their targets by between $1 and $51, reflecting mixed views on the U.S. economy and sector risks but continued interest in the stock. Analyst Commentary Bullish Takeaways Bullish analysts lifting price targets by amounts ranging from low single digits up to US$51 suggest continued confidence that Hilton can execute on its growth plans and justify higher valuations over time.
TMHC
US$71.53
Taylor Morrison Home
7D
22.3%
1Y
25.1%
HD
US$310.78
Home Depot
7D
-2.0%
1Y
-15.4%
Narrative Update • Jun 02

HD: Pro Ecosystem Expansion And 2026 Plan Will Support Future Upside

Analysts have trimmed the Home Depot price target to $370 from about $408, reflecting slightly softer revenue growth assumptions, a lower forward P/E near 27x, and modestly better profit margin expectations after recent Q1 updates. Analyst Commentary Street research on Home Depot has shifted to slightly lower price targets, but most firms keep positive or at least neutral views on the stock, focusing on execution against a slower home improvement backdrop and updated earnings models after Q1 results.
MAR
US$392.51
Marriott International
7D
4.5%
1Y
47.8%
Narrative Update • Jun 01

MAR: Future Outlook Will Balance Buybacks With Global Expansion And Event Driven Demand

Analysts have slightly adjusted their fair value estimate for Marriott International, lifting the price target from about $377.33 to roughly $377.67 as updated assumptions on discount rate, long term revenue growth, profit margin, and future P/E are incorporated into their models. What's in the News Marriott plans to present its latest company direction at the upcoming Morgan Stanley Travel & Leisure Conference, alongside leadership changes and adjustments following a challenging Q1 2026 earnings report, with April data showing an 8% year over year rise in contract sales and updated full year contract sales guidance (source: Morgan Stanley conference coverage).
AZO
US$3,116.43
AutoZone
7D
6.2%
1Y
-16.2%