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U.S. Consumer Discretionary Sector Analysis

UpdatedFeb 17, 2026
DataAggregated Company Financials
Companies798
  • 7D-2.4%
  • 3M-0.7%
  • 1Y-1.7%
  • YTD-5.2%

Over the last 7 days, the Consumer Discretionary industry has dropped 2.4%, driven by declines in Amazon.com and Tesla of 2.8% and 3.4%, respectively. As for the longer term, the industry's performance has been flat for the past year. Looking forward, 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
Wed, 18 Feb 2026US$7.4tUS$3.6tUS$206.9b20.5x35.8x2.1x
Fri, 16 Jan 2026US$7.9tUS$3.6tUS$221.6b19.6x35.4x2.2x
Sun, 14 Dec 2025US$7.7tUS$3.5tUS$221.9b19.2x34.8x2.2x
Tue, 11 Nov 2025US$7.8tUS$3.5tUS$222.2b17.9x35.2x2.2x
Thu, 09 Oct 2025US$7.7tUS$3.5tUS$221.1b19.1x34.9x2.2x
Sat, 06 Sep 2025US$7.5tUS$3.5tUS$221.6b20.2x34x2.2x
Mon, 04 Aug 2025US$6.8tUS$3.4tUS$216.0b18.1x31.4x2x
Wed, 02 Jul 2025US$6.9tUS$3.4tUS$216.2b18.1x32x2x
Fri, 30 May 2025US$6.7tUS$3.4tUS$217.8b16.8x30.9x2x
Sun, 27 Apr 2025US$6.1tUS$3.4tUS$210.6b16.5x29.2x1.8x
Tue, 25 Mar 2025US$6.2tUS$3.4tUS$211.8b17.2x29.5x1.8x
Thu, 20 Feb 2025US$7.3tUS$3.4tUS$204.4b19.3x35.6x2.2x
Sat, 18 Jan 2025US$7.1tUS$3.3tUS$201.8b18.9x35.2x2.1x
Mon, 16 Dec 2024US$7.4tUS$3.3tUS$201.0b19x36.6x2.2x
Wed, 13 Nov 2024US$6.5tUS$3.2tUS$180.3b18.3x35.9x2x
Fri, 11 Oct 2024US$5.9tUS$3.2tUS$178.6b17.9x32.9x1.9x
Sun, 08 Sep 2024US$5.3tUS$3.2tUS$177.6b17x29.9x1.7x
Tue, 06 Aug 2024US$5.2tUS$3.2tUS$174.1b16.3x30x1.7x
Thu, 04 Jul 2024US$5.7tUS$3.1tUS$167.4b17.2x34.1x1.8x
Sat, 01 Jun 2024US$5.3tUS$3.1tUS$167.8b18.2x31.8x1.7x
Mon, 29 Apr 2024US$5.3tUS$3.1tUS$159.9b17x33x1.7x
Wed, 27 Mar 2024US$5.4tUS$3.1tUS$159.6b17.5x33.6x1.7x
Fri, 23 Feb 2024US$5.3tUS$3.1tUS$153.5b17.9x34.2x1.7x
Sun, 21 Jan 2024US$5.1tUS$3.1tUS$141.6b17.1x35.7x1.7x
Tue, 19 Dec 2023US$5.3tUS$3.1tUS$139.5b17.4x37.9x1.7x
Thu, 16 Nov 2023US$4.9tUS$3.0tUS$131.4b15.6x37.6x1.6x
Sat, 14 Oct 2023US$4.7tUS$3.0tUS$114.0b14.9x41x1.6x
Mon, 11 Sep 2023US$4.9tUS$3.0tUS$111.8b15.5x43.9x1.6x
Wed, 09 Aug 2023US$5.1tUS$3.0tUS$110.6b16.2x45.9x1.7x
Fri, 07 Jul 2023US$4.9tUS$2.9tUS$99.8b14.8x48.9x1.7x
Sun, 04 Jun 2023US$4.5tUS$2.9tUS$99.0b13.9x45.8x1.6x
Tue, 02 May 2023US$4.3tUS$2.9tUS$88.4b13.8x48.5x1.5x
Thu, 30 Mar 2023US$4.4tUS$2.9tUS$81.9b13.7x53.2x1.5x
Sat, 25 Feb 2023US$4.5tUS$3.1tUS$86.6b13.4x51.8x1.5x
Price to Earnings Ratio

51.8x


Total Market Cap: US$4.5tTotal Earnings: US$86.6bTotal 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 5.4% 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-1.93%
Consumer Discretionary-2.39%
Consumer Durables5.46%
Auto Components1.59%
Luxury1.42%
Auto0.38%
Online Retail and Ecommerce0%0
Retail Distributors-0.14%
Specialty Stores-1.16%
Leisure-3.34%
Consumer Services-3.69%
General Merchandise and Department Stores-4.57%
Hospitality-6.32%
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 18.9%, 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 7.7% 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$156.972.4%
+US$4.1b		26.8%PE34.1x
NKE NIKEUS$64.822.8%
+US$2.6b		-16.5%PE38x
RIVN Rivian AutomotiveUS$16.4711.6%
+US$2.3b		18.2%PS3.8x
F Ford MotorUS$14.134.1%
+US$2.3b		52.1%PS0.3x
ABNB AirbnbUS$124.233.9%
+US$2.0b		-21.4%PE29.7x

Latest News

ROST
US$198.21
Ross Stores
7D
3.1%
1Y
42.5%
GRMN
US$216.98
Garmin
7D
4.1%
1Y
1.0%
SN
US$131.45
SharkNinja
7D
10.8%
1Y
19.4%
RCL
US$323.73
Royal Caribbean Cruises
7D
-6.8%
1Y
23.7%
F
US$14.13
Ford Motor
7D
4.1%
1Y
52.1%
NKE
US$64.82
NIKE
7D
2.8%
1Y
-16.5%

NKE: Extended Timeline To US$3 EPS Target Will Support Multi Year Recovery

Narrative Update NIKE's analyst price targets have edged lower by about $1 as analysts factor in slightly higher discount rates and modest adjustments to long term margin and P/E assumptions, while still outlining a path to profitable growth despite recent target cuts and rating changes. Analyst Commentary Recent research updates on NIKE point to a more cautious tone on ratings and price targets, but there are still constructive threads that bullish analysts continue to highlight around profitability and valuation.
TSLA
US$410.63
Tesla
7D
-4.1%
1Y
13.9%

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Analysts have nudged their Tesla fair value estimate slightly higher to $421.73, reflecting updated views on revenue growth, profit margins, and Tesla's potential in areas like full self driving, physical AI, and energy, even as individual price targets across the Street have moved both up and down in recent weeks. Analyst Commentary Recent Street research around Tesla shows a wide range of views, with some firms lifting price targets and others trimming them.
DASH
US$162.34
DoorDash
7D
-12.6%
1Y
-23.4%

The Elhedery Cleansing: Dismantling the Global Generalist

The February 18th Reckoning DoorDash is set to report on February 18, 2026 , and the stakes couldn't be higher. The stock has recently cooled off from its 2025 highs, but it still trades at a significant premium to its fundamental cash-flow floor.
CVNA
US$350.94
Carvana
7D
-10.4%
1Y
23.3%

The Vending Machine’s Paradox: Efficiency vs. Gravity

The February 18th Reckoning Carvana reports on Wednesday, February 18, 2026 , into a market that has treated it like a high-flying tech stock rather than a car dealer. The narrative for this quarter is "Peak Leverage." After a 2025 where CVNA was one of the top performers in the S&P 500, analysts are looking for more than just a "beat." They are looking for proof that Carvana can maintain its $7,000+ Gross Profit per Unit (GPU) while aggressively scaling volume.
AMZN
US$201.15
Amazon.com
7D
-1.4%
1Y
-11.2%
RIVN
US$16.47
Rivian Automotive
7D
11.6%
1Y
18.2%
ABNB
US$124.23
Airbnb
7D
3.9%
1Y
-21.4%
BABA
US$155.43
Alibaba Group Holding
7D
-6.7%
1Y
22.5%

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$156.97
TJX Companies
7D
2.4%
1Y
26.8%

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.
PDD
US$101.83
PDD Holdings
7D
-3.4%
1Y
-20.7%

PDD: Future Returns Will Hinge On Reviving Domestic User Engagement

Analysts have trimmed their fair value estimate for PDD Holdings to about $118 from roughly $119, citing recent price target cuts, mixed quarterly readthroughs, and a shift toward higher assumed profit margins paired with a lower future P/E multiple in their updated models. Analyst Commentary Recent Street research on PDD Holdings reflects a cautious tone, with several bearish analysts trimming price targets and reassessing their growth and execution assumptions.
HD
US$383.04
Home Depot
7D
-1.7%
1Y
-5.0%

HD: Wholesale Expansion And AI Tools Will Support Post Headwind Share Positioning

Our updated Home Depot narrative reflects a slightly lower analyst price target of about $394 per share, as analysts broadly recalibrated their models. They are balancing recent target cuts tied to softer near term trends with fresh upward revisions from firms citing longer term earnings drivers and share gain potential.