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

U.S. Consumer Discretionary Sector Analysis

UpdatedSep 05, 2025
DataAggregated Company Financials
Companies775
  • 7D0.6%
  • 3M11.0%
  • 1Y29.0%
  • YTD7.5%

Over the last 7 days, the Consumer Discretionary industry has remained flat, although notably Tesla gained 5.1%. The past year has been better, since the industry has gained 29% in that time. As for the next few years, earnings are expected to grow by 18% 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 Sep 2025US$7.4tUS$3.5tUS$221.9b20.3x33.1x2.1x
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
Mon, 23 Jan 2023US$4.5tUS$3.0tUS$108.0b12.7x41.5x1.5x
Wed, 21 Dec 2022US$4.0tUS$3.0tUS$108.1b11.6x37.2x1.3x
Fri, 18 Nov 2022US$4.4tUS$3.0tUS$111.1b11.6x39.2x1.4x
Sun, 16 Oct 2022US$4.2tUS$3.0tUS$112.3b10.3x37.1x1.4x
Tue, 13 Sep 2022US$5.3tUS$3.0tUS$110.8b12x47.9x1.8x
Price to Earnings Ratio

47.9x


Total Market Cap: US$5.3tTotal Earnings: US$110.8bTotal Revenue: US$3.0tTotal Market Cap vs Earnings and Revenue0%0%0%
U.S. Consumer Discretionary Sector Price to Earnings3Y Average 38x202320242025
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 33.1x which is lower than its 3-year average PE of 38.0x.
  • 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 26% per year over the last three years.
  • Revenues for these companies have grown 5.5% 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-0.008%
Consumer Discretionary0.63%
Consumer Durables2.91%
General Merchandise and Department Stores2.24%
Specialty Stores1.19%
Retail Distributors0.87%
Leisure0.45%
Online Retail and Ecommerce0%0
Auto Components-0.062%
Luxury-0.42%
Consumer Services-1.65%
Hospitality-1.99%
Auto-2.10%
Industry PE
  • Investors are most optimistic about the Auto Components industry which is trading above its 3-year average PE ratio of 110x.
    • Analysts are expecting annual earnings growth of 31.7%, which is higher than its past year's earnings growth of 2.8% per year.
Forecasted Growth
  • Analysts are most optimistic on the Leisure industry, expecting annual earnings growth of 37% over the next 5 years.
  • This is better than its past earnings decline of 22% per year.
  • In contrast, the Consumer Durables industry is expected to see its earnings grow by 4.0% 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$350.815.1%
+US$54.6b		66.5%PE192.5x
AMZN Amazon.comUS$232.331.5%
+US$35.5b		35.6%PE35.1x
HD Home DepotUS$418.953.0%
+US$12.1b		16.4%PE28.5x
LOW Lowe's CompaniesUS$269.974.6%
+US$6.7b		10.7%PE22.1x
PDD PDD HoldingsUS$124.683.7%
+US$6.3b		33.6%PE12.9x

Latest News

LULU
US$167.80
lululemon athletica
7D
-17.0%
1Y
-33.9%
SE
US$191.62
Sea
7D
2.7%
1Y
148.3%

Sea Limited's (NYSE:SE) 25% Jump Shows Its Popularity With Investors

Sep 05
Sea Limited's (NYSE:SE) 25% Jump Shows Its Popularity With Investors
RCL
US$352.27
Royal Caribbean Cruises
7D
-3.0%
1Y
125.0%

New Cruise Ships And Private Destinations Will Expand Markets

Despite a less attractive near-term tactical setup following a sector rally, analysts cite strong demand, robust pricing, and superior margins as drivers for Royal Caribbean's long-term EPS and market share growth, resulting in the consensus price target remaining unchanged at $351.65. Analyst Commentary Bullish analysts highlight strong forward demand, robust pricing, and optionality from land-based projects as drivers for increased price targets.
BKNG
US$5,505.80
Booking Holdings
7D
-1.7%
1Y
47.6%

AI Integration And Global Partnerships Will Transform Travel Experiences

Despite persistent bullish sentiment driven by resilient leisure travel demand, accelerating reservation data, and valuation discounts versus peers, recent analyst caution over softer Q3 guidance has resulted in no net change to Booking Holdings' consensus analyst price target, which remains at $6,100. Analyst Commentary Bullish analysts continue to raise price targets based on reduced macro risks, a resilient leisure travel backdrop, and incrementally positive trends in Booking’s Asia exposure.
LVS
US$53.70
Las Vegas Sands
7D
-6.8%
1Y
35.3%
LOW
US$269.97
Lowe's Companies
7D
4.6%
1Y
10.7%
DHI
US$181.80
D.R. Horton
7D
7.3%
1Y
-2.3%

Affordable Home Expansion And Suburban Migration Will Drive Resiliency

D.R. Horton's analyst price target was raised to $161.60, reflecting heightened investor optimism on rate cuts, sector-wide valuation uplift, and recent earnings outperformance. Analyst Commentary Bullish analysts cite increasing investor optimism regarding future interest rate cuts, which is boosting valuations in the homebuilding sector.
MELI
US$2,417.49
MercadoLibre
7D
-2.2%
1Y
21.7%

Digital Retail And MercadoPago Adoption Will Fuel Future Markets

Analysts have raised MercadoLibre’s price target to $2,876, reflecting confidence in its aggressive push into Brazil’s low-ASP e-commerce segment despite rising competition, driven by strong Q2 execution and potential for share gains among value-focused consumers. Analyst Commentary MercadoLibre is aggressively targeting the lower average selling price (ASP) segment in Brazil, including a significant lowering of the free shipping threshold and large-scale promotional campaigns, to directly compete with Shopee, Temu, and TikTok Shop.
PDD
US$124.68
PDD Holdings
7D
3.7%
1Y
33.6%
NKE
US$73.91
NIKE
7D
-4.5%
1Y
-8.3%
HD
US$418.95
Home Depot
7D
3.0%
1Y
16.4%

Analysts Are Updating Their The Home Depot, Inc. (NYSE:HD) Estimates After Its Second-Quarter Results

Aug 28
Analysts Are Updating Their The Home Depot, Inc. (NYSE:HD) Estimates After Its Second-Quarter Results
TSLA
US$350.81
Tesla
7D
5.1%
1Y
66.5%
TJX
US$139.26
TJX Companies
7D
1.9%
1Y
20.4%

Global Store Base Will Reach 7,000, Increasing Customer Access

The analyst price target for TJX Companies has been raised to $149.44, reflecting strong Q2 outperformance, raised guidance, and sustained traffic and market share gains, though upside may be tempered by elevated valuation. Analyst Commentary Strong Q2 performance with both revenue and earnings exceeding expectations, fueled by healthy traffic growth across all banners.
SBUX
US$85.43
Starbucks
7D
-3.1%
1Y
-6.3%
AMZN
US$232.33
Amazon.com
7D
1.5%
1Y
35.6%
ABNB
US$123.81
Airbnb
7D
-5.1%
1Y
8.3%
User avatar

Airbnb (ABNB): Still one of the most interesting bets in travel

Airbnb is changing from a travel-only app to a full lifestyle platform (stays, rentals, experiences)