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U.S. Consumer Discretionary Sector Analysis

UpdatedJul 10, 2026
DataAggregated Company Financials
Companies778
  • 7D1.2%
  • 3M4.3%
  • 1Y5.4%
  • YTD-2.6%

In the last week, the Consumer Discretionary industry is up 1.2%, with Tesla leading the way, up 3.3%. During this same period, the Home Depot underperformed, falling 5.4%. This means that the industry has gained 5.4% over the past year. 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
Fri, 10 Jul 2026US$7.5tUS$3.7tUS$215.0b18.6x34.8x2x
Sun, 07 Jun 2026US$7.4tUS$3.7tUS$214.3b18.1x34.7x2x
Tue, 05 May 2026US$7.8tUS$3.7tUS$208.6b18.7x37.6x2.1x
Thu, 02 Apr 2026US$7.0tUS$3.6tUS$198.3b18.5x35.2x1.9x
Sat, 28 Feb 2026US$7.5tUS$3.6tUS$205.9b20.1x36.3x2.1x
Mon, 26 Jan 2026US$7.9tUS$3.6tUS$221.3b19.7x35.5x2.2x
Wed, 24 Dec 2025US$7.8tUS$3.6tUS$221.3b19.2x35.4x2.2x
Fri, 21 Nov 2025US$7.3tUS$3.6tUS$225.0b17.3x32.4x2x
Sun, 19 Oct 2025US$7.5tUS$3.5tUS$220.8b18.7x34.2x2.2x
Tue, 16 Sep 2025US$7.7tUS$3.5tUS$221.3b19.6x34.9x2.2x
Thu, 14 Aug 2025US$7.1tUS$3.5tUS$218.8b20.1x32.5x2.1x
Sat, 12 Jul 2025US$6.9tUS$3.4tUS$216.1b18.9x31.9x2x
Mon, 09 Jun 2025US$6.7tUS$3.4tUS$217.3b17.5x30.7x1.9x
Wed, 07 May 2025US$6.2tUS$3.4tUS$216.9b16.9x28.6x1.8x
Fri, 04 Apr 2025US$6.4tUS$3.4tUS$211.9b15.7x30x1.9x
Sun, 02 Mar 2025US$6.8tUS$3.4tUS$211.4b17.8x32.3x2x
Tue, 28 Jan 2025US$7.3tUS$3.3tUS$202.7b19x36.1x2.2x
Thu, 26 Dec 2024US$7.4tUS$3.3tUS$200.9b18x36.7x2.2x
Sat, 23 Nov 2024US$6.7tUS$3.4tUS$199.9b18.6x33.4x2x
Mon, 21 Oct 2024US$5.8tUS$3.2tUS$178.5b18.6x32.7x1.8x
Wed, 18 Sep 2024US$5.6tUS$3.2tUS$177.5b17.7x31.6x1.8x
Fri, 16 Aug 2024US$5.3tUS$3.2tUS$173.3b17.1x30.4x1.7x
Sun, 14 Jul 2024US$5.8tUS$3.1tUS$167.4b17.6x34.6x1.9x
Tue, 11 Jun 2024US$5.4tUS$3.1tUS$168.0b18x32.4x1.7x
Thu, 09 May 2024US$5.5tUS$3.1tUS$165.9b18.1x32.9x1.8x
Sat, 06 Apr 2024US$5.3tUS$3.1tUS$160.4b18x33x1.7x
Mon, 04 Mar 2024US$5.5tUS$3.1tUS$155.1b17.7x35.2x1.8x
Wed, 31 Jan 2024US$5.1tUS$3.1tUS$148.3b17.1x34.5x1.7x
Fri, 29 Dec 2023US$5.4tUS$3.1tUS$141.4b17.8x37.9x1.8x
Sun, 26 Nov 2023US$5.0tUS$3.0tUS$139.8b15.3x35.7x1.6x
Tue, 24 Oct 2023US$4.5tUS$3.0tUS$113.0b14.6x39.6x1.5x
Thu, 21 Sep 2023US$4.9tUS$3.0tUS$112.6b15x43.3x1.6x
Sat, 19 Aug 2023US$4.8tUS$3.0tUS$112.3b15.9x42.5x1.6x
Mon, 17 Jul 2023US$5.1tUS$2.9tUS$99.9b15.5x51.2x1.8x
Price to Earnings Ratio

51.2x


Total Market Cap: US$5.1tTotal Earnings: US$99.9bTotal Revenue: US$2.9tTotal Market Cap vs Earnings and Revenue0%0%0%
U.S. Consumer Discretionary Sector Price to Earnings3Y Average 34.9x202420252026
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 34.9x.
  • 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 8.1% 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 Market0.59%
Consumer Discretionary1.24%
Auto2.95%
General Merchandise and Department Stores2.90%
Consumer Services0.28%
Auto Components0.029%
Online Retail and Ecommerce0%0
Hospitality-1.03%
Leisure-1.36%
Luxury-1.85%
Specialty Stores-2.60%
Consumer Durables-3.77%
Retail Distributors-5.06%
Industry PE
  • Investors are most optimistic about the Retail Distributors industry which is trading above its 3-year average PE ratio of 20.0x.
    • Analysts are expecting annual earnings growth of 25.2%, which is higher than its past year's earnings decline of 19.0% 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 5.8% per year.
  • In contrast, the Consumer Durables industry is expected to see its earnings grow by 8.3% 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$406.553.3%
+US$49.2b		31.2%PE395.4x
AMZN Amazon.comUS$247.041.8%
+US$47.0b		11.1%PE29.3x
BABA Alibaba Group HoldingUS$111.1415.6%
+US$34.2b		4.2%PE16.3x
PDD PDD HoldingsUS$85.884.2%
+US$5.0b		-18.2%PE8.7x
SE SeaUS$109.115.6%
+US$3.6b		-27.0%PE41.7x

Latest News

AMZN
US$247.04
Amazon.com
7D
1.8%
1Y
11.1%
BABA
US$111.14
Alibaba Group Holding
7D
15.6%
1Y
4.2%
TSLA
US$406.55
Tesla
7D
3.3%
1Y
31.2%
BKNG
US$175.52
Booking Holdings
7D
-4.9%
1Y
-23.3%
ORLY
US$85.12
O'Reilly Automotive
7D
-5.7%
1Y
-7.9%
Seeking Alpha • Jul 08

O'Reilly Automotive: A Defensive Compounder In An Uncertain Economy

Summary O'Reilly Automotive remains a Buy, driven by robust financials, resilient operations, and significant long-term expansion potential. ORLY delivered a strong Q1, with 10.1% revenue growth, 8.1% comp sales, and 16% EPS growth, outperforming expectations. The potential acquisition of GPC's NAPA business could add scale but introduces financing and integration risks, reflected in a 4.4% share price drop. Valuation remains rich but justified by defensiveness, solid financial health, and international expansion, with intrinsic value estimated near the current market price. Read the full article on Seeking Alpha
ROST
US$220.60
Ross Stores
7D
3.4%
1Y
68.6%
Narrative Update • Jul 07

ROST: Strong Q1 Momentum And Value Model Will Face Tough Comparisons

The updated fair value estimate for Ross Stores moves higher by about $25 to $205, as analysts factor in a slightly lower discount rate, modestly softer revenue growth assumptions, and somewhat stronger profitability and future P/E expectations following a series of price target increases and supportive research commentary. Analyst Commentary Recent Street research on Ross Stores has been largely constructive, with several firms lifting price targets following a Q1 report that featured 17% comp sales growth versus an 8.6% consensus figure and stronger traffic trends.
AZO
US$3,010.39
AutoZone
7D
-4.7%
1Y
-19.3%
SBUX
US$106.41
Starbucks
7D
2.1%
1Y
11.8%
MELI
US$1,807.83
MercadoLibre
7D
2.5%
1Y
-24.7%
Seeking Alpha • Jul 04

MercadoLibre: Scaling Tremendously Ahead Of A Rotation Trade

Summary MercadoLibre is primed for a rebound after a ~30% stock decline despite accelerating growth, especially in Brazil. I see MELI benefiting from secular Latin American growth, with ~$20B quarterly GMV expanding at a mid-30s pace. MercadoPago, MELI’s fintech arm, drives TPV at ~4x GMV and now contributes nearly half of total revenue. Despite aggressive investment, MELI maintains positive GAAP net income and adjusted EBITDA, supporting my reiterated buy rating. Read the full article on Seeking Alpha
PDD
US$85.88
PDD Holdings
7D
4.2%
1Y
-18.2%
MCD
US$276.49
McDonald's
7D
-1.5%
1Y
-7.3%
SE
US$109.11
Sea
7D
5.6%
1Y
-27.0%
TJX
US$150.90
TJX Companies
7D
-2.2%
1Y
21.5%
DHI
US$149.55
D.R. Horton
7D
-5.7%
1Y
7.1%
LOW
US$213.00
Lowe's Companies
7D
-6.4%
1Y
-6.5%
Narrative Update • Jun 25

LOW: Reaffirmed 2026 Outlook And Pro Share Gains Will Support Housing Recovery

The updated analyst price target for Lowe's Companies reflects a broad reset of Street expectations, with multiple firms trimming targets into a roughly $220 to $285 range as analysts factor in softer comparable sales, a tougher housing backdrop, and modestly adjusted earnings assumptions, while still recognizing steady execution and reaffirmed long term guidance. Analyst Commentary Recent research on Lowe's Companies shows a reset in price targets, but not a uniform shift in sentiment.
HD
US$338.73
Home Depot
7D
-5.4%
1Y
-9.3%