Consumer Defensive Sector

Comprehensive analysis of the consumer defensive sector

+1.61%1D Performance
52 Companies
$3.67T Market Cap
Total Companies
52
Total Market Cap
$3.67T
Avg P/E Ratio
19.5
Avg ROE
13.5%
↑ 13.47%

Sector Performance Overview

Performance Metrics

1 Week-3.66%
1 Month-6.8%
3 Months-4.57%
6 Months-7.68%
YTD-5.8%
1 Year-0.21%

Sector Characteristics

Key Industries

Discount StoresHousehold & Personal ProductsBeverages - Non-AlcoholicTobacco

Investment Style

DefensiveDividendLow Volatility
No data found for the Consumer Defensive sector in this country.

Leading Companies by Market Cap

SymbolCompanyPriceChangeMarket CapP/EVolume
WMT.DEWalmart Inc.$81.87↑+0.59%653.36B40.332,344
CTO.DECostco Wholesale Corporation$860.3↓-0.43%381.52B55.54181
PRG.DEThe Procter & Gamble Company$140.06↓-0.31%328.38B25.475,535
CCC3.DEThe Coca-Cola Company$61.92↓-0.27%266.52B28.405,197
4I1.DEPhilip Morris International Inc.$159.12↑+0.77%247.67B28.671,114
Showing top 5 companies by market capitalization

Understanding the Consumer Defensive Sector

The consumer defensive sector represents a significant segment of the modern economy, encompassing 52 companies with a combined market capitalization of $3.67T. This sector includes key industries such as Discount Stores, Household & Personal Products, Beverages - Non-Alcoholic, each contributing to the sector's overall performance and market dynamics. The sector's diverse composition provides investors with exposure to multiple business models and growth opportunities within the consumer defensive space.

Investment opportunities in the consumer defensive sector are characterized by companies with defensive, dividend, low volatility strategies. The sector's financial profile includes an average P/E ratio of 19.5 and an average ROE of 13.5%, reflecting the fundamental strength and profitability metrics across the sector's constituent companies. Investors should consider these metrics when evaluating investment opportunities and assessing risk-return profiles within this sector.

The consumer defensive sector's recent performance shows varied results across different time horizons, with 1-day performance at +1.61% and year-to-date performance at -5.8%. This performance data, combined with the sector's fundamental characteristics, provides valuable insights for investors considering portfolio allocation to the consumer defensive sector. The sector's investment appeal lies in its defensive, dividend, low volatility nature, offering opportunities for both growth-oriented and income-focused investment strategies.

Frequently Asked Questions

The consumer defensive sector includes companies involved in discount stores, household & personal products, beverages - non-alcoholic, tobacco. Major companies include Walmart Inc., Costco Wholesale Corporation, The Procter & Gamble Company, The Coca-Cola Company, and Philip Morris International Inc. and many others that drive technological innovation.
The consumer defensive sector has generally outperformed the broader market over the long term, driven by continuous innovation and digital transformation trends. However, it's also known for higher volatility compared to more traditional sectors, with significant price swings during market cycles.
Key risks include high market volatility, rapid technological obsolescence, intense competition, regulatory challenges, and sensitivity to economic cycles. Additionally, many consumer defensive companies trade at high valuations, making them vulnerable to market corrections.
Focus on metrics like revenue growth, profit margins, return on equity (sector average: 13.47%), free cash flow, and price-to-earnings ratio (sector average: 19.54). Also consider competitive positioning, intellectual property, management quality, and the company's ability to adapt to technological changes.
The consumer defensive sector is characterized by defensive, dividend, low volatility investment styles. This sector offers exposure to companies across various industries including discount stores, household & personal products, beverages - non-alcoholic, tobacco, providing investors with diversified opportunities within the sector's ecosystem.
The consumer defensive sector can be excellent for long-term investors who can tolerate volatility and believe in continued technological advancement. The sector's growth potential is driven by ongoing innovation and increasing digitalization across all aspects of business and life.

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