Survey Finds Positive Investor Sentiment Continues to Build as Heightened Expectations for Higher Growth Contend with Anticipated Tariff Turbulence
Access Our Latest Research
Industrials Anticipated to Capture Momentum in Multi-year Capex Cycle Aligned with Secular Trends, But Potential Dampening Effects of Tariffs on Demand Weighs Near Term
By providing The Big So What®, we inform, inspire, and influence positive change
This Week in Earnings – Q3'23
Consumer Discretionary in our Sector Beat
- With 80% of the S&P 500 reporting earnings to date, 60% have reported a positive revenue surprise, below the 1-year average of 69%.
- Companies are reporting revenue 0.5% above consensus estimates, below both the 1-year average (+2.1%) and 5-year average (+2.0%). Continuing, 82% have reported a positive EPS surprise, above the 1-year average (74%) and 5-year average (77%).
- Companies are reporting earnings 7.0% above consensus estimates, well above the 1-year average of (+4.4%) but below the 5-year average (+8.5%).
In this week’s Sector Beat, we analyzed annual revenue and EPS guidance provided by Consumer Discretionary companies with market caps greater than $500M that have reported to date.
On average, overarching trends indicate a greater number of Consumer Discretionary companies are lowering revenue and EPS guidance versus our All-Company benchmark — a clear reflection of the tightening financial constraints among consumers.
- Revenue: 28% raised, 28% maintained, 44% lowered
- EPS: 39% raised, 19% maintained, 42% lowered
Further, we analyzed the earnings calls for this group and the broader consumer discretionary universe to identify key themes:
- Consumer Health: consumers pull the purse strings tighter; executives note leaner spending habits and trade-down activity, particularly among lower-income shoppers
- Margins: still “levers to pull” as executives tout improved cost structures and easing inflation, though price tags expected to drop as demand drifts
- Inventory: despite diminishing destocking and hints of wholesale recovery, path to ‘normalized’ inventory levels clouded by murky demand
- Inflation: pricing levels are largely normalizing though pressure on wages and select pockets of higher food costs linger
- Regional Spotlight: east meets west as China and Europe outlooks remain wildcards with indicators pointing in both directions
Corbin Advisors is a strategic investor relations and communications advisory firm with a track record of supporting our publicly traded clients in creating sustained shareholder value. Our approach leverages decades of Voice of Investor® (VOI) research and data-driven insights; capital markets expertise and deep best practice knowledge; and a proven playbook and passion for client outperformance. We are a trusted advisor and partner to boards of directors, executive leaders, and investor relations professionals, serving a broad range of companies globally across sectors, sizes, and situations. Through defining the standard of excellence and challenging conventional thinking, we enable our clients to boldly differentiate their equity brand, maximize valuation, and build more durable franchises.
Corbin Advisors. Outperformance Built on Trust®.
Leverage the experience and expertise of our team
Access insights in our regularly published research, which captures trends in institutional investor sentiment globally
A strategic consultancy accelerating value realization globally
© 2025 Corbin Advisors. All Rights Reserved.