NKE - Top Stocks To Buy Now? 2 Consumer Discretionary Stocks In Focus

November, 08 2022 12:06 PM Nike Inc.

Consumer discretionary stocks are a type of stock that represents companies that produce goods and services that are considered non-essential. These companies are typically impacted more by economic downturns than other types of businesses. As a result, their stock prices can be more volatile. However, they can also offer stock market investors the opportunity to profit from an economic rebound.

Consumer discretionary stocks include retail companies, restaurants, media firms, and luxury brands. For example, companies like AutoZone Inc. ( NYSE: AZO ) and Nike Inc. ( NYSE: NKE ) are categorized as consumer discretionary. While these stocks can be riskier than other investments, they can also provide the potential for higher returns. For investors who are willing to take on more risk, investing in consumer discretionary stocks may be a viable option. With this in mind, check out these two top consumer discretionary firms to watch in the stock market today.

Consumer Discretionary Stocks To Watch Now

Starbucks Corporation ( NASDAQ: SBUX )
Airbnb Inc. ( NASDAQ: ABNB )

1. Starbucks (SBUX Stock)

Leading off, Starbucks Corporation (SBUX) is an American coffee company and coffeehouse chain. Today, Starbucks has more than 35,000 stores around the globe.

SBUX Recent Stock News

In the report, Starbucks posted Q4 2022 earnings of $0.81 per share, with revenue of $8.4 billion. This is compared to the street’s consensus estimates for Q4 2022, which was earnings per share of $0.73, and revenue estimates of $8.4 billion. In addition, the company reported that its Active Starbucks® Rewards membership increased 16% in the United States in Q4 to 28.7 Million Members.

Howard Schultz, the interim CEO, commented, “ We saw accelerating demand for Starbucks coffee around the world in Q4 and throughout the year. And our Q4 results demonstrate early evidence of the success of our U.S. Reinvention investments. Reinvention will touch, and elevate, every aspect of our Starbucks partner, customer and store experiences, and ideally position Starbucks to deliver accelerated, sustainable, long-term, profitable growth and value creation beginning in 2023. “

SBUX Stock Chart

In the last month of trading, shares of SBUX stock have recovered 6.80%. Meanwhile, on Tuesday, Starbucks stock is up 2.76%, currently trading at $92.95 per share.

Source: TD Ameritrade TOS

2. Airbnb (ABNB Stock)

Next, Airbnb Inc. (ABNB) is an online marketplace that connects people who need a place to stay with people who need to rent out extra space.

ABNB Recent Stock News

Earlier this month, Airbnb reported its third-quarter 2022 financial and operating results. In detail, the company posted Q3 2022 earnings of $1.79 per share, with revenue of $2.9 billion. For context, Wall Street’s consensus estimates for the quarter were earnings of $1.43 per share and revenue of $2.9 billion. What’s more, Airbnb posted a 28.9% increase compared to the same period, a year prior.

In the company’s release to shareholders, the company commented, “ Our Q3 results demonstrate that Airbnb continues to drive growth and profitability at scale. And regardless of continued macro uncertainties, we believe we’re well-positioned for the road ahead. There are a couple of reasons for this. “

ABNB Stock Chart

Meanwhile, on Tuesday, shares of ABNB stock are trading higher by 5.97% at $101.14 per share.