Consumer Staples ETF XLP Underperforms in Q4 with a Rating of 2.28
Written by Emily J. Thompson, Senior Investment Analyst
Updated: 1h ago
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Source: seekingalpha
- ETF Performance: The Consumer Staples Select Sector SPDR Fund (XLP) underperformed in Q4 with a marginal loss of 0.73%, contrasting with the SPDR S&P 500 ETF (SPY) gain of 2%, indicating a defensive lag in risk-on market conditions.
- Quant Rating Analysis: According to Seeking Alpha's quant model, XLP received a rating of 2.28, ranking as the second-lowest among 11 sector-based ETFs, only above the real estate ETF (XLRE), reflecting a lack of market confidence in consumer staples.
- Stock Rating Highlights: Ambev (ABEV) achieved a Strong Buy rating of 4.86, while United Natural Foods (UNFI) received a rating of 4.73, indicating these companies' relative strength in the current economic environment, potentially attracting investor interest.
- Future Market Outlook: Goldman Sachs Research noted that despite structural headwinds in the consumer staples sector, attractive and profitable categories such as nicotine, energy drinks, and beauty products are still worth investing in for 2026, suggesting optimism in specific sub-sectors.
Analyst Views on ABEV
Wall Street analysts forecast ABEV stock price to rise over the next 12 months. According to Wall Street analysts, the average 1-year price target for ABEV is 2.74 USD with a low forecast of 1.95 USD and a high forecast of 4.00 USD. However, analyst price targets are subjective and often lag stock prices, so investors should focus on the objective reasons behind analyst rating changes, which better reflect the company's fundamentals.
4 Analyst Rating
1 Buy
2 Hold
1 Sell
Hold
Current: 2.570
Low
1.95
Averages
2.74
High
4.00
Current: 2.570
Low
1.95
Averages
2.74
High
4.00
About ABEV
Ambev SA, formerly Inbev Participacoes Societarias SA, is a Brazil-based company engaged in the brewing sector. The Company produces, distributes and sells beer, carbonated soft drinks (CSDs) and other non-alcoholic and non-carbonated (NANC) beverages across the Americas. The Company's activities are divided into three segments: Latin America North, including sell of beer, CSD and NANC drinks in Brazil, as well as operations in the Dominican Republic, Saint Vincent, Antigua, Dominica, Cuba, Guatemala, El Salvador, Honduras, Nicaragua, Barbados and Panama; Latin America South, distributing products in Argentina, Bolivia, Paraguay, Uruguay, Chile; and Canada, represented by Labatt’s operations, which comprises sales in Canada and some exports to the U.S. market. The Company markets products under various brand names, such as Adriatica, Brahma, Leffe, Budweiser, Corona, PepsiCo and Lipton. It is a subsidiary of Interbrew International BV.
About the author
Emily J. Thompson
Emily J. Thompson, a Chartered Financial Analyst (CFA) with 12 years in investment research, graduated with honors from the Wharton School. Specializing in industrial and technology stocks, she provides in-depth analysis for Intellectia’s earnings and market brief reports.
