Shivani Kumaresan
6 min read
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Consumer Staples Select Sector SPDR Fund rose 1.31%, gaining for a fourth straight week, while the Consumer Discretionary fund climbed 2.02%.
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Crocs surged 25.5% after a Q3 beat across both brands and a third consecutive FY26 guidance raise.
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Sprouts cut its 2026 outlook after missing estimates, and Coursera drew price-target cuts on soft Q4 guidance.
Consumer stocks outperformed the broader market last week, with Crocs (CROX), Wingstop (WING) and Carvana (CVNA) leading gains as investors cheered earnings strength, improved growth prospects and expansion plans. Crocs stock surged after raising its 2026 outlook for a third straight quarter, while Coursera (COUR) and Sprouts Farmers Market (SFM) led the weekly decliners.
U.S. consumer stocks outpaced the broader market last week as the S&P 500 and Nasdaq slipped. Crocs Inc. (CROX), Wingstop Inc. (WING) and Carvana Co. (CVNA) were the standouts. Coursera Inc. (COUR), Sprouts Farmers Market (SFM) and MercadoLibre (MELI) were among the laggards.
The Consumer Staples Select Sector SPDR Fund (XLP) rose 1.31%, while the Consumer Discretionary Select Sector SPDR Fund (XLY) gained 2.02%.
Consumer Sector ETFs Outpace A Weaker Market
During the week of Oct. 26 to Oct. 30, XLP rose for a fourth straight week, suggesting investors continued to lean on defensive staples. XLY posted its second straight weekly gain, suggesting appetite for discretionary names is returning.
By comparison, the SPDR S&P 500 ETF Trust (SPY) fell 0.56%. The tech-heavy Invesco QQQ Trust (QQQ) dropped 1.97%.
Crocs Steps Higher After Another Outlook Raise
Crocs stock surged 26% to its best week since March 2020 after the footwear maker reported strong third-quarter (Q3) results. Revenue rose 4.6% year-on-year to $1.04 billion. Adjusted earnings came in at $3.69 per share, up from $2.92 a year earlier. Adjusted gross margin expanded 180 basis points to 60.3%.
The Crocs Brand grew 4.4%, led by an 11.8% jump in international revenue, though North America slipped 2.1%. HEYDUDE returned to growth, with revenue up 6.1% to $170 million, as wholesale rose 14%. The company repurchased about 2.0 million shares for $250 million in the quarter.
The company raised its full-year revenue outlook to growth of about 3% from 1% to 2%. It also raised adjusted EPS guidance to $14.45 to $14.65 from $13.70 to $14.00, marking its third consecutive FY26 raise.
