ZACKS·2025-10-20 14:01Consumer Sentiment - U.S. consumer sentiment declined in October, with the University of Michigan's preliminary reading at 55, down from 55.1 in September, but above analysts' expectations of 54.1 [4] - Short-term inflation expectations eased slightly to 4.6% over the next 12 months, down from 4.7% the previous month, while long-term expectations remained unchanged at 3.7% [5] Market Environment - Overall consumer confidence remains low due to economic uncertainty, leading to increased volatility in Wall Street, exacerbated by fears of a trade dispute with China [2][7] - The ongoing government shutdown has contributed to market volatility, with all three major stock indexes ending lower last week [7] Defensive Stocks - In the current market environment, investors are advised to focus on low-beta, defensive stocks, particularly in the consumer staples sector, to mitigate market fluctuations [3] - Companies such as Energizer Holdings, Grocery Outlet, United Natural Foods, and Ollie's Bargain Outlet are highlighted for their steady earnings growth and improved estimates [9] Company Insights - Energizer Holdings, Inc.: Expected earnings growth rate of 8.7% for the current year, with a 1.4% improvement in earnings estimates over the last 60 days [8] - Grocery Outlet Holding Corp.: Expected earnings growth rate of 1.3% for the current year, with a 1.3% improvement in earnings estimates over the last 60 days [10] - United Natural Foods, Inc.: Expected earnings growth rate exceeds 100% for the current year, with a 24% improvement in earnings estimates over the past 60 days [12] - Ollie's Bargain Outlet Holdings, Inc.: Expected earnings growth rate of 16.5% for the current year, with a 2.1% improvement in earnings estimates over the last 60 days [14]