Goldman Tells Clients to Swap Big Tech for 23 Unloved Consumer Stocks

Goldman Sachs published a list of 23 consumer-facing stocks it calls undervalued, arguing they are a better bet than large technology names heading into a period of slower earnings growth. The bank's reasoning: tech has carried the market's earnings growth for several years, and that growth is set to decelerate next year, narrowing the gap that justified premium valuations. The call lands the same session that AI-related tech names were reported rebounding after a bout of weakness, underscoring how split the market currently is on where growth leadership sits next. Goldman's framing is a relative-value bet, not a call that tech will fall outright — it is a bet that unloved, cheaper consumer names close the valuation gap faster than tech can grow into its multiple. The open question is whether consumer spending holds up enough to deliver on that earnings catch-up. Goldman's note ties the case to valuation and projected earnings growth, but does not guarantee the consumer-facing group will execute.