Food, drink, and food-related stocks require special care!!!
1. The COVID-19 pandemic has changed so many consumption and lifestyle habits. Many people like to DIY their own food. People have become more picky about eating, people pay more attention to nutrition and health, and fast food plus drinks are being marginalized.
2. Due to the “war between Palestine and Israel,” many restaurants were boycotted, many stores were unable to operate, revenue declined in a cliff-style manner, and the head office was laid off one after another.
3. At the same time as revenue has declined, the prices of raw materials in the food industry have risen one after another. For example, American coffee, American cocoa... prices have doubled.
4. To make matters worse, the Federal Reserve's interest rate hike cycle is long, and the boots to cut interest rates have been slow to land, and companies have to face financial pressure.
Stocks that are falling like a cliff, you think it's the bottom, hehe! Stay away from the big food, drink, and stock pits, you can't go wrong!!
Nakako (original, please indicate the source for reprinting) 2024-05-07