General Mills posted a larger-than-expected drop in quarterly sales, causing its stock to fall by 6% in pre-market trading. The decline in sales is attributed to consumers cutting back on higher-margin products and opting for cheaper alternatives amid rising supermarket prices. General Mills' pricing was down 4%. This trend has also impacted other food companies such as Kraft Heinz, WK Kellogg, and Conagra, which have seen their stock prices decline. Additionally, major retailers like Walmart, Target, and Walgreens have started implementing price cuts, and fast-food chains such as McDonald's and Burger King are introducing new value meals to attract cost-conscious consumers. Evercore ISI has warned about negative pricing trends, particularly in companies like Conagra Frozen, B&G Foods, WK Kellogg, Kellanova, and Campbell. The overall sentiment suggests that American consumers are becoming increasingly intolerant of price hikes, which could further drive down inflation in the coming months.
AXIOS: “.. A new force is emerging that may bring inflation down further in the coming months: Americans are increasingly intolerant of price hikes.” 🇺🇸 @axios @Neil_Irwin #DoveBait 🕊️ $MCD $WEN $TGT $WMT $CPB $GIS $K $CAG https://t.co/FC1SdByyRJ https://t.co/LJPpSl2m09
Food stocks are getting cooked after General Mills confirms investor fears General Mills -4.6% Kraft Heinz -1.1% WK Kellogg -2.3% Conagra -1.9% https://t.co/2eRU6e5ATN
General Mills shares sank on Wednesday following a disappointing sales outlook as shoppers continue to pull back amid climbing supermarket prices https://t.co/lGw5d2eh6v https://t.co/NnVF5PUver
General Mills CEO on the Pillsbury brand: "We're bringing the dough boy back. Private label, they don't have a dough boy. But we do." (stock is down 6% pre-market on sales miss)
General Mills shares sank in early trading on Wednesday on a disappointing sales outlook as shoppers continue to pull back amid climbing supermarket prices. https://t.co/xmxTT7RphP
1. $GIS pricing down 4% 2. $LUV warns on Q2 RASM 3. $TGT cuts price on addt'l 3000 items 4. Negative pricing in grocery $CAG $CPB $K 5. $MCD launching $5 value push 6. Mortgage rates 3-mo low #DoveBait https://t.co/EVUY6f1uNq
General Mills’ stock falls after revenue miss and soft guidance https://t.co/ndbXtW68C2
🔵 GENERAL MILLS POSTS BIGGER-THAN-EXPECTED DROP IN QUARTERLY SALES Cheerios cereal maker General Mills posted a bigger-than-expected drop in quarterly sales on Wednesday, as cash-strapped consumers cut back on its higher-margin products and turned to cheaper alternatives.… https://t.co/g0YWeeE3YT
"The big picture: Walmart, Target, Walgreens, Aldi and Ikea have started to roll out a string of price cuts. Burger King and Starbucks released new meal deals and McDonald's new $5 value meal is coming June 25." https://t.co/tNfrzXrQ5R
EVERCORE ISI: ".. Watch Out for Negative Pricing .. We are relatively wary of names with YoY net pricing declines. We are already seeing this with Conagra Frozen (~40% of company sales), B&G Foods, WK Kellogg, Kellanova, and Campbell." #CPI #DoveBait $CPB $K $KLG $BGS $CAG