|
CLICK HERE for the webcast replay and materials. |
We updated our Restaurant themes and dug deeper into the Foodservice names on the call. We are broadly short of the restaurant space and are now focused on SYY, CHEF, and USFD. We updated the restaurant MACRO and focused on three themes:
- Demand Destruction Looming: Where do I start with the reality that is life has gotten a lot tougher - The stock market crash; Cryptocurrency crash; no more stimulus checks; real estate is entirely out of reach for many; FAH & FAFH inflation; and the portions getting smaller at the same time?; Interest rates are rising, and lastly, a grande Matcha latte with almond milk at Starbucks is almost eight dollars!
- The Pandemic Digital Headfake - Digital Growth Slowing
- Short Food Distributors - The models are inflation beneficiaries, but those days are in the rearview mirror.
