Recent market volatility can make anyone’s stomach queasy. Some restaurant stocks, however, might be ready to chow down on.
It’s been a tough three years for restaurants. First Covid-19 kept people from visiting their favorite eateries, while the stop-start return to normal life has kept traffic from returning to normal. And just when everything was looking up, out-of-control food inflation—combined with a shortage of delivery drivers and other staff members—has hit profit margins. Now restaurants have to contend with slowing growth and perhaps a recession, something that has caused the
S&P 500 Restaurants Subindex
to drop 17% so far this year, in line with the