Spirits' Strength Should Lift Brown-Forman and Diageo
Fans and followers of the adult beverage industry are undoubtedly aware of the impact hard seltzers have made. For the first time in 25 years, 2019's wine sales in the United States fell, while data from the Beverage Information Group says beer extended what's become a six-year downtrend.
The driving force of that deterioration has been widely chalked up to the rapid growth of the aforementioned hard seltzers. Led by brands like market-leading White Claw and Truly, owned by Boston Beer (NYSE: SAM), Nielsen estimates sales of the carbonated, low-carb alternative drink roughly tripled last year. Financial analysts from Jefferies and UBS are both looking for more double-digit growth in hard seltzer sales for the foreseeable future.
What's largely been omitted from the discussions to date, however, is that sales of spirits like bourbon, whiskey, and rum continue to chug ahead, unfazed by the disruption that's affected most other corners of the booze market.
Source Fool.com
