Why Beyond Meat, Dutch Bros, and Oatly Stocks Plunged On Tuesday
On Tuesday, two different pieces of news about consumer spending combined to drag down broad swaths of the stock market. This was particularly apparent in a number of consumer-facing stocks.
For example, vegetarian food specialist Beyond Meat (NASDAQ: BYND) was off by as much as 9.3%, budding coffee chain Dutch Bros (NYSE: BROS) was down as much as 7.1%, and milk alternative provider Oatly (NASDAQ: OTLY) slipped by as much as 6.2%. At the end of the session, the trio were still trading lower, down 8.8%, 7.0%, and 5.1%, respectively. For context, the broader market indexes also ended lower, as the S&P 500 gave up more than 1.1% on the day, while the Nasdaq Composite shed nearly 1.9%.
To be clear, none of these consumer goods purveyors had anything in the way of company-specific news driving the declines. Rather, alarm bells sounded from two different quarters of the retail sector, suggesting that inflation is having a bigger effect on purchasing behavior than previously realized -- which could ultimately affect consumer goods stocks.
Source Fool.com
