Why Symbotic Stock Popped 15% This Week
Shares of Symbotic (NASDAQ: SYM) are up 14.7% this week, as of Thursday's close, according to data provided by S&P Global Market Intelligence. The warehouse automation company announced a new strategic partnership ahead of its upcoming quarterly report.
Symbotic stock was already trending higher early this week amid a broader-market rally after the latest Consumer Price Index (CPI) data showed inflation is falling faster than expected. But Symbotic's rally gained steam on Wednesday after it announced a new long-term strategic agreement with alcohol beverage distributing giant Southern Glazer's Wine & Spirits. More specifically, Southern Glazer's is planning to deploy Symbotic's artificial intelligence (AI)-powered software and robotics warehouse automation systems in select distribution centers.
The exact terms of the deal weren't disclosed, but investors shouldn't expect an immediate contribution to Symbotic's results. The two companies have agreed to implement the first of the systems, including robotic case-picking capabilities, starting in 2025. Southern Glazer's has operations in 44 U.S. states, the District of Columbia, and Canada.
Source Fool.com
