The beverage industry has outpaced the broader US market +6.37% vs. -0.71% in April, this trend should continue according to a recent report from CFRA Research. The firm reports shares in beverage stocks could thrive under inflationary conditions.
“With interest rates expected to rise and inflation near a 40-year high, we view the investment case for soft drink equities as the strongest it has been in some time,” CFRA writes, “As such, we view soft drink equities as good inflation hedges due to their ability to leverage brand value to successfully raise prices.”
Golden Grail Beverages (OTCMKTS: GOGY) is one investment option beverage investors should start researching. The company offers consumers two distinct energy drink brands: Spider Energy and Scorpion HEMP Energy, a flavored water brand (Trevi), ESG friendly water brand (Cause) and sparkling water marketed for children (Tickle).
This month, GOGY announced its Master of Beverage™ initiative which “will allow the company to participate and maximize profit potential through joint ventures with disruptive, emerging, and established brands.”
It has already announced its first JV since launching the initiative. Its first partner, Cayman Intl Foods Group (CIFG) services most of the major supermarkets in the Cayman Islands. Specifically, CIFG is the primary supplier of the products they represent to 80% of the convenience stores in the Cayman Islands. The Group is a direct importer/exporter of goods from around the world.
With GOGY’s Master of Beverage™ initiative underway, more news catalysts could be on the horizon. At press time, Barchart.com ranks GOGY as a ‘buy’ with the strongest bullish indicator being the long-term ‘100-200 Day MACD Oscillator.’
Creatd, Inc. (Nasdaq: CRTD) has also released partnership news, the creator-first holding company, announced the launch of a new partnership between Dune Glow Remedy (“Dune”), the Company’s owned-and-operated wellness beverage brand, and international lifestyle retailer, Urban Outfitters (UO).
Thomas Punch, Dune founder and CEO of Creatd Ventures, “Less than a year after its debut, Dune has joined the competitive roster of beauty and wellness brands sold at Urban Outfitters. We are proud to see Dune, and Creatd Ventures’ other e-commerce brands, continue to build traction and open up opportunities to further expand our reach through partnerships with such iconic and inspirational lifestyle brands as UO.”
Another company with big retail news, The Alkaline Water Company Inc. (NASDAQ and CSE: WTER), announced today that its Alkaline88® 1 gallon, the best-selling bulk-size enhanced water product in the country, will now be available in 589 Sam’s Clubs across the country in a 4 pack “Club Pack”.
Sam’s Club boasts over 40 million members, this is a major announcement for WTER, the country’s largest independent alkaline water company and the Clean Beverage® company.
Another niche brand, Reed’s, Inc. (NASDAQ: REED), focuses on all-natural ginger beverages. REED reported impressive growth in its latest financial report:
- FY 2021 Net Revenue up 19% to $49.6 Million
- Q4 2021 Net Revenue up 20% to $12.8 Million
- Reed’s Reiterates 2022 Net Sales Outlook of $59-$62 Million with 30% Gross Margin
“Looking ahead to the remainder of 2022, we have multiple catalysts in our roadmap to deliver on our financial outlook, including the launch of Hard Ginger in Q2 and ramping Classic Mules across our extensive nationwide distribution. Further, we plan to continue driving sales growth with Reed’s Ginger Ale, which is up nearly 3x since 2020, and with the launch of our new sleek Virgil’s Zero Sugar cans – hitting the shelves at Sprouts next month.”
Another health beverage play with earnings news, Oatly Group AB (Nasdaq: OTLY) announced today it will be reporting its Q1 2022 financial results on May 4th before the U.S. market opens. Oatly will host a conference call and webcast at 8:30 a.m. ET on the same day to discuss the results.
Disclaimers: The Private Securities Litigation Reform Act of 1995 provides investors a safe harbor in regard to forward-looking statements. Any statements that express or involve discussions with respect to predictions, expectations, beliefs, plans, projections, objectives, goals, assumptions or future events or performance are not statements of historical fact may be forward looking statements. Forward looking statements are based on expectations, estimates, and projections at the time the statements are made that involve a number of risks and uncertainties which could cause actual results or events to differ materially from those presently anticipated. Forward looking statements in this action may be identified through use of words such as projects, foresee, expects, will, anticipates, estimates, believes, understands, or that by statements indicating certain actions & quote; may, could, or might occur. Understand there is no guarantee past performance will be indicative of future results. Investing in micro-cap and growth securities is highly speculative and carries an extremely high degree of risk. It is possible that an investors investment may be lost or impaired due to the speculative nature of the companies profiled. Capital Gains Report ‘CGR’ is responsible for the production and distribution of this content. CGR is not operated by a licensed broker, a dealer, or a registered investment adviser. It should be expressly understood that under no circumstances does any information published herein represent a recommendation to buy or sell a security. CGR authors, contributors, or its agents, may be compensated for preparing research, video graphics, and editorial content. CGR has been compensated three thousand dollars via wire transfer by Compass to produce and syndicate content related to GOGY. As part of that content, readers, subscribers, and website viewers, are expected to read the full disclaimers and financial disclosures statement that can be found on our website.
Media Contact
Company Name: Capital Gains Report
Contact Person: Mark McKelvie
Email: Send Email
City: NAPLES
State: FLORIDA
Country: United States
Website: https://capitalgainsreport.com/