Bud Light Will Permanently Lose Nearly A Quarter Of Its Business
Some Bud Light problems are permanent.
At least that's what one analyst said earlier this week, in the wake of yet more disastrous sales numbers from the former No. 1 beer in America.
"We believe recent underperformance implies a permanent reduction in ABI's US business," Deutsche Bank analyst Mitch Collett wrote. "Our proprietary survey data suggests these headwinds are likely to fade even if we do not expect the US business ever to fully recover from its current challenges."
Added a second analyst, "Bud Light will permanently lose about 15-20% of its volume, after which declines will resume at about the average rate of the prior 10 years," said Evercore's Robert Ottenstein.
"Budweiser will also see a similar pattern, with consumers lost in 2022 not coming back."
Bud Light business may never recover
Wooooooof.
Never a great way to jump into the first official weekend of summer -- by waking up and being told your once bullet proof product is forever in the sh*tter.
A lot of scary buzz words there, including the little nugget about Bud Light PERMANENTLY LOSING 15 TO 20% OF ITS VOLUME.
That seems like a big deal, no? Yikes. I know Anheuser-Busch is massive and ABI is more of a global thing, so they'll likely be fine. But still, AB messed around and now they've unnecessarily lost billions of future dollars in the name of inclusivity.
Ever since plastering TikTok transgender Dylan Mulvaney on a can back in April, the company has been a sinking brick.
Sales have tanked every single week for nine straight weeks, and it's only getting worse. The most recent numbers are the worst since the Bud Light boycott began, and it appears things have gotten so bad that investors are just used to it by now.
Hell, they're even sort of accepting it?
"Analysis from Evercore ISI indicates that volume declines are steadying in a range of 26-28%, though no recovery is in sight yet," Yahoo! Finance wrote this week.
Nothing like a good "steadying in the range of 26-28%" to get the juices flowing on a Saturday, huh? Imagine how miserable those remaining Bud Light execs must feel when they read analysis like that.
Anyway, Bud Light has a brand new commercial out that everyone hates, so maybe that'll help things.