How Restaurant Stocks on the NYSE are Performing
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Ranked: The Performance of Restaurant Stocks on the NYSE

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restaurant stocks 12 month performance

The Briefing

  • In the last 12 months, the performance of restaurant stocks on the NYSE ranges from 90% to -21%
  • The average return for restaurant stocks has been 16.8%, underperforming the NYSE Composite’s 23.8% over the same time period.
  • Executing on a digital ecosystem has been a big driver of value for the best performers on the list

Restaurant Stocks on the NYSE

Restaurants, arguably more than other industries, have had to adjust swiftly to a new and unrecognizable landscape during the pandemic. And the level of preparedness towards adverse and unpredictable conditions reflects in the last 12 month (LTM) stock price performance of the 18 restaurant stocks on the NYSE.

The performance for this basket of stocks ranges from a high of 90% to a low of -21%. The companies that have rewarded shareholders are at the forefront of industry trends, doubling down on a digital ecosystem through concepts like membership programs, ghost kitchens, delivery, and mobile sales.

Winners and Losers

The vast division of stock price performance has a David and Goliath component to it in that the larger companies with deeper pockets have had the ability to invest in modern initiatives.

The top five performing stocks have an average market cap of $14 billion, while the bottom five possess an average of $630 million.

StockLast 12 Month PerformanceMarket Cap ($M)
Brinker International, Inc.90.85%$3,120
Shake Shack, Inc.88.63%$4,970
Chipotle Mexican Grill, Inc.70.19%$40,580
Yum China Holdings, Inc.37.53%$25,090
Luby's, Inc.32.92%$98
Darden Restaurants, Inc.28.26%$17,900
Flanigan's Enterprises, Inc.16.10%$44
Yum! Brands, Inc.6.18%$31,060
Biglari Holdings Inc.2.90%$356
Cannae Holdings, Inc.-1.87%$3,420
McDonald's Corporation-1.88%$153,690
Restaurant Brands International, Inc.-2.81%$27,580
Aramark-4.82%$9,650
J. Alexander's Holdings, Inc.-6.12%$131
Dine Brands Global, Inc-9.25%$1,330
Biglari holdings (Class A)-10.20%$363
Drive Shack Inc.-11.82%$238
Arcos Dorados Holdings Inc.-21.23%$1,100

Digital Haves and Have Nots

The same types of initiatives appear to be paying off, especially for the biggest winners.

  1. Brinker International has exceeded expectations with its ghost kitchen virtual offering—It’s Just Wings. A ghost kitchen is a restaurant optimized strictly for delivery, with a no dine-in approach and a condensed menu, they are intended to achieve higher margins.
  2. Shake Shack saw 60% of shack sales go digital in Q3’20. Their digital footprint is expected to grow along with their target to open 50-60 new locations in 2021.
  3. Chipotle’s loyalty rewards member program reached 17 million members as of late. Furthermore, digital sales grew 177% year-over-year in their fourth quarter, and nearly 50% of revenues are now derived from digital orders.
  4. Dine-in Drought

    Those in negative territory have not had the same good fortune. They tend to be sit-down establishments suffering from drastic falls in foot traffic.

    Without a pre-existing digital presence to reach customers, sales run the risk of taking a nosedive. Hospitality workers are among those hardest hit by the pandemic, and a lack of demand for hospitality labor again points to the dire circumstances for some sit-down restaurants.

    Delivery Mania

    For the food industry, the fall in foot traffic is partially offset by the rise in food delivery. Pure play companies in the food delivery space like DoorDash and Grubhub have fared well. Grubhub reported 622,700 Daily Average Grubs (daily deliveries) in 2020, up from 492,300 from the year prior. And for Uber, growth in the delivery segment of their business has buoyed the decline in ride hailing.

    With the vaccine rollouts in play, the restaurant stocks on the NYSE may get a much-needed boost. But pandemic or not, the digital trends in the restaurant space will continue to shape the industry after COVID-19 just as it has done prior.

Where does this data come from?

Source: Top Foreign Stocks
Notes: Data is as of March 1, 2021

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Top 20 Countries With the Most Ultra-Wealthy Individuals

Developing countries are creating wealth like never before, but the majority of the world’s ultra-wealthy people still live in the United States.

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The Briefing

  • According to Credit Suisse, there are now 218,200 people globally with assets over $50 million.
  • The majority (53%) of the world’s ultra-wealthy people live in the U.S.

Top 20 Countries With the Most Ultra-Wealthy Individuals

New data from the Credit Suisse Global Wealth Report shows that there was an “explosion of wealth” last year.

The global population of ultra-high net worth individuals (UHNWIs) grew by 46,000 to a record of 218,200. The report notes that UHNWIs benefited from a surge in the value of financial assets last year.

These increases are more than double the increases recorded in any other year this century. – Global Wealth Report 2022

The majority of ultra-wealthy individuals already reside in the United States, but 2021 saw a staggering increase of 30,470 people bring added to this exclusive ultra-wealthy category in the country.

Country/regionNet Worth of $50–$100MNet Worth of $100M–$500MNet Worth of $500M+
🇺🇸 United States103,66935,7401,726
🇨🇳 China20,01311,4111,282
🇩🇪 Germany6,0523,354318
🇨🇦 Canada3,4721,912123
🇮🇳 India3,0241,750210
🇯🇵 Japan3,3731,41188
🇫🇷 France3,2371,31485
🇦🇺 Australia2,9471,576109
🇬🇧 United Kingdom2,7871,278110
🇮🇹 Italy2,5741,253103
🇰🇷 South Korea2,4501,319117
🇷🇺 Russia2,1341,488253
🇨🇭 Switzerland2,11598792
🇭🇰 Hong Kong SAR1,7901,139127
🇸🇪 Sweden1,8661,01976
🇹🇼 Taiwan1,87491293
🇪🇸 Spain1,50966651
🇧🇷 Brazil1,23874995
🇸🇬 Singapore97457073
🇳🇱 Netherlands1,10047128

China and India will likely see their ultra-wealthy populations increase dramatically, but still have a long way to go before catching up to the United States.

The biggest increases, aside from the U.S., were China (5,200), Germany (1,750), Canada (1,610), and Australia (1,350).

Decreases in UHNWI populations were more rare, but did occur in a few cases. United Kingdom (-1,130), Turkey (-330), and Hong Kong SAR (-130) saw the biggest drops.

Where does this data come from?

Source: Credit Suisse Global Wealth Databook 2022

Data note: All amounts in USD

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Ranked: The Top Cyberattacks Against Businesses

Recent research provides insight into the top cyberattacks that businesses faced in 2021. See the results in this infographic.

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Ranked: The Top Cyberattacks Against Businesses

Cyberattacks hit a record high in 2021, continuing the momentum that had developed during the COVID-19 pandemic. One reason for this increase is the shift to remote work, which has opened up new vulnerabilities. Home networks are typically less secure, and the rapid rise in the use of online services means security is falling behind.

In this graphic sponsored by Global X ETFs, we’ve visualized survey results showing the 10 most successful types of cyberattacks in 2021.

The Results

These results are from a 2021 whitepaper by Osterman Research, a market research firm focused on cybersecurity. They surveyed 130 cybersecurity professionals from mid and large-sized organizations to see which types of attacks were the most prominent.

Type of AttackPercentage of respondents (%)
Business email attack was successful in tricking a lower-level employee53%
Phishing message resulted in a malware infection49%
Phishing message resulted in an account being compromised47%
Domain name was spoofed to perpetrate phishing campaigns38%
Ransomware was detected before it could be activated34%
Business email attack was successful in tricking a senior executive28%
Domain name impersonation resulted in a third-party being compromised16%
Phishing message resulted in a ransomware infection14%
A ransomware attack was successfully launched10%
A ransomware attack rendered internal IT systems non-operational10%

Source: Osterman Research (2021)

The report notes that these figures may be understated because organizations are likely to downplay their security incidents. Organizations may also lack the capability to detect all types of cyberattacks.

The Impact of Phishing Attacks

Phishing refers to an attack where the perpetrator pretends to be a trusted entity. These attacks can be carried out over email, text message (SMS), and even social media apps. The goal is often to trick the victim into opening a malicious link.

According to the whitepaper, opening malicious links can result in credential theft or ransomware infections. Credential theft is when attackers gain access to internal systems. This is incredibly dangerous, as it allows attackers to commit fraud, impersonate company officials, and steal data.

A powerful tool for preventing credential theft is multi-factor authentication (MFA). This method requires users to provide multiple verification factors to access a resource (instead of a single password).

The Threat of Ransomware

Ransomware is a type of cyberattack that involves blackmail, often for financial gain. For ransomware to be successfully planted, attackers must first gain access to a company’s networks.

Access can be gained through phishing, as discussed above, or alternate means such as compromised software updates. One such attack impacted over 57,000 Asus laptop owners in Russia after hackers created a malicious update tool on an official Asus server.

Cybercriminals have become increasingly ruthless in how ransomware attacks are executed.
– Osterman Research

Researchers have warned that ransomware attacks are becoming more dangerous and sophisticated. In addition to locking organizations out from core systems, hackers are also stealing data to increase their leverage. If a ransom is not paid, the stolen data may be published or even sold to the highest bidder.

Under Siege

The rising frequency and sophistication of cybercriminal activity is a major threat to the world.

According to the World Economic Forum’s 2022 Global Risks Report, ransomware attacks have increased by 435% since 2020. Furthermore, there is an estimated shortage of 3 million cybersecurity professionals worldwide.

To catch up, businesses and governments are expected to increase their spending on cybersecurity over the next several years.

The Global X Cybersecurity ETF is a passively managed solution that can be used to gain exposure to the rising adoption of cybersecurity technologies. Click the link to learn more.

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