In this article, we will take a look at the 5 best food stocks to buy Now. To see more such companies, go directly to 13 Best Food Stocks To Buy Now.
5. Constellation Brands, Inc. (NYSE:STZ)
Number of Hedge Fund Holders: 48
A total of 48 hedge funds tracked by Insider Monkey had stakes in beer and wine company Constellation Brands, Inc. (NYSE:STZ). The biggest stakeholder of the company was Brandon Haley’s Holocene Advisors which owns a $196 million stake in the company.
4. US Foods Holding Corp. (NYSE:USFD)
Number of Hedge Fund Holders: 52
Insider Monkey’s database of 910 hedge funds shows that 52 hedge funds tracked by Insider Monkey had stakes in US Foods Holding Corp (NYSE:USFD). The most significant stakeholder of the firm was Scott Ferguson’s Sachem Head Capital which owns an $833 million stake in the company.
3. Chipotle Mexican Grill, Inc. (NYSE:CMG)
Number of Hedge Fund Holders: 55
Tacos and burritos chain Chipotle is one of the best food stocks to buy now according to hedge funds. As of the end of the second quarter of 2023, 55 hedge funds had stakes in the company. The biggest stakeholder of the company was Bill Ackman’s Pershing Square which owns a $2 billion stake in the company.
Pershing Square Holdings made the following comment about Chipotle Mexican Grill, Inc. (NYSE:CMG) in its Q2 2023 investor letter:
“Chipotle Mexican Grill, Inc. (NYSE:CMG)’s business strength continued in 2023, driven by the company’s focus on exceptional food and operational excellence. During the second quarter, Chipotle grew same-store sales by 7.4%, or 40% from 2019 levels. Transactions grew 4.4%, a sequential improvement compared to the first quarter, and price increases from 2022 contributed 5.5% offset somewhat by a shift from group to individual orders which was a 2.5% headwind. The negative group to individual impact should shrink in the balance of the year and cease to be a headwind as we enter 2024.
Chipotle’s ongoing traffic momentum is fueled by improving in-restaurant execution and its continued cadence of successful menu innovation. The current limited time offering, chicken al pastor, is ordered in one out of every five transactions. Management plans to launch a new limited time offering later in the third quarter. Unlike most competitors, Chipotle has not yet taken pricing in 2023, thereby further improving its industry-leading value proposition. Management did, however, signal its openness to increasing menu prices later this year if cost inflation persists…” (Click here to read the full text)
2. Mondelez International, Inc. (NASDAQ:MDLZ)
Number of Hedge Fund Holders: 55
Confectionary food and snacks company Mondelez shares have gained about 26% over the past one year. Morgan Stanley recently updated its 2023 Dividend Playbook. The stocks in this portfolio combine yield, growth and stability. MDLZ was one of the picks of Morgan Stanley for this portfolio. Mondelez has upped its dividend consistently for about a decade now.
1. The Coca-Cola Company (NYSE:KO)
Number of Hedge Fund Holders: 61
Coca Cola is one of the top food and beverage stocks to buy according to hedge funds. With six decades of consistent dividend increases and recession-proof business model, Coca Cola has seen a jump in interest from both retail and institutional investors. A total of 61 hedge funds out of the 910 funds tracked by Insider Monkey had stakes in the company as of the end of the second quarter. The biggest stakeholder of the company was Oracle of Omaha Warren Buffett who had a $24 billion stake in the company.
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