Home » Stocks » Bear Case Scenario Burger King $BKW, $XLY, $PBJ

Bear Case Scenario Burger King $BKW, $XLY, $PBJ

QSR is subject to labour challenges. The left wing is militant and trying to organize. It cant work but in the meantime it will be disruptive.

QSR offers fats, salts, sugars and carbs. Basically this is the gift of diabetes. There will be lawsuits and lots of activist pressure.

Fast food will be subject to more taxation as a sin tax from cash strapped governments.

Food cost inputs are volatile. Beef can change 10-15% on the turn of a dime. Retailer pricing cannot move as quickly.

Burger King is not the dominant brand and does not have the economies of scale that other competitors have.

George Gutowski writes from a caveat emptor perspective.