Have you ever noticed that when a company has operational issues…and we saw plenty of issues coming out of the Covid pandemic…they raise prices quickly, but aren’t as quick to lower them when the issue is resolved? As a consumer it’s extremely annoying. But, as a stock investor it can mean a nice unexpected boom in a stock price.
One of those “issues” impacting a lot of companies the past few years has been inflation. And few companies were more impacted than consumer goods companies. Not only did they still have supply chain problems as a hangover effect from the pandemic, but suddenly the cost of raw material to make everything from shampoo to frozen dinners went through the roof.
