Bud Light could see PERMANENT 15% dent in sales after Dylan Mulvaney ... trends now
Bud Light could see a permanent 15 percent dent is sales amid backlash over its controversial partnership with transgender influencer Dylan Mulvaney.
Analysts at global asset management firm Bernstein have warned that America's flagship beer brand could see long-lasting damage over the collaboration.
And they forecast that Bud Light's parent company Anheuser-Busch will see its overall profits for 2023 fall by 6.7 percent.
It comes after Mulvaney, 26, shared a series of promotional posts promoting the beer with her 11 million social media followers on April 1.
The brand has seen sales plummet by as much as 25.7 percent in the week ending May 20, as people continue to boycott the beer.
Bud Light could see a permanent 15 percent dent is sales amid backlash over its controversial partnership with transgender influencer Dylan Mulvaney
Analysts at global asset management firm Bernstein have warned that America's flagship beer brand could see long-lasting damage over the collaboration
Bernstein analysts Nadine Sarwat and Trevor Stirling wrote in a note that Bud Light could see a 'permanent 15% haircut' to sales, according to Forbes.
The pair also forecasted the company's profits for 2023 will fall by 6.7 percent from the $32 billion it recorded last year.
They said now is 'an attractive entry point' for those looking to invest in Anheuser-Busch and set a target price of $71.60 for the stock.
This is an increase of 30 percent from the $55 it was trading at on Friday. Shares have plummeted by 18 percent since the partnership with Mulvaney on April 1.
Sales of Bud Light dropped 23.9 percent for the week ending May 27 compared to the same time last year.
But that was a slight improvement from last week when sales were down 25.7 percent.
Bud Light also lost nearly 28 percent in year-on-year volume for the week ending May 27.
The slightly smaller decline could be a sign that the 'bottom has been hit' for the company and it could see a 'turn-around in performance,' according to Bumps Williams Consulting's monthly industry report.
Anheuser-Busch's other flagship beer, Budweiser, recorded a drop of 8.5 percent, while Natural Light and Stella Artois saw a 1.5 percent to three percent drop, according to Newsweek.
Meanwhile, the company's top competitors saw an increase in sales as beer drinkers switched brands.
Coors Light went up 26.3 percent, while Miller Lite went up 23.1 percent. Yuengling saw the
