Portillo's IncWholesale food inflation cooling lowers input costs for Portillo's, potentially boosting margins.
Shares of Portillo's, Wingstop, Papa John's, and Sweetgreen rose after a government report showed wholesale food inflation cooling. The U.S. Bureau of Labor Statistics said its Producer Price Index for final demand was unchanged in July, while the index for processed foods and feeds fell 0.5 percent. Portillo's jumped 8.8 percent, while Wingstop, Papa John's, and Sweetgreen each gained 3 percent. The decline in producer prices suggests lower input costs for restaurants, potentially boosting profit margins as chains roll out value deals to attract price-sensitive customers.
Portillo's IncWholesale food inflation cooling lowers input costs for Portillo's, potentially boosting margins.
Papa John's International IncLower producer prices for processed foods reduce input costs for Papa John's, aiding margins.
Sweetgreen IncCooling wholesale food inflation cuts input costs for Sweetgreen, potentially improving profitability.
Wingstop IncDeclining producer prices for food lower input costs for Wingstop, supporting margins.