A week after the Federal Reserve embarked on its interest rate hiking cycle, investors have several retail and restaurant stocks to watch this week. Tighter credit conditions will increase borrowing costs for consumers buying homes. On Tuesday, KB Homes (KBH) posts results.
In the food sector, General Mills (GIS) might report on the impact that inflation from higher energy and diesel prices had on its input costs.
In retail, Costco (COST) risks selling off. That would continue a downtrend that started after shares peaked in May at around $1,100. Since then, the stock broke below $980, trended to $940, then broke down to $895.31 last Friday.
Darden Restaurants (DRI) shares are down by nearly 10% from its August high. Its earnings report will give shareholders an update on demand. After watching McDonald’s (MCD) stock fade throughout the last month, from $280 to $248.24, the risks are rising for a broader decline among restaurant stocks.
On Thursday, Canada’s BlackBerry (BB) will post an update on the uptake of its QNX operating system software in embedded devices and automotive. The firm might give a revised outlook on the prospects of QNX in robotics and hardware AI.
In late June, BB stock peaked at over $13. Shares meandered throughout the summer, closing at $7.99 on September 18.
