WEN - Restaurant stocks to like for the inflationary post-COVID world

Restaurant stocks are in focus as a burst of economic activity and higher traffic coincides with some higher labor and food input costs.Inflation is working in two different directions for the restaurant industry, according to analysis from Wells Fargo.While the rise in inflation is considered to be a weight on future discretionary spending and not all commodity costs can be passed on the consumers, the firm thinks the erosion of spending power along with the sun-setting of extended unemployment benefits will lead to a faster-than-expected return to work for services industry employees. Labor availability has been a problematic issue in 2021 across the fast-food industry.It is also noted that higher input costs are more easily absorbed by large scale players, while independent restaurants and smaller chains take a deeper margin hit. In the fresh check on the restaurant sector, Wells Fargo analyst Jon Tower and team also note that app

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Restaurant stocks to like for the inflationary, post-COVID world