DEO - Spirits In COVID-19: Updates On Diageo Pernod Ricard Rémy Cointreau And Brown-Forman

Introduction

We initiated our Buy ratings on Diageo (DEO) and Pernod Ricard (OTCPK:PDRDY) in July and August respectively, and on Rémy Cointreau (OTCPK:REMYY) in December:

• "Diageo: A Longer Historical Perspective"
• "Pernod Ricard: Long-Term Emerging Market Compounder"
• "Rémy Cointreau: Buy After 20% Correction In 3 Months"

While the three companies have distinct characteristics, their investment cases are based on the same common themes of premiumisation, rising affluence and strong incumbent advantages in the spirits sector.

Unfortunately, these stocks have done poorly so far. Since our initial