Thursday, 26 February, 2026
The Drinks Business, Sophie Arundel
$830 billion wiped from alcohol stocks
Shares in the world’s biggest beer, wine and spirits producers have collectively lost $830 billion in market value over just four years, according to Bloomberg. A Bloomberg index tracking around 50 listed drinks companies now stands 46% below its June 2021 peak.
Bloomberg found that changing drinking habits and rising health concerns have hit earnings across the sector. The downturn has been compounded by US tariffs, high interest rates weighing on consumer spending, and elevated commodity prices. In China, weak household confidence and a ban on alcohol at official functions have further dragged on demand.
“There is a structural change going on — people are drinking less,” said Sarah Simon, an analyst at Morgan Stanley.
Stocks slide across the board
Major European drinks groups Diageo, Pernod Ricard and Rémy Cointreau have all seen shares fall to their lowest levels in at least a decade. Brown-Forman, the owner of Jack Daniel’s, and Australia’s Treasury Wine Estates have also slumped, while China’s baijiu producer Kweichow Moutai is trading more than 40% below its 2021 high.
Simon told Bloomberg that the sector faces further downside risk, as producers contend not only with falling revenue but also high debt levels and management upheaval.
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