Stocks in the consumer staples sector rose as investors looked to other areas of the market amid rising geopolitical tensions, surging oil prices, and renewed inflation fears.
Philip Morris International is spending more to expand its Zyn portfolio and meet rising demand for the nicotine pouches. The tobacco company is ramping-up investments in its U.S. business to keep Zyn's spot as the go-to nicotine pouch for Americans. Philip Morris shipped new Zyn variants during the second quarter, and plans to roll out several more new products during the rest of the year. "It's going to be every lever we can pull to accelerate the growth of Zyn and leverage this new situation," CFO Emmanuel Babeau told investors. Philip Morris recorded higher sales in the second quarter, beating analyst estimates again after similar performance in the first quarter.
Cal-Maine Foods posted a fiscal fourth quarter loss of $35.9 million, as sales tumbled 50% to $552.6 million, missing Wall Street estimates. Chief Executive Sherman Miller says Cal-Maine faced a particularly challenging quarter, as oversupply drove egg prices to historically low inflation-adjusted levels. The average selling price per dozen of conventional eggs decreased more than 70% during the period.
