From Yahoo Finance: 2025-04-11 14:50:00

The food industry is valued at $6.96 trillion in 2024 and is projected to reach $7.4 trillion by 2025. Demand for healthy foods is driving growth, with the market expected to reach $2.2 trillion by 2035. Food-away-from-home spending hit $2.6 trillion in 2023, with digital ordering platforms and convenience driving the industry’s expansion.

Inflation remains a concern for the food industry, with grocery prices rising 1.8% and eating out costs up 3.6% year over year. Supply chain disruptions and manufacturing costs are key factors. The Food Price Index increased by 1.6% in February 2025, with rising costs for sugar, dairy, and vegetable oil contributing to food price inflation.

PepsiCo, Inc. (PEP) is a top food stock with $12.5 billion in operating cash flow and $91.8 billion in revenue in fiscal year 2024. The company anticipates mid-single-digit growth in core constant currency earnings per share (EPS) and low-single-digit organic revenue growth for 2025. PEP ranks 3rd on the list of best food stocks to buy according to billionaires.

Overall, the food industry’s long-term prospects are positive, driven by urbanization, middle-class growth, and changing consumer preferences. Investors can expect an average yearly return of 32.25% from top food stocks. Companies prioritizing health-conscious options, innovation, and sustainability will be well-positioned for future growth.



Read more at Yahoo Finance: Is PepsiCo (PEP) the Best Food Stock to Buy According to Billionaires?