Dairy Giant Dean Foods Hits Six-Year Low
The dairy company struggles as consumers turn to plant-based milk brands.
April 16, 2018
Stock-share values for dairy brand Dean Foods Co. fell by as much as 8.9 percent this week, marking a six-year low for the company. “Americans are turning away from milk amid a wealth of other beverage options and as non-dairy substitutes like almond and oat milk gain popularity,” Bloomberg Markets writer Megan Durisian wrote. Dean Foods reported a 91-percent decrease in profits in its third fiscal quarter of 2017 and will end its contracts with several milk suppliers on May 31, citing a lack of consumer interest in dairy amid overproduction of animal-based milk. Last year, the company’s CEO Ralph Scozzafava explained that he intends to focus on diversifying the dairy brand’s portfolio after investing a minority stake in flax-based vegan brand Good Karma Foods.