Costco can't seem to keep its gold bars in stock. But that's just one example of products and services so popular S&P 500 companies keep selling out.
Mezcal tastings with "Breaking Bad" stars, stadium concert tickets, some forms of Pringles and oil equipment are just a few of the items getting snapped up fast. They're among the items 10 S&P 500 companies including Marriott International, Live Nation Entertainment, Kellogg and Baker Hughes told investors are "sold out" in just the past 12 weeks, says an Investor's Business Daily analysis of data from S&P Global Market Intelligence and MarketSmith.
Monitoring shortages is a key part of seeing where the most pent-up demand is. That's helpful for investors wondering which areas of the economy are so strong that they're less subject to demand destruction by higher interest rates.
Costco's Gold Bars
Investors' search for sold out items kicked off with a side comment by Costco Chief Financial Officer Richard Galanti on Sept. 26.
"I've gotten a couple of calls that people have seen online that we've been selling 1-ounce gold bars. Yes, but when we load them on the site, they're typically gone within a few hours, and we limit two per member," he said. That pairs up with more interest in gold.
But Costco isn't alone in reporting shortages.
Other S&P 500 Items Disappearing Fast
Among the most surprising sold-out items is Pringles chips in various sizes.
"So Pringles snacks in the U.S., some of the small sizes, some of the variety packs," are selling out, said Kellogg CFO Amit Banati at analyst day on Aug. 9. "We're selling every can we make. So we're putting in a new facility there because we are totally sold out."
Given huge demand for concert tickets, seeing some sellouts is natural. "I mean Zach Bryan went on sale last week, Luke Combs went on sale last week. I mean, these sold out stadiums in presales. That's middle of America, everywhere, not just New York. So we're seeing 24 on sales, stronger than ever," Live Nation CEO Michael Rapino said at a Sept. 13 company conference.
Services, Goods Snapped Up
Lots of energy equipment has been selling out fast ahead of skyrocketing oil prices, too.
"With the flexibles, that is a great presence that we have with Petrobras and a backlog of being sold out as well as the wellhead business, we think we can be in the high single to low double digit for oil field equipment," Baker Hughes CEO Lorenzo Simonelli said at a Sept. 19 presentation.
And it's not just hardgoods. Marriott's Chief Customer Officer Peggy Fang Roe reported huge demand for the Dos Hombres mezcal tasting with "Breaking Bad Stars" Aaron Paul and Bryan Cranston. It "sold out in less than five seconds" she said at a Sept. 27 meeting with shareholders.
Looks like gold bars aren't the only items people can't get enough of.
S&P 500 Shortages
Items reported as "sold out" in past 12 weeks
| Company | Symbol | Shortage | Announced |
|---|---|---|---|
| Marriott International | Mezcal tasting with "Breaking Bad" stars | Sept. 27 | |
| Baker Hughes | Oil equipment | Sept. 19 | |
| Live Nation Entertainment | Tickets | Sept. 13 | |
| Corteva | Pesticide | Sept. 12 | |
| Eaton | Transformers | Sept. 12 | |
| Boeing | MAX jets | Sept. 7 | |
| First Solar | Solar modules | Sept. 7 | |
| Williams Companies | Transmission systems | Sept. 6 | |
| Deere | Construction/forestry equipment | Aug. 18 | |
| Kellogg | Pringles in some sizes | Aug. 9 |
Sources: S&P Global Market Intelligence, IBD
Follow Matt Krantz on Twitter @mattkrantz
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