Isolating for searches during August 2016 within the United States and we note that three of the top four restaurants are pizza places. Pizza has been the third most food searched in the United States, Google appears to consider water as a food which is puzzling, however if you exclude this then Pizza ranks as the second most searched food item in the month of August in the US. Suffice to say that American internet users have pizza on their mind. For investors, this may suggest there is still money to be made in this space. Two names that are on the most searched list includes ‘Pizza Hut’, ‘Domino’s Pizza’ and ‘Papa John’s’ Pizza’.
Another point to note is that of the most searched restaurants, ‘Dunkin’ Donuts’ is ranked as 8th. While the significance of being ranked 8th is entirely evident, it becomes so when you take into consideration that its rank jumped 4 spots since last month, suggesting that there is some momentum in search interest in the company.
Another restaurant that has been seeing some search momentum is ‘Shake Shack’. Interest has been growing exponentially in tandem with annual revenue growth. While this is promising for the stock, the profitability does raise some concerns as last year was the first over the last 4 years to see negative net income in addition to the fact that margins are razor thin. In any case, the trend is something to keep an eye out for.