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Buffalo Wild Wings Inc. (BWLD) – Messy Faces, Full Pockets

Despite the recent reduction in spending seen throughout the United States, there are some companies who are thriving. One such company is Buffalo Wild Wings Inc. (BWLD) whose stock soared almost 20% after a report was released stating higher than expected earnings. While most of the chicken wing industry sees a boon around the time of the Super Bowl, prices were a great deal lower than expected during the first part of this year.

There is actually logic behind the reasons for chicken prices being so low. While feeds such as corn are seeing dramatic rises, farmers are turning to the chopping block as opposed to continuing to feed their livestock. This results in a much greater supply of chicken – and companies like Buffalo Wild Wings are cashing in on that fact.

The price per pound for chicken wings is down from about $1.25 a pound in 2Q 2007 to $1.06 a pound as of Wednesday. While it is not expected that these soft prices will remain in effect, BWLD and others who depend upon chicken wings will no doubt continue to see profits rise for at least the next quarter.

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