Diageo: A New Era Under 'Drastic Dave' Could Drive A Long-Term Re-Rating

Diageo plc remains a Buy, supported by resilient performance amid macro headwinds and a valuation offering a margin of safety. DEO's new CEO has accelerated cost-saving initiatives, cut the dividend, and is positioning the company for a turnaround and long-term premiumization trends. Despite near-term consumer weakness in North America and China, DEO's strong premium brands and strategic investments underpin long-term growth potential.