BBB Foods: Trade-Down Winner

BBB Foods is experiencing a valuation-driven pullback, now trading near fair value after prior overextension. Despite macro headwinds, TBBB benefits from Mexican consumers trading down, driving strong same-store sales and private label penetration. FY 2026 guidance implies slowing same-store sales growth (13–16%) and continued aggressive store openings, with EBITDA margin expected around 5.2%.