Anti-Trans Sentiment Can't Hold Bud Light Maker Down Amid Dylan Mulvaney Controversy: The Bull, Bear Case

Anheuser Busch Inbev SA BUD fell over 2% on Monday amid controversy over its partnership with trans activist Dylan Mulvaney, which resulted in calls to boycott its portfolio of brands.

Mulvaney, who celebrated her first year as a woman on April 1, announced her partnership with the company on TikTok, but some consumers of BUD’s brands are upset over the company’s silence about the controversy, according to Newsweek.

BUD will produce a beer can that features Mulvaney on it, according to the outlet, which upset some conservatives. The company, which is usually active on social media, hasn’t addressed the backlash it’s received since the Mulvaney partnership was announced. The last tweet from BUD’s Bud Light Twitter account, where the company usually posts multiple times per day, was posted on April 1.

The dispute between conservatives and what they call “woke culture” caused BUD's stock price to fall, but on Tuesday, shares were rebounding, trading up about 1.2%.

From a technical analysis standpoint, BUD was due for a pullback and the lower price on Monday caused the stock to form a higher low, confirming its uptrend is intact.

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The BUD Chart: BUD hadn’t printed a higher low since March 24 at the $61.33 level, which indicated a pullback was likely to occur. On Monday, the stock retraced to $64.03 and printed a dragonfly doji candlestick, which indicated a rebound was a likely scenario.

• On Tuesday, BUD gapped up slightly higher and the bulls took control, driving the stock up into the upper gap that was left behind on Monday. The move higher caused BUD to regain the eight-day exponential moving average, which is bullish.
• Bulls want to see continued bullish momentum push the stock up over the most recent higher high, which was formed on March 31 at $67.09 to confirm the uptrend is intact. Bears want to see the stock top out under that level, which will cause a lower high to form, which could indicate a downtrend is on the horizon.
• BUD has resistance above at $67.49 and $71.57 and support below at $64.39 and $61.89.

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