Document Type


Publication Date



Davis College of Agriculture, Natural Resources and Design


Division of Resource Economics & Management


Purpose: How has Covid-19 impacted meat processors’ stock returns? We evaluate the effects of supply chain disruptions (e.g., lockdowns and Covid-19 incidences among workers) on stock market prices of meat processors during the COVID-19 pandemic.

Design/methodology/approach This study uses an event study approach to examine the disruptions from COVID-19 through events such as plant shutdowns, the pandemic announcement, lockdown dates, and the first case of Covid-19 outbreaks in meat processing plants. Our dataset includes S&P 500, Google Trends, financial beta, and data collected for 14 U.S. Publicly traded meat processing companies.

Findings Results show that nationwide events (e.g., announcement of the pandemic) had no statistically significant impact on average abnormal returns of meat processing companies. Individually, however, firms experienced negative abnormal returns. Covid-19 related events in individual meat processing companies had a temporary negative abnormal return in the days prior to the event.

Originality/value This study has two main contributions. First, we estimate the effect of Covid-19 on the returns of meat processors. Second, we use Google Trends to estimate the expected stock markets returns of meat processing companies. This study provides insight to investors on the behavior of industry returns from events such as outbreaks that affect human health.

Source Citation

Nguemgaing, H.F. and Sant’Anna, A.C. (2021), "The impact of supply chain disruptions on stock market returns during COVID-19", Agricultural Finance Review, Vol. ahead-of-print No. ahead-of-print.


This Accepted Author Manuscript (AAM) is deposited under the Creative Commons Attribution Non-commercial International License 4.0 (CC BY-NC 4.0). Reuse is allowed in accordance with the terms outlined by the license.



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