Molson Coors Brewing Co. (TAP) Stock Rating Upgraded by Zacks Investment Research
Zacks Investment Research upgraded shares of Molson Coors Brewing Co. (NYSE:TAP) from a hold rating to a strong-buy rating in a research note released on Tuesday morning. Zacks Investment Research currently has $125.00 price objective on the stock.
According to Zacks, “Estimates have been rising as Molson Coors is close to acquiring full stake in MillerCoors as the merger deal between Ab InBev and SABMiller moves ahead with shareholders’ approval. The deal is encouraging after the company posted weaker-than-expected earnings in the second quarter of 2016. We note the company is facing macro-economic headwinds ahead. Molson Coors’ profits have been impacted by unfavorable foreign currency movements and lower volumes owing to weak consumer demand. The termination of business contracts in the U.K. and Canada has also hurt sales. Nevertheless, we believe that the company’s cost-savings initiatives and increased marketing investments have the potential to drive volumes.”
Several other brokerages have also weighed in on TAP. Susquehanna reiterated a buy rating and issued a $130.00 price objective on shares of Molson Coors Brewing in a research report on Sunday, July 17th. Citigroup Inc. upgraded Molson Coors Brewing from a neutral rating to a buy rating and increased their price objective for the stock from $101.00 to $115.00 in a research report on Friday, July 29th. Stifel Nicolaus reiterated a buy rating and issued a $134.00 price objective (up from $119.00) on shares of Molson Coors Brewing in a research report on Sunday, June 12th. Finally, Bryan, Garnier & Co upgraded Molson Coors Brewing to a buy rating in a research report on Friday, July 8th. One analyst has rated the stock with a hold rating, six have issued a buy rating and one has given a strong buy rating to the company. Molson Coors Brewing currently has an average rating of Buy and an average price target of $118.88.
Molson Coors Brewing (NYSE:TAP) opened at 107.65 on Tuesday. The stock has a market capitalization of $23.12 billion, a P/E ratio of 55.81 and a beta of 0.88. Molson Coors Brewing has a one year low of $78.17 and a one year high of $111.24. The stock has a 50 day moving average price of $104.36 and a 200-day moving average price of $100.05.
Molson Coors Brewing (NYSE:TAP) last issued its quarterly earnings data on Tuesday, August 2nd. The company reported $1.11 earnings per share for the quarter, hitting the consensus estimate of $1.11. The company earned $986.20 million during the quarter, compared to analyst estimates of $970.25 million. Molson Coors Brewing had a return on equity of 8.21% and a net margin of 7.54%. The firm’s revenue for the quarter was down 1.9% compared to the same quarter last year. During the same period in the prior year, the business posted $1.41 earnings per share. Analysts anticipate that Molson Coors Brewing will post $3.29 earnings per share for the current year.
The business also recently disclosed a quarterly dividend, which was paid on Thursday, September 15th. Stockholders of record on Wednesday, August 31st were paid a $0.41 dividend. This represents a $1.64 annualized dividend and a dividend yield of 1.52%. The ex-dividend date was Monday, August 29th. Molson Coors Brewing’s payout ratio is currently 88.65%.
In other news, Director Andrew Thomas Molson sold 1,173 shares of the stock in a transaction on Wednesday, August 3rd. The stock was sold at an average price of $99.49, for a total value of $116,701.77. Following the sale, the director now directly owns 6,834 shares in the company, valued at $679,914.66. The sale was disclosed in a legal filing with the SEC, which can be accessed through this hyperlink. Also, CEO Krishnan Anand sold 13,000 shares of the stock in a transaction on Wednesday, September 7th. The shares were sold at an average price of $107.00, for a total value of $1,391,000.00. Following the completion of the sale, the chief executive officer now owns 29,676 shares in the company, valued at $3,175,332. The disclosure for this sale can be found here. 2.53% of the stock is owned by insiders.
Hedge funds have recently made changes to their positions in the stock. Commonwealth Equity Services Inc boosted its stake in shares of Molson Coors Brewing by 7.9% in the first quarter. Commonwealth Equity Services Inc now owns 9,116 shares of the company’s stock valued at $877,000 after buying an additional 669 shares during the last quarter. Virginia Retirement System acquired a new stake in Molson Coors Brewing during the first quarter worth $290,000. Ngam Advisors L.P. acquired a new stake in Molson Coors Brewing during the first quarter worth $1,129,000. Prudential Financial Inc. boosted its stake in Molson Coors Brewing by 14.0% in the first quarter. Prudential Financial Inc. now owns 224,578 shares of the company’s stock worth $21,599,000 after buying an additional 27,660 shares in the last quarter. Finally, BlackRock Inc. boosted its stake in Molson Coors Brewing by 19.6% in the first quarter. BlackRock Inc. now owns 219,083 shares of the company’s stock worth $21,072,000 after buying an additional 35,895 shares in the last quarter. Institutional investors and hedge funds own 77.65% of the company’s stock.
Molson Coors Brewing Company Profile
Molson Coors Brewing Company (MCBC) is a holding company that operates as a brewer. The Company has a portfolio of brands, including Carling, Coors Light, Molson Canadian and Staropramen, as well as craft and specialty beers, such as Blue Moon, Creemore Springs, Cobra and Doom Bar. The Company operates through four segments: Molson Coors Canada (MCC or Canada segment); MillerCoors LLC (MillerCoors or U.S.
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