Molson Coors Beverage Company Receives Mixed Analyst Ratings

Shares of Molson Coors Beverage Company (NYSE:TAP) have garnered a consensus recommendation of “Hold” from a network of sixteen research firms, according to data from MarketBeat Ratings. Among these analysts, eleven have issued hold ratings, while five have recommended a buy on the stock. The average target price set by analysts over the past year stands at $58.87.

In recent weeks, several analysts have updated their evaluations of Molson Coors. On July 17, UBS Group revised its price target from $59.00 to $53.00, maintaining a “neutral” rating. Similarly, JPMorgan Chase & Co. adjusted its price objective down from $62.00 to $53.00 with a neutral outlook. On July 9, Sanford C. Bernstein lowered its target from $65.00 to $55.00, categorizing the stock as “market perform.”

On the other hand, Evercore ISI maintained an “outperform” rating while slightly lowering its price target from $60.00 to $58.00 on July 30. Meanwhile, Needham & Company LLC raised its recommendation from $72.00 to $65.00, indicating a buy rating as of May 12.

Institutional Investment Changes

Recent trading activity reveals significant changes in institutional holdings of Molson Coors shares. Golden State Wealth Management LLC increased its stake by an impressive 230.2% in the first quarter, now holding 416 shares valued at approximately $25,000 after acquiring an additional 290 shares.

Another investor, Millstone Evans Group LLC, raised its holdings by 151.8%, now owning 423 shares worth around $26,000, following a purchase of 255 additional shares. Other notable transactions included Elequin Capital LP, which acquired a new stake valued at $30,000, and Financial Management Professionals Inc., which raised its holdings by 3,286.7% to 508 shares worth $31,000. Collectively, institutional investors hold approximately 78.46% of Molson Coors stock.

Financial Performance and Dividend Announcement

On the financial front, Molson Coors reported its quarterly earnings on May 8, indicating earnings per share (EPS) of $0.50 for the quarter, falling short of the analysts’ consensus estimate of $0.80 by $0.30. Revenue for the quarter reached $2.30 billion, which was also below the expected $2.43 billion. This performance reflects a year-over-year decline of 11.3% in revenue, compared to the same quarter last year when the EPS stood at $0.95.

Additionally, Molson Coors announced a quarterly dividend of $0.47 per share, scheduled for distribution on September 19, 2024. Shareholders on record as of September 5 will receive this dividend, representing an annualized dividend of $1.88 and a yield of 3.9%. The company’s dividend payout ratio currently sits at 37.83%.

As of the latest trading session, shares of Molson Coors opened at $48.22. The company maintains a debt-to-equity ratio of 0.46, with a quick ratio of 0.59 and a current ratio of 0.89. The stock has fluctuated within a 52-week range, with a low of $46.94 and a high of $64.66, and has a market capitalization of $9.75 billion.

Molson Coors Beverage Company is a significant player in the beverage industry, manufacturing and marketing beer and malt beverages across various global markets. Its portfolio includes flavored malt beverages, craft beer, spirits, and energy drinks, catering to a diverse consumer base.