Molson Coors Brewing (TAP) Upgraded to Hold by Zacks Investment Research

Zacks Investment Research upgraded shares of Molson Coors Brewing (NYSE:TAP) from a sell rating to a hold rating in a research note released on Friday morning.

According to Zacks, “Molson Coors outperformed the industry in the past three months as it delivered solid second-quarter 2018 results. It is gaining from focus on cost savings and premiumization. The company has been undertaking restructuring initiatives to reduce overhead costs and boost profitability. For 2018, the company expects cost savings of nearly $210 million, which forms part of its three-year savings goal of $600 million extending up to 2019. We also commend the company’s First Choice plan that aims to solidify and premiumize portfolio, enhance customer relations and generate significant profits from international businesses. However, persistent softness across its U.S. beer volumes owing to tough industry conditions has been hurting the top line. Further, rising input costs (mainly aluminum and fuel) and the impacts of the US-China trade war are likely to be a threat to bottom line.”

Several other equities analysts also recently weighed in on TAP. Morgan Stanley raised their price target on shares of Molson Coors Brewing from $69.00 to $74.00 and gave the stock an equal weight rating in a research note on Thursday, August 2nd. Susquehanna Bancshares raised their price target on shares of Molson Coors Brewing from $80.00 to $84.00 and gave the stock a positive rating in a research note on Thursday, August 2nd. Citigroup decreased their price target on shares of Molson Coors Brewing from $80.00 to $78.00 and set a buy rating on the stock in a research note on Monday, August 27th. Jefferies Financial Group started coverage on shares of Molson Coors Brewing in a research note on Friday, September 7th. They issued an underperform rating and a $55.00 price target on the stock. Finally, Berenberg Bank set a $67.00 price target on shares of Molson Coors Brewing and gave the stock a hold rating in a research note on Tuesday, September 11th. Two research analysts have rated the stock with a sell rating, six have given a hold rating and seven have given a buy rating to the stock. Molson Coors Brewing presently has a consensus rating of Hold and a consensus target price of $75.79.

NYSE:TAP opened at $56.59 on Friday. The company has a current ratio of 0.66, a quick ratio of 0.51 and a debt-to-equity ratio of 0.69. The stock has a market capitalization of $12.02 billion, a PE ratio of 12.66, a price-to-earnings-growth ratio of 2.32 and a beta of 0.73. Molson Coors Brewing has a twelve month low of $55.52 and a twelve month high of $85.86.

Molson Coors Brewing (NYSE:TAP) last posted its quarterly earnings results on Wednesday, August 1st. The company reported $1.88 earnings per share for the quarter, topping the Thomson Reuters’ consensus estimate of $1.83 by $0.05. The firm had revenue of $3.09 billion for the quarter, compared to the consensus estimate of $3.08 billion. Molson Coors Brewing had a net margin of 11.68% and a return on equity of 6.97%. The company’s revenue for the quarter was down .2% on a year-over-year basis. During the same period last year, the firm posted $1.70 earnings per share. On average, research analysts anticipate that Molson Coors Brewing will post 4.78 earnings per share for the current year.

In other Molson Coors Brewing news, insider Krishnan Anand sold 2,595 shares of Molson Coors Brewing stock in a transaction dated Monday, October 1st. The shares were sold at an average price of $61.42, for a total transaction of $159,384.90. Following the transaction, the insider now directly owns 49,578 shares of the company’s stock, valued at $3,045,080.76. The sale was disclosed in a legal filing with the Securities & Exchange Commission, which is available through the SEC website. Insiders have sold 7,785 shares of company stock worth $499,901 over the last ninety days. 2.55% of the stock is owned by insiders.

A number of hedge funds have recently modified their holdings of TAP. Truvestments Capital LLC acquired a new stake in shares of Molson Coors Brewing during the third quarter valued at about $105,000. Independent Order of Foresters acquired a new stake in shares of Molson Coors Brewing during the second quarter valued at about $141,000. Strategic Wealth Partners Ltd. acquired a new stake in shares of Molson Coors Brewing during the second quarter valued at about $214,000. Capital One National Association acquired a new stake in shares of Molson Coors Brewing during the second quarter valued at about $231,000. Finally, Barings LLC acquired a new stake in shares of Molson Coors Brewing during the second quarter valued at about $245,000. 76.15% of the stock is currently owned by institutional investors.

About Molson Coors Brewing

Molson Coors Brewing Company manufactures and sells beer and other beverage products in the United States, Canada, Europe, and internationally. It sells various products under the Coors Light, Miller Lite, Coors Banquet, the Blue Moon Brewing Company brands, the Jacob Leinenkugel Brewing Company brands, Keystone, Icehouse, Mickey's, Miller 64, Miller Genuine Draft, Miller High Life, Milwaukee's Best, Hamm's, Olde English 800, Steel Reserve, Crispin, Smith & Forge, Redd's, the Henry's Hard Soda, and Steel Reserve Alloy Series brands.

Featured Story: How to Track your Portfolio in Google Finance

Get a free copy of the Zacks research report on Molson Coors Brewing (TAP)

For more information about research offerings from Zacks Investment Research, visit Zacks.com

Analyst Recommendations for Molson Coors Brewing (NYSE:TAP)

Receive News & Ratings for Molson Coors Brewing Daily - Enter your email address below to receive a concise daily summary of the latest news and analysts' ratings for Molson Coors Brewing and related companies with MarketBeat.com's FREE daily email newsletter.

Leave a Reply