Ambev (NYSE:ABEV) Sets New 1-Year High - Should You Buy?

Ambev S.A. (NYSE:ABEV - Get Free Report)'s share price reached a new 52-week high during trading on Tuesday . The company traded as high as $2.57 and last traded at $2.56, with a volume of 31519474 shares. The stock had previously closed at $2.49.

Analyst Upgrades and Downgrades

A number of analysts have weighed in on the stock. UBS Group downgraded shares of Ambev from a "buy" rating to a "neutral" rating in a research report on Tuesday, April 22nd. StockNews.com started coverage on Ambev in a report on Wednesday, April 23rd. They issued a "buy" rating for the company. Citigroup reaffirmed a "neutral" rating on shares of Ambev in a research report on Wednesday, January 22nd. Morgan Stanley cut shares of Ambev from an "equal weight" rating to an "underweight" rating in a report on Monday, April 7th. Finally, Bank of America cut shares of Ambev from a "buy" rating to a "neutral" rating in a research report on Friday, January 17th. One analyst has rated the stock with a sell rating, four have given a hold rating and one has assigned a buy rating to the company. According to MarketBeat.com, the stock currently has a consensus rating of "Hold" and an average target price of $2.45.

Ambev Stock Performance

The firm's fifty day moving average is $2.30 and its two-hundred day moving average is $2.12. The firm has a market capitalization of $39.24 billion, a PE ratio of 13.83, a PEG ratio of 5.80 and a beta of 0.80. The company has a debt-to-equity ratio of 0.02, a current ratio of 1.20 and a quick ratio of 0.89.

Ambev (NYSE:ABEV - Get Free Report) last released its earnings results on Wednesday, February 26th. The company reported $0.05 earnings per share for the quarter, missing analysts' consensus estimates of $0.06 by ($0.01). Ambev had a net margin of 17.02% and a return on equity of 16.12%. The company had revenue of $4.63 billion for the quarter, compared to the consensus estimate of $22.42 billion. On average, equities analysts predict that Ambev S.A. will post 0.18 EPS for the current fiscal year.

Ambev Cuts Dividend

The business also recently declared a quarterly dividend, which was paid on Monday, April 14th. Stockholders of record on Tuesday, March 18th were issued a $0.0221 dividend. This represents a $0.09 dividend on an annualized basis and a dividend yield of 3.54%. The ex-dividend date was Tuesday, March 18th. Ambev's payout ratio is currently 52.94%.

Institutional Investors Weigh In On Ambev

Institutional investors and hedge funds have recently modified their holdings of the company. Barclays PLC grew its position in shares of Ambev by 76.9% during the 3rd quarter. Barclays PLC now owns 52,625 shares of the company's stock valued at $128,000 after purchasing an additional 22,880 shares in the last quarter. Peapack Gladstone Financial Corp lifted its holdings in shares of Ambev by 268.7% during the 3rd quarter. Peapack Gladstone Financial Corp now owns 52,344 shares of the company's stock worth $128,000 after acquiring an additional 38,146 shares during the last quarter. Franklin Resources Inc. grew its position in Ambev by 5.5% in the third quarter. Franklin Resources Inc. now owns 599,291 shares of the company's stock worth $1,402,000 after acquiring an additional 31,408 shares in the last quarter. Winthrop Advisory Group LLC raised its position in Ambev by 58.8% during the fourth quarter. Winthrop Advisory Group LLC now owns 24,634 shares of the company's stock valued at $46,000 after purchasing an additional 9,120 shares in the last quarter. Finally, Wynn Capital LLC lifted its stake in Ambev by 20.2% during the fourth quarter. Wynn Capital LLC now owns 97,790 shares of the company's stock worth $181,000 after purchasing an additional 16,435 shares during the last quarter. 8.13% of the stock is owned by hedge funds and other institutional investors.

Ambev Company Profile

Ambev SA, through its subsidiaries, engages in the production, distribution, and sale of beer, draft beer, carbonated soft drinks, malt and food, other alcoholic beverages, and non-alcoholic and non-carbonated products in Brazil, Central America and Caribbean, Latin America South, and Canada. It offers beer primarily under the Skol, Brahma, Antarctica, Brahva, Budweiser, Bud Light, Beck, Leffe, Hoegaarden, Balboa ICE, Balboa, Atlas Golden Light, Atlas, Bucanero, Cristal, Mayabe, Presidente, Presidente Light, Brahma Light, Bohemia, The One, Corona, Modelo Especial, Stella Artois, Quilmes Clásica, Paceña, Taquiña, Huari, Becker, Cusqueña, Michelob Ultra, Busch, Pilsen, Ouro Fino, Bud 66, Banks, Deputy, Patricia, Labatt Blue, Alexander Keith's, and Kokanee brands.