Ambev S.A. (NYSE:ABEV) Receives Consensus Rating of "Reduce" from Brokerages

Key Points

• Ambev S.A. has received a consensus rating of "Reduce" from brokerages, including one sell recommendation and six hold recommendations.
• Barclays raised its target price for Ambev from $2.00 to $2.50, while UBS reduced its target from $2.50 to $2.20, indicating mixed signals about the stock's future.
• The company recently announced a dividend increase to $0.023, representing a significant yield of 660.0%, with the ex-dividend date set for August 11th.

Ambev S.A. (NYSE:ABEV - Get Free Report) has been given a consensus rating of "Reduce" by the seven ratings firms that are covering the stock, MarketBeat reports. One analyst has rated the stock with a sell recommendation and six have given a hold recommendation to the company. The average 12 month price target among analysts that have issued ratings on the stock in the last year is $2.35.

Several brokerages have recently commented on ABEV. Barclays increased their target price on shares of Ambev from $2.00 to $2.50 and gave the company an "equal weight" rating in a report on Monday, May 12th. UBS Group reduced their target price on shares of Ambev from $2.50 to $2.20 and set a "neutral" rating for the company in a research note on Wednesday, August 20th. Hsbc Global Res raised shares of Ambev to a "hold" rating in a report on Friday, August 1st. Finally, HSBC reissued a "hold" rating on shares of Ambev in a report on Friday, August 1st.

Institutional Inflows and Outflows

A number of institutional investors and hedge funds have recently bought and sold shares of ABEV. Abacus Wealth Partners LLC bought a new position in Ambev during the second quarter valued at approximately $25,000. GAMMA Investing LLC raised its position in shares of Ambev by 468.4% in the 1st quarter. GAMMA Investing LLC now owns 10,998 shares of the company's stock worth $26,000 after acquiring an additional 9,063 shares in the last quarter. Integrated Wealth Concepts LLC bought a new stake in shares of Ambev during the 1st quarter valued at $26,000. Perigon Wealth Management LLC bought a new stake in Ambev during the first quarter worth about $27,000. Finally, U.S. Capital Wealth Advisors LLC bought a new stake in Ambev during the first quarter worth about $28,000. 8.13% of the stock is currently owned by institutional investors.

Ambev Stock Performance

Shares of ABEV stock opened at $2.15 on Thursday. The firm has a market capitalization of $33.80 billion, a PE ratio of 13.41, a price-to-earnings-growth ratio of 2.44 and a beta of 0.84. The firm has a fifty day simple moving average of $2.30 and a two-hundred day simple moving average of $2.33. The company has a current ratio of 1.11, a quick ratio of 0.80 and a debt-to-equity ratio of 0.02. Ambev has a 12 month low of $1.76 and a 12 month high of $2.63.

Ambev (NYSE:ABEV - Get Free Report) last announced its quarterly earnings results on Thursday, July 31st. The company reported $0.03 EPS for the quarter, meeting analysts' consensus estimates of $0.03. The business had revenue of $3.59 billion during the quarter, compared to analyst estimates of $21.84 billion. Ambev had a net margin of 16.18% and a return on equity of 15.39%. Analysts forecast that Ambev will post 0.18 EPS for the current fiscal year.

Ambev Increases Dividend

The business also recently announced a -- dividend, which will be paid on Tuesday, October 14th. Investors of record on Monday, August 11th will be paid a $0.023 dividend. This is an increase from Ambev's previous -- dividend of $0.02. This represents a yield of 660.0%. The ex-dividend date of this dividend is Monday, August 11th. Ambev's payout ratio is 31.25%.

About Ambev

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.

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