Ambev S.A. $ABEV Shares Sold by Bank of America Corp DE

Key Points

• Bank of America cut its Ambev stake by 51.5% in the first quarter, selling 17.3 million shares and retaining 16.3 million shares valued at about $47.6 million. Institutional investors and hedge funds collectively own 8.13% of the company.
• Ambev reported quarterly EPS of $0.04, in line with estimates, while revenue of $3.89 billion fell short of the $4.05 billion consensus forecast. The stock opened at $2.83, compared with a 52-week range of $2.10 to $3.45.
• Analyst sentiment remains cautious, with five Hold ratings and one Sell rating, producing an average “Reduce” rating and a $3.08 price target. Ambev also declared a quarterly dividend of $0.0092 per share, equivalent to a 1.3% annual yield.

Bank of America Corp DE lessened its stake in Ambev S.A. (NYSE:ABEV - Free Report) by 51.5% in the first quarter, according to the company in its most recent disclosure with the Securities and Exchange Commission. The fund owned 16,305,441 shares of the company's stock after selling 17,313,628 shares during the period. Bank of America Corp DE owned about 0.10% of Ambev worth $47,612,000 at the end of the most recent reporting period.

Several other institutional investors have also recently added to or reduced their stakes in ABEV. Integrated Wealth Concepts LLC acquired a new position in Ambev during the 1st quarter worth $26,000. Millennium Management LLC raised its stake in shares of Ambev by 62.5% in the 1st quarter. Millennium Management LLC now owns 2,399,472 shares of the company's stock valued at $5,591,000 after purchasing an additional 922,566 shares in the last quarter. Goldman Sachs Group Inc. raised its stake in shares of Ambev by 13.2% in the 1st quarter. Goldman Sachs Group Inc. now owns 5,000,107 shares of the company's stock valued at $11,650,000 after purchasing an additional 582,153 shares in the last quarter. Focus Partners Wealth bought a new position in shares of Ambev during the first quarter worth about $33,000. Finally, Acadian Asset Management LLC bought a new position in shares of Ambev during the first quarter worth about $264,000. 8.13% of the stock is owned by institutional investors and hedge funds.

Insider Buying and Selling

In related news, Director Ricardo Manuel Frangat Moreira sold 468,040 shares of the company's stock in a transaction on Thursday, July 30th. The stock was sold at an average price of $3.08, for a total transaction of $1,441,563.20. Following the completion of the transaction, the director directly owned 3,000,000 shares in the company, valued at $9,240,000. This represents a 13.50% decrease in their position. The sale was disclosed in a filing with the Securities & Exchange Commission, which is available through this hyperlink.

Analyst Ratings Changes

ABEV has been the subject of a number of research reports. Barclays lifted their price target on Ambev from $3.00 to $3.50 and gave the stock an "equal weight" rating in a research note on Wednesday, May 6th. UBS Group set a $2.85 target price on Ambev in a report on Tuesday. Wall Street Zen upgraded Ambev from a "hold" rating to a "buy" rating in a research report on Saturday, August 1st. Weiss Ratings reiterated a "hold (c+)" rating on shares of Ambev in a report on Monday, August 3rd. Finally, Scotiabank lowered Ambev from a "sector outperform" rating to a "sector perform" rating in a research report on Wednesday, July 15th. Five analysts have rated the stock with a Hold rating and one has issued a Sell rating to the company's stock. According to MarketBeat, Ambev presently has an average rating of "Reduce" and an average price target of $3.08.

Ambev Trading Down 0.4%

NYSE ABEV opened at $2.83 on Thursday. Ambev S.A. has a one year low of $2.10 and a one year high of $3.45. The company has a 50-day simple moving average of $3.09 and a 200-day simple moving average of $3.05. The company has a debt-to-equity ratio of 0.02, a quick ratio of 0.76 and a current ratio of 1.02. The firm has a market capitalization of $44.61 billion, a PE ratio of 14.15, a price-to-earnings-growth ratio of 2.07 and a beta of 0.65.

Ambev (NYSE:ABEV - Get Free Report) last released its quarterly earnings data on Wednesday, July 29th. The company reported $0.04 earnings per share for the quarter, hitting the consensus estimate of $0.04. The firm had revenue of $3.89 billion for the quarter, compared to analyst estimates of $4.05 billion. Ambev had a net margin of 18.47% and a return on equity of 17.48%. On average, equities analysts forecast that Ambev S.A. will post 0.2 earnings per share for the current year.

Ambev Dividend Announcement

The business also recently disclosed a quarterly dividend, which will be paid on Monday, January 11th. Investors of record on Wednesday, September 23rd will be given a dividend of $0.0092 per share. The ex-dividend date is Wednesday, September 23rd. This represents a $0.04 dividend on an annualized basis and a yield of 1.3%. Ambev's payout ratio is currently 10.00%.

About Ambev

Ambev NYSE: ABEV is a Brazilian-based beverage company that produces, distributes and markets a broad portfolio of alcoholic and non-alcoholic drinks. The company's core business centers on brewing and selling beer, alongside a range of soft drinks, bottled water, energy drinks and other malt-based beverages. Headquartered in São Paulo, Ambev operates an integrated value chain that covers manufacturing, packaging, logistics and commercial sales to retail, on-premise and institutional customers.

The company traces its origins to the 1999 merger of two historic Brazilian breweries, and later became part of the broader global brewing group through subsequent industry consolidations.

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