Private Management Group Inc. Raises Holdings in Ambev S.A. (NYSE:ABEV)

Key Points

• Private Management Group Inc. increased its holdings in Ambev S.A. by 6.4%, owning over 15 million shares, which accounts for about 1.3% of its investment portfolio.
• Ambev reported quarterly earnings of $0.04 per share, meeting analysts' expectations, with a net margin of 15.76% and a projected EPS of 0.18 for the current fiscal year.
• The company has a dividend payout ratio of 68.75% and recently paid a dividend of $0.0219 per share, reflecting a dividend yield of 5%.

Private Management Group Inc. raised its position in Ambev S.A. (NYSE:ABEV - Free Report) by 6.4% during the 1st quarter, according to the company in its most recent Form 13F filing with the Securities and Exchange Commission (SEC). The firm owned 15,439,216 shares of the company's stock after buying an additional 926,982 shares during the quarter. Ambev comprises about 1.3% of Private Management Group Inc.'s holdings, making the stock its 14th largest position. Private Management Group Inc. owned about 0.10% of Ambev worth $35,973,000 at the end of the most recent reporting period.

Other hedge funds have also recently made changes to their positions in the company. GAMMA Investing LLC raised its stake in shares of Ambev by 468.4% in the first quarter. GAMMA Investing LLC now owns 10,998 shares of the company's stock valued at $26,000 after buying an additional 9,063 shares during the period. Perigon Wealth Management LLC bought a new stake in shares of Ambev during the 1st quarter valued at $27,000. Generation Capital Management LLC bought a new stake in shares of Ambev during the 4th quarter valued at $28,000. U.S. Capital Wealth Advisors LLC bought a new stake in shares of Ambev during the 1st quarter valued at $28,000. Finally, M&T Bank Corp bought a new stake in shares of Ambev during the 1st quarter valued at $30,000. 8.13% of the stock is currently owned by institutional investors.

Ambev Price Performance

NYSE ABEV traded down $0.04 during trading on Friday, reaching $2.39. The company's stock had a trading volume of 15,917,693 shares, compared to its average volume of 30,119,472. The stock has a market capitalization of $37.58 billion, a PE ratio of 14.91, a P/E/G ratio of 2.53 and a beta of 0.74. The company has a debt-to-equity ratio of 0.02, a current ratio of 1.11 and a quick ratio of 0.80. The firm has a fifty day moving average of $2.43 and a 200 day moving average of $2.26. Ambev S.A. has a one year low of $1.76 and a one year high of $2.63.

Ambev (NYSE:ABEV - Get Free Report) last posted its quarterly earnings data on Thursday, May 8th. The company reported $0.04 earnings per share (EPS) for the quarter, hitting analysts' consensus estimates of $0.04. Ambev had a return on equity of 14.74% and a net margin of 15.76%. The firm had revenue of $3.92 billion during the quarter, compared to analysts' expectations of $22.40 billion. Analysts expect that Ambev S.A. will post 0.18 EPS for the current fiscal year.

Ambev Cuts Dividend

The company also recently disclosed a -- dividend, which was paid on Thursday, July 17th. Stockholders of record on Monday, May 19th were issued a $0.0219 dividend. This represents a dividend yield of 5%. The ex-dividend date of this dividend was Monday, May 19th. Ambev's payout ratio is currently 68.75%.

Analyst Ratings Changes

A number of analysts recently issued reports on the company. Morgan Stanley lowered Ambev from an "equal weight" rating to an "underweight" rating in a research note on Monday, April 7th. UBS Group boosted their price objective on Ambev from $2.60 to $2.70 and gave the company a "neutral" rating in a research note on Wednesday, June 4th. Barclays boosted their price objective on Ambev from $2.00 to $2.50 and gave the company an "equal weight" rating in a research note on Monday, May 12th. Finally, Wall Street Zen started coverage on Ambev in a research note on Wednesday, April 23rd. They set a "buy" rating on the stock. One investment analyst has rated the stock with a sell rating, four have assigned a hold rating and one has issued a buy rating to the company's stock. Based on data from MarketBeat, the stock has a consensus rating of "Hold" and an average price target of $2.60.

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.