Engineers Gate Manager LP Trims Holdings in Diageo plc $DEO

Key Points

• Engineers Gate Manager LP cut its Diageo stake by 85.3% in the second quarter, selling 35,521 shares and retaining 6,139 shares valued at approximately $493,000.
• Other institutional investors showed mixed activity: Baird Financial and Parrish Capital increased their holdings, while several firms initiated new positions. Institutions and hedge funds collectively own 8.97% of Diageo.
• Analyst sentiment is mixed, with six Buy ratings, five Holds and one Sell; the overall consensus is Hold, with an average price target of $106.25 versus a recent share price of $86.09.

Engineers Gate Manager LP cut its stake in Diageo plc (NYSE:DEO - Free Report) by 85.3% during the 2nd quarter, according to its most recent Form 13F filing with the Securities and Exchange Commission (SEC). The institutional investor owned 6,139 shares of the company's stock after selling 35,521 shares during the period. Engineers Gate Manager LP's holdings in Diageo were worth $493,000 at the end of the most recent reporting period.

Several other hedge funds also recently added to or reduced their stakes in DEO. Baird Financial Group Inc. increased its holdings in shares of Diageo by 6.0% in the 2nd quarter. Baird Financial Group Inc. now owns 51,613 shares of the company's stock valued at $4,149,000 after acquiring an additional 2,917 shares during the last quarter. Parrish Capital LLC raised its holdings in shares of Diageo by 3.7% during the second quarter. Parrish Capital LLC now owns 6,434 shares of the company's stock worth $517,000 after purchasing an additional 227 shares during the period. OceanIQ Capital LLC bought a new position in shares of Diageo in the 2nd quarter worth about $567,000. Sapient Capital LLC acquired a new position in shares of Diageo in the 2nd quarter valued at about $212,000. Finally, Syon Capital LLC bought a new stake in shares of Diageo during the 2nd quarter valued at about $289,000. 8.97% of the stock is owned by institutional investors and hedge funds.

Wall Street Analyst Weigh In

Several research firms have recently commented on DEO. Zacks Research raised Diageo from a "strong sell" rating to a "hold" rating in a report on Tuesday, August 25th. UBS Group reissued a "neutral" rating on shares of Diageo in a report on Thursday, August 27th. Weiss Ratings reaffirmed a "sell (d)" rating on shares of Diageo in a report on Friday, July 17th. Loop Capital set a $99.00 price target on shares of Diageo in a research note on Thursday, June 18th. Finally, TD Cowen restated a "buy" rating on shares of Diageo in a research report on Monday, August 10th. Six investment analysts have rated the stock with a Buy rating, five have issued a Hold rating and one has given a Sell rating to the company's stock. Based on data from MarketBeat, the company currently has an average rating of "Hold" and a consensus target price of $106.25.

Key Diageo News

Here are the key news stories impacting Diageo this week:

• Positive Sentiment: Jefferies maintained a “buy” rating and encouraged investors to purchase any weakness, arguing that the CFO change should not materially affect Diageo’s turnaround. Its 2,200-pence price target implies substantial upside for the London-listed shares. Jefferies backs Diageo CFO swap
• Positive Sentiment: Diageo named Joanne Wilson, WPP’s current finance chief, as Jhangiani’s successor. Her planned appointment to Diageo’s board and executive committee in 2027 could support the company’s transformation strategy and offers investors a clear succession plan. Diageo names Joanne Wilson as CFO
• Neutral Sentiment: Alcohol companies such as Diageo can benefit from resilient demand and strong cash generation, but investors must also consider regulation, legal exposure and changing social attitudes toward alcohol consumption. Sin Stock Investing
• Negative Sentiment: Jhangiani’s exit is likely weighing on sentiment because he joined Diageo relatively recently and previously served as interim CEO. The transition raises questions about execution and financial leadership during the company’s turnaround. Diageo Names WPP Finance Chief Joanne Wilson as Next CFO
• Negative Sentiment: Investors are also monitoring potential whisky-related risks, adding pressure to Diageo’s outlook given its significant exposure to Scotch and other spirits categories. Diageo stock and whisky risk

Diageo Price Performance

NYSE:DEO opened at $86.09 on Thursday. The company has a quick ratio of 0.62, a current ratio of 1.60 and a debt-to-equity ratio of 1.53. The business's 50-day moving average price is $89.48 and its 200 day moving average price is $83.33. Diageo plc has a 52-week low of $72.45 and a 52-week high of $102.74.

Diageo Dividend Announcement

The firm also recently disclosed a dividend, which will be paid on Thursday, December 3rd. Stockholders of record on Friday, October 16th will be given a dividend of $1.20 per share. The ex-dividend date is Friday, October 16th. This represents a dividend yield of 252.0%.

Diageo Profile

Diageo plc NYSE: DEO is a global beverage alcohol company headquartered in London, England. It produces, markets and distributes a broad portfolio of spirits, beer and ready-to-drink beverages, serving consumers in more than 180 countries.

Its portfolio includes brands such as Johnnie Walker, Crown Royal, Smirnoff, Cîroc, Captain Morgan, Baileys, Tanqueray, Don Julio, Casamigos, Guinness and Bulleit. The company's business activities span distilling, brewing, brand development, marketing, sales and distribution across multiple alcohol categories and geographic markets.

Diageo was formed in 1997 through the merger of Grand Metropolitan and Guinness.

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