Ranmore Fund Management Ltd Decreases Stake in Ambev S.A. (NYSE:ABEV)

Key Points

• Ranmore Fund Management Ltd has decreased its holdings in Ambev S.A. (NYSE:ABEV) by 19.4%, selling 800,000 shares, which now constitutes about 4.6% of their total holdings.
• Ambev recently declared a dividend of $0.023 per share, marking an increase from the previous dividend of $0.02, with a dividend yield of 660.0%.
• Several institutional investors, including Russell Investments Group Ltd. and Invesco Ltd., have significantly increased their positions in Ambev during the first quarter of this year.

Ranmore Fund Management Ltd cut its holdings in shares of Ambev S.A. (NYSE:ABEV - Free Report) by 19.4% in the 1st quarter, according to the company in its most recent filing with the Securities and Exchange Commission (SEC). The fund owned 3,314,000 shares of the company's stock after selling 800,000 shares during the quarter. Ambev makes up 4.6% of Ranmore Fund Management Ltd's investment portfolio, making the stock its 12th largest holding. Ranmore Fund Management Ltd's holdings in Ambev were worth $7,722,000 as of its most recent SEC filing.

Several other large investors have also recently made changes to their positions in ABEV. LPL Financial LLC increased its position in shares of Ambev by 36.8% during the 4th quarter. LPL Financial LLC now owns 808,204 shares of the company's stock valued at $1,495,000 after purchasing an additional 217,527 shares during the last quarter. JPMorgan Chase & Co. increased its holdings in Ambev by 2,385.2% in the 4th quarter. JPMorgan Chase & Co. now owns 2,005,614 shares of the company's stock worth $3,710,000 after acquiring an additional 1,924,912 shares during the last quarter. Franklin Resources Inc. increased its holdings in Ambev by 7.1% in the 4th quarter. Franklin Resources Inc. now owns 641,707 shares of the company's stock worth $1,187,000 after acquiring an additional 42,416 shares during the last quarter. Cerity Partners LLC increased its holdings in Ambev by 55.5% in the 4th quarter. Cerity Partners LLC now owns 315,451 shares of the company's stock worth $584,000 after acquiring an additional 112,616 shares during the last quarter. Finally, Invesco Ltd. increased its holdings in Ambev by 7.6% in the 4th quarter. Invesco Ltd. now owns 1,915,696 shares of the company's stock worth $3,544,000 after acquiring an additional 135,869 shares during the last quarter. 8.13% of the stock is owned by hedge funds and other institutional investors.

Analysts Set New Price Targets

ABEV has been the subject of several recent research reports. Barclays lifted their price objective on Ambev from $2.00 to $2.50 and gave the stock an "equal weight" rating in a report on Monday, May 12th. UBS Group lifted their price objective on Ambev from $2.60 to $2.70 and gave the stock a "neutral" rating in a report on Wednesday, June 4th. Wall Street Zen initiated coverage on Ambev in a research note on Wednesday, April 23rd. They issued a "buy" rating for the company. HSBC restated a "hold" rating on shares of Ambev in a research note on Friday, August 1st. Finally, Hsbc Global Res upgraded Ambev to a "hold" rating in a research note on Friday, August 1st. One research analyst has rated the stock with a sell rating, six have given a hold rating and one has assigned a buy rating to the company. According to data from MarketBeat.com, the stock has an average rating of "Hold" and a consensus price target of $2.60.

Ambev Price Performance

Shares of ABEV traded up $0.02 during trading hours on Friday, reaching $2.20. 14,504,014 shares of the company's stock traded hands, compared to its average volume of 27,432,612. The stock has a market cap of $34.67 billion, a PE ratio of 13.75, a price-to-earnings-growth ratio of 2.38 and a beta of 0.74. The company has a current ratio of 1.11, a quick ratio of 0.80 and a debt-to-equity ratio of 0.02. The firm's 50 day simple moving average is $2.36 and its 200-day simple moving average is $2.30. Ambev S.A. 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 data on Thursday, July 31st. The company reported $0.03 earnings per share for the quarter, meeting analysts' consensus estimates of $0.03. The company had revenue of $3.59 billion for the quarter, compared to analysts' expectations of $21.84 billion. Ambev had a return on equity of 15.39% and a net margin of 16.18%. Equities analysts expect that Ambev S.A. will post 0.18 EPS for the current year.

Ambev Increases Dividend

The company also recently disclosed a -- dividend, which will be paid on Tuesday, October 14th. Investors of record on Monday, August 11th will be issued a dividend of $0.023 per share. The ex-dividend date of this dividend is Monday, August 11th. This represents a dividend yield of 660.0%. This is a positive change from Ambev's previous -- dividend of $0.02. Ambev's payout ratio is 25.00%.

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.