Short Interest in Ambev S.A. (NYSE:ABEV) Decreases By 26.9%

Key Points

• Short Interest Decrease: Ambev S.A. saw a significant drop in short interest by 26.9%, reducing the total from 75,600,000 shares to 55,240,000 shares as of August 15th.
• Dividend Increase: The company has raised its dividend to $0.023 from $0.02, with a payout scheduled for October 14th, indicating a strong dividend yield of 660.0%.
• Analyst Ratings: Ambev has received mixed analyst ratings, with six analysts rating it as a "Hold" and one as a "Sell," while the consensus target price is $2.35.

Ambev S.A. (NYSE:ABEV - Get Free Report) was the target of a large decrease in short interest in August. As of August 15th, there was short interest totaling 55,240,000 shares, adecreaseof26.9% from the July 31st total of 75,600,000 shares. Based on an average daily volume of 29,490,000 shares, the days-to-cover ratio is presently 1.9 days. Approximately0.4% of the shares of the company are short sold. Approximately0.4% of the shares of the company are short sold. Based on an average daily volume of 29,490,000 shares, the days-to-cover ratio is presently 1.9 days.

Ambev Price Performance

ABEV traded down $0.03 during midday trading on Monday, hitting $2.21. 71,327,874 shares of the company traded hands, compared to its average volume of 24,668,688. 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 company has a market capitalization of $34.75 billion, a price-to-earnings ratio of 13.78, a PEG ratio of 2.43 and a beta of 0.84. Ambev has a 52-week low of $1.76 and a 52-week high of $2.63. The business has a 50 day simple moving average of $2.29 and a two-hundred day simple moving average of $2.34.

Ambev (NYSE:ABEV - Get Free Report) last posted its quarterly earnings data on Thursday, July 31st. The company reported $0.03 earnings per share (EPS) for the quarter, meeting the consensus estimate of $0.03. The business had revenue of $3.59 billion for the quarter, compared to the consensus estimate of $21.84 billion. Ambev had a net margin of 16.18% and a return on equity of 15.39%. On average, equities analysts forecast that Ambev will post 0.18 earnings per share for the current fiscal year.

Ambev Increases Dividend

The firm also recently declared a -- dividend, which will be paid on Tuesday, October 14th. Stockholders 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 dividend yield of 660.0%. The ex-dividend date of this dividend is Monday, August 11th. Ambev's payout ratio is 31.25%.

Analyst Ratings Changes

A number of brokerages have issued reports on ABEV. Hsbc Global Res upgraded shares of Ambev to a "hold" rating in a research note on Friday, August 1st. HSBC reiterated a "hold" rating on shares of Ambev in a research note on Friday, August 1st. UBS Group cut their price objective on shares of Ambev from $2.50 to $2.20 and set a "neutral" rating on the stock in a research note on Wednesday, August 20th. Finally, Barclays increased their price objective on shares of Ambev from $2.00 to $2.50 and gave the stock an "equal weight" rating in a research note on Monday, May 12th. Six research analysts have rated the stock with a Hold rating and one has given a Sell rating to the company's stock. According to data from MarketBeat.com, Ambev has an average rating of "Reduce" and a consensus target price of $2.35.

Hedge Funds Weigh In On Ambev

Several hedge funds and other institutional investors have recently modified their holdings of ABEV. Talaria Asset Management Pty Ltd acquired a new stake in Ambev during the fourth quarter worth about $38,602,000. Bank of America Corp DE increased its position in shares of Ambev by 201.7% during the fourth quarter. Bank of America Corp DE now owns 26,087,675 shares of the company's stock valued at $48,262,000 after acquiring an additional 17,440,564 shares during the last quarter. Two Sigma Advisers LP increased its position in shares of Ambev by 329.6% during the fourth quarter. Two Sigma Advisers LP now owns 16,354,000 shares of the company's stock valued at $30,255,000 after acquiring an additional 12,546,800 shares during the last quarter. Two Sigma Investments LP increased its position in shares of Ambev by 202.5% during the fourth quarter. Two Sigma Investments LP now owns 13,181,359 shares of the company's stock valued at $24,386,000 after acquiring an additional 8,823,911 shares during the last quarter. Finally, Russell Investments Group Ltd. increased its position in shares of Ambev by 105.8% during the first quarter. Russell Investments Group Ltd. now owns 16,170,388 shares of the company's stock valued at $37,677,000 after acquiring an additional 8,312,561 shares during the last quarter. 8.13% of the stock is owned by hedge funds and other institutional investors.

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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