Molson Coors Prepares for Upcoming Earnings Announcement
With a market cap of $11.3 billion, Molson Coors Beverage Company (TAP) boasts a rich heritage in brewing, featuring an extensive array of renowned beer and beverage brands. The company offers everything from classic lagers like Coors Light and Miller Lite to modern craft beers and hard seltzers. It remains committed to sustainability and corporate responsibility. Based in Golden, Colorado, Molson Coors is set to announce its fiscal Q4 earnings results before the market opens on Thursday, Feb. 13.
Analysts Expect Adjusted Profitability
Leading up to the earnings announcement, analysts predict that Molson Coors will report a profit of $1.13 per share, representing a 5% decline from $1.19 per share in the same quarter last year. Notably, the company has exceeded Wall Street’s earnings expectations in each of the last four quarters, including a 9.1% beat against consensus EPS estimates in Q3.
2024 Forecasts Show Promising Growth
For fiscal 2024, estimates suggest that TAP will achieve an EPS of $5.79, which is a growth of 6.6% from $5.43 in fiscal 2023.
Stock Performance Compared to Market
Shares of TAP have decreased by 13.2% in the past year, trailing behind the S&P 500 Index’s ($SPX) 26.4% surge and the Consumer Staples Select Sector SPDR Fund’s (XLP) 6.6% return during the same time frame.
Recent Revenue and Investor Sentiment
Despite reporting weaker-than-expected Q3 adjusted revenue of $3 billion, TAP shares experienced a slight increase on Nov. 7, as adjusted earnings of $1.80 per share surpassed forecasts. The company reaffirmed its 2024 underlying EBT outlook, pointing towards mid-single-digit EPS growth due to improved cost projections for packaging materials, transportation, and administrative expenses. Furthermore, their cash flow remained strong, amounting to $856 million in free cash flow and supporting an accelerated share repurchase program, boosting investor sentiment.
Analysts’ Consensus on TAP Stock
Current consensus among analysts is a cautious “Hold” rating for Molson Coors Beverage’s stock. Out of 20 analysts, five recommend a “Strong Buy,” one suggests a “Moderate Buy,” while 12 advise “Hold,” and two rate it as “Strong Sell.” As it stands, TAP is trading below the average analyst price target of $62.52.
On the date of publication, Sohini Mondal did not hold (either directly or indirectly) any positions in the securities mentioned in this article. All information and data provided are for informational purposes. For further information, please review the Barchart Disclosure Policy here.
The views and opinions expressed herein are those of the author and do not necessarily reflect those of Nasdaq, Inc.
