10 Best Alcohol Stocks To Buy According to Analysts

4. Anheuser-Busch InBev SA/NV (NYSE:BUD) 

Stock Upside Potential: 36.08%

With a staggering 26.9% share of the entire global beer production in 2023, Anheuser-Busch InBev SA/NV (NYSE:BUD) is the Largest Beer Company in the World. Across nearly 50 countries, AB InBev has 175 major breweries and 40 other operations including hop farms and barley malting facilities.

Anheuser-Busch InBev SA/NV (NYSE:BUD) came under fire after the storm of controversy regarding its best-selling beer Bud Light, which resulted in the brand losing its crown as the Top-Selling Beer in America after nearly two decades. However, the beer behemoth’s sheer size and the breadth of its portfolio give it some protection from a single brand falling out of favor and so despite the Bud Light setback, Ab InBev’s overall beer portfolio gained volume share in the US in Q3 of 2024, driven by Michelob ULTRA and Busch Light, which were two of the top three volume share gainers in the brewing industry.

Anheuser-Busch InBev SA/NV (NYSE:BUD)’s beer volumes in the US are also set to benefit from its recently announced deal with Pabst Brewing Company, one of North America’s largest privately held brewing entities, to produce its Pabst Blue Ribbon beer products starting early 2025. For AB InBev, the strategic move brings a one-time rival into its supply chain.

Anheuser-Busch InBev SA/NV (NYSE:BUD) gains immensely from its humongous global footprint and in Q3 of 2024, the company witnessed volume increase in 50% of its markets and revenue growth in 60% of its markets internationally. However, the beer giant still witnessed an overall volume decline of 2.4% YoY due to a soft consumer environment in China and Argentina, highlighting the risks associated with aggressive geographical diversification.

Anheuser-Busch InBev SA/NV (NYSE:BUD) continues to gain ground in the ballooning non-alcoholic beer category. The company gained market share of NA beer in over 60% of its key markets in Q3 of 2024, with Corona Cero more than doubling both volumes and revenues. The brewing major also remains committed to returning value to its shareholders and recently announced a $2 billion share buyback program to be executed within the coming year.