In this article, we are going to discuss the 10 best alcohol stocks to buy according to billionaires.
The alcohol industry has found itself on the frontlines of a global trade war, sparked by President Donald Trump imposing increased tariffs on America’s neighbors and friends across the pond. The European Union responded to Trump’s 25% tariff on all steel and aluminum imports by announcing countermeasures on up to $28 billion worth of American goods, including a 50% tariff on American alcohol. The move could be devastating for the US spirits industry, as over the last two years, American whiskey exports to the EU have surged by more than 60%. Around 40% of US spirits are exported to the European Union, totaling $883 million in 2023, making it America’s largest export market.
Chris Swonger, CEO of the Distilled Spirits Council of the United States, stated:
“The reimposition of these tariffs at a 50% rate would gut this growth and do irreparable harm to distillers large and small. It would be a catastrophic blow that will force many distillers out of our largest export market.”
READ ALSO: 10 Best Alcohol Stocks To Buy According to Analysts
In return, President Trump took it up a notch and threatened to slap a 200% tariff on wine, cognac, and other alcohol imports from Europe, causing panic also on the other side of the Atlantic. The United States imported wine worth around $5 billion from the EU last year and accounts for 31% of the overall wine and spirits exports from the bloc. A 200% tariff would push these European offerings outside the reach of most Americans, who would then prefer their local alternatives.
The tariffs on Mexico and Canada are set to have a significant impact as well. Sales of tequila and mezcal in the US rose 2.9% to total $6.7 billion last year and these numbers are expected to take a hit if the current 25% tariffs remain in place. Moreover, the extreme popularity of Mexican beers in the US could also be threatened as their prices are pushed higher compared to the local brews. In the province of Ontario in Canada, liquor stores have gone even as far as to remove American whiskey and wine from their shelves and replace them with domestic offerings.
And if that wasn’t enough, it seems like America’s much-celebrated Bourbon boom is finally over as the US whiskey industry shows signs of slowdown. According to industry tracker IWSR, sales volumes of American whiskey dropped 1.2% in 2023, marking the first decline since 2002. The downward trend continued last year and domestic sales of American whiskeys fell 1.8% in 2024 to total $5.2 billion, according to DISCUS. The sharp surge in demand that the sector witnessed during the pandemic is softening down as consumers cut back, plowing through bottles they accumulated in recent years and trading down to cheaper options.
Despite the current difficulties, some billionaire investors remain bullish on the American alcohol sector. Warren Buffett’s Berkshire Hathaway invested over $1.2 billion in an American alcohol giant in Q4 2024, signaling the Oracle of Omaha’s confidence in the alcoholic beverage market’s long-term prospects. The continued tilt towards premiumization, the rising popularity of low- and no-alcohol options, and the ballooning Ready-to-Drink segment represent only some of many opportunities that the industry can capitalize on, if it manages to muscle through the heating political landscape.
With that said, here are the Best Alcohol Stocks to Invest in According to Billionaires.
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Methodology
To collect data for this article, we scanned Insider Monkey’s database of billionaires’ stock holdings and picked the top 10 companies operating in the alcohol sector with the highest number of billionaire investors in Q4 of 2024. When two or more companies had the same number of billionaire investors, we ranked them by the revenue of their last financial year. Following are the Best Alcohol Stocks According to Billionaires.
At Insider Monkey we are obsessed with the stocks that hedge funds pile into. The reason is simple: our research has shown that we can outperform the market by imitating the top stock picks of the best hedge funds. Our quarterly newsletter’s strategy selects 14 small-cap and large-cap stocks every quarter and has returned 373.4% since May 2014, beating its benchmark by 218 percentage points (see more details here).
10. SNDL Inc. (NASDAQ:SNDL)
Number of Billionaire Holders: 5
SNDL Inc. (NASDAQ:SNDL) is the largest private-sector liquor and cannabis retailer in Canada, with retail banners that include Ace Liquor, Wine and Beyond, Liquor Depot, Value Buds, Spiritleaf, and Firesale Cannabis. The company also operates as a licensed cannabis producer and stands as one of Canada’s premier vertically integrated cannabis enterprises.
SNDL Inc. (NASDAQ:SNDL) has been focused on expanding its footprint and increasing revenue, but still hasn’t turned a profit over the last four years. However, it seems to be changing this strategy by working on a restructuring plan last year to help reduce its annual expenses by CA$20 million ($13.9 million) and finally improve its profitability. As a result, SNDL’s free cash flow was finally positive in the third quarter of 2024, supported by ongoing operational gains in gross margin and efficient working capital management. The company boasts a robust balance sheet and ended Q3 with a cash balance of $263 million, up from $183 million in the previous quarter, with no outstanding debt. The company also remains committed to its shareholders and announced a share repurchase program of around $70.3 million in November.
SNDL Inc. (NASDAQ:SNDL) remains focused on capitalizing on new opportunities and announced the acquisition of all outstanding shares of Nova Cannabis Inc. last year. The company has also recently signed a strategic supply agreement with Aurora Cannabis (a leading global medical cannabis company). Under the terms of the agreement, SNDL is expected to supply Aurora with premium cannabis flower products for three years with an option to extend at an estimated value of $27 million.
9. Tilray Brands, Inc. (NASDAQ:TLRY)
Number of Billionaire Holders: 7
The New York-based Tilray Brands, Inc. (NASDAQ:TLRY) has a highly diversified global portfolio – operating in more than 20 countries with businesses in medical adult-use cannabis, beverages, spirits, wellness products, and a vast array of consumer-connected lifestyle brands.
There hasn’t been a path forward for the cannabis industry in the US without federal legalization, so Tilray Brands, Inc. (NASDAQ:TLRY) has diversified and forayed into the beverages sector. Tilray Beverages booked $119 million in net revenue in the first half of FY 2025, a 68.5% increase on the year prior. The segment now generates a third of the company’s global revenue and includes over 20 brands, including 15 American craft beer brands, 10 network manufacturing facilities, over 700 distributors, 20 brew pubs and restaurants, and a single integrated sales and marketing team operating across the United States.
Tilray Brands, Inc. (NASDAQ:TLRY) posted revenue of $211 million for Q2 of 2025, up 8.9% YoY, but below market estimates by $5.38 million, due in part to a 16% decrease in the company’s Canadian adult-use cannabis sales. Tilray reported an operating loss of $42.2 million during the quarter.
Shares of Tilray Brands, Inc. (NASDAQ:TLRY) fell this week after the company announced plans to issue up to 23 million shares of common stock in exchange for $14.6 million of its 5.2% Convertible Senior Notes due June 1, 2027.
8. Diageo plc (NYSE:DEO)
Number of Billionaire Holders: 7
Next on our list of the Best Alcohol Stocks is Diageo plc (NYSE:DEO), a British multinational alcoholic beverage giant with over 200 brands and sales in nearly 180 countries. The massive global footprint and the sheer breadth of its portfolio provide the industry giant with a solid foundation for strategic realignment and a strong buffer against market volatility associated with luxury goods.
Diageo plc (NYSE:DEO) reported net sales of $10.9 billion in the first half of FY 2025, down 0.6% YoY due to unfavorable foreign exchange rates. However, the company’s organic net sales returned to growth and increased $101 million or 1% YoY. Moreover, the spirits giant delivered share gains in almost all of its largest markets, including the US, most of Europe, and Greater China. Diageo’s iconic Guinness brand also delivered double-digit growth for the eighth consecutive half, supported by brand building expertise, innovation, and growing global momentum. DEO’s free cash flow rose by $125 million to $1.7 billion in H1 of 2025, but the company decided to maintain its half-year dividend at $0.405 per share, reflecting a cautious stance amid market uncertainties.
Diageo plc (NYSE:DEO) enjoys a commanding position in Scotch and boasts some of the Best-Selling Scotch Whisky Brands in the World, including Johnnie Walker, in its portfolio. The company owns nearly half of the Scotch whiskey stock currently in the maturing stage and its brands account for more than one in three bottles of Scotch sold globally.
RGA Investment Advisors stated the following about Diageo plc (NYSE:DEO) in its Q4 2024 investment letter:
“Diageo now trades at approximately 15x earnings, its lowest multiple since the aftermath of the financial crisis. This valuation comes as growth is on the verge of reaccelerating—a trend we expect to begin in 2025 and gain momentum in 2026. Additionally, Diageo’s margins have been under pressure as growth has lagged expectations. However, we believe the company has an opportunity to improve operating margins by at least 2 percentage points, if not more, through a combination of efficiency initiatives and renewed growth.
With investments in CAPEX and inventory tapering off significantly, we anticipate free cash flow to jump by over 20% in the current fiscal year, resulting in a free cash flow yield of 4.7%. Looking ahead, we expect free cash flow to grow well beyond revenue, with a path to a free cash flow yield of nearly 6% on our cost basis within two years. Meanwhile, as a high-ROE company, Diageo can continue to grow while paying out a dividend yield of 3.5%. In today’s environment, we find this combination of growth, cash flow, and yield incredibly compelling.”
7. Ambev S.A. (NYSE:ABEV)
Number of Billionaire Holders: 9
Ambev S.A. (NYSE:ABEV), formally Companhia de Bebidas das Américas, is a Brazilian brewing company that has now merged with Anheuser-Busch InBev. It offers beer under several brand names such as Skol and Brahma and claims to be the largest brewer in Latin America in terms of sales volume.
Total volumes of Ambev S.A. (NYSE:ABEV) declined by 3.2% YoY in Q4 of 2024 due to softer market conditions in Argentina and adverse weather in Brazil. However, the company’s net revenue was still up 4.2% YoY to 27.04 billion reals ($4.66 billion), with growth in most business units. Ambev also posted an adjusted net profit of around $874.63 million during the quarter, up 7.5% YoY, driven by higher core earnings and better financial results. Cash flow from operating activities came in at around $2.4 billion in Q4 and the company announced the distribution of intermediary dividends of approximately $340 million to be paid in April.
Ambev S.A. (NYSE:ABEV) has displayed strong stability over the last few years. The company’s consolidated EBITDA grew by 37% over the last five years and it generated nearly $11.2 billion in free cash flow. The company also remains committed to its shareholders and has returned approximately $7 billion to them since 2020, demonstrating its financial health and its disciplined approach to capital allocation.
6. Anheuser-Busch InBev SA/NV (NYSE:BUD)
Number of Billionaire Holders: 10
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. AB InBev offers a portfolio of approximately 500 beer brands, which primarily include Budweiser, Corona, Stella Artois, and many more.
Anheuser-Busch InBev SA/NV (NYSE:BUD) reported strong results in Q4 2024 with an adjusted EPS of $0.88, beating market expectations by $0.25. The company’s revenue also came in at $14.84 billion, up 2.54% YoY and above analysts’ estimates by over $774 million. Moreover, BUD witnessed net sales growth in 75% of its markets, pushing its full-year 2024 revenue to $59.8 billion, an all-time high for the brewing giant. Ab InBev boasts a robust balance sheet and increased its free cash flow by $2.5 billion to reach $11.3 billion in 2024. The company’s board has approved a full-year dividend of EUR 1 per share, a 22% increase versus last year with the ambition to continue a progressive dividend over time.
Anheuser-Busch InBev SA/NV (NYSE:BUD) is following an aggressive premiumization strategy and is now a global leader in the premium beer segment. Its mega brands have increased revenue by nearly 40% since 2021 and now represent 57% of the company’s total business. The brewing behemoth expects the premium beer segment to grow volumes across all geographic clusters and at more than double the rate of the category overall.
5. Brown-Forman Corporation (NYSE:BF-B)
Number of Billionaire Holders: 11
Ranked at number 5 in our list of the Best Alcohol Stocks According to Billionaires is Brown-Forman Corporation (NYSE:BF-B), a major player in the global spirits industry that engages in the production and distribution of alcoholic beverages.
Brown-Forman Corporation (NYSE:BF-B) had a mixed Q3 2025 with reported net sales decreasing 3% YoY to around $1 billion, missing market estimates by over $42.3 million. However, the company’s EPS of $0.57 beat estimates by $0.11. The spirits giant recently announced a series of initiatives to save costs and improve profitability, including reducing its global workforce by almost 12% and closing down its Louisville cooperage. Brown-Forman expects organic net sales growth for the full-year 2025 to be in the 2% to 4% range. That said, the company is a major exporter of American whiskey to Canada and Europe and its sales are expected to take a significant hit if the recently announced tariffs remain in place.
Despite a tough quarter, Brown-Forman Corporation (NYSE:BF-B) announced a quarterly cash dividend of $0.2265 per share last month, reflecting its commitment to its shareholders. The company is a proud member of the prestigious Dividend Aristocrats Index, having paid regular quarterly cash dividends for 81 consecutive years and increased its dividend for 41 years in a row.
4. Molson Coors Beverage Company (NYSE:TAP)
Number of Billionaire Holders: 11
Molson Coors Beverage Company (NYSE:TAP) is a global beverage and brewing giant with a diverse portfolio that includes a variety of beer brands, spirits, and non-alcoholic beverages. With a 4.4% share of the global beer production in 2023, Molson Coors is the 5th-largest brewing company in the world.
Molson Coors Beverage Company (NYSE:TAP) had a strong Q4 2024 as it retained a substantial portion of its sizable share gains from 2023 and earned unprecedented levels of shelf space for its core power brands in the US. The company reported an adjusted EPS of $1.3, topping estimates by $0.17. And although the brewing giant’s revenue declined by almost 2% YoY during the quarter to $2.74 billion, it was above market expectations by over $31.6 million. The company’s premiumization strategy is also paying off and its above premium portfolio accounted for 27% of total net brand revenue for the year 2024. Molson Coors remains financially healthy, generating more than $1.2 billion in underlying free cash flow during the year, allowing it to return $1 billion in cash to shareholders through a growing dividend and share repurchases.
Shares of Molson Coors Beverage Company (NYSE:TAP) were held by 39 hedge funds in the Insider Monkey database at the end of Q4 2024, with AQR Capital Management holding the largest stake worth over $250.45 million.
3. Monster Beverage Corporation (NASDAQ:MNST)
Number of Billionaire Holders: 12
One of the biggest names in the global energy drinks market, Monster Beverage Corporation (NASDAQ:MNST) is known for brands like Monster Energy, Relentless, and Burn.
Monster Beverage Corporation (NASDAQ:MNST) had a mixed performance in Q4 2024, reporting record sales of $1.81 billion, up 4.74% YoY and surpassing the predicted $1.79 billion. However, the company’s adjusted EPS of $0.38 slightly missed estimates by $0.02. The company’s flagship Monster brand posted 13.7% YoY growth during the quarter, boosting its energy drink market share from 29.3% to 30%, despite the intense competition and a struggling market. However, the company’s alcohol segment continues to struggle with revenue slipping by 0.8% YoY, compounded by $130.7 million in impairment charges. Nevertheless, the beverage giant remains committed to diversifying through this segment, seeking international growth opportunities.
A significant strength of Monster Beverage Corporation (NASDAQ:MNST) is its strategic partnership with Coca-Cola, which has owned an approximate 16.7% stake in the company since 2015. This gives the energy drinks giant access to Coca-Cola’s vast global distribution network and provides it a competitive edge in international markets. MNST’s net sales outside the US were $711.5 million or 39.3% of total net sales in Q4 2024, compared to $637 million or 36.8% of total net sales in the corresponding quarter in 2023.
2. The Boston Beer Company, Inc. (NYSE:SAM)
Number of Billionaire Holders: 13
A pioneer of the American craft brewing revolution, The Boston Beer Company, Inc. (NYSE:SAM) is one of the largest American-owned beer companies, best known for its flagship brands such as Samuel Adams and Truly Hard Seltzer.
The Boston Beer Company, Inc. (NYSE:SAM) topped revenue estimates in Q4 2024, with sales of $402.3 million, surpassing the expected $389 million. However, the company reported a loss per share of $1.68, worse than the anticipated loss of $1.31, largely due to a $26 million contract settlement. The company ended 2024 with a cash balance of $212 million and zero debt, a rarity among the massive global beer conglomerates. Moreover, the business continues to be highly cash generative with free cash flow of $173 million in 2024, allowing it to repurchase $239 million during the year. As of February 21, 2025, TBBC had approximately $398 million remaining on the $1.6 billion repurchasing authorization.
The Boston Beer Company, Inc. (NYSE:SAM) remains a clear leader in the hard tea category and its Twisted Tea Brand enjoys a strong 84% market share, with the next best-selling competitor brand limited to a low single-digit share in the market. The company plans significant capital expenditures between $90 million and $110 million in 2025, primarily to reinforce its infrastructure and advertising to boost brand performance.
1. Constellation Brands, Inc. (NYSE:STZ)
Number of Billionaire Holders: 13
Topping our list of Best Alcohol Stocks According to Invest in is Constellation Brands, Inc. (NYSE:STZ), which is involved in the production, import, marketing, and sale of beer, wine, and spirits across the United States, Canada, Mexico, New Zealand, and Italy. The company made headlines last year after its Mexican brand Modelo Especial dethroned Bud Light to become the Best-Selling Beer in America.
Constellation Brands, Inc. (NYSE:STZ) delivered mixed results in Q3 2025 with an adjusted EPS of $3.25, falling short of the expected $3.31. However, the company’s revenue came in at $2.64 billion, ahead of expectations for $2.53 billion but fell slightly year over year. STZ’s beer business has sustained momentum, with net sales increasing by 3% during the quarter, supported by higher shipment volumes. Its core brands continued their surge as Modelo Especial grew by 3%, while Pacifico also surged by 20% and remained the number four dollar share gainer across the total beer category. However, the company’s iconic Corona Extra brand experienced a slight decline due to adverse weather conditions in the Northeast. STZ expects to deliver annual operating cash flow of $2.9 billion to $3.1 billion and free cash flow of $1.6 billion to $1.8 billion in full-year 2025, both above its initial targets.
It must be noted that Warren Buffett’s Berkshire Hathaway acquired over 5.6 million shares of Constellation Brands, Inc. (NYSE:STZ) in Q4 2024, with the stake worth roughly $1.24 billion at the end of the year. Constellation’s continued focus on expanding its distribution network and capitalizing on the growing Hispanic population in the US presents significant upside potential.
Overall, Constellation Brands, Inc. (NYSE:STZ) ranks first on our list of the best alcohol stocks to buy according to billionaires. While we acknowledge the potential for STZ to grow, our conviction lies in the belief that some AI stocks hold greater promise for delivering higher returns and doing so within a shorter time frame. If you are looking for an AI stock that is more promising than STZ but that trades at less than 5 times its earnings, check out our report about the cheapest AI stock.
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