5 Best Liquor Stocks to Buy Right Now

3. Molson Coors Beverage Company (NYSE:TAP)

Number of Hedge Fund Holders: 29

Molson Coors Beverage Company (NYSE:TAP) is an American-Canadian brewing company that was created after Molson from Canada and Coors from the US merged in 2005. After acquiring Miller Brewing Company in 2016, Molson Coors Beverage Company (NYSE:TAP) became one of the largest alcoholic beverage companies. The product portfolio at Molson Coors Beverage Company (NYSE:TAP) includes Blue Moon, Coors Light, Miller Lite, and Milwaukee’s Best, among other beers, spirits, and wines. 

Molson Coors Beverage Company (NYSE:TAP), on October 28, announced Q3 earnings. EPS in the quarter totaled $1.75, outperforming estimates by $0.24. The $2.82 billion revenue gained 2.51% year-over-year, but missed estimated revenue by -$91.44 million. 

On October 18, Deutsche Bank analyst Steve Powers lowered the firm’s price target on Molson Coors Beverage Company (NYSE:TAP), to $48 from $50 and kept a Hold rating on the shares, citing supply chain bottlenecks and subdued demand due to COVID-19 pressures. 

Out of the 867 hedge funds tracked by Insider Monkey as of Q3 2021, Ariel Investments is the leading Molson Coors Beverage Company (NYSE:TAP) stakeholder, holding a $35.6 million position in the company. Overall, 29 funds were bullish on Molson Coors Beverage Company (NYSE:TAP) at the end of September, down from 39 funds in the preceding quarter. 

Here is what Argosy Investors has to say about Molson Coors Beverage Company (NYSE:TAP) in its Q2 2021 investor letter:

“TAP (+52% from August 2020 purchase to sale) was never intended to be a core position. I expected a couple of years of deleveraging and perhaps some excitement around the hard seltzer category, but the stock price increased faster than I expected. I have not fully exited these positions as I rarely do all in one trade, but hopefully this gives some perspective into my thinking on selling so quickly.”