Trading volume on Toyota Motors (TM -0.5%) spiked after Donald Trump took aim at the company in a new tweet.
DJT: "Toyota Motor said will build a new plant in Baja, Mexico, to build Corolla cars for U.S. NO WAY! Build plant in U.S. or pay big border tax."
Earlier today in Tokyo, Toyota Motor President Akio Toyoda said the company was evaluating the situation in Mexico.
The mention of a border tax could send investors scrambling as they evaluate the impact on other multinationals. Belgium-based Anheuser-Busch InBev (BUD +1.2%) and German company Adidas (OTCQX:ADDYY -0.1%) come to mind.
Coca-Cola (NYSE:KO) has agreed to buy AB InBev's (NYSE:BUD) 54.5% stake in Coca-Cola Beverages Africa for $3.15B and several of its bottling operations across Africa and Central America for an undisclosed amount.
The beverage giant plans to hold all of the interests temporarily until they can be refranchised to other partners.
Donald Trump gave investors a road map to the administration.
The President-elect tweeted that the two simple rules of his administration are to buy American and hire American.
If trade and tax policies are supported by DJT's new directive, there could be some broad implications for certain stocks.
Companies like Target (NYSE:TGT), Kroger (NYSE:KR), AT&T (NYSE:T), Ulta Salon (NASDAQ:ULTA) and Cedar Fair (NYSE:FUN) could be in a decent position, while things get trickier for the likes of Nike (NYSE:NKE), Procter & Gamble (NYSE:PG), Ford (NYSE:F), Toyota (NYSE:TM) and a host of other multinationals.
There's also big players like Anheuser-Busch InBev (NYSE:BUD) and Intel (NASDAQ:INTC) that stand somewhere in the middle.
Add your own "buy American, hire American" stock picks in the comment stream.
KBC says the $7.8B price tag of Anheuser Busch's (NYSE:BUD) sale of a collection of SABMiller European brands to Asahi is higher than anticipated ($5.5B-$6.0B).
After it closes in the first half of 2017, the sale will help Anheuser-Busch deleverage after the company ends 2016 with debt of ~$112B. KBC thinks AB-InBev is on track to gradually deleverage to 0.3X to 0.4X (net debt/EBITDA).
Japan's Asahi Group (OTC:ASBRY) has agreed to buy five eastern European beer brands from AB InBev (NYSE:BUD) for about ¥900B ($7.8B), as the Budweiser maker looks to offload former SABMiller (OTCPK:SBMRY) businesses to win approval for their MegaBrew merger.
The deal will give bigger international heft to Asahi, which is one of the top beer makers in its home market but only a small player globally.
HSBC is convinced that Coca-Cola (NYSE:KO) is the M&A end game strategy of Anheuser-Busch InBev (NYSE:BUD).
The firm thinks Coca-Cola, Heineken and Coca-Cola FEMSA (KOF, OTC:COCSF) are in in position where they need to change their strategies to defend against the possibility of an "ABI-Coke world." An anti-BUD alliance is in their best interests, according to the HSBC note.