Wed, Jul. 20, 1:26 PM
- Beer stocks have moved higher as the day progresses with a crucial board meeting ongoing at SABMiller (OTCPK:SBMRY +0.3%) which could have significant implications for the company's merger with Anheuser-Busch InBev (BUD +2.8%).
- The sector spiked higher in the last 20 minutes after a new report from CNBC indicated that A-B InBev landed U.S. approval for the massive MegaBrew deal.
- Molson Coors (TAP +0.7%) and Constellation Brands (STZ +1%) are notably higher off the beer buzz.
Thu, Feb. 25, 9:00 AM
- U.S. revenue fell 1% for Anheuser-Busch InBev (NYSE:BUD) in Q4 to $3.2B. The brewer didn't get much help from Bud Light which shed another 40 bps of market share.
- Volume in the U.S. fell 3.3%, but the company made up some ground on pricing and mix. U.S. margins were hit hard by a higher level of spending on marketing. Normalized EBITDA margin rate -246 bps Y/Y to 38.1%.
- Looking ahead, A-B says it expects the SABMiller deal to close in the second half of the year. The company also says it will test more craft e-commerce platforms and digital solutions as it adapts to consumer preferences.
- Previously: Anheuser-Busch Inbev misses by $0.05, misses on revenue (Feb. 25 2016)
- BUD -2.78% premarket to $112.46.
Wed, Feb. 10, 8:29 AM
- Shares of Anheuser-Busch (NYSE:BUD) are higher in early trading after a deal was struck to sell the European-based Peroni and Grolsch labels. The transaction will help advance the SABMiller merger track.
- Strong results from Heineken may also be seen as a positive for A-B due to the read on pricing and demand.
- BUD +2.37% premarket to $118.91.
Mon, Feb. 8, 9:59 AM
- Peyton Manning's spirited endorsement of the Budweiser brand after the Super Bowl was worth over $3M in free advertising to Anheuser-Busch InBev (NYSE:BUD) by some estimates.
- A-B's marketing communications director quickly set the record straight after the game that Manning wasn't paid by the brewer, although Manning is known to have held an ownership interest in several Anheuser-Busch distributors two year ago.
- Shares of Anheuser-Busch are down 1.81% to $116.12 in early trading amid global market losses.
Mon, Jan. 25, 12:00 PM
- Tobacco stocks and soft drinks names are mild outperformers on the day.
- Despite soft consumer spending trends, some retail analysts think 2016 sales for beer, cigarettes, and soft drinks will pick up in the U.S. as gas prices remain at low levels.
- Gainers today on a down market day include Dr. Pepper Snapple (DPS +1%), PepsiCo (PEP +0.7%), Coca-Cola (KO +0.7%), Coca-Cola Bottling Company (COKE +2.6%), Coca-Cola Enterprises (CCE +1.1%), Reynolds American (RAI +1.7%), Altrai (MO +1%), Philip Morris (PM +0.5%), and Anheuser-Busch InBev (BUD +0.7%).
- Speculation that anti-soda and cigarette advocate Michael Bloomberg might run for president doesn't appear to be creating even a ripple of worry.
- Previously: Michael Bloomberg is seriously considering running for president (Jan. 23 2016)
Nov. 11, 2015, 11:07 AM
- There are some gentle gains across the beer sector after Anheuser-Busch InBev (BUD +1.1%) and SABMiller (OTCPK:SBMRY +2.2%) formalize their merger plan.
- Heineken (OTCQX:HEINY +1.6%), Molson Coors (TAP +0.7%), Ambev (ABEV +0.9%), Carlsberg (OTCPK:CABGY +5.9%), Craft Brew Alliance (BREW +1.8%), and Boston Beer (SAM +0.2%) are showing increases of varying degrees.
- Most analysts think the beer giants will make the necessary concessions to appease regulators in the U.S. and China. On SA, Chris DeMuth says the deal will extend the reach of the best operators in the business.
- Molson Coors in particular is widely identified as a winner in the deal through its pickup of a full stake in MillerCoors. Still to play out is what beer company makes a bid for SABMiller's position in CR Snow in China. China Resources Beer Holdings (OTCPK:CRHKY, OTC:CRHKF) is the 51% owner of the alluring JV.
- Previously: Molson Coors sees huge synergies down the road from MillerCoors deal (Nov. 11 2015)
- Previously: AB InBev, SABMiller seal MegaBrew deal (Nov. 11 2015)
Oct. 30, 2015, 8:30 AM
- Anheuser-Busch InBev (NYSE:BUD) reported some solid organic growth across key regions in Q3 as higher prices contributed.
- Organic sales were up by double-digits in Mexico and Brazil, while the mark in China was +6.6% during a tumultuous quarter.
- U.S. organic sales were up more moderately with a 2.8% rise as A-B continues to see Bud Light and Budweiser lose traction amid the popularity of craft beer. Bud Light market share fell 45 bps during Q3, while Budweiser lost 15 bps. The company's mix of sales in the U.S. included a higher percentage of "above premium" brands.
- Previously: AB InBev raises sales outlook on premium lagers (Oct. 30 2015)
- Anheuser-Busch is up over 2% in Brussels. BUD ADRs +2.51% premarket in the U.S.
Oct. 7, 2015, 8:40 AM
- SABMiller (OTCPK:SBMRY) formally rejects the $104B takeover offer from Anheuser-Busch InBev (NYSE:BUD).
- The U.K. beer giant says the AB InBev offer "substantially undervalues" the company and has been timed to opportunistically take advantage of its its depressed share price. Significant regulatory hurdles in the U.S. and China are also seen as major hurdles.
- Shares of SABMiller are up 2.4% in London trading, while Anheuser-Busch InBev is 2.7% higher in New York premarket action. Molson Coors (NYSE:TAP) is also on the move, up 1.37% to $82.10.
- SABMiller announcement
- Previously: SABMiller talks down AB InBev's new offer (Oct. 07 2015)
Sep. 16, 2015, 11:01 AM
- A statement from Anheuser-Busch InBev (BUD +5%) indicates the company must make a formal offer for SABMiller (OTCPK:SBMRY +19.5%) before October 14 or take a pass on the mega-merger to stay in compliance with U.K. law.
- There's a ripple effect with beer stocks circling the globe that includes distributors such as Compania Cervecerias Unidas (CCU +3.1%), Fomento Economico Mexicano (FMX +1.8%), AmBev (ABEV +2.1%).
- Another intriguing aspect of a potential A-B takeover of SABMiller is the side effects on the food industry if 3G Capital is fully engaged on the deal. 3G is a major player in food mergers and a factor in how investors value companies such as Mondelez International (MDLZ +0.2%), PepsiCo (PEP +0.4%), TreeHouse Foods (THS +0.1%), Campbell Soup (CPB +1.9%), JM Smucker (SJM +1.1%), and other food names.
- A-B InBev statement (.pdf)
- Previously: AB InBev prepping offer for SABMiller
- Previously: Beer stock rally with M&A on tap
Sep. 16, 2015, 9:56 AM
- Beer stocks are in party mode with Anheuser-Busch InBev (BUD +6.9%) closing in on making an offer for SABMiller (OTCPK:SBMRY +20.5%).
- Consolidation within the industry is seen supporting pricing and raising the M&A profile of large and smaller players alike.
- Gainers: Heineken ADRs (OTCQX:HEINY) +3.7%, Diageo (NYSE:DEO) +2.9%, Molson Coors (NYSE:TAP) +14.5%, Carlsberg (OTCPK:CABGY) +3.7%, Craft Brew Alliance (OTCPK:CABGY) +3.7%, Constellation Brands (NYSE:STZ) +0.8%, Boston Beer (NYSE:SAM) +1.6%.
- Previously: AB InBev prepping offer for SABMiller (Sep. 16 2015)
- Previously: Molson Coors pops with A-B circling SABMiller (Sep. 16 2015)
Sep. 16, 2015, 9:12 AM
Sep. 15, 2015, 11:23 AM
- Shares of SABMiller (OTCPK:SBMRY +2.2%) trade higher with some speculation making the rounds indicating Altria (MO +1.7%) pulled out of a Bank of America Merrill Lynch conference to follow up on a similar action by Anheuser-Busch InBev (BUD +0.2%).
- A takeover of SABMiller by Anheuser-Busch InBev would benefit Altria with the tobacco company holding a 28% stake in SABMiller
Jul. 30, 2015, 9:39 AM
- Anheuser-Busch InBev (BUD -4.7%) missed Q2 profit estimates on some broad volume weakness.
- Total beer volume -1.9% to 116.8M hls.
- The brewer saw organic sales in the U.S. fall 1.1% and 7.9% in Brazil against a tough World Cup-influenced comparison.
- Sales growth was strong for the Stella Artois, Budweiser, and Corona brands.
- The company also disclosed a $139M hedging loss tied to derivatives used for shares paid out to employees.
- Anheuser-Busch InBev earnings release (.pdf)
Jul. 23, 2015, 3:10 PM
Jun. 8, 2015, 9:59 AM
- Diageo (DEO -2.8%) trades lower as skepticism over a 3G Capital takeout builds.
- Evercore ISI and Susquehanna are both out with notes to investors discounting the likelihood of a deal.
- Anheuser-Busch InBev (BUD -3.2%) is also lower in early action.
- The brewing giant built up some late gains Friday with investors betting that 3G's prominent stake in the company would become even more significant if it worked a deal for Diageo.
- Previously: Diageo jumps on report of potential takeover offer (Jun. 05 2015)
- Previously: Diageo bid "highly unlikely" - Evercore (Jun. 06 2015)
May 6, 2015, 9:05 AM
- Total volumes declined by 1.2% for the period.
- Global brands delivered solid volume growth of 4.6%.
- Own beer volume declined 1%.
- Revenue breakdown: United States: $3.26B (-4.8%); Mexico: $893M (-14.30%); Brazil: $2.27B (-8.61%); China: $997M (+16.88%).
- Gross margin rate increased 20 bps to 59.8%.
- Normalized EBIT margin rate grew 120 bps to 30.7%.
- FY2015 Guidance: Tax rate: 22% to 24%; Capex: ~$4.3B.
- BUD +3.33% premarket.
Anheuser-Busch InBev SA engages in the provision of beverages products. Its activities include manufacturing, marketing and distribution of alcoholic and non-alcoholic drinks. It operates through the following geographical segments: North America, Mexico, and Latin America North, Latin America... More
Sector: Consumer Goods
Industry: Beverages - Brewers
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