5 Best Liquor Stocks to Buy Right Now

In this article, we discuss the 5 best liquor stocks to buy now. If you want our detailed analysis of the liquor industry and these stocks, go directly to the 11 Best Liquor Stocks to Buy Now. 

5. Ambev S.A. (NYSE:ABEV)

Number of Hedge Fund Holders: 15

Ambev S.A. (NYSE:ABEV) is a Brazilian brewing company, and is one of the largest companies by market capitalization in the region. Founded in 1999, Ambev S.A. (NYSE:ABEV) was merged into Anheuser-Busch InBev SA/NV (NYSE:BUD) in 2008. 

On October 28, the Q3 EPS for Ambev S.A. (NYSE:ABEV) came in at $0.04, beating estimates by $0.01. The $3.29 billion quarterly revenue also exceeded estimates by $263.5 million. 

BofA analyst Isabella Simonato upgraded Ambev S.A. (NYSE:ABEV) to Neutral from Underperform with a price target of $3.50, up from $3.00 on November 3. The analyst stated that Ambev S.A. (NYSE:ABEV)’s “significant” volume beat in Q3 was testament to the success of its commercial beer strategy in Brazil, and the momentum may continue for at least the next two quarters. However, the stock is currently trading above historical valuation. 

One of the leading Ambev S.A. (NYSE:ABEV) shareholders as of Q3 2021 is Pzena Investment Management, with 7.58 million shares amounting to almost $21 million. Overall, 15 hedge funds were bullish on Ambev S.A. (NYSE:ABEV) at the end of September, down from 18 funds in the preceding quarter. 

Here is what Harding Loevner has to say about Ambev S.A. (NYSE:ABEV) in its Q2 2021 investor letter:

“By sector, good stocks in Information Technology (IT) and Consumer Staples were large positive contributors, offset by weaker results in Financials and Consumer Discretionary. In Consumer Staples, Brazil’s premier beer company Ambev posted impressive results helped by strong sales of premium brands and robust demand in its home market, which reduced the need for discounts.”