5 Best Liquor Stocks to Buy Right Now

4. Diageo plc (NYSE:DEO)

Number of Hedge Fund Holders: 18

Diageo plc (NYSE:DEO) is a multinational beverage corporation, with operations and production facilities in more than 140 countries, and distribution across 180 countries. In addition to being one of the major players in the spirits market, Diageo plc (NYSE:DEO) is also the world’s largest producer of scotch whiskey.

Diageo plc (NYSE:DEO) posted its financial performance for FY2021. Revenue for the period totaled £12.73 million, up 8.3% year-over-year, comparable to the 2020 revenue of £11.75 million. Diageo plc (NYSE:DEO)’s earnings per share for 2021 equaled £1.13, increasing 89.4% as compared to the prior year EPS of £0.60. 

On November 30, JPMorgan analyst Celine Pannuti raised the price target on Diageo plc (NYSE:DEO) to £4,350 from £3,800 and kept a Neutral rating on the shares.

Of the 18 hedge funds that were bullish on the company as per Insider Monkey’s Q3 database of elite funds, Nicolai Tangen’s Ako Capital is the leading Diageo plc (NYSE:DEO) stakeholder, holding 1.43 million shares worth $276.35 million. 

Here is what Weitz Investment Management has to say about Diageo plc (NYSE:DEO) in its Q1 2021 investor letter:

“We sold Diageo after twelve years of very profitable ownership. The global spirits company has done a fine job of growing earnings, and the stock has enjoyed an extra boost from substantial, multiple expansions along the way. While the business is in good hands, we think a repeat of our mid-double-digit annualized return experience is far less likely. We simply see better risk/reward profiles in the Fund’s other quality holdings.”