Ambev (ABEV) Falls on Lack of Leads

We recently published 10 Stocks Struggling to Shine Ahead of Christmas. Ambev SA (NYSE:ABEV) is one of the worst performers on Monday.

Ambev dropped its share prices by 7.63 percent to close at $2.30 apiece amid the lack of catalysts to boost buying appetite and what appeared to be an early window-dressing.

The practice is common among institutional investors, where they tweak portfolios before the reporting periods, typically quarterly and annually, by loading up on well-performing stocks and trimming those that underperform to present a stronger portfolio to clients.

Ambev SA (NYSE:ABEV) is a company that owns Brazil’s top brands, including Skol, Brahma, Antarctica, Bohemia, and Quilmes, among others.

In the past few weeks, the company received a downgraded rating of “market perform” from Bernstein, versus “outperform” previously, saying that while it is confident about Ambev SA’s (NYSE:ABEV) long-term fundamentals, it believed that the current expectations were “overblown.”

Ambev (ABEV) Falls on Lack of Leads

Photo by Adam Wilson on Unsplash

Bernstein recommended taking profits on the company’s shares and waiting for a more attractive entry point before loading positions in the company.

While we acknowledge the risk and potential of ABEV as an investment, our conviction lies in the belief that some AI stocks hold greater promise for delivering higher returns and doing so within a shorter time frame. If you are looking for an AI stock that is more promising than ABEV and that has 10,000% upside potential, check out our report about this cheapest AI stock.

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Disclosure: None. This article is originally published at Insider Monkey.