Bank of America Securities Maintains a Hold Rating on Ambev S.A. (ABEV)

Ambev S.A. (NYSE:ABEV) is one of the best NYSE stocks to buy under $20. In a report released on August 1, Isabella Simonato from Bank of America Securities maintained a Hold rating on Ambev S.A. (NYSE:ABEV) without assigning a price target.

Why Ambev SA (ABEV) is Surging in 2025

A close-up on several cans of freshly brewed beer in a commercial brewery.

The rating update followed Ambev S.A.’s (NYSE:ABEV) fiscal Q2 2025 results on July 31, with net revenue (organic) growth of 3.4% and top-line performance driven by net revenue per hectoliter (NR/hl) growth of 8.4%.

Normalized EBITDA (organic) grew by 7.6% with all of the company’s reporting segments delivering EBITDA growth.

Management also reported that normalized profit for the quarter rose 15.2% to R$2.8327 billion compared to R$2.4591 billion in fiscal Q2 2024. This growth was attributed to lower income tax expenses and EBITDA growth, particularly offset by higher net financial results.

Ambev S.A. (NYSE:ABEV) produces, distributes, and sells beverages. Its offerings include carbonated soft drinks, beer, and other non-alcoholic and non-carbonated products.

The company’s operations are divided into the following geographical segments: Brazil, Central America and the Caribbean (CAC), and Canada.

While we acknowledge the potential of ABEV to grow, our conviction lies in the belief that some AI stocks hold greater promise for delivering higher returns and have limited downside risk. If you are looking for an AI stock that is more promising than ABEV and that has 100x 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.