Ambev (NYSE:ABEV) Sees Large Volume Increase – Time to Buy?

Shares of Ambev S.A. (NYSE:ABEV) saw an uptick in trading volume on Thursday . Approximately 88,486,437 shares changed hands during mid-day trading, an increase of 234% from the previous session’s volume of 26,484,584 shares.The stock last traded at $2.77 and had previously closed at $2.81.

Analyst Ratings Changes

Several analysts have recently weighed in on ABEV shares. UBS Group set a $2.85 price objective on shares of Ambev in a research report on Tuesday, August 11th. Wall Street Zen raised Ambev from a “hold” rating to a “buy” rating in a research note on Saturday, August 1st. Scotiabank downgraded Ambev from a “sector outperform” rating to a “sector perform” rating in a research report on Wednesday, July 15th. Weiss Ratings restated a “hold (c+)” rating on shares of Ambev in a research report on Monday, August 3rd. Finally, Barclays lifted their price target on Ambev from $3.00 to $3.50 and gave the stock an “equal weight” rating in a research note on Wednesday, May 6th. Five research analysts have rated the stock with a Hold rating and one has assigned a Sell rating to the company. According to MarketBeat.com, Ambev currently has a consensus rating of “Reduce” and an average target price of $3.08.

Ambev Price Performance

The company has a market capitalization of $44.45 billion, a PE ratio of 14.10, a PEG ratio of 2.03 and a beta of 0.65. The firm has a fifty day moving average of $3.06 and a two-hundred day moving average of $3.05. The company has a current ratio of 1.02, a quick ratio of 0.76 and a debt-to-equity ratio of 0.02.

Ambev (NYSE:ABEV) last posted its quarterly earnings results on Wednesday, July 29th. The company reported $0.04 earnings per share (EPS) for the quarter, hitting the consensus estimate of $0.04. The business had revenue of $3.89 billion for the quarter, compared to analyst estimates of $4.05 billion. Ambev had a return on equity of 17.48% and a net margin of 18.47%. Research analysts anticipate that Ambev S.A. will post 0.2 EPS for the current fiscal year.

Ambev Dividend Announcement

The company also recently announced a quarterly dividend, which will be paid on Monday, January 11th. Stockholders of record on Wednesday, September 23rd will be issued a $0.0092 dividend. The ex-dividend date is Wednesday, September 23rd. This represents a $0.04 annualized dividend and a dividend yield of 1.3%. Ambev’s dividend payout ratio (DPR) is currently 10.00%.

Insider Activity

In related news, Director Ricardo Manuel Frangat Moreira sold 468,040 shares of Ambev stock in a transaction on Thursday, July 30th. The shares were sold at an average price of $3.08, for a total value of $1,441,563.20. Following the transaction, the director directly owned 3,000,000 shares of the company’s stock, valued at $9,240,000. The trade was a 13.50% decrease in their ownership of the stock. The sale was disclosed in a filing with the Securities & Exchange Commission, which is available through this link.

Institutional Investors Weigh In On Ambev

Institutional investors have recently added to or reduced their stakes in the company. Benjamin Edwards Inc. increased its position in shares of Ambev by 18.8% in the second quarter. Benjamin Edwards Inc. now owns 164,967 shares of the company’s stock valued at $518,000 after acquiring an additional 26,097 shares during the period. Wellington Management Group LLP boosted its holdings in shares of Ambev by 9.2% during the second quarter. Wellington Management Group LLP now owns 887,341 shares of the company’s stock worth $2,786,000 after purchasing an additional 74,965 shares during the period. Empowered Funds LLC grew its stake in shares of Ambev by 16.0% in the second quarter. Empowered Funds LLC now owns 140,475 shares of the company’s stock worth $441,000 after purchasing an additional 19,377 shares during the last quarter. United Capital Financial Advisors LLC grew its stake in shares of Ambev by 26.7% in the second quarter. United Capital Financial Advisors LLC now owns 23,467 shares of the company’s stock worth $74,000 after purchasing an additional 4,941 shares during the last quarter. Finally, Public Employees Retirement System of Ohio bought a new stake in shares of Ambev in the second quarter worth about $64,000. Hedge funds and other institutional investors own 8.13% of the company’s stock.

Ambev Company Profile

Ambev (NYSE: ABEV) is a Brazilian-based beverage company that produces, distributes and markets a broad portfolio of alcoholic and non-alcoholic drinks. The company’s core business centers on brewing and selling beer, alongside a range of soft drinks, bottled water, energy drinks and other malt-based beverages. Headquartered in São Paulo, Ambev operates an integrated value chain that covers manufacturing, packaging, logistics and commercial sales to retail, on-premise and institutional customers.

The company traces its origins to the 1999 merger of two historic Brazilian breweries, and later became part of the broader global brewing group through subsequent industry consolidations.