Compania Cervecerias Unidas (NYSE:CCU) Hits New 12-Month Low – Should You Sell?

Compania Cervecerias Unidas, S.A. (NYSE:CCU) shares reached a new 52-week low on Tuesday. The stock traded as low as $10.64 and last traded at $10.7090, with a volume of 26137 shares. The stock had previously closed at $10.84.

Wall Street Analysts Forecast Growth

CCU has been the topic of several research analyst reports. HSBC reaffirmed a “reduce” rating and set a $10.00 price target (down from $15.00) on shares of Compania Cervecerias Unidas in a research report on Monday, September 21st. JPMorgan Chase & Co. lowered their price objective on Compania Cervecerias Unidas from $14.00 to $13.00 and set an “underweight” rating for the company in a report on Monday, August 31st. Weiss Ratings cut Compania Cervecerias Unidas from a “hold (c-)” rating to a “sell (d+)” rating in a research note on Tuesday, August 11th. Wall Street Zen downgraded Compania Cervecerias Unidas from a “buy” rating to a “hold” rating in a report on Saturday, August 8th. Finally, Zacks Research upgraded Compania Cervecerias Unidas from a “strong sell” rating to a “hold” rating in a research report on Monday, June 15th. One analyst has rated the stock with a Hold rating and three have assigned a Sell rating to the company. According to data from MarketBeat.com, the stock presently has a consensus rating of “Strong Sell” and a consensus target price of $11.50.

Compania Cervecerias Unidas Stock Down 0.9%

The company has a debt-to-equity ratio of 0.71, a current ratio of 1.84 and a quick ratio of 1.17. The stock’s fifty day simple moving average is $11.70 and its 200-day simple moving average is $11.58. The stock has a market cap of $1.99 billion, a P/E ratio of 17.34, a PEG ratio of 1.09 and a beta of 0.53.

Compania Cervecerias Unidas (NYSE:CCU) last posted its earnings results on Wednesday, August 5th. The company reported ($0.12) EPS for the quarter, meeting the consensus estimate of ($0.12). The company had revenue of $659.17 million during the quarter, compared to analyst estimates of $641.90 million. Compania Cervecerias Unidas had a return on equity of 6.77% and a net margin of 3.71%. On average, research analysts anticipate that Compania Cervecerias Unidas, S.A. will post 0.69 earnings per share for the current year.

Institutional Inflows and Outflows

A number of institutional investors have recently added to or reduced their stakes in CCU. Engineers Gate Manager LP acquired a new position in shares of Compania Cervecerias Unidas during the second quarter valued at $169,000. GAMMA Investing LLC lifted its position in Compania Cervecerias Unidas by 65.0% in the 2nd quarter. GAMMA Investing LLC now owns 3,857 shares of the company’s stock valued at $43,000 after purchasing an additional 1,520 shares during the last quarter. Bank of America Corp DE lifted its position in Compania Cervecerias Unidas by 5.4% in the 1st quarter. Bank of America Corp DE now owns 329,197 shares of the company’s stock valued at $3,736,000 after purchasing an additional 16,834 shares during the last quarter. Royal Bank of Canada lifted its position in Compania Cervecerias Unidas by 7.1% in the 1st quarter. Royal Bank of Canada now owns 70,005 shares of the company’s stock valued at $795,000 after purchasing an additional 4,616 shares during the last quarter. Finally, Dimensional Fund Advisors LP boosted its stake in Compania Cervecerias Unidas by 4.7% during the 1st quarter. Dimensional Fund Advisors LP now owns 183,897 shares of the company’s stock valued at $2,087,000 after purchasing an additional 8,258 shares during the period. 24.07% of the stock is currently owned by institutional investors.

About Compania Cervecerias Unidas

Compañía Cervecerías Unidas SA (CCU) is a Chile-based beverage company founded in 1902. The company produces, markets and distributes a broad portfolio of alcoholic and non-alcoholic beverages, with beer representing one of its core businesses.

CCU’s products include beers, soft drinks, bottled water, juices, sports and energy drinks, wines, spirits and pisco. Its beer portfolio includes brands such as Cristal, Escudo and Kunstmann in Chile, along with brands sold in Argentina and other markets.