AB InBev: Jefferies maintains 'buy' rating
(CercleFinance.com) - Jefferies is reiterating its 'buy' rating on AB InBev shares, along with its target price of 70 euros, following its meeting with company management, which confirmed its opinion that the brewer's growth is moving in the right direction.
The broker expects the Belgian-Brazilian group to post organic sales growth of 8.1% in 2021, with EBITDA up 9.5% "with operating leverage helping to offset well-flagged pressures on margin."
At 17.0x F22 PE vs staples 21.5x, shares are not expensive," Jefferies adds, which expects the rating to build "as confidence in recovery against cautious guidance improves."
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The information and analyses distributed by Cercle Finance are only intended as decision-making support for investors. Cercle Finance's responsibility may not be entailed, either directly or indirectly following the use of such information and analyses by readers. Any non-professional investor is recommended to consult a professional advisor before making any investment decision. This indicative information in no way constitutes any invitation to sell or buy securities.
The broker expects the Belgian-Brazilian group to post organic sales growth of 8.1% in 2021, with EBITDA up 9.5% "with operating leverage helping to offset well-flagged pressures on margin."
At 17.0x F22 PE vs staples 21.5x, shares are not expensive," Jefferies adds, which expects the rating to build "as confidence in recovery against cautious guidance improves."
Copyright (c) 2021 CercleFinance.com. All rights reserved.
The information and analyses distributed by Cercle Finance are only intended as decision-making support for investors. Cercle Finance's responsibility may not be entailed, either directly or indirectly following the use of such information and analyses by readers. Any non-professional investor is recommended to consult a professional advisor before making any investment decision. This indicative information in no way constitutes any invitation to sell or buy securities.