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Anheuser-Busch stock hits 52-week low at $52.99 amid market challenges

Published 12/06/2024, 12:50 PM
BUD
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In a turbulent market environment, Anheuser-Busch InBev (EBR:ABI) SA/NV (BUD) stock has touched a 52-week low, dipping to $52.99. According to InvestingPro data, technical indicators suggest the stock is in oversold territory, with the company maintaining impressive gross profit margins of nearly 55%. The world's largest brewer, known for its leading brands such as Budweiser, Stella Artois, and Corona, has faced significant headwinds over the past year, reflected in a 1-year change showing a decline of 15.65%. With a market capitalization of $104.8 billion, investors have been cautious as the company grapples with various challenges, including changing consumer preferences, increased competition, and potential impacts from global economic pressures. The drop to this year's low underscores the market's current sentiment towards the beverage giant as it navigates through these complex industry dynamics. InvestingPro subscribers can access 8 additional key insights and a comprehensive Pro Research Report that provides deeper analysis of BUD's valuation and growth prospects.

In other recent news, Anheuser-Busch InBev, the world's largest brewer, reported a mixed third-quarter performance. The company achieved notable earnings per share (EPS) of $0.98, surpassing the FactSet consensus of $0.90. However, the firm's organic growth for the quarter reached only 2.1%, falling short of TD Cowen's expectation of 3.7%. The company also revised its EBITDA forecast, now anticipating a growth range of 6-8%. In response to these outcomes, TD Cowen revised its price target for the company, reducing it to €60.00. Additionally, Anheuser-Busch announced a $2 billion share buyback program. On the other hand, Bank of America highlighted a potential downside risk for AB InBev shares, indicating a bearish trend. These are the recent developments from Anheuser-Busch InBev.

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