MOLSON COORS BEVERAGE CO - A (TAP.A) Stock Fundamental Analysis
NYSE:TAP.A - New York Stock Exchange, Inc. - US60871R1005 - Common Stock - Currency: USD
We assign a fundamental rating of 4 out of 10 to TAP.A. TAP.A was compared to 33 industry peers in the Beverages industry. While TAP.A is still in line with the averages on profitability rating, there are concerns on its financial health. TAP.A is valued quite cheap, but it does not seem to be growing.
1. Profitability
1.1 Basic Checks
In the past year TAP.A was profitable.
TAP.A had a positive operating cash flow in the past year.
In multiple years TAP.A reported negative net income over the last 5 years.
In the past 5 years TAP.A always reported a positive cash flow from operatings.
1.2 Ratios
The Return On Assets of TAP.A (4.31%) is comparable to the rest of the industry.
With a Return On Equity value of 8.57%, TAP.A perfoms like the industry average, outperforming 45.45% of the companies in the same industry.
TAP.A has a Return On Invested Capital of 6.04%. This is in the lower half of the industry: TAP.A underperforms 63.64% of its industry peers.
TAP.A had an Average Return On Invested Capital over the past 3 years of 5.01%. This is significantly below the industry average of 11.73%.
The last Return On Invested Capital (6.04%) for TAP.A is above the 3 year average (5.01%), which is a sign of increasing profitability.
| Industry Rank | Sector Rank | ||
|---|---|---|---|
| ROA | 4.31% | ||
| ROE | 8.57% | ||
| ROIC | 6.04% |
ROA(3y)2.41%
ROA(5y)1.48%
ROE(3y)4.79%
ROE(5y)2.84%
ROIC(3y)5.01%
ROIC(5y)4.84%
1.3 Margins
Looking at the Profit Margin, with a value of 9.65%, TAP.A is in the better half of the industry, outperforming 63.64% of the companies in the same industry.
In the last couple of years the Profit Margin of TAP.A has grown nicely.
TAP.A has a Operating Margin of 15.62%. This is in the better half of the industry: TAP.A outperforms 60.61% of its industry peers.
TAP.A's Operating Margin has improved in the last couple of years.
TAP.A has a Gross Margin of 38.99%. This is in the lower half of the industry: TAP.A underperforms 72.73% of its industry peers.
TAP.A's Gross Margin has been stable in the last couple of years.
| Industry Rank | Sector Rank | ||
|---|---|---|---|
| OM | 15.62% | ||
| PM (TTM) | 9.65% | ||
| GM | 38.99% |
OM growth 3Y2.32%
OM growth 5Y2.32%
PM growth 3Y-0.44%
PM growth 5Y33.37%
GM growth 3Y-0.37%
GM growth 5Y-0.37%
2. Health
2.1 Basic Checks
The Return on Invested Capital (ROIC) is below the Cost of Capital (WACC), so TAP.A is destroying value.
Compared to 1 year ago, TAP.A has less shares outstanding
The number of shares outstanding for TAP.A has been reduced compared to 5 years ago.
Compared to 1 year ago, TAP.A has about the same debt to assets ratio.
2.2 Solvency
TAP.A has an Altman-Z score of 1.63. This is a bad value and indicates that TAP.A is not financially healthy and even has some risk of bankruptcy.
With a Altman-Z score value of 1.63, TAP.A perfoms like the industry average, outperforming 42.42% of the companies in the same industry.
The Debt to FCF ratio of TAP.A is 4.97, which is a neutral value as it means it would take TAP.A, 4.97 years of fcf income to pay off all of its debts.
TAP.A's Debt to FCF ratio of 4.97 is fine compared to the rest of the industry. TAP.A outperforms 72.73% of its industry peers.
A Debt/Equity ratio of 0.47 indicates that TAP.A is not too dependend on debt financing.
TAP.A has a Debt to Equity ratio of 0.47. This is in the better half of the industry: TAP.A outperforms 63.64% of its industry peers.
| Industry Rank | Sector Rank | ||
|---|---|---|---|
| Debt/Equity | 0.47 | ||
| Debt/FCF | 4.97 | ||
| Altman-Z | 1.63 |
ROIC/WACC0.89
WACC6.82%
2.3 Liquidity
A Current Ratio of 0.94 indicates that TAP.A may have some problems paying its short term obligations.
TAP.A has a worse Current ratio (0.94) than 69.70% of its industry peers.
A Quick Ratio of 0.70 indicates that TAP.A may have some problems paying its short term obligations.
With a Quick ratio value of 0.70, TAP.A is not doing good in the industry: 60.61% of the companies in the same industry are doing better.
| Industry Rank | Sector Rank | ||
|---|---|---|---|
| Current Ratio | 0.94 | ||
| Quick Ratio | 0.7 |
3. Growth
3.1 Past
The Earnings Per Share has grown by an nice 9.94% over the past year.
Measured over the past 5 years, TAP.A shows a small growth in Earnings Per Share. The EPS has been growing by 5.63% on average per year.
TAP.A shows a decrease in Revenue. In the last year, the revenue decreased by -0.64%.
TAP.A shows a small growth in Revenue. Measured over the last years, the Revenue has been growing by 1.91% yearly.
EPS 1Y (TTM)9.94%
EPS 3Y12.89%
EPS 5Y5.63%
EPS Q2Q%9.24%
Revenue 1Y (TTM)-0.64%
Revenue growth 3Y4.19%
Revenue growth 5Y1.91%
Sales Q2Q%-1.98%
3.2 Future
The Earnings Per Share is expected to grow by 5.15% on average over the next years.
TAP.A is expected to show a small growth in Revenue. In the coming years, the Revenue will grow by 0.92% yearly.
EPS Next Y7.23%
EPS Next 2Y6.42%
EPS Next 3Y5.61%
EPS Next 5Y5.15%
Revenue Next Year0.28%
Revenue Next 2Y0.63%
Revenue Next 3Y0.73%
Revenue Next 5Y0.92%
3.3 Evolution
When comparing the EPS growth rate of the last years to the growth rate of the upcoming years, we see that the growth is stable.
When comparing the Revenue growth rate of the last years to the growth rate of the upcoming years, we see that the growth is decreasing.
4. Valuation
4.1 Price/Earnings Ratio
Based on the Price/Earnings ratio of 9.69, the valuation of TAP.A can be described as reasonable.
96.97% of the companies in the same industry are more expensive than TAP.A, based on the Price/Earnings ratio.
TAP.A is valuated cheaply when we compare the Price/Earnings ratio to 25.05, which is the current average of the S&P500 Index.
A Price/Forward Earnings ratio of 9.03 indicates a reasonable valuation of TAP.A.
Based on the Price/Forward Earnings ratio, TAP.A is valued cheaply inside the industry as 96.97% of the companies are valued more expensively.
Compared to an average S&P500 Price/Forward Earnings ratio of 21.07, TAP.A is valued rather cheaply.
| Industry Rank | Sector Rank | ||
|---|---|---|---|
| PE | 9.69 | ||
| Fwd PE | 9.03 |
4.2 Price Multiples
Compared to the rest of the industry, the Enterprise Value to EBITDA ratio of TAP.A indicates a rather cheap valuation: TAP.A is cheaper than 96.97% of the companies listed in the same industry.
TAP.A's Price/Free Cash Flow ratio is rather cheap when compared to the industry. TAP.A is cheaper than 96.97% of the companies in the same industry.
| Industry Rank | Sector Rank | ||
|---|---|---|---|
| P/FCF | 9.14 | ||
| EV/EBITDA | 6.39 |
4.3 Compensation for Growth
TAP.A's PEG Ratio(NY), which compensates the Price/Earnings for growth, indicates a correct valuation of the company.
PEG (NY)1.34
PEG (5Y)1.72
EPS Next 2Y6.42%
EPS Next 3Y5.61%
5. Dividend
5.1 Amount
TAP.A has a Yearly Dividend Yield of 3.01%. Purely for dividend investing, there may be better candidates out there.
TAP.A's Dividend Yield is rather good when compared to the industry average which is at 2.84. TAP.A pays more dividend than 81.82% of the companies in the same industry.
TAP.A's Dividend Yield is a higher than the S&P500 average which is at 2.40.
| Industry Rank | Sector Rank | ||
|---|---|---|---|
| Dividend Yield | 3.01% |
5.2 History
The dividend of TAP.A decreases each year by -2.03%.
TAP.A has been paying a dividend for over 5 years, so it has already some track record.
TAP.A has not decreased its dividend in the last 3 years.
Dividend Growth(5Y)-2.03%
Div Incr Years3
Div Non Decr Years3
5.3 Sustainability
32.89% of the earnings are spent on dividend by TAP.A. This is a low number and sustainable payout ratio.
DP32.89%
EPS Next 2Y6.42%
EPS Next 3Y5.61%
NYSE:TAP.A (5/6/2025, 8:04:00 PM)
57.84
-1.4 (-2.36%)
Chartmill FA Rating
GICS SectorConsumer Staples
GICS IndustryGroupFood, Beverage & Tobacco
GICS IndustryBeverages
Earnings (Last)
Earnings (Next)
Inst Owners88.58%
Inst Owner Change0%
Ins Owners0.64%
Ins Owner ChangeN/A
Market Cap11.29B
Analysts67.69
Price Target63.5 (9.79%)
Short Float %N/A
Short RatioN/A
Dividend
| Industry Rank | Sector Rank | ||
|---|---|---|---|
| Dividend Yield | 3.01% |
Yearly Dividend1.77
Dividend Growth(5Y)-2.03%
DP32.89%
Div Incr Years3
Div Non Decr Years3
Ex-Date
Surprises & Revisions
EPS beat(2)2
Avg EPS beat(2)10.58%
Min EPS beat(2)6.86%
Max EPS beat(2)14.31%
EPS beat(4)4
Avg EPS beat(4)15.4%
Min EPS beat(4)6.86%
Max EPS beat(4)27.23%
EPS beat(8)8
Avg EPS beat(8)25.41%
EPS beat(12)10
Avg EPS beat(12)22.34%
EPS beat(16)13
Avg EPS beat(16)25.15%
Revenue beat(2)1
Avg Revenue beat(2)-1.8%
Min Revenue beat(2)-3.8%
Max Revenue beat(2)0.21%
Revenue beat(4)3
Avg Revenue beat(4)0.15%
Min Revenue beat(4)-3.8%
Max Revenue beat(4)2.99%
Revenue beat(8)5
Avg Revenue beat(8)0.46%
Revenue beat(12)7
Avg Revenue beat(12)0.42%
Revenue beat(16)9
Avg Revenue beat(16)0.4%
PT rev (1m)0%
PT rev (3m)0%
EPS NQ rev (1m)-0.32%
EPS NQ rev (3m)-1.44%
EPS NY rev (1m)0.04%
EPS NY rev (3m)6.05%
Revenue NQ rev (1m)-0.65%
Revenue NQ rev (3m)-2.53%
Revenue NY rev (1m)-0.09%
Revenue NY rev (3m)0.38%
Valuation
| Industry Rank | Sector Rank | ||
|---|---|---|---|
| PE | 9.69 | ||
| Fwd PE | 9.03 | ||
| P/S | 0.97 | ||
| P/FCF | 9.14 | ||
| P/OCF | 5.91 | ||
| P/B | 0.86 | ||
| P/tB | N/A | ||
| EV/EBITDA | 6.39 |
EPS(TTM)5.97
EY10.32%
EPS(NY)6.4
Fwd EY11.07%
FCF(TTM)6.33
FCFY10.94%
OCF(TTM)9.78
OCFY16.91%
SpS59.54
BVpS67.04
TBVpS-23.99
PEG (NY)1.34
PEG (5Y)1.72
Profitability
| Industry Rank | Sector Rank | ||
|---|---|---|---|
| ROA | 4.31% | ||
| ROE | 8.57% | ||
| ROCE | 7.89% | ||
| ROIC | 6.04% | ||
| ROICexc | 6.31% | ||
| ROICexgc | 32.45% | ||
| OM | 15.62% | ||
| PM (TTM) | 9.65% | ||
| GM | 38.99% | ||
| FCFM | 10.63% |
ROA(3y)2.41%
ROA(5y)1.48%
ROE(3y)4.79%
ROE(5y)2.84%
ROIC(3y)5.01%
ROIC(5y)4.84%
ROICexc(3y)5.21%
ROICexc(5y)5.01%
ROICexgc(3y)29.37%
ROICexgc(5y)30.38%
ROCE(3y)6.54%
ROCE(5y)6.31%
ROICexcg growth 3Y3.49%
ROICexcg growth 5Y-0.7%
ROICexc growth 3Y8.65%
ROICexc growth 5Y6.6%
OM growth 3Y2.32%
OM growth 5Y2.32%
PM growth 3Y-0.44%
PM growth 5Y33.37%
GM growth 3Y-0.37%
GM growth 5Y-0.37%
F-Score8
Asset Turnover0.45
Health
| Industry Rank | Sector Rank | ||
|---|---|---|---|
| Debt/Equity | 0.47 | ||
| Debt/FCF | 4.97 | ||
| Debt/EBITDA | 2.38 | ||
| Cap/Depr | 88.77% | ||
| Cap/Sales | 5.8% | ||
| Interest Coverage | 8.41 | ||
| Cash Conversion | 74.18% | ||
| Profit Quality | 110.14% | ||
| Current Ratio | 0.94 | ||
| Quick Ratio | 0.7 | ||
| Altman-Z | 1.63 |
F-Score8
WACC6.82%
ROIC/WACC0.89
Cap/Depr(3y)94.57%
Cap/Depr(5y)82.5%
Cap/Sales(3y)5.91%
Cap/Sales(5y)5.75%
Profit Quality(3y)N/A
Profit Quality(5y)N/A
High Growth Momentum
Growth
EPS 1Y (TTM)9.94%
EPS 3Y12.89%
EPS 5Y5.63%
EPS Q2Q%9.24%
EPS Next Y7.23%
EPS Next 2Y6.42%
EPS Next 3Y5.61%
EPS Next 5Y5.15%
Revenue 1Y (TTM)-0.64%
Revenue growth 3Y4.19%
Revenue growth 5Y1.91%
Sales Q2Q%-1.98%
Revenue Next Year0.28%
Revenue Next 2Y0.63%
Revenue Next 3Y0.73%
Revenue Next 5Y0.92%
EBIT growth 1Y14.29%
EBIT growth 3Y6.6%
EBIT growth 5Y4.27%
EBIT Next Year43.53%
EBIT Next 3Y13.07%
EBIT Next 5Y7.42%
FCF growth 1Y-12.17%
FCF growth 3Y5.56%
FCF growth 5Y-1.05%
OCF growth 1Y-8.11%
OCF growth 3Y6.68%
OCF growth 5Y0.14%