A month ago JPMorgan sent a clear message: Sell Anheuser-Busch InBev stock. To be sure, JPMorgan didn’t say “sell.” Instead it said investors should “underweight” the stock, which it previously rated as neutral. The result: In the past month, the stock fell 8% to $57 a share.
In downgrading, JPMorgan noted that raw material costs are surging and said this should pressure margins next year. And, it suggested, ABI doesn’t have enough “Beyond Beer” salesof seltzers, canned wines and spirits, cocktails, FMB s and non-alcohol products. To add to ABIs woes: Bud Light Seltzer’s category share has stalled in the mid-teens.