NYSE:TAP

Stock Analysis Report

Executive Summary

Molson Coors Brewing Company manufactures, markets, and sells beer and other malt beverage products in the United States, Canada, Europe, and internationally.

Snowflake

Fundamentals

6 star dividend payer and undervalued.


Similar Companies

Share Price & News

How has Molson Coors Brewing's share price performed over time and what events caused price changes?


Latest Share Price and Events


Market Performance


7 Day Return

7.0%

NYSE:TAP

-0.3%

US Beverage

1.2%

US Market


1 Year Return

-9.5%

NYSE:TAP

13.5%

US Beverage

1.7%

US Market

TAP underperformed the Beverage industry which returned 13.5% over the past year.

TAP underperformed the Market in United States of America which returned 1.7% over the past year.


Share holder returns

TAPIndustryMarket
7 Day7.0%-0.3%1.2%
30 Day10.2%2.1%4.9%
90 Day6.5%4.0%3.7%
1 Year-6.5%-9.5%16.5%13.5%3.9%1.7%
3 Year-40.2%-44.4%35.7%25.2%47.2%37.7%
5 Year-16.6%-25.3%58.2%38.2%60.0%42.4%

Price Volatility Vs. Market

How volatile is Molson Coors Brewing's share price compared to the market and industry in the last 5 years?


Simply Wall St News

Valuation

Is Molson Coors Brewing undervalued based on future cash flows and its price relative to the stock market?

50%

Discount to future cash flow value


Intrinsic Value Based on Future Cash Flows

Molson Coors Brewing's share price is below the future cash flow value, and at a moderate discount (> 20%).

Molson Coors Brewing's share price is below the future cash flow value, and at a substantial discount (> 40%).


Price Based on Earnings

Molson Coors Brewing is good value based on earnings compared to the US Beverage industry average.

Molson Coors Brewing is good value based on earnings compared to the United States of America market.


Price Based on Expected Growth

Molson Coors Brewing is poor value based on expected growth next year.


Price Based on Value of Assets

Molson Coors Brewing is good value based on assets compared to the US Beverage industry average.


Next Steps

Future Growth

How is Molson Coors Brewing expected to perform in the next 1 to 3 years based on estimates from 15 analysts?

2.6%

Forecasted annual earnings growth


Earnings and Revenue Growth Estimates


Future Annual Growth Analysis

Molson Coors Brewing's revenue is expected to decrease over the next 1-3 years, this is not considered high growth.

Molson Coors Brewing's earnings are expected to grow by 2.6% yearly, however this is not considered high growth (20% yearly).

Molson Coors Brewing's revenues are expected to decrease over the next 1-3 years, this is below the United States of America market average.

Molson Coors Brewing's earnings growth is positive but not above the United States of America market average.

Molson Coors Brewing's earnings growth is positive but not above the low risk savings rate of 2.7%.


Earnings per Share Growth Estimates


Future Return on Equity

Molson Coors Brewing is not expected to efficiently use shareholders’ funds in the future (Return on Equity less than 20%).


Next Steps

Past Performance

How has Molson Coors Brewing performed over the past 5 years?

23.9%

Historical annual earnings growth


Earnings and Revenue History


Past Earnings Growth Analysis

Molson Coors Brewing has delivered over 20% year on year earnings growth in the past 5 years.

Molson Coors Brewing's 1-year earnings growth is negative, it can't be compared to the 5-year average.

Molson Coors Brewing's 1-year earnings growth is negative, it can't be compared to the US Beverage industry average.


Return on Equity

Molson Coors Brewing has not efficiently used shareholders’ funds last year (Return on Equity less than 20%).


Return on Assets

Molson Coors Brewing used its assets less efficiently than the US Beverage industry average last year based on Return on Assets.


Return on Capital Employed

Molson Coors Brewing has significantly improved its use of capital last year versus 3 years ago (Return on Capital Employed).


Next Steps

Financial Health

How is Molson Coors Brewing's financial position?


Financial Position Analysis

Molson Coors Brewing's short term (1 year) commitments are greater than its holdings of cash and other short term assets.

Molson Coors Brewing's long term commitments exceed its cash and other short term assets.


Debt to Equity History and Analysis

Molson Coors Brewing's level of debt (67.6%) compared to net worth is high (greater than 40%).

The level of debt compared to net worth has increased over the past 5 years (40% vs 67.6% today).

Debt is not well covered by operating cash flow (19.5%, less than 20% of total debt).

Interest payments on debt are well covered by earnings (EBIT is 4.9x coverage).


Balance Sheet

Low level of unsold assets.

Debt is not covered by short term assets, assets are 0.3x debt.


Next Steps

Dividend

What is Molson Coors Brewing's current dividend yield, its reliability and sustainability?

3.85%

Expected Dividend Yield


Dividend Yield and Payments Analysis

Molson Coors Brewing's pays a higher dividend yield than the bottom 25% of dividend payers in United States of America (1.45%).

Molson Coors Brewing's dividend is above the markets top 25% of dividend payers in United States of America (3.67%).

Dividends per share have been stable in the past 10 years.

Dividends per share have increased over the past 10 years.


Current Payout to Shareholders

Dividends paid are well covered by earnings (2.5x coverage).


Future Payout to Shareholders

Dividends after 3 years are expected to be covered by earnings (1.9x coverage).


Next Steps

Management

What is the CEO of Molson Coors Brewing's salary, the management and board of directors tenure and is there insider trading?

4.0yrs

Average management tenure


CEO

Mark Hunter (56yo)

4.7yrs

Tenure

US$8,341,482

Compensation

Mr. Mark R. Hunter has been the Chief Executive Officer and President at Molson Coors Brewing Company since January 1, 2015. Mr. Hunter served as the Chief Executive Officer of Central Europe at Molson Coo ...


CEO Compensation Analysis

Mark's remuneration is about average for companies of similar size in United States of America.

Mark's compensation has been consistent with company performance over the past year, both up more than 20%.


Management Age and Tenure

4.0yrs

Average Tenure

56yo

Average Age

The tenure for the Molson Coors Brewing management team is about average.


Board Age and Tenure

9.8yrs

Average Tenure

58.5yo

Average Age

The tenure for the Molson Coors Brewing board of directors is about average.


Insider Trading

No 3 month open market individual insider trading information.


Ownership Breakdown


Management Team

  • Pete Coors (72yo)

    Vice Chairman of the Board & Chief Customer Relations Officer

    • Tenure: 0.3yrs
    • Compensation: US$343.25k
  • Gavin D. Hattersley (56yo)

    President & CEO of MillerCoors LLC

    • Tenure: 4yrs
    • Compensation: US$4.28m
  • Mark Swartzberg

    Global Vice President of Investor Relations

    • Tenure: 0.9yrs
  • Mark Hunter (56yo)

    President

    • Tenure: 4.7yrs
    • Compensation: US$8.34m
  • Kandy Anand (61yo)

    Chief Growth Officer

    • Tenure: 2.9yrs
    • Compensation: US$2.33m
  • Simon Cox (51yo)

    President & CEO of Molson Coors Europe

    • Tenure: 4.7yrs
    • Compensation: US$2.16m
  • Celso White (57yo)

    Chief Supply Chain Officer

    • Tenure: 9yrs
    • Compensation: US$2.15m
  • E. Reichert (52yo)

    Chief Legal & Corporate Affairs Officer and Secretary

    • Tenure: 1.6yrs
  • Tracey Joubert (52yo)

    Chief Financial Officer

    • Tenure: 2.8yrs
    • Compensation: US$2.43m
  • Brian Tabolt (38yo)

    VP & Controller

    • Tenure: 5.6yrs

Board Members

  • Fritz Hobbs (72yo)

    Independent Director

    • Tenure: 14.6yrs
    • Compensation: US$285.75k
  • Charles Herington (59yo)

    Independent Director

    • Tenure: 14.6yrs
    • Compensation: US$284.48k
  • Pete Coors (72yo)

    Vice Chairman of the Board & Chief Customer Relations Officer

    • Tenure: 0.3yrs
    • Compensation: US$343.25k
  • Iain John Napier (70yo)

    Independent Director

    • Tenure: 11.2yrs
    • Compensation: US$282.41k
  • Sandy Riley (68yo)

    Independent Director

    • Tenure: 14.6yrs
    • Compensation: US$278.94k
  • Louis Vachon (56yo)

    Independent Director

    • Tenure: 7.3yrs
    • Compensation: US$281.36k
  • Andrew Molson (51yo)

    Chairman of the Board

    • Tenure: 0yrs
    • Compensation: US$253.25k
  • Geoff Molson (49yo)

    Director

    • Tenure: 9.8yrs
    • Compensation: US$432.47k
  • Mark Hunter (56yo)

    President

    • Tenure: 4.7yrs
    • Compensation: US$8.34m
  • Roger Eaton (58yo)

    Independent Director

    • Tenure: 7.3yrs
    • Compensation: US$289.26k

Company Information

Molson Coors Brewing Company's company bio, employee growth, exchange listings and data sources


Key Information

  • Name: Molson Coors Brewing Company
  • Ticker: TAP
  • Exchange: NYSE
  • Founded: 1786
  • Industry: Brewers
  • Sector: Food, Beverage & Tobacco
  • Market Cap: US$12.381b
  • Shares outstanding: 216.36m
  • Website: https://www.molsoncoors.com

Number of Employees


Location

  • Molson Coors Brewing Company
  • 1801 California Street
  • Suite 4600
  • Denver
  • Colorado
  • 80202
  • United States

Listings

TickerExchangePrimary SecuritySecurity TypeCountryCurrencyListed on
TAPNYSE (New York Stock Exchange)YesClass B Common StockUSUSDJun 1975
NY7DB (Deutsche Boerse AG)YesClass B Common StockDEEURJun 1975
NY7BST (Boerse-Stuttgart)YesClass B Common StockDEEURJun 1975
0K2KLSE (London Stock Exchange)YesClass B Common StockGBUSDJun 1975
TAP1 *BMV (Bolsa Mexicana de Valores)YesClass B Common StockMXMXNJun 1975
TAP.ANYSE (New York Stock Exchange)Class A Common StockUSUSDFeb 2005

Biography

Molson Coors Brewing Company manufactures, markets, and sells beer and other malt beverage products in the United States, Canada, Europe, and internationally. The company sells various products under the B ...


Company Analysis and Financial Data Status

All financial data provided by Standard & Poor's Capital IQ.
DataLast Updated (UTC time)
Company Analysis2019/09/15 00:10
End of Day Share Price2019/09/13 00:00
Earnings2019/06/30
Annual Earnings2018/12/31


Unless specified all financial data is based on a yearly period but updated quarterly. This is known as Trailing Twelve Month (TTM) or Last Twelve Month (LTM) Data. Learn more here.