Molson Coors (TAP) Offering Possible 8.7% Return Over the Next 29 Calendar Days

Molson Coors's most recent trend suggests a bullish bias. One trading opportunity on Molson Coors is a Bull Put Spread using a strike $57.50 short put and a strike $52.50 long put offers a potential 8.7% return on risk over the next 29 calendar days. Maximum profit would be generated if the Bull Put Spread were to expire worthless, which would occur if the stock were above $57.50 by expiration. The full premium credit of $0.40 would be kept by the premium seller. The risk of $4.60 would be incurred if the stock dropped below the $52.50 long put strike price.

The 5-day moving average is moving up which suggests that the short-term momentum for Molson Coors is bullish and the probability of a rise in share price is higher if the stock starts trending.

The 20-day moving average is moving up which suggests that the medium-term momentum for Molson Coors is bullish.

The RSI indicator is above 80 which suggests that the stock is in overbought territory.

To learn how to execute such a strategy while accounting for risk and reward in the context of smart portfolio management, and see how to trade live with a successful professional trader, view more here


LATEST NEWS for Molson Coors

See what the IHS Markit Score report has to say about Molson Coors Brewing Co.
Tue, 15 Jan 2019 13:00:33 +0000
# Molson Coors Brewing Co

### NYSE:TAP

View full report here!

## Summary

* Perception of the company's creditworthiness is negative
* Bearish sentiment is low
* Economic output in this company's sector is expanding

## Bearish sentiment

Short interest | Positive

Short interest is low for TAP with fewer than 5% of shares on loan. The last change in the short interest score occurred more than 1 month ago and implies that there has been little change in sentiment among investors who seek to profit from falling equity prices.

## Money flow

ETF/Index ownership | Neutral

ETF activity is neutral. The net inflows of $11.28 billion over the last one-month into ETFs that hold TAP are not among the highest of the last year and have been slowing.

## Economic sentiment

PMI by IHS Markit | Positive

According to the latest IHS Markit Purchasing Managers' Index (PMI) data, output in the Consumer Goods sector is rising. The rate of growth is strong relative to the trend shown over the past year, and is accelerating.

## Credit worthiness

Credit default swap | Negative

The current level displays a negative indicator. TAP credit default swap spreads are near their highest levels for the past 1 year, which indicates the market's more negative perception of the company's credit worthiness.

Please send all inquiries related to the report to score@ihsmarkit.com.

Charts and report PDFs will only be available for 30 days after publishing.

This document has been produced for information purposes only and is not to be relied upon or as construed as investment advice. To the fullest extent permitted by law, IHS Markit disclaims any responsibility or liability, whether in contract, tort (including, without limitation, negligence), equity or otherwise, for any loss or damage arising from any reliance on or the use of this material in any way. Please view the full legal disclaimer and methodology information on pages 2-3 of the full report.

Breaking News: The Multi-Billion Dollar US and Canadian CBD-Infused Beverage Race is On: Tilray, Coca Cola, Molson Coors Brewing Co., Heineken and American Premium Water Corporation on Watch
Mon, 14 Jan 2019 15:30:00 +0000
Canaccord’s Bobby Burleson and Jonathan DeCourcey claimed that infused beverages could be poised to outpace general demand for marijuana products by two fold, taking 20% of the existing market for cannabis edibles by 2022. Canadian cannabis company Tilray entered a $100 million joint venture with beer brewer AB InBev to study cannabis-based beverages. The joint venture, in which both companies will invest $50 million, will study non-alcoholic beverages containing THC, the psychoactive chemical compound in marijuana, as well as CBD, the non-active chemical.

Where Constellation Brands’ Valuation Stands after Its Q3 Results
Mon, 14 Jan 2019 12:30:02 +0000
Constellation Brands' Guidance Cut Overshadowed Its Q3 Results

(Continued from Prior Part)

## STZ’s valuation

Constellation Brands (STZ) was trading at 12-month forward PE multiple of 15.4x as of the end of the day on January 9. Constellation Brands’ forward valuation multiple fell 13.1% on January 9 as the company lowered its guidance for fiscal 2019, which ends on February 28, 2019.

Higher interest expenses associated with the company’s financing of its stake in Canopy Growth (CGC) and weakness in the performance of its wine and spirits business are expected to adversely affect its fiscal 2019 earnings.

As of January 9, Anheuser-Busch InBev (BUD), Molson Coors Brewing (TAP), and Brown-Forman (BF.B) are trading at 12-month forward PE multiples of 17.3x, 12.4x, and 27.1x, respectively.

Constellation Brands is trying to boost its performance by focusing on premium brands in the beer and wine and spirits businesses. The company is exploring strategic alternatives to address the weakness in the $11 and below price point in the wine and spirits business.

Constellation Brands is also focusing on innovation to drive its top line growth. Its Corona Premier, a low-calorie beer, has achieved tremendous success since its introduction. In the wine and spirits business, the company’s latest product introductions include Meiomi Rosé and SVEDKA Blue Raspberry.

Constellation Brands has over a 36% stake in leading cannabis company Canopy Growth and has the option of increasing its stake to over 50%. Constellation’s significant investment in Canopy Growth gives it the opportunity to capitalize on the growth prospects in the global medicinal and recreational cannabis market.

## Analysts’ expectations

Analysts expect Constellation Brands’ sales to rise 6.7% to $8.1 billion and its adjusted EPS to rise 6.8% to $9.31 in fiscal 2019. In fiscal 2020, the company’s sales growth and adjusted EPS growth are expected to be 6.5% and 5.9%, respectively. Its premium Mexican beer brands are likely to be the key drivers of its future growth.

Browse this series on Market Realist:

* Part 1 – Constellation Brands’ Guidance Cut Overshadowed Its Q3 Results
* Part 2 – How Constellation Brands’ Q3 Earnings Shook Out
* Part 3 – Assessing Constellation Brands’ Q3 Sales Growth

Top Picks 2019- Molson Coors TAP
Mon, 14 Jan 2019 10:00:00 +0000
John Dobosz is a leading growth and income expert; here, the editor of the industry advisory publications, Forbes Dividend Investor and Forbes Premium Income Report, assesses a favorite idea for the coming year — a play on the brewing sector.

These 2 Pot Stocks Are Moving to the NYSE
Sun, 13 Jan 2019 16:41:00 +0000
The marijuana industry continues to gain legitimacy.

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