Why is Molson Coors So Cheap?

Mainstream beer isn’t mainstream anymore.

Andrew Willis 2 July, 2021 | 1:58AM
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Andrew Willis: What began as a hobby, and then a novelty, is now a preferred product - craft and high-end beers have truly disrupted the industry once held so well, almost entirely, by brewing giants.

As equity analyst Nicholas Johnson explains, legacy brands like Coors, Miller and Carling, have lost their relevance in this new world of beer…and it’s showing in declining volume at Molson Coors. But the company isn’t standing still – to keep up, just weeks into his new role, CEO Gavin Hattersly has launched large manufacturing, innovation and marketing investment projects.

From an impressive portfolio of new seltzers we’ve been seeing in beer stores, to international sales that involve popular brands like Blue Moon and Peroni, to leveraging existing infrastructure and commercial functions that many smaller brewers don’t have – a return to growth isn’t out of the question with what we see brewing.

For Morningstar, I’m Andrew Willis.

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Securities Mentioned in Article

Security NamePriceChange (%)Morningstar Rating
Molson Coors Beverage Co Class A61.40 USD-0.73
Molson Coors Beverage Co Shs -B- Non-Voting55.21 USD-2.23Rating
Molson Coors Canada Inc Class A80.00 CAD-8.97
Molson Coors Canada Inc Class B77.06 CAD0.20

About Author

Andrew Willis

Andrew Willis  is Senior Editor at Morningstar Canada. He previously produced content for Fidelity Investments and finance industry events for Euromoney Institutional Investor and has written in the past for Thomson Reuters and CNN. Follow him on Twitter @Andrew_M_Willis.

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