Molson Coors Beverage Company Fundamental Analysis (NYSE: TAP-A)
Molson Coors Beverage Company Fundamental Analysis (NYSE: TAP-A)
Molson Coors Beverage Company (NYSE: TAP-A) shows weak financial fundamentals with a PE ratio of -3.72, profit margin of -20.81%, and ROE of -22.65%. The company generates $11.6B in annual revenue with weak year-over-year growth of -4.18%.
Key Strengths
Areas of Concern
The stock receives a Fundamental Health Score of -15.1/100 based on profitability, valuation, growth, and balance sheet metrics. The F grade reflects weak fundamentals and significant financial concerns.
Fundamental Health Score
We analyze TAP-A's fundamental strength across five key dimensions:
Efficiency Score
WeakTAP-A struggles to generate sufficient returns from assets.
Valuation Score
ExcellentTAP-A trades at attractive valuation levels.
Growth Score
WeakTAP-A faces weak or negative growth trends.
Financial Health Score
ModerateTAP-A shows balanced financial health with some risks.
Profitability Score
WeakTAP-A struggles to sustain strong margins.
Key Financial Metrics
Is TAP-A Expensive or Cheap?
P/E Ratio
TAP-A trades at -3.72 times earnings. This suggests potential undervaluation.
PEG Ratio
When adjusting for growth, TAP-A's PEG of 0.01 indicates potential undervaluation.
Price to Book
The market values Molson Coors Beverage Company at 0.79 times its book value. This may indicate undervaluation.
EV/EBITDA
Enterprise value stands at -1.34 times EBITDA. This is generally considered low.
How Well Does TAP-A Make Money?
Net Profit Margin
For every $100 in sales, Molson Coors Beverage Company keeps $-20.81 as profit after all expenses.
Operating Margin
Core operations generate -22.74 in profit for every $100 in revenue, before interest and taxes.
ROE
Management delivers $-22.65 in profit for every $100 of shareholder equity.
ROA
Molson Coors Beverage Company generates $-9.47 in profit for every $100 in assets, demonstrating efficient asset deployment.
Following the Money - Real Cash Generation
Operating Cash Flow
Molson Coors Beverage Company produces operating cash flow of $2.06B, showing steady but balanced cash generation.
Free Cash Flow
Molson Coors Beverage Company generates strong free cash flow of $1.38B, providing ample flexibility for dividends, buybacks, or growth.
FCF Per Share
Each share generates $7.07 in free cash annually.
FCF Yield
TAP-A converts 16.45% of its market value into free cash.
Financial Ratios Analysis
Valuation Ratios
P/E Ratio
Price to earnings ratio
-3.72
vs 25 benchmark
PEG Ratio
Price/earnings to growth ratio
0.01
vs 25 benchmark
P/B Ratio
Price to book value ratio
0.79
vs 25 benchmark
P/S Ratio
Price to sales ratio
0.73
vs 25 benchmark
Financial Health
Debt/Equity
Total debt to shareholders' equity
0.76
vs 25 benchmark
Current Ratio
Current assets to current liabilities
0.88
vs 25 benchmark
Efficiency Ratios
ROE
Return on equity percentage
-0.23
vs 25 benchmark
ROA
Return on assets percentage
-0.09
vs 25 benchmark
ROCE
Return on capital employed
-0.13
vs 25 benchmark
How TAP-A Stacks Against Its Sector Peers
| Metric | TAP-A Value | Sector Average | Performance |
|---|---|---|---|
| P/E Ratio | -3.72 | 20.62 | Better (Cheaper) |
| ROE | -22.65% | 702.00% | Weak |
| Net Margin | -20.81% | -2242.00% (disorted) | Weak |
| Debt/Equity | 0.76 | 0.79 | Neutral |
| Current Ratio | 0.88 | 2.31 | Weak Liquidity |
| ROA | -9.47% | 319.00% | Weak |
TAP-A outperforms its industry in 1 out of 6 key metrics, but lagging in ROE.
Historical Growth Performance
5-Year Growth Trajectory
This section reviews Molson Coors Beverage Company's 5-year compound annual growth rate (CAGR) and compares its performance against the typical investment style of its industry.
Revenue CAGR
28.24%
Industry Style: Defensive, Dividend, Low Volatility
High GrowthEPS CAGR
-151.41%
Industry Style: Defensive, Dividend, Low Volatility
DecliningFCF CAGR
16.94%
Industry Style: Defensive, Dividend, Low Volatility
High Growth