Molson Coors Brewing Company Class B (TAP) Company Bio
Molson Coors Brewing manufactures and sells beer and other beverage products. The company sells its products under brands such as Coors Light, Heineken, Miller Genuine Draft, and more. The company was founded in 1786 and is based in Denver, Colorado.
TAP Price Forecast Based on DCF Valuation
DCF Fair Value Target:
We started the process of determining a valid price forecast for Molson Coors Beverage Co with a discounted cash flow analysis -- the results of which can be found in the table below. To summarize, we found that Molson Coors Beverage Co ranked in the 66th percentile in terms of potential gain offered. More precisely, our analysis suggests the stock is undervalued by approximately 220.67% on a DCF basis. The most interesting components of our discounted cash flow analysis for Molson Coors Beverage Co ended up being:
The stock's equity weight, or the proportion of capital from equity relative to debt, is 48. Its equity weight surpasses that of only 16.82% of free cash flow generating stocks in the Consumer Defensive sector.
Molson Coors Beverage Co's weighted average cost of capital (WACC) is 6%; for context, that number is higher than just 8.71% of tickers in our DCF set.
Molson Coors Beverage Co's effective tax rate, as measured by taxes paid relative to net income, is at 24 -- greater than 88.63% of US stocks with positive free cash flow.
Terminal Growth Rate in Free Cash Flow
Return Relative to Current Share Price
KOF, COKE, LOPE, WBA, and GPX can be thought of as valuation peers to TAP, in the sense that they are in the Consumer Defensive sector and have a similar price forecast based on DCF valuation.