According to Zacks, “Estimates have been revised downward for the past few weeks as Diageo has been witnessing dismal top line performance primarily due to unfavorable currency fluctuations as well as declining volumes especially in the North American Spirits and European countries. Moreover, increasing restrictions on alcohol consumption by governments across the world have dented revenue growth. However, its strong brands, its product and geographic diversity, and exposure to faster-growing markets are expected to allow it to grow sales and earnings at healthy rates over the long-term. The company’s cost reduction initiative is on track and expected to boost margins further. Further, its focus on higher priced and higher margin items are expected to help it maintain profit going ahead. However, the company”
Several other brokerages also recently weighed in on DEO. Beaufort Securities reiterated a buy rating on shares of Diageo PLC in a report on Sunday, July 31st. Liberum Capital began coverage on shares of Diageo PLC in a report on Monday, October 3rd. They issued a hold rating on the stock. JPMorgan Chase & Co. reiterated a buy rating on shares of Diageo PLC in a report on Wednesday, September 7th. Bank of America Corp. reiterated a buy rating on shares of Diageo PLC in a report on Friday, September 16th. Finally, Barclays PLC downgraded shares of Diageo PLC from an overweight rating to an equal weight rating in a report on Friday, July 8th. One research analyst has rated the stock with a sell rating, eight have given a hold rating and six have given a buy rating to the company’s stock. The company currently has an average rating of Hold and a consensus price target of $135.78.
Diageo PLC (NYSE:DEO) opened at 112.66 on Wednesday. Diageo PLC has a 12-month low of $99.59 and a 12-month high of $117.95. The stock has a market cap of $70.70 billion, a P/E ratio of 24.53 and a beta of 0.78. The stock has a 50 day moving average of $114.41 and a 200 day moving average of $111.14.
The firm also recently announced a dividend, which will be paid on Wednesday, October 12th. Stockholders of record on Friday, August 12th will be given a dividend of $0.192 per share. The ex-dividend date of this dividend is Wednesday, August 10th.
Hedge funds and other institutional investors have recently made changes to their positions in the stock. Citizens Financial Group Inc RI raised its position in shares of Diageo PLC by 3.0% in the second quarter. Citizens Financial Group Inc RI now owns 900 shares of the company’s stock worth $101,000 after buying an additional 26 shares during the period. Jackson Grant Investment Advisers Inc. raised its position in shares of Diageo PLC by 1.2% in the second quarter. Jackson Grant Investment Advisers Inc. now owns 1,050 shares of the company’s stock worth $119,000 after buying an additional 12 shares during the period. Integrated Wealth Management raised its position in shares of Diageo PLC by 2.4% in the second quarter. Integrated Wealth Management now owns 1,158 shares of the company’s stock worth $131,000 after buying an additional 27 shares during the period. Jolley Asset Management LLC raised its position in shares of Diageo PLC by 37.4% in the second quarter. Jolley Asset Management LLC now owns 1,237 shares of the company’s stock worth $140,000 after buying an additional 337 shares during the period. Finally, Washington Trust Bank raised its position in shares of Diageo PLC by 9.5% in the third quarter. Washington Trust Bank now owns 1,359 shares of the company’s stock worth $158,000 after buying an additional 118 shares during the period. Hedge funds and other institutional investors own 10.97% of the company’s stock.
Diageo PLC Company Profile
Diageo PLC is an alcoholic beverage company. The Company operates in various categories, including spirits and beer. Its geographic segments include North America; Europe, Russia and Turkey; Africa; Latin America and Caribbean, and Asia Pacific. Its principal products includes Scotch whisky, Gin, Vodka, Rum, Beer, Irish Cream Liqueur, Wine, Raki, Tequila, Canadian Whisky, American Whiskey, Progressive Adult Beverages, Cachaca, Brandy and Ready to Drink.
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