5 Beer Stocks You Want on Tap

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Shamrock BeerThis article originally appeared on Traders Reserve.

In addition to their reputation for tenacity, toughness and perseverance, the Irish are known for their love of beer. And there’s no day that is more evident than today — St. Patrick’s Day. In fact, this holiday has become a favorite among partygoers of all nationalities. It seems as though everyone wants to celebrate the Irish on March 17, and a large number of Americans do so each year with a toast of their favorite alcoholic beverage.

In honor of St. Patrick’s Day, I’ve put together a list of my favorite beer stocks. So before you order up the drinks, why not take a look? I have a feeling these stock picks could have you seeing a lot more green this year.

Beer Stock #1 – Anheuser-Busch InBev (BUD)

Anheuser-Busch InBev (NYSE: BUD)Everyone knows — and nearly everyone has sampled — the adult beverages made by Anheuser-Busch InBev (NYSE: BUD). The company’s flagship products are the Budweiser and Bud Light beer brands, but the company has a portfolio of many of the world’s best-selling brews. In fact, Anheuser-Busch InBev is the world’s largest brewer. Though the company was hurt by a slowdown in consumer spending during the economic downturn, it expects to see much-improved sales in 2011, and that improvement could well begin on St. Patrick’s Day.

Beer Stock #2 – Boston Beer Co. (SAM)

Boston Beer Company (NYSE: SAM)Boston Beer Company (NYSE: SAM), makers of the Samuel Adams brand of beers, is a true American success story. The company’s brands also have become a favorite of beer connoisseurs around the world, and they are among the go-to beers with the more sophisticated microbrew drinker. Although the company just reported that fourth-quarter profits essentially doubled over last year, the results were slightly below Wall Street expectations. And though the shares sold off on the news, that sell-off could represent an attractive entry point for bullish traders who want to own this beer stock.

Beer Stock #3 – Craft Brewers Alliance (HOOK)

Craft Brewers Alliance (NASDAQ: HOOK)This company is the smallest of the five St. Patrick’s Day beverage stocks, but that doesn’t mean it can’t help you generate pitcher-sized gains. Craft Brewers Alliance (NASDAQ: HOOK) is the maker of Brothers Beers, Kona Brewing and Redhook Beers. Although the company doesn’t have the market presence of an Anheuser-Busch InBev, it does sell its products in restaurants, bars and liquor stores, as well as in the supermarkets and warehouse clubs. The company also operates a small pilot brewpub style brewery in Portland, Ore., where it was founded in 1981.

(For another craft brewer, see Brewing Up a Business Success.)

Beer Stock #4 – Diageo (DEO)

Diageo (NYSE: DEO)Beverage giant Diageo (NYSE: DEO) is more than just a beer stock. It makes all the serious libations you need for maximum revelry this St. Patrick’s Day. The company’s Irish-themed brands include Bushmills Irish Whiskey, Baileys Original Irish Cream liqueur and Guinness stout, all big hits this time of year. Of course, the company makes big sales year round throughout the globe with its Smirnoff vodka and Johnnie Walker scotch brands. If you want to make sure your beverage stock holdings have the entire spectrum of spirits covered, then you’ll definitely want to stock your bar with Diageo shares.

Beer Stock #5 – Molson Coors Brewing Company (TAP)

Molson Coors Brewing Company (NYSE: TAP) Molson Coors Brewing Company (NYSE: TAP) is the other mega-giant beer firm in our top five list, and like rival Anheuser-Busch InBev, the company’s revenues have been dampened by the global economic downturn. Fortunately, TAP executives have done a great job of containing costs over the past few years, and those efforts have paid off in improved profitability and expanded margins. The company’s brands include Coors and Coors Light, Molson, Amstel Light, Heineken, Murphy’s, Asahi and Miller. We think it’s a fair bet that a whole lot of people will be drinking down Molson Coors brands on this holiday, and that reason alone puts Molson Coors on our beer stocks to drink up list.

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Article printed from InvestorPlace Media, https://investorplace.com/2011/03/beer-stock-to-buy-bud-sam-hook-deo-tap/.

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