Molson Coors (TAP) Plunges 4.62% as Revenue Slump, Currency Woes, and Hard Seltzer Competition Weigh

The share price of Molson Coors Beverage Company (TAP) fell to its lowest level since October 2022 on September 17, 2025, with an intraday decline of 1.39%. The stock has now declined 4.62% over four consecutive trading days, extending a bearish trend that reflects broader market skepticism about the brewer’s near-term prospects.

Analyst ratings remain mixed, complicating investor sentiment. Barclays maintained an "underweight" rating with a $50.00 price target, while JPMorgan and Sanford C. Bernstein trimmed their targets to $53.00 and $55.00, respectively. Despite these adjustments, a "buy" rating from Needham & Company at $58.00 highlights diverging views on the stock’s valuation. The consensus average target of $58.18 suggests an 18% potential upside, but the "Hold" rating underscores uncertainty about revenue recovery and market share gains in high-growth beverage categories.

Recent earnings results offered a partial bright spot. TAP reported Q2 2025 earnings of $2.05 per share, surpassing estimates, but revenue dropped 1.6% year-over-year to $3.20 billion. Analysts attribute the decline to weak demand in core markets, competition from hard seltzers, and currency headwinds. While the company’s 7.81% net margin and 8.61% ROE indicate strong profitability, its guidance of $5.36–$5.54 per share for FY2025 lags behind analyst projections, raising questions about execution risks.

Institutional investors have shown cautious optimism. Golden State Wealth Management and Millstone Evans Group significantly increased holdings in Q1 2025, signaling confidence in long-term value. However, these moves are over a month old, and recent investor behavior remains unclear. With 78.46% institutional ownership, large-scale shifts could amplify price volatility. Meanwhile, TAP’s low P/E ratio of 9.69 and beta of 0.69 position it as a defensive play, though its proximity to 52-week lows raises concerns about near-term momentum.

Strategic challenges persist. Declining beer consumption in North America and Europe, coupled with rising costs for product innovation, could pressure margins. Yet opportunities in emerging markets and RTD beverages offer growth potential. The mixed analyst outlook and revenue pressures suggest the stock remains in a holding pattern, with key catalysts likely to emerge from FY2025 performance and progress in diversifying its beverage portfolio.