Citi opens ‘positive catalyst watch’ on AB InBev

Citi opened a “positive catalyst watch” on shares of AB InBev (BUD) while keeping a Buy rating on the name with an EUR 67 price target The firm expects AB InBev to deliver fiscal 2024 organic EBITDA growth at the upper end of its 6%-8% guidance range. Nevertheless, the combination of higher Q4 investment and aluminum costs in the U.S. and a weak China, may mean this is slightly lower than current consensus at 8.1%, the analyst tells investors in a research note. Citi says that although further earnings cuts are unhelpful, these “final estimates changes will act as a clearing event for the stock.”