The Big Brewer Trend You Need to Watch

Updated

In today's edition, analysts Andrew Tonner and Austin Smith talk about one massive trend that's become the norm the in brewery space: buyouts. Heineken recently joined the ranks of "more is not enough" breweries and spent big money to acquire Asia Pacific breweries. Consolidation is simply the nature of the game for the brewers now. With saturated domestic markets, many of these brewers have to look abroad for growth. However, with each acquisition the bottom-line impact is that much less, so as these companies grow, their acquisitions will increasingly become less meaningful.

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The article The Big Brewer Trend You Need to Watch originally appeared on Fool.com.

Austin Smith has no positions in the stocks mentioned above. The Motley Fool owns shares of Boston Beer. Motley Fool newsletter services recommend Boston Beer, Diageo plc (ADR), and Molson Coors Brewing Company. Try any of our Foolish newsletter services free for 30 days. We Fools may not all hold the same opinions, but we all believe that considering a diverse range of insights makes us better investors. The Motley Fool has a disclosure policy.

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