UPDATE: Goldman Sachs Upgrades Molson Coors to Buy on Employment Recovery, New Products

In a report published Monday, Goldman Sachs analyst Judy E. Hong upgraded the rating on Molson Coors Brewing Company

from Neutral to Buy, and raised the price target from $47.00 to $63.00. In the report, Hong noted, “We upgrade shares of Molson Coors (TAP) to Buy from Neutral and raise our 12-month price target to $63 (from $47) implying 29% upside. We believe TAP is a compelling risk/reward proposition as the US employment recovery and a new product cycle drive upward earnings revisions and multiple re-rating for this deep value asset. This is an out-of-consensus call as TAP is one of the most under-loved stocks in Consumer Staples with valuation in the bottom decile of the group. We are above consensus in each of the next three years and are forecasting a 17% multiple expansion to 14X P/E as improving volume erodes the negative sentiment.” Molson Coors Brewing Company closed on Thursday at $48.93.