NEW YORK (TheStreet) -- Molson Coors Brewing (TAP) shares were downgraded to "neutral" from "buy" by analysts at BTIG Research who believe that there are better beverage options.
Analysts at the firm made their valuation call after forecasting a CEO transition coming for the company in the near term, and rumored mergers and acquisitions failing to come to fruition.
In separate news, Czech brewing company Heineken (HEINY) is reportedly in talks with Molson Coors to sell its Czech operations to the Colorado-based company, according to two unnamed sources who talked to the Czech daily newspaper Lidove Noviny.
"The talks are already a reality even if it is not certain how they will turn out," the newspaper quoted one of the sources.
The brewing company shares are flat in pre-market trading on Tuesday.
TheStreet Ratings team rates MOLSON COORS BREWING CO as a Buy with a ratings score of A+. TheStreet Ratings Team has this to say about their recommendation:
"We rate MOLSON COORS BREWING CO (TAP) a BUY. This is based on the convergence of positive investment measures, which should help this stock outperform the majority of stocks that we rate. The company's strengths can be seen in multiple areas, such as its solid stock price performance, growth in earnings per share, increase in net income, revenue growth and attractive valuation levels. We feel these strengths outweigh the fact that the company shows weak operating cash flow."