AB InBev’s nonalcoholic beer growth slowed to 27% in the second quarter.

AB InBev said revenue from its global nonalcoholic beer portfolio rose 27% from a year earlier in the second quarter of 2026, extending growth in one of the brewer’s most closely watched categories even as the pace slowed from 33% in the same period last year.

The figure, released with the company’s second-quarter results on July 30, points to a clear moderation in momentum. The deceleration was six percentage points from the comparable quarter in 2025. Even so, the company’s alcohol-free beer business continued to grow much faster than its core beer operations, which posted a 1.1% increase in volumes in the second quarter.

AB InBev did not disclose absolute revenue, volume or profit figures for its nonalcoholic beer portfolio. The company reported only the rate of growth, meaning the number reflects sales performance inside AB InBev’s own business, not the size of the global alcohol-free beer market.

The slowdown matters because nonalcoholic beer has become a major strategic category for the world’s largest brewer as large drinks companies try to capture demand from consumers who are cutting back on alcohol, moderating consumption or looking for more options in the same social settings where traditional beer is sold. For AB InBev, the latest quarter still showed strong expansion, but it also offered the first clear sign that the category’s recent surge may be settling into a slower pattern.

The company’s broader results remained solid. In the first half of 2026, AB InBev said revenue rose 5.7%, earnings before interest, taxes, depreciation and amortization increased 5.6%, and underlying earnings per share climbed 22.1%. In the second quarter, which included the opening stretch of the FIFA World Cup, the brewer said beer sales volumes increased and reached record levels in Mexico, Colombia and Ecuador.

AB InBev said Corona, Stella Artois and Michelob Ultra were the top-selling brands during the tournament period. The company also reported 13% revenue growth in its light and gluten-free beers and 44% growth in its beyond beer category, helped mainly by demand in the United States for Flying Fish, a lime-and-lemon flavored product, and Cutwater canned cocktails.

Those numbers helped reinforce investor confidence in a company that has been one of the stronger performers in European equities this year. AB InBev shares have risen 34% in 2026 and touched their highest level in seven years, making the brewer one of the better-performing members of the Euro Stoxx 50. According to Bloomberg data, 78% of analysts covering the company recommend buying the stock, while the rest rate it a hold. The average price target stands at €82.49, about 12% above recent trading levels.

Analysts have pointed to a mix of factors behind that optimism. The company’s premium brands, including Budweiser, Corona and Michelob Ultra, continue to be seen as important drivers of profitability. Its cost controls and cash generation have also supported sentiment. AB InBev has told investors it expects EBITDA growth of 4% to 8%, a range that remains intact after the second-quarter report.

The brewer’s scale remains central to its investment case. Morningstar estimates that AB InBev holds a 27% share of the global beer market and operates in more than 150 countries. The research firm has said the company’s acquisition history has given it more than double the volume of Heineken, the second-largest brewer, and has strengthened its pricing power and ability to spread fixed costs across a larger business.

One area drawing particular attention is Michelob Ultra’s expansion outside the United States. Jefferies said 40% of the brand’s growth recently came from international markets, led mainly by Latin America and Canada. Analysts there argued that the World Cup may leave a longer-term brand-building effect for AB InBev if Michelob Ultra follows Budweiser, Stella Artois and Corona into a more established global position.

For all the strength in premium beer, alcohol-free beer and newer categories, there are weak points. China remains the most visible drag on volume. AB InBev said sales volumes in that market fell 9.7% in the second quarter, worsening from a 1.5% decline in the first quarter. Analysts have tied that performance to weak consumption at home and in restaurants, a problem that has weighed on the broader beer industry in China.

Some analysts also see a risk that the boost from sports events will fade once the summer calendar ends. Deutsche Bank said the loss of major-event support could be partly offset by more favorable transaction exchange rates, but it kept a neutral view on the shares. The bank noted that AB InBev trades at an estimated 2026 price-to-earnings ratio of 19.7 times, broadly in line with European consumer staples peers, though at a 9% premium to the broader beverages sector.

Technology is another piece of the company’s growth story. UBS has highlighted BEES, AB InBev’s digital B2B marketplace that connects retailers, distributors and brand owners. The bank said the platform could add 1 to 2 percentage points to the brewer’s expected organic EBITDA growth between 2027 and 2030, above a base scenario of 6%.

Not all firms are as positive. Barclays recently cut its recommendation on the stock to equal weight from overweight, citing the introduction of Brazil’s new selective tax on Jan. 1, 2027. The bank said the measure could create a structural headwind for pricing and profit in one of AB InBev’s most profitable markets.

For the nonalcoholic beer business, the latest quarter leaves a mixed message. AB InBev is still posting growth rates far above the rest of its beer portfolio, which supports the view that alcohol-free products are becoming a meaningful part of large brewers’ future sales mix. But the move from 33% growth last year to 27% this year suggests the category is no longer accelerating at the same rate, at least inside the world’s biggest brewing company.