ANHEUSER-BUSCH INBEV SA/NV (1ABI.MI) Stock Fundamental Analysis
BIT:1ABI - Euronext Milan - BE0974293251 - Common Stock - Currency: EUR
Overall 1ABI gets a fundamental rating of 4 out of 10. We evaluated 1ABI against 24 industry peers in the Beverages industry. There are concerns on the financial health of 1ABI while its profitability can be described as average. 1ABI is valued correctly, but it does not seem to be growing.
1. Profitability
1.1 Basic Checks
In the past year 1ABI was profitable.
1ABI had a positive operating cash flow in the past year.
Of the past 5 years 1ABI 4 years were profitable.
1ABI had a positive operating cash flow in 4 of the past 5 years.
1.2 Ratios
1ABI's Return On Assets of 2.81% is fine compared to the rest of the industry. 1ABI outperforms 60.71% of its industry peers.
1ABI's Return On Equity of 7.55% is fine compared to the rest of the industry. 1ABI outperforms 64.29% of its industry peers.
Looking at the Return On Invested Capital, with a value of 6.49%, 1ABI is in line with its industry, outperforming 46.43% of the companies in the same industry.
Measured over the past 3 years, the Average Return On Invested Capital for 1ABI is in line with the industry average of 8.12%.
The last Return On Invested Capital (6.49%) for 1ABI is above the 3 year average (6.15%), which is a sign of increasing profitability.
| Industry Rank | Sector Rank | ||
|---|---|---|---|
| ROA | 2.81% | ||
| ROE | 7.55% | ||
| ROIC | 6.49% |
ROA(3y)2.46%
ROA(5y)2.38%
ROE(3y)7.15%
ROE(5y)7.13%
ROIC(3y)6.15%
ROIC(5y)5.9%
1.3 Margins
With a decent Profit Margin value of 9.89%, 1ABI is doing good in the industry, outperforming 75.00% of the companies in the same industry.
1ABI's Profit Margin has improved in the last couple of years.
1ABI's Operating Margin of 25.14% is fine compared to the rest of the industry. 1ABI outperforms 78.57% of its industry peers.
In the last couple of years the Operating Margin of 1ABI has declined.
1ABI has a Gross Margin of 54.48%. This is in the better half of the industry: 1ABI outperforms 60.71% of its industry peers.
1ABI's Gross Margin has declined in the last couple of years.
| Industry Rank | Sector Rank | ||
|---|---|---|---|
| OM | 25.14% | ||
| PM (TTM) | 9.89% | ||
| GM | 54.48% |
OM growth 3Y-2.27%
OM growth 5Y-5.36%
PM growth 3Y44.25%
PM growth 5Y1.77%
GM growth 3Y-2.5%
GM growth 5Y-2.91%
2. Health
2.1 Basic Checks
1ABI has a Return on Invested Capital (ROIC), which is just above the Cost of Capital (WACC), which means it is creating some value.
1ABI has no outstanding debt. Therefor its Debt/Equity and Debt/FCF ratios are 0 and belong to the best of the industry.
2.2 Solvency
1ABI has an Altman-Z score of 1.66. This is a bad value and indicates that 1ABI is not financially healthy and even has some risk of bankruptcy.
1ABI has a Altman-Z score of 1.66. This is in the lower half of the industry: 1ABI underperforms 71.43% of its industry peers.
The Debt to FCF ratio of 1ABI is 7.84, which is on the high side as it means it would take 1ABI, 7.84 years of fcf income to pay off all of its debts.
1ABI has a better Debt to FCF ratio (7.84) than 67.86% of its industry peers.
A Debt/Equity ratio of 0.97 indicates that 1ABI is somewhat dependend on debt financing.
With a Debt to Equity ratio value of 0.97, 1ABI perfoms like the industry average, outperforming 53.57% of the companies in the same industry.
| Industry Rank | Sector Rank | ||
|---|---|---|---|
| Debt/Equity | 0.97 | ||
| Debt/FCF | 7.84 | ||
| Altman-Z | 1.66 |
ROIC/WACC1.06
WACC6.12%
2.3 Liquidity
A Current Ratio of 0.69 indicates that 1ABI may have some problems paying its short term obligations.
1ABI has a worse Current ratio (0.69) than 82.14% of its industry peers.
A Quick Ratio of 0.51 indicates that 1ABI may have some problems paying its short term obligations.
With a Quick ratio value of 0.51, 1ABI is not doing good in the industry: 64.29% of the companies in the same industry are doing better.
| Industry Rank | Sector Rank | ||
|---|---|---|---|
| Current Ratio | 0.69 | ||
| Quick Ratio | 0.51 |
3. Growth
3.1 Past
1ABI shows a strong growth in Earnings Per Share. In the last year, the EPS has been growing by 15.08%, which is quite good.
Measured over the past years, 1ABI shows a decrease in Earnings Per Share. The EPS has been decreasing by -1.83% on average per year.
EPS 1Y (TTM)15.08%
EPS 3Y4.79%
EPS 5Y-1.83%
EPS Q2Q%7.32%
Revenue 1Y (TTM)N/A
Revenue growth 3YN/A
Revenue growth 5YN/A
Sales Q2Q%2.54%
3.2 Future
1ABI is expected to show quite a strong growth in Earnings Per Share. In the coming years, the EPS will grow by 12.11% yearly.
The Revenue is expected to grow by 4.38% on average over the next years.
EPS Next Y4.12%
EPS Next 2Y8.45%
EPS Next 3Y12.23%
EPS Next 5Y12.11%
Revenue Next Year1.44%
Revenue Next 2Y2.97%
Revenue Next 3Y3.78%
Revenue Next 5Y4.38%
3.3 Evolution
The EPS growth rate is accelerating: in the next years the growth will be better than in the last years.
4. Valuation
4.1 Price/Earnings Ratio
With a Price/Earnings ratio of 17.35, 1ABI is valued on the expensive side.
Based on the Price/Earnings ratio, 1ABI is valued a bit cheaper than the industry average as 67.86% of the companies are valued more expensively.
When comparing the Price/Earnings ratio of 1ABI to the average of the S&P500 Index (24.12), we can say 1ABI is valued slightly cheaper.
Based on the Price/Forward Earnings ratio of 16.66, the valuation of 1ABI can be described as correct.
The rest of the industry has a similar Price/Forward Earnings ratio as 1ABI.
1ABI is valuated at similar levels of the S&P average when we compare the Price/Forward Earnings ratio to 20.42, which is the current average of the S&P500 Index.
| Industry Rank | Sector Rank | ||
|---|---|---|---|
| PE | 17.35 | ||
| Fwd PE | 16.66 |
4.2 Price Multiples
1ABI's Enterprise Value to EBITDA ratio is a bit cheaper when compared to the industry. 1ABI is cheaper than 75.00% of the companies in the same industry.
1ABI's Price/Free Cash Flow ratio is rather cheap when compared to the industry. 1ABI is cheaper than 82.14% of the companies in the same industry.
| Industry Rank | Sector Rank | ||
|---|---|---|---|
| P/FCF | 11.89 | ||
| EV/EBITDA | 9.02 |
4.3 Compensation for Growth
The high PEG Ratio(NY), which compensates the Price/Earnings for growth, indicates 1ABI does not grow enough to justify the current Price/Earnings ratio.
The decent profitability rating of 1ABI may justify a higher PE ratio.
1ABI's earnings are expected to grow with 12.23% in the coming years. This may justify a more expensive valuation.
PEG (NY)4.21
PEG (5Y)N/A
EPS Next 2Y8.45%
EPS Next 3Y12.23%
5. Dividend
5.1 Amount
With a yearly dividend of 0.99%, 1ABI is not a good candidate for dividend investing.
1ABI's Dividend Yield is slightly below the industry average, which is at 2.88.
Compared to an average S&P500 Dividend Yield of 2.44, 1ABI's dividend is way lower than the S&P500 average.
| Industry Rank | Sector Rank | ||
|---|---|---|---|
| Dividend Yield | 0.99% |
5.2 History
The dividend of 1ABI decreases each year by -17.57%.
Dividend Growth(5Y)-17.57%
Div Incr Years0
Div Non Decr Years0
5.3 Sustainability
1ABI pays out 54.53% of its income as dividend. This is a bit on the high side, but may be sustainable.
DP54.53%
EPS Next 2Y8.45%
EPS Next 3Y12.23%
BIT:1ABI (4/7/2025, 7:00:00 PM)
53.6
-4.42 (-7.62%)
Chartmill FA Rating
GICS SectorConsumer Staples
GICS IndustryGroupFood, Beverage & Tobacco
GICS IndustryBeverages
Earnings (Last)
Earnings (Next)
Inst Owners17.94%
Inst Owner ChangeN/A
Ins Owners0.01%
Ins Owner ChangeN/A
Market Cap104.33B
Analysts83.13
Price Target72.24 (34.78%)
Short Float %N/A
Short RatioN/A
Dividend
| Industry Rank | Sector Rank | ||
|---|---|---|---|
| Dividend Yield | 0.99% |
Yearly Dividend1.34
Dividend Growth(5Y)-17.57%
DP54.53%
Div Incr Years0
Div Non Decr Years0
Ex-DateN/A
Surprises & Revisions
EPS beat(2)2
Avg EPS beat(2)7.56%
Min EPS beat(2)4.3%
Max EPS beat(2)10.83%
EPS beat(4)4
Avg EPS beat(4)5.47%
Min EPS beat(4)1.97%
Max EPS beat(4)10.83%
EPS beat(8)8
Avg EPS beat(8)8.38%
EPS beat(12)10
Avg EPS beat(12)8.75%
EPS beat(16)12
Avg EPS beat(16)5.85%
Revenue beat(2)1
Avg Revenue beat(2)-0.24%
Min Revenue beat(2)-1.31%
Max Revenue beat(2)0.82%
Revenue beat(4)1
Avg Revenue beat(4)-2.53%
Min Revenue beat(4)-7.51%
Max Revenue beat(4)0.82%
Revenue beat(8)1
Avg Revenue beat(8)-2.34%
Revenue beat(12)5
Avg Revenue beat(12)-1.01%
Revenue beat(16)8
Avg Revenue beat(16)0.06%
PT rev (1m)2.35%
PT rev (3m)4.3%
EPS NQ rev (1m)-0.59%
EPS NQ rev (3m)-0.59%
EPS NY rev (1m)-0.05%
EPS NY rev (3m)-0.88%
Revenue NQ rev (1m)-0.37%
Revenue NQ rev (3m)-0.37%
Revenue NY rev (1m)0%
Revenue NY rev (3m)-2.18%
Valuation
| Industry Rank | Sector Rank | ||
|---|---|---|---|
| PE | 17.35 | ||
| Fwd PE | 16.66 | ||
| P/S | 1.98 | ||
| P/FCF | 11.89 | ||
| P/OCF | 8.33 | ||
| P/B | 1.51 | ||
| P/tB | N/A | ||
| EV/EBITDA | 9.02 |
EPS(TTM)3.09
EY5.76%
EPS(NY)3.22
Fwd EY6%
FCF(TTM)4.51
FCFY8.41%
OCF(TTM)6.44
OCFY12.01%
SpS27.1
BVpS35.51
TBVpS-34.21
PEG (NY)4.21
PEG (5Y)N/A
Profitability
| Industry Rank | Sector Rank | ||
|---|---|---|---|
| ROA | 2.81% | ||
| ROE | 7.55% | ||
| ROCE | 8.36% | ||
| ROIC | 6.49% | ||
| ROICexc | 6.78% | ||
| ROICexgc | 63.66% | ||
| OM | 25.14% | ||
| PM (TTM) | 9.89% | ||
| GM | 54.48% | ||
| FCFM | 16.64% |
ROA(3y)2.46%
ROA(5y)2.38%
ROE(3y)7.15%
ROE(5y)7.13%
ROIC(3y)6.15%
ROIC(5y)5.9%
ROICexc(3y)6.54%
ROICexc(5y)6.27%
ROICexgc(3y)76.95%
ROICexgc(5y)66.93%
ROCE(3y)7.92%
ROCE(5y)7.63%
ROICexcg growth 3Y15.24%
ROICexcg growth 5Y-1.1%
ROICexc growth 3Y7.38%
ROICexc growth 5Y-0.9%
OM growth 3Y-2.27%
OM growth 5Y-5.36%
PM growth 3Y44.25%
PM growth 5Y1.77%
GM growth 3Y-2.5%
GM growth 5Y-2.91%
F-Score7
Asset Turnover0.28
Health
| Industry Rank | Sector Rank | ||
|---|---|---|---|
| Debt/Equity | 0.97 | ||
| Debt/FCF | 7.84 | ||
| Debt/EBITDA | 3.68 | ||
| Cap/Depr | 76.77% | ||
| Cap/Sales | 7.12% | ||
| Interest Coverage | 4.24 | ||
| Cash Conversion | 69.03% | ||
| Profit Quality | 168.21% | ||
| Current Ratio | 0.69 | ||
| Quick Ratio | 0.51 | ||
| Altman-Z | 1.66 |
F-Score7
WACC6.12%
ROIC/WACC1.06
Cap/Depr(3y)99.66%
Cap/Depr(5y)97.67%
Cap/Sales(3y)9.04%
Cap/Sales(5y)9.02%
Profit Quality(3y)164.66%
Profit Quality(5y)219.33%
High Growth Momentum
Growth
EPS 1Y (TTM)15.08%
EPS 3Y4.79%
EPS 5Y-1.83%
EPS Q2Q%7.32%
EPS Next Y4.12%
EPS Next 2Y8.45%
EPS Next 3Y12.23%
EPS Next 5Y12.11%
Revenue 1Y (TTM)N/A
Revenue growth 3YN/A
Revenue growth 5YN/A
Sales Q2Q%2.54%
Revenue Next Year1.44%
Revenue Next 2Y2.97%
Revenue Next 3Y3.78%
Revenue Next 5Y4.38%
EBIT growth 1Y2.25%
EBIT growth 3Y5.74%
EBIT growth 5Y-3.2%
EBIT Next Year37.76%
EBIT Next 3Y15%
EBIT Next 5Y11.43%
FCF growth 1Y31.63%
FCF growth 3Y6.66%
FCF growth 5Y-1.23%
OCF growth 1Y9.16%
OCF growth 3Y6.79%
OCF growth 5Y-1.33%