ANHEUSER-BUSCH INBEV SA/NV (ABI.BR) Stock Fundamental Analysis
EBR:ABI - Euronext Brussels - BE0974293251 - Common Stock - Currency: EUR
ABI gets a fundamental rating of 4 out of 10. The analysis compared the fundamentals against 25 industry peers in the Beverages industry. There are concerns on the financial health of ABI while its profitability can be described as average. ABI has a decent growth rate and is not valued too expensively.
1. Profitability
1.1 Basic Checks
In the past year ABI was profitable.
ABI had a positive operating cash flow in the past year.
ABI had positive earnings in each of the past 5 years.
Each year in the past 5 years ABI had a positive operating cash flow.
1.2 Ratios
ABI has a Return On Assets (2.83%) which is comparable to the rest of the industry.
Looking at the Return On Equity, with a value of 7.48%, ABI is in line with its industry, outperforming 56.00% of the companies in the same industry.
ABI has a Return On Invested Capital of 6.49%. This is in the lower half of the industry: ABI underperforms 60.00% of its industry peers.
Measured over the past 3 years, the Average Return On Invested Capital for ABI is in line with the industry average of 7.98%.
The last Return On Invested Capital (6.49%) for ABI is above the 3 year average (6.05%), which is a sign of increasing profitability.
| Industry Rank | Sector Rank | ||
|---|---|---|---|
| ROA | 2.83% | ||
| ROE | 7.48% | ||
| ROIC | 6.49% |
ROA(3y)2.69%
ROA(5y)2.17%
ROE(3y)7.38%
ROE(5y)6.2%
ROIC(3y)6.05%
ROIC(5y)5.66%
1.3 Margins
Looking at the Profit Margin, with a value of 9.80%, ABI is in line with its industry, outperforming 56.00% of the companies in the same industry.
In the last couple of years the Profit Margin of ABI has declined.
Looking at the Operating Margin, with a value of 25.87%, ABI is in the better half of the industry, outperforming 76.00% of the companies in the same industry.
In the last couple of years the Operating Margin of ABI has declined.
ABI's Gross Margin of 55.25% is fine compared to the rest of the industry. ABI outperforms 64.00% of its industry peers.
ABI's Gross Margin has declined in the last couple of years.
| Industry Rank | Sector Rank | ||
|---|---|---|---|
| OM | 25.87% | ||
| PM (TTM) | 9.8% | ||
| GM | 55.25% |
OM growth 3Y-0.42%
OM growth 5Y-3.7%
PM growth 3Y4.44%
PM growth 5Y-10.98%
GM growth 3Y-1.3%
GM growth 5Y-1.99%
2. Health
2.1 Basic Checks
With a Return on Invested Capital (ROIC) just above the Cost of Capital (WACC), ABI is creating some value.
The number of shares outstanding for ABI has been reduced compared to 1 year ago.
ABI has more shares outstanding than it did 5 years ago.
The debt/assets ratio for ABI has been reduced compared to a year ago.
2.2 Solvency
ABI has an Altman-Z score of 1.81. This is not the best score and indicates that ABI is in the grey zone with still only limited risk for bankruptcy at the moment.
Looking at the Altman-Z score, with a value of 1.81, ABI is in line with its industry, outperforming 44.00% of the companies in the same industry.
ABI has a debt to FCF ratio of 6.45. This is a slightly negative value and a sign of low solvency as ABI would need 6.45 years to pay back of all of its debts.
Looking at the Debt to FCF ratio, with a value of 6.45, ABI is in the better half of the industry, outperforming 72.00% of the companies in the same industry.
ABI has a Debt/Equity ratio of 0.90. This is a neutral value indicating ABI is somewhat dependend on debt financing.
Looking at the Debt to Equity ratio, with a value of 0.90, ABI is in line with its industry, outperforming 52.00% of the companies in the same industry.
| Industry Rank | Sector Rank | ||
|---|---|---|---|
| Debt/Equity | 0.9 | ||
| Debt/FCF | 6.45 | ||
| Altman-Z | 1.81 |
ROIC/WACC1.06
WACC6.15%
2.3 Liquidity
A Current Ratio of 0.70 indicates that ABI may have some problems paying its short term obligations.
Looking at the Current ratio, with a value of 0.70, ABI is doing worse than 84.00% of the companies in the same industry.
A Quick Ratio of 0.54 indicates that ABI may have some problems paying its short term obligations.
ABI has a worse Quick ratio (0.54) than 60.00% of its industry peers.
| Industry Rank | Sector Rank | ||
|---|---|---|---|
| Current Ratio | 0.7 | ||
| Quick Ratio | 0.54 |
3. Growth
3.1 Past
ABI shows a strong growth in Earnings Per Share. In the last year, the EPS has been growing by 13.33%, which is quite good.
Measured over the past years, ABI shows a decrease in Earnings Per Share. The EPS has been decreasing by -1.83% on average per year.
Looking at the last year, ABI shows a decrease in Revenue. The Revenue has decreased by -1.45% in the last year.
Measured over the past years, ABI shows a small growth in Revenue. The Revenue has been growing by 2.69% on average per year.
EPS 1Y (TTM)13.33%
EPS 3Y4.79%
EPS 5Y-1.83%
EPS Q2Q%8%
Revenue 1Y (TTM)-1.45%
Revenue growth 3Y3.25%
Revenue growth 5Y2.69%
Sales Q2Q%-6.32%
3.2 Future
The Earnings Per Share is expected to grow by 11.42% on average over the next years. This is quite good.
The Revenue is expected to grow by 4.35% on average over the next years.
EPS Next Y4.12%
EPS Next 2Y8.45%
EPS Next 3Y12.23%
EPS Next 5Y11.42%
Revenue Next Year1.78%
Revenue Next 2Y3.14%
Revenue Next 3Y3.48%
Revenue Next 5Y4.35%
3.3 Evolution
When comparing the EPS growth rate of the last years to the growth rate of the upcoming years, we see that the growth is accelerating.
The Revenue 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
ABI is valuated rather expensively with a Price/Earnings ratio of 20.03.
ABI's Price/Earnings is on the same level as the industry average.
The average S&P500 Price/Earnings ratio is at 26.32. ABI is valued slightly cheaper when compared to this.
With a Price/Forward Earnings ratio of 17.31, ABI is valued on the expensive side.
ABI's Price/Forward Earnings is on the same level as the industry average.
ABI's Price/Forward Earnings ratio indicates a valuation a bit cheaper than the S&P500 average which is at 22.13.
| Industry Rank | Sector Rank | ||
|---|---|---|---|
| PE | 20.03 | ||
| Fwd PE | 17.31 |
4.2 Price Multiples
Based on the Enterprise Value to EBITDA ratio, ABI is valued a bit cheaper than 64.00% of the companies in the same industry.
Compared to the rest of the industry, the Price/Free Cash Flow ratio of ABI indicates a somewhat cheap valuation: ABI is cheaper than 76.00% of the companies listed in the same industry.
| Industry Rank | Sector Rank | ||
|---|---|---|---|
| P/FCF | 12.39 | ||
| EV/EBITDA | 9.23 |
4.3 Compensation for Growth
The high PEG Ratio(NY), which compensates the Price/Earnings for growth, indicates ABI does not grow enough to justify the current Price/Earnings ratio.
ABI's earnings are expected to grow with 12.23% in the coming years. This may justify a more expensive valuation.
PEG (NY)4.86
PEG (5Y)N/A
EPS Next 2Y8.45%
EPS Next 3Y12.23%
5. Dividend
5.1 Amount
ABI has a Yearly Dividend Yield of 1.13%. Purely for dividend investing, there may be better candidates out there.
Compared to an average industry Dividend Yield of 2.89, ABI is paying slightly less dividend.
With a Dividend Yield of 1.13, ABI pays less dividend than the S&P500 average, which is at 2.40.
| Industry Rank | Sector Rank | ||
|---|---|---|---|
| Dividend Yield | 1.13% |
5.2 History
The dividend of ABI decreases each year by -12.03%.
Dividend Growth(5Y)-12.03%
Div Incr Years3
Div Non Decr Years4
5.3 Sustainability
45.64% of the earnings are spent on dividend by ABI. This is a bit on the high side, but may be sustainable.
DP45.64%
EPS Next 2Y8.45%
EPS Next 3Y12.23%
EBR:ABI (6/16/2025, 4:31:17 PM)
62.09
+0.13 (+0.21%)
Chartmill FA Rating
GICS SectorConsumer Staples
GICS IndustryGroupFood, Beverage & Tobacco
GICS IndustryBeverages
Earnings (Last)
Earnings (Next)
Inst Owners19.76%
Inst Owner ChangeN/A
Ins Owners0.01%
Ins Owner ChangeN/A
Market Cap120.42B
Analysts83.75
Price Target73.37 (18.17%)
Short Float %N/A
Short RatioN/A
Dividend
| Industry Rank | Sector Rank | ||
|---|---|---|---|
| Dividend Yield | 1.13% |
Yearly Dividend1.17
Dividend Growth(5Y)-12.03%
DP45.64%
Div Incr Years3
Div Non Decr Years4
Ex-DateN/A
Surprises & Revisions
EPS beat(2)2
Avg EPS beat(2)13.01%
Min EPS beat(2)5.76%
Max EPS beat(2)20.27%
EPS beat(4)4
Avg EPS beat(4)10.29%
Min EPS beat(4)4.3%
Max EPS beat(4)20.27%
EPS beat(8)8
Avg EPS beat(8)6.77%
EPS beat(12)10
Avg EPS beat(12)7.21%
EPS beat(16)13
Avg EPS beat(16)7.45%
Revenue beat(2)1
Avg Revenue beat(2)0.19%
Min Revenue beat(2)-4.2%
Max Revenue beat(2)4.57%
Revenue beat(4)2
Avg Revenue beat(4)-0.03%
Min Revenue beat(4)-4.2%
Max Revenue beat(4)4.57%
Revenue beat(8)2
Avg Revenue beat(8)-1.53%
Revenue beat(12)4
Avg Revenue beat(12)-1.48%
Revenue beat(16)7
Avg Revenue beat(16)-0.4%
PT rev (1m)2.86%
PT rev (3m)3.52%
EPS NQ rev (1m)0.61%
EPS NQ rev (3m)-1.48%
EPS NY rev (1m)0%
EPS NY rev (3m)2.86%
Revenue NQ rev (1m)-0.01%
Revenue NQ rev (3m)-0.73%
Revenue NY rev (1m)0%
Revenue NY rev (3m)0.33%
Valuation
| Industry Rank | Sector Rank | ||
|---|---|---|---|
| PE | 20.03 | ||
| Fwd PE | 17.31 | ||
| P/S | 2.32 | ||
| P/FCF | 12.39 | ||
| P/OCF | 9.21 | ||
| P/B | 1.77 | ||
| P/tB | N/A | ||
| EV/EBITDA | 9.23 |
EPS(TTM)3.1
EY4.99%
EPS(NY)3.59
Fwd EY5.78%
FCF(TTM)5.01
FCFY8.07%
OCF(TTM)6.74
OCFY10.86%
SpS26.77
BVpS35.04
TBVpS-32.37
PEG (NY)4.86
PEG (5Y)N/A
Profitability
| Industry Rank | Sector Rank | ||
|---|---|---|---|
| ROA | 2.83% | ||
| ROE | 7.48% | ||
| ROCE | 8.91% | ||
| ROIC | 6.49% | ||
| ROICexc | 6.95% | ||
| ROICexgc | 96.58% | ||
| OM | 25.87% | ||
| PM (TTM) | 9.8% | ||
| GM | 55.25% | ||
| FCFM | 18.73% |
ROA(3y)2.69%
ROA(5y)2.17%
ROE(3y)7.38%
ROE(5y)6.2%
ROIC(3y)6.05%
ROIC(5y)5.66%
ROICexc(3y)6.43%
ROICexc(5y)6.06%
ROICexgc(3y)81%
ROICexgc(5y)72.75%
ROCE(3y)8.3%
ROCE(5y)7.79%
ROICexcg growth 3Y11.31%
ROICexcg growth 5Y15.72%
ROICexc growth 3Y4.65%
ROICexc growth 5Y2.73%
OM growth 3Y-0.42%
OM growth 5Y-3.7%
PM growth 3Y4.44%
PM growth 5Y-10.98%
GM growth 3Y-1.3%
GM growth 5Y-1.99%
F-Score8
Asset Turnover0.29
Health
| Industry Rank | Sector Rank | ||
|---|---|---|---|
| Debt/Equity | 0.9 | ||
| Debt/FCF | 6.45 | ||
| Debt/EBITDA | 3.37 | ||
| Cap/Depr | 69.68% | ||
| Cap/Sales | 6.46% | ||
| Interest Coverage | 4.24 | ||
| Cash Conversion | 71.67% | ||
| Profit Quality | 191.15% | ||
| Current Ratio | 0.7 | ||
| Quick Ratio | 0.54 | ||
| Altman-Z | 1.81 |
F-Score8
WACC6.15%
ROIC/WACC1.06
Cap/Depr(3y)85.67%
Cap/Depr(5y)89.39%
Cap/Sales(3y)7.73%
Cap/Sales(5y)8.33%
Profit Quality(3y)163.01%
Profit Quality(5y)238.24%
High Growth Momentum
Growth
EPS 1Y (TTM)13.33%
EPS 3Y4.79%
EPS 5Y-1.83%
EPS Q2Q%8%
EPS Next Y4.12%
EPS Next 2Y8.45%
EPS Next 3Y12.23%
EPS Next 5Y11.42%
Revenue 1Y (TTM)-1.45%
Revenue growth 3Y3.25%
Revenue growth 5Y2.69%
Sales Q2Q%-6.32%
Revenue Next Year1.78%
Revenue Next 2Y3.14%
Revenue Next 3Y3.48%
Revenue Next 5Y4.35%
EBIT growth 1Y5.98%
EBIT growth 3Y2.81%
EBIT growth 5Y-1.1%
EBIT Next Year40.75%
EBIT Next 3Y16.41%
EBIT Next 5Y12.43%
FCF growth 1Y29.73%
FCF growth 3Y6.91%
FCF growth 5Y4.78%
OCF growth 1Y13.49%
OCF growth 3Y0.57%
OCF growth 5Y1.41%