ANHEUSER-BUSCH INBEV SA/NV (1ABI.MI) Stock Fundamental Analysis
BIT:1ABI - Euronext Milan - BE0974293251 - Common Stock - Currency: EUR
We assign a fundamental rating of 4 out of 10 to 1ABI. 1ABI was compared to 23 industry peers in the Beverages industry. There are concerns on the financial health of 1ABI while its profitability can be described as average. 1ABI has a valuation in line with the averages, but it does not seem to be growing.
1. Profitability
1.1 Basic Checks
1ABI had positive earnings in the past year.
1ABI had a positive operating cash flow in the past year.
1ABI had positive earnings in 4 of the past 5 years.
Of the past 5 years 1ABI 4 years had a positive operating cash flow.
1.2 Ratios
With a decent Return On Assets value of 2.81%, 1ABI is doing good in the industry, outperforming 60.71% of the companies in the same industry.
1ABI has a Return On Equity of 7.55%. This is in the better half of the industry: 1ABI outperforms 64.29% of its industry peers.
1ABI has a Return On Invested Capital (6.49%) which is in line with its industry peers.
The Average Return On Invested Capital over the past 3 years for 1ABI is in line with the industry average of 7.90%.
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
Looking at the Profit Margin, with a value of 9.89%, 1ABI is in the better half of the industry, outperforming 75.00% of the companies in the same industry.
In the last couple of years the Profit Margin of 1ABI has grown nicely.
1ABI has a better Operating Margin (25.14%) than 78.57% of its industry peers.
1ABI's Operating Margin has declined in the last couple of years.
1ABI has a better Gross Margin (54.48%) than 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.
Looking at the Altman-Z score, with a value of 1.66, 1ABI is doing worse than 71.43% of the companies in the same industry.
1ABI has a debt to FCF ratio of 7.84. This is a slightly negative value and a sign of low solvency as 1ABI would need 7.84 years to pay back of all of its debts.
Looking at the Debt to FCF ratio, with a value of 7.84, 1ABI is in the better half of the industry, outperforming 67.86% of the companies in the same industry.
1ABI has a Debt/Equity ratio of 0.97. This is a neutral value indicating 1ABI is somewhat dependend on debt financing.
1ABI has a Debt to Equity ratio (0.97) which is comparable to the rest of the 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
1ABI has a Current Ratio of 0.69. This is a bad value and indicates that 1ABI is not financially healthy enough and could expect problems in meeting its short term obligations.
With a Current ratio value of 0.69, 1ABI is not doing good in the industry: 82.14% of the companies in the same industry are doing better.
1ABI has a Quick Ratio of 0.69. This is a bad value and indicates that 1ABI is not financially healthy enough and could expect problems in meeting its short term obligations.
1ABI's Quick ratio of 0.51 is on the low side compared to the rest of the industry. 1ABI is outperformed by 64.29% of its industry peers.
| Industry Rank | Sector Rank | ||
|---|---|---|---|
| Current Ratio | 0.69 | ||
| Quick Ratio | 0.51 |
3. Growth
3.1 Past
The Earnings Per Share has grown by an nice 15.08% over the past year.
1ABI shows a decrease in Earnings Per Share. Measured over the last years, the EPS has been decreasing by -1.83% yearly.
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
Based on estimates for the next years, 1ABI will show a quite strong growth in Earnings Per Share. The EPS will grow by 12.11% on average per year.
Based on estimates for the next years, 1ABI will show a small growth in Revenue. The Revenue will grow by 4.38% on average per year.
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
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.
4. Valuation
4.1 Price/Earnings Ratio
Based on the Price/Earnings ratio of 19.06, the valuation of 1ABI can be described as rather expensive.
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.
1ABI is valuated rather cheaply when we compare the Price/Earnings ratio to 27.45, which is the current average of the S&P500 Index.
With a Price/Forward Earnings ratio of 18.31, 1ABI is valued on the expensive side.
Compared to the rest of the industry, the Price/Forward Earnings ratio of 1ABI is on the same level as its industry peers.
1ABI's Price/Forward Earnings ratio indicates a similar valuation than the S&P500 average which is at 21.90.
| Industry Rank | Sector Rank | ||
|---|---|---|---|
| PE | 19.06 | ||
| Fwd PE | 18.31 |
4.2 Price Multiples
Based on the Enterprise Value to EBITDA ratio, 1ABI is valued a bit 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 | 13.06 | ||
| 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.
A more expensive valuation may be justified as 1ABI's earnings are expected to grow with 12.23% in the coming years.
PEG (NY)4.62
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 3.04.
Compared to an average S&P500 Dividend Yield of 2.42, 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 (7/4/2025, 7:00:00 PM)
58.9
+0.88 (+1.52%)
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 Cap114.64B
Analysts83.13
Price Target72.24 (22.65%)
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 | 19.06 | ||
| Fwd PE | 18.31 | ||
| P/S | 2.17 | ||
| P/FCF | 13.06 | ||
| P/OCF | 9.15 | ||
| P/B | 1.66 | ||
| P/tB | N/A | ||
| EV/EBITDA | 9.02 |
EPS(TTM)3.09
EY5.25%
EPS(NY)3.22
Fwd EY5.46%
FCF(TTM)4.51
FCFY7.66%
OCF(TTM)6.44
OCFY10.93%
SpS27.1
BVpS35.51
TBVpS-34.21
PEG (NY)4.62
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%