ANHEUSER-BUSCH INBEV-SPN ADR (BUD) Stock Fundamental Analysis
USA - NYSE:BUD - US03524A1088 - ADR
63.83 USD
-0.75 (-1.16%)
63.83 USD
0 (0%)
Taking everything into account, BUD scores 4 out of 10 in our fundamental rating. BUD was compared to 33 industry peers in the Beverages industry. There are concerns on the financial health of BUD while its profitability can be described as average. BUD has a decent growth rate and is not valued too expensively.
1. Profitability
1.1 Basic Checks
In the past year BUD was profitable.
In the past year BUD had a positive cash flow from operations.
In the past 5 years BUD has always been profitable.
BUD had a positive operating cash flow in each of the past 5 years.
1.2 Ratios
BUD has a Return On Assets (3.37%) which is comparable to the rest of the industry.
BUD has a Return On Equity (8.82%) which is in line with its industry peers.
With a Return On Invested Capital value of 6.35%, BUD is not doing good in the industry: 60.61% of the companies in the same industry are doing better.
BUD had an Average Return On Invested Capital over the past 3 years of 6.05%. This is below the industry average of 10.84%.
The last Return On Invested Capital (6.35%) for BUD is above the 3 year average (6.05%), which is a sign of increasing profitability.
| Industry Rank | Sector Rank | ||
|---|---|---|---|
| ROA | 3.37% | ||
| ROE | 8.82% | ||
| ROIC | 6.35% |
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
With a decent Profit Margin value of 12.16%, BUD is doing good in the industry, outperforming 78.79% of the companies in the same industry.
In the last couple of years the Profit Margin of BUD has declined.
BUD has a better Operating Margin (26.51%) than 84.85% of its industry peers.
In the last couple of years the Operating Margin of BUD has declined.
With a decent Gross Margin value of 55.70%, BUD is doing good in the industry, outperforming 72.73% of the companies in the same industry.
BUD's Gross Margin has declined in the last couple of years.
| Industry Rank | Sector Rank | ||
|---|---|---|---|
| OM | 26.51% | ||
| PM (TTM) | 12.16% | ||
| GM | 55.7% |
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
BUD has a Return on Invested Capital (ROIC), which is just above the Cost of Capital (WACC), which means it is creating some value.
The number of shares outstanding for BUD has been reduced compared to 1 year ago.
The number of shares outstanding for BUD has been increased compared to 5 years ago.
The debt/assets ratio for BUD has been reduced compared to a year ago.
2.2 Solvency
BUD has an Altman-Z score of 1.72. This is a bad value and indicates that BUD is not financially healthy and even has some risk of bankruptcy.
BUD's Altman-Z score of 1.72 is in line compared to the rest of the industry. BUD outperforms 42.42% of its industry peers.
BUD has a debt to FCF ratio of 6.48. This is a slightly negative value and a sign of low solvency as BUD would need 6.48 years to pay back of all of its debts.
BUD has a Debt to FCF ratio of 6.48. This is comparable to the rest of the industry: BUD outperforms 57.58% of its industry peers.
A Debt/Equity ratio of 0.89 indicates that BUD is somewhat dependend on debt financing.
Looking at the Debt to Equity ratio, with a value of 0.89, BUD is doing worse than 63.64% of the companies in the same industry.
| Industry Rank | Sector Rank | ||
|---|---|---|---|
| Debt/Equity | 0.89 | ||
| Debt/FCF | 6.48 | ||
| Altman-Z | 1.72 |
ROIC/WACC1.01
WACC6.27%
2.3 Liquidity
A Current Ratio of 0.64 indicates that BUD may have some problems paying its short term obligations.
With a Current ratio value of 0.64, BUD is not doing good in the industry: 78.79% of the companies in the same industry are doing better.
A Quick Ratio of 0.48 indicates that BUD may have some problems paying its short term obligations.
With a Quick ratio value of 0.48, BUD is not doing good in the industry: 72.73% of the companies in the same industry are doing better.
| Industry Rank | Sector Rank | ||
|---|---|---|---|
| Current Ratio | 0.64 | ||
| Quick Ratio | 0.48 |
3. Growth
3.1 Past
BUD shows a small growth in Earnings Per Share. In the last year, the EPS has grown by 6.09%.
Measured over the past years, BUD shows a decrease in Earnings Per Share. The EPS has been decreasing by -1.83% on average per year.
The Revenue has decreased by -1.34% in the past year.
The Revenue has been growing slightly by 2.69% on average over the past years.
EPS 1Y (TTM)6.09%
EPS 3Y4.79%
EPS 5Y-1.83%
EPS Q2Q%1.02%
Revenue 1Y (TTM)-1.34%
Revenue growth 3Y3.25%
Revenue growth 5Y2.69%
Sales Q2Q%0.58%
3.2 Future
BUD is expected to show quite a strong growth in Earnings Per Share. In the coming years, the EPS will grow by 10.40% yearly.
BUD is expected to show a small growth in Revenue. In the coming years, the Revenue will grow by 4.14% yearly.
EPS Next Y6.36%
EPS Next 2Y10.43%
EPS Next 3Y11.28%
EPS Next 5Y10.4%
Revenue Next Year0.63%
Revenue Next 2Y2.97%
Revenue Next 3Y3.21%
Revenue Next 5Y4.14%
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.
When comparing the Revenue 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
The Price/Earnings ratio is 17.16, which indicates a rather expensive current valuation of BUD.
The rest of the industry has a similar Price/Earnings ratio as BUD.
When comparing the Price/Earnings ratio of BUD to the average of the S&P500 Index (25.91), we can say BUD is valued slightly cheaper.
Based on the Price/Forward Earnings ratio of 14.66, the valuation of BUD can be described as correct.
Compared to the rest of the industry, the Price/Forward Earnings ratio of BUD indicates a somewhat cheap valuation: BUD is cheaper than 66.67% of the companies listed in the same industry.
BUD is valuated cheaply when we compare the Price/Forward Earnings ratio to 34.57, which is the current average of the S&P500 Index.
| Industry Rank | Sector Rank | ||
|---|---|---|---|
| PE | 17.16 | ||
| Fwd PE | 14.66 |
4.2 Price Multiples
Based on the Enterprise Value to EBITDA ratio, BUD is valued a bit cheaper than the industry average as 69.70% of the companies are valued more expensively.
Based on the Price/Free Cash Flow ratio, BUD is valued cheaper than 84.85% of the companies in the same industry.
| Industry Rank | Sector Rank | ||
|---|---|---|---|
| P/FCF | 10.69 | ||
| EV/EBITDA | 9.17 |
4.3 Compensation for Growth
The high PEG Ratio(NY), which compensates the Price/Earnings for growth, indicates an expensive valuation of the company.
PEG (NY)2.7
PEG (5Y)N/A
EPS Next 2Y10.43%
EPS Next 3Y11.28%
5. Dividend
5.1 Amount
BUD has a Yearly Dividend Yield of 2.09%. Purely for dividend investing, there may be better candidates out there.
Compared to an average industry Dividend Yield of 3.11, BUD has a dividend in line with its industry peers.
Compared to an average S&P500 Dividend Yield of 2.36, BUD has a dividend comparable with the average S&P500 company.
| Industry Rank | Sector Rank | ||
|---|---|---|---|
| Dividend Yield | 2.09% |
5.2 History
The dividend of BUD decreases each year by -12.03%.
BUD has been paying a dividend for at least 10 years, so it has a reliable track record.
The dividend of BUD decreased recently.
Dividend Growth(5Y)-12.03%
Div Incr Years1
Div Non Decr Years1
5.3 Sustainability
51.68% of the earnings are spent on dividend by BUD. This is a bit on the high side, but may be sustainable.
DP51.68%
EPS Next 2Y10.43%
EPS Next 3Y11.28%
63.83
-0.75 (-1.16%)
Chartmill FA Rating
GICS SectorConsumer Staples
GICS IndustryGroupFood, Beverage & Tobacco
GICS IndustryBeverages
Earnings (Last)
Earnings (Next)
Inst Owners20.3%
Inst Owner Change-1.15%
Ins Owners0.01%
Ins Owner ChangeN/A
Market Cap124.64B
Revenue(TTM)58.61B
Net Income(TTM)7.12B
Analysts82.58
Price Target79.4 (24.39%)
Short Float %1.01%
Short Ratio5.06
Dividend
| Industry Rank | Sector Rank | ||
|---|---|---|---|
| Dividend Yield | 2.09% |
Yearly Dividend1.35
Dividend Growth(5Y)-12.03%
DP51.68%
Div Incr Years1
Div Non Decr Years1
Ex-Date
Surprises & Revisions
EPS beat(2)2
Avg EPS beat(2)4.58%
Min EPS beat(2)1.01%
Max EPS beat(2)8.16%
EPS beat(4)4
Avg EPS beat(4)8.8%
Min EPS beat(4)1.01%
Max EPS beat(4)20.27%
EPS beat(8)8
Avg EPS beat(8)7.13%
EPS beat(12)12
Avg EPS beat(12)8.52%
EPS beat(16)14
Avg EPS beat(16)8.77%
Revenue beat(2)0
Avg Revenue beat(2)-2.69%
Min Revenue beat(2)-3.28%
Max Revenue beat(2)-2.1%
Revenue beat(4)1
Avg Revenue beat(4)-1.25%
Min Revenue beat(4)-4.2%
Max Revenue beat(4)4.57%
Revenue beat(8)2
Avg Revenue beat(8)-1.89%
Revenue beat(12)2
Avg Revenue beat(12)-1.98%
Revenue beat(16)6
Avg Revenue beat(16)-1.07%
PT rev (1m)-0.45%
PT rev (3m)-5.28%
EPS NQ rev (1m)-7.81%
EPS NQ rev (3m)-6.86%
EPS NY rev (1m)-4.43%
EPS NY rev (3m)0.98%
Revenue NQ rev (1m)-1.62%
Revenue NQ rev (3m)-2.3%
Revenue NY rev (1m)-0.33%
Revenue NY rev (3m)-1.5%
Valuation
| Industry Rank | Sector Rank | ||
|---|---|---|---|
| PE | 17.16 | ||
| Fwd PE | 14.66 | ||
| P/S | 2.13 | ||
| P/FCF | 10.69 | ||
| P/OCF | 8.2 | ||
| P/B | 1.55 | ||
| P/tB | N/A | ||
| EV/EBITDA | 9.17 |
EPS(TTM)3.72
EY5.83%
EPS(NY)4.35
Fwd EY6.82%
FCF(TTM)5.97
FCFY9.35%
OCF(TTM)7.78
OCFY12.19%
SpS29.97
BVpS41.31
TBVpS-38.52
PEG (NY)2.7
PEG (5Y)N/A
Graham Number58.8
Profitability
| Industry Rank | Sector Rank | ||
|---|---|---|---|
| ROA | 3.37% | ||
| ROE | 8.82% | ||
| ROCE | 8.71% | ||
| ROIC | 6.35% | ||
| ROICexc | 6.62% | ||
| ROICexgc | 76.01% | ||
| OM | 26.51% | ||
| PM (TTM) | 12.16% | ||
| GM | 55.7% | ||
| FCFM | 19.92% |
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%
ROICexgc growth 3Y11.31%
ROICexgc 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-Score7
Asset Turnover0.28
Health
| Industry Rank | Sector Rank | ||
|---|---|---|---|
| Debt/Equity | 0.89 | ||
| Debt/FCF | 6.48 | ||
| Debt/EBITDA | 3.44 | ||
| Cap/Depr | 65.6% | ||
| Cap/Sales | 6.04% | ||
| Interest Coverage | 4.35 | ||
| Cash Conversion | 72.68% | ||
| Profit Quality | 163.87% | ||
| Current Ratio | 0.64 | ||
| Quick Ratio | 0.48 | ||
| Altman-Z | 1.72 |
F-Score7
WACC6.27%
ROIC/WACC1.01
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)6.09%
EPS 3Y4.79%
EPS 5Y-1.83%
EPS Q2Q%1.02%
EPS Next Y6.36%
EPS Next 2Y10.43%
EPS Next 3Y11.28%
EPS Next 5Y10.4%
Revenue 1Y (TTM)-1.34%
Revenue growth 3Y3.25%
Revenue growth 5Y2.69%
Sales Q2Q%0.58%
Revenue Next Year0.63%
Revenue Next 2Y2.97%
Revenue Next 3Y3.21%
Revenue Next 5Y4.14%
EBIT growth 1Y2.99%
EBIT growth 3Y2.81%
EBIT growth 5Y-1.1%
EBIT Next Year39.9%
EBIT Next 3Y16.24%
EBIT Next 5Y11.94%
FCF growth 1Y56.54%
FCF growth 3Y6.91%
FCF growth 5Y4.78%
OCF growth 1Y19.49%
OCF growth 3Y0.57%
OCF growth 5Y1.41%
ANHEUSER-BUSCH INBEV-SPN ADR / BUD FAQ
Can you provide the ChartMill fundamental rating for ANHEUSER-BUSCH INBEV-SPN ADR?
ChartMill assigns a fundamental rating of 4 / 10 to BUD.
What is the valuation status for BUD stock?
ChartMill assigns a valuation rating of 5 / 10 to ANHEUSER-BUSCH INBEV-SPN ADR (BUD). This can be considered as Fairly Valued.
How profitable is ANHEUSER-BUSCH INBEV-SPN ADR (BUD) stock?
ANHEUSER-BUSCH INBEV-SPN ADR (BUD) has a profitability rating of 5 / 10.
Can you provide the expected EPS growth for BUD stock?
The Earnings per Share (EPS) of ANHEUSER-BUSCH INBEV-SPN ADR (BUD) is expected to grow by 6.36% in the next year.
How sustainable is the dividend of ANHEUSER-BUSCH INBEV-SPN ADR (BUD) stock?
The dividend rating of ANHEUSER-BUSCH INBEV-SPN ADR (BUD) is 3 / 10 and the dividend payout ratio is 51.68%.