Analysts have slightly reduced their price target for Fomento Económico Mexicano, S.A.B. de C.V., lowering it from $230.35 to $227.74 because they now expect more moderate revenue growth and profit margin improvement.
What's in the News
- FEMSA's Board of Directors has appointed Jose Antonio Fernández Garza-Lagüera as the next Chief Executive Officer, effective November 1, 2025. He will succeed José Antonio Fernández Carbajal, who will remain Executive Chairman. (Company announcement)
- FEMSA and Raen, S.A. have reached an agreement to end their joint venture in Brazil. FEMSA will retain all OXXO stores and the Cajamar distribution center, while Raen will keep all Shell Select convenience stores. The transaction is cash-neutral and supports FEMSA's focus on accelerated OXXO expansion in Brazil. (Company filing)
- Between May 19 and July 22, 2025, FEMSA completed a buyback of 2,439,936 shares, representing 0.07% of the company, totaling $250 million. (Disclosure)
Valuation Changes
- Consensus Analyst Price Target has decreased slightly, from MX$230.35 to MX$227.74.
- Discount Rate remains unchanged at 14.12%.
- Revenue Growth forecast has been revised downward from 8.36% to 7.85%.
- Net Profit Margin is now projected to be marginally lower, moving from 3.99% to 3.94%.
- Future P/E ratio has risen slightly, increasing from 26.24x to 26.65x.
Disclaimer
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