Is Fevertree Drinks PLC (LON:FEVR) Potentially Undervalued?
Dec 05
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U.K. (FTSE) Beverage Industry Analysis
UpdatedDec 13, 2024
DataAggregated Company Financials
Companies15
- 7D3.9%
- 3M2.6%
- 1Y-5.8%
- YTD-4.3%
The Beverage industry is up 4.3% in the last week, with Diageo up 5.4%. In the past year, the industry is down 6.0%. As for the next few years, earnings are expected to grow by 6.8% per annum.
Industry Valuation and Performance
Has the U.K. Beverage Industry valuation changed over the past few years?
| Date | Market Cap | Revenue | Earnings | PE | Absolute PE | PS |
|---|---|---|---|---|---|---|
| Fri, 13 Dec 2024 | UK£72.9b | UK£29.0b | UK£3.7b | 19.2x | 19.9x | 2.5x |
| Sun, 10 Nov 2024 | UK£67.6b | UK£28.7b | UK£3.6b | 19.4x | 18.7x | 2.4x |
| Tue, 08 Oct 2024 | UK£73.4b | UK£28.6b | UK£3.6b | 19.4x | 20.5x | 2.6x |
| Thu, 05 Sep 2024 | UK£70.8b | UK£28.6b | UK£3.6b | 22.4x | 19.8x | 2.5x |
| Sat, 03 Aug 2024 | UK£69.4b | UK£29.0b | UK£3.7b | 22.3x | 19x | 2.4x |
| Mon, 01 Jul 2024 | UK£71.2b | UK£30.2b | UK£4.0b | 20.3x | 17.8x | 2.4x |
| Wed, 29 May 2024 | UK£74.2b | UK£30.1b | UK£4.1b | 19.2x | 18.2x | 2.5x |
| Fri, 26 Apr 2024 | UK£76.0b | UK£30.4b | UK£4.2b | 18.9x | 18.3x | 2.5x |
| Sun, 24 Mar 2024 | UK£78.8b | UK£30.3b | UK£4.1b | 19.8x | 19.1x | 2.6x |
| Tue, 20 Feb 2024 | UK£80.0b | UK£30.2b | UK£4.1b | 26.2x | 19.4x | 2.6x |
| Thu, 18 Jan 2024 | UK£75.1b | UK£30.1b | UK£4.5b | 25.8x | 16.8x | 2.5x |
| Sat, 16 Dec 2023 | UK£77.0b | UK£30.1b | UK£4.5b | 24.3x | 17.2x | 2.6x |
| Mon, 13 Nov 2023 | UK£76.6b | UK£30.2b | UK£4.5b | 22.5x | 17x | 2.5x |
| Wed, 11 Oct 2023 | UK£82.6b | UK£30.1b | UK£4.5b | 18.6x | 18.3x | 2.7x |
| Fri, 08 Sep 2023 | UK£85.0b | UK£29.9b | UK£4.5b | 18.5x | 18.7x | 2.8x |
| Sun, 06 Aug 2023 | UK£88.7b | UK£29.3b | UK£4.3b | 20x | 20.4x | 3x |
| Tue, 04 Jul 2023 | UK£90.1b | UK£29.1b | UK£4.2b | 21.3x | 21.5x | 3.1x |
| Thu, 01 Jun 2023 | UK£89.7b | UK£29.1b | UK£4.2b | 22.8x | 21.4x | 3.1x |
| Sat, 29 Apr 2023 | UK£96.3b | UK£29.2b | UK£4.2b | 23.6x | 23x | 3.3x |
| Mon, 27 Mar 2023 | UK£94.8b | UK£29.2b | UK£4.2b | 22.3x | 22.6x | 3.2x |
| Wed, 22 Feb 2023 | UK£94.0b | UK£29.2b | UK£4.2b | 21.1x | 22.4x | 3.2x |
| Fri, 20 Jan 2023 | UK£95.9b | UK£26.7b | UK£3.9b | 17.3x | 24.6x | 3.6x |
| Sun, 18 Dec 2022 | UK£94.7b | UK£26.7b | UK£3.9b | 17.4x | 24.3x | 3.5x |
| Tue, 15 Nov 2022 | UK£95.9b | UK£26.7b | UK£3.9b | 18x | 24.7x | 3.6x |
| Thu, 13 Oct 2022 | UK£152.6b | UK£26.4b | UK£3.9b | 22x | 39.6x | 5.8x |
| Sat, 10 Sep 2022 | UK£98.8b | UK£26.2b | UK£3.8b | 21.5x | 25.8x | 3.8x |
| Mon, 08 Aug 2022 | UK£100.1b | UK£25.2b | UK£3.9b | 25.5x | 25.7x | 4x |
| Wed, 06 Jul 2022 | UK£92.3b | UK£23.7b | UK£3.7b | 22.3x | 25x | 3.9x |
| Fri, 03 Jun 2022 | UK£95.1b | UK£23.6b | UK£3.7b | 25.7x | 25.8x | 4x |
| Sun, 01 May 2022 | UK£105.2b | UK£23.0b | UK£3.6b | 30.3x | 29.3x | 4.6x |
| Tue, 29 Mar 2022 | UK£100.5b | UK£23.0b | UK£3.6b | 28.9x | 28.1x | 4.4x |
| Thu, 24 Feb 2022 | UK£100.5b | UK£22.6b | UK£3.6b | 28x | 27.8x | 4.4x |
| Sat, 22 Jan 2022 | UK£105.4b | UK£21.6b | UK£3.2b | 32.8x | 32.6x | 4.9x |
| Mon, 20 Dec 2021 | UK£118.0b | UK£21.7b | UK£3.2b | 37.6x | 36.4x | 5.4x |
Price to Earnings Ratio
36.4x
Current Industry PE
- Investors are pessimistic on the British Beverage industry, indicating that they anticipate long term growth rates will be lower than they have historically.
- The industry is trading at a PE ratio of 19.5x which is lower than its 3-year average PE of 24.6x.
- The 3-year average PS ratio of 3.6x is higher than the industry's current PS ratio of 2.5x.
Past Earnings Growth
- The earnings for companies in the Beverage industry have grown 4.0% per year over the last three years.
- Revenues for these companies have grown 10% per year.
- This means that more sales are being generated by these companies overall, and subsequently their profits are increasing too.
Industry Trends
Which industries have driven the changes within the U.K. Consumer Staples industry?
| GB Market | -0.37% | |
| Consumer Staples | 0.42% | |
| Beverage | 3.86% | |
| Distillers and Wine Makers | 5.32% | |
| Brewers | -0.86% | |
| Soft Drinks | -1.25% | |
Industry PE
- Investors are most optimistic about the Brewers industry which is trading above its 3-year average PE ratio of 20.2x.
- Analysts are expecting annual earnings growth of 8.0%, which is lower than the prior year's growth of 44.9% per year.
- Investors are most pessimistic about the Distillers and Wine Makers industry, which is trading below its 3-year average of 25.2x.
Forecasted Growth
- Analysts are most optimistic on the Soft Drinks industry, expecting annual earnings growth of 15% over the next 5 years.
- This is better than its past earnings growth rate of 6.5% per year.
- In contrast, the Distillers and Wine Makers industry is expected to see its earnings grow by 4.7% per year over the next few years.
Top Stock Gainers and Losers
Which companies have driven the market over the last 7 days?
| Company | Last Price | 7D | 1Y | Valuation | |
|---|---|---|---|---|---|
| DGE Diageo | UK£25.59 | 5.4% +UK£2.9b | -10.8% | PE18.7x | |
| CCR C&C Group | UK£1.50 | 3.3% +UK£18.2m | 7.1% | PS0.4x | |
| BVIC Britvic | UK£12.90 | 0.08% +UK£10.8m | 49.0% | PE25.4x | |
| NICL Nichols | UK£13.00 | 0.8% +UK£3.7m | 19.8% | PE25.3x | |
| BAG A.G. BARR | UK£6.26 | 0.5% +UK£3.3m | 23.5% | PE19.2x |
