ENXTBR:ABI

Stock Analysis Report

Executive Summary

Anheuser-Busch InBev SA/NV, a brewing company, engages in the production, distribution, and sale of beer, alcoholic beverages, and soft drinks.


Snowflake Analysis

Undervalued with proven track record and pays a dividend.


Similar Companies

Share Price & News

How has Anheuser-Busch InBev's share price performed over time and what events caused price changes?


Latest Share Price and Events

Stable Share Price: ABI has not had significant price volatility in the past 3 months.


Market Performance


7 Day Return

-2.4%

ABI

-0.6%

BE Beverage

-1.8%

BE Market


1 Year Return

0.6%

ABI

6.5%

BE Beverage

8.1%

BE Market

Return vs Industry: ABI underperformed the Belgian Beverage industry which returned 6.5% over the past year.

Return vs Market: ABI underperformed the Belgian Market which returned 8.1% over the past year.


Shareholder returns

ABIIndustryMarket
7 Day-2.4%-0.6%-1.8%
30 Day-5.5%-2.2%-1.2%
90 Day-7.4%0.2%0.03%
1 Year2.3%0.6%8.7%6.5%10.3%8.1%
3 Year-31.2%-35.7%10.3%3.6%-4.7%-11.0%
5 Year-34.6%-41.8%15.0%3.1%-3.4%-14.7%

Price Volatility Vs. Market

How volatile is Anheuser-Busch InBev's share price compared to the market and industry in the last 5 years?


Simply Wall St News

Valuation

Is Anheuser-Busch InBev undervalued compared to its fair value and its price relative to the market?

>50%

Undervalued compared to fair value


Share Price vs. Fair Value

Below Fair Value: ABI (€66.15) is trading below our estimate of fair value (€204.08)

Significantly Below Fair Value: ABI is trading below fair value by more than 20%.


Price To Earnings Ratio

PE vs Industry: ABI is good value based on its PE Ratio (14.9x) compared to the Beverage industry average (21.7x).

PE vs Market: ABI is good value based on its PE Ratio (14.9x) compared to the Belgian market (16.8x).


Price to Earnings Growth Ratio

PEG Ratio: ABI is poor value based on its PEG Ratio (3.3x)


Price to Book Ratio

PB vs Industry: ABI is good value based on its PB Ratio (2x) compared to the XE Beverage industry average (2.2x).


Next Steps

Future Growth

How is Anheuser-Busch InBev forecast to perform in the next 1 to 3 years based on estimates from 23 analysts?

4.5%

Forecasted annual earnings growth


Earnings and Revenue Growth Forecasts


Analyst Future Growth Forecasts

Earnings vs Savings Rate: ABI's forecast earnings growth (4.5% per year) is above the savings rate (0.7%).

Earnings vs Market: ABI's earnings (4.5% per year) are forecast to grow slower than the Belgian market (7.9% per year).

High Growth Earnings: ABI's earnings are forecast to grow, but not significantly.

Revenue vs Market: ABI's revenue (3.6% per year) is forecast to grow faster than the Belgian market (2.8% per year).

High Growth Revenue: ABI's revenue (3.6% per year) is forecast to grow slower than 20% per year.


Earnings per Share Growth Forecasts


Future Return on Equity

Future ROE: ABI's Return on Equity is forecast to be low in 3 years time (12.1%).


Next Steps

Past Performance

How has Anheuser-Busch InBev performed over the past 5 years?

-4.8%

Historical annual earnings growth


Earnings and Revenue History

Quality Earnings: ABI has high quality earnings.

Growing Profit Margin: ABI's current net profit margins (17.6%) are higher than last year (12.6%).


Past Earnings Growth Analysis

Earnings Trend: ABI's earnings have declined by -4.8% per year over the past 5 years.

Accelerating Growth: ABI's earnings growth over the past year (37.9%) exceeds its 5-year average (-4.8% per year).

Earnings vs Industry: ABI earnings growth over the past year (37.9%) exceeded the Beverage industry 3.5%.


Return on Equity

High ROE: ABI's Return on Equity (13.9%) is considered low.


Return on Assets


Return on Capital Employed


Next Steps

Financial Health

How is Anheuser-Busch InBev's financial position?


Financial Position Analysis

Short Term Liabilities: ABI's short term assets ($20.1B) do not cover its short term liabilities ($37.3B).

Long Term Liabilities: ABI's short term assets ($20.1B) do not cover its long term liabilities ($121.9B).


Debt to Equity History and Analysis

Debt Level: ABI's debt to equity ratio (141.6%) is considered high.

Reducing Debt: ABI's debt to equity ratio has increased from 96.7% to 141.6% over the past 5 years.

Debt Coverage: ABI's debt is not well covered by operating cash flow (14.6%).

Interest Coverage: ABI's interest payments on its debt are well covered by EBIT (4.2x coverage).


Balance Sheet

Inventory Level: ABI has a low level of unsold assets or inventory.

Debt Coverage by Assets: ABI's debt is not covered by short term assets (assets are 0.2x debt).


Next Steps

Dividend

What is Anheuser-Busch InBev's current dividend yield, its reliability and sustainability?

2.70%

Current Dividend Yield


Dividend Yield vs Market

Notable Dividend: ABI's dividend (2.7%) is higher than the bottom 25% of dividend payers in the Belgian market (2.06%).

High Dividend: ABI's dividend (2.7%) is low compared to the top 25% of dividend payers in the Belgian market (4.31%).


Stability and Growth of Payments

Stable Dividend: ABI's dividend payments have been volatile in the past 10 years.

Growing Dividend: ABI's dividend payments have increased over the past 10 years.


Current Payout to Shareholders

Dividend Coverage: With its low payout ratio (21.9%), ABI's dividend payments are well covered by earnings.


Future Payout to Shareholders

Future Dividend Coverage: ABI's dividends in 3 years are forecast to be well covered by earnings (46.8% payout ratio).


Next Steps

Management

How experienced are the management team and are they aligned to shareholders interests?

6.1yrs

Average management tenure


CEO

Carlos de Brito (59yo)

14.2yrs

Tenure

US$2,600,000

Compensation

Mr. Carlos Alves de Brito has been the Chief Executive Officer of Anheuser-Busch InBev SA/NV since December 2005 and serves as its Member of Executive Board of Management. Mr. de Brito served as Sales Dire ...


CEO Compensation Analysis

Compensation vs Market: Carlos's total compensation ($USD2.60M) is about average for companies of similar size in the Belgian market ($USD2.50M).

Compensation vs Earnings: Carlos's compensation has been consistent with company performance over the past year.


Leadership Team

NamePositionTenureCompensationOwnership
Carlos de Brito
CEO & Member of Executive Management Board14.2yrsUS$2.60mno data
Felipe Dutra
CTO, CFO & Member of Executive Management Board6.1yrsno datano data
Pedro De Sá Earp
Chief Marketing & ZX Ventures Officer and Member of Executive Management Board5yrsno datano data
Tony Milikin
Chief Procurement & Sustainability Officer and Member of Executive Management Board0yrsno datano data
Michel Doukeris
Member of Executive Management Board0yrsno datano data
Ricardo Tadeu
Chief Sales Officer & Member of Executive Management Board6.7yrsno datano data
David Almeida
Chief People & Strategy Officer and Member of Executive Management Board4.2yrsno datano data
Peter Kraemer
Chief Supply Officer & Member of Executive Management Board0yrsno datano data
Jan Eli Craps
Member of Executive Management Board0yrsno datano data
Carlos Eduardo Lisboa
Zone President Middle Americas & Member of Executive Management Board0yrsno datano data

6.1yrs

Average Tenure

48yo

Average Age

Experienced Management: ABI's management team is seasoned and experienced (6.1 years average tenure).


Board Members

NamePositionTenureCompensationOwnership
Martha Burns
Non-Executive Independent Director4.8yrsUS$160.50kno data
Marcel Telles
Non-Executive Director16.1yrsUS$105.00kno data
Alexandre Van Damme
Non-Executive Director28.1yrsUS$93.00kno data
Arthur Cornet de Ways-Ruart
Non-Executive Director8.8yrsUS$75.00kno data
Jabulane Mabuza
Chairman of Africa Board3.3yrsno datano data
Sabine Chalmers
Independent Director0.8yrsno datano data
Claudio Moniz Garcia
Director0.8yrsno datano data
María Asunción Aramburuzabala Larregu
Non-Executive Non-Independent Director5.8yrsUS$75.00kno data
Grégoire de Spoelberch
Non-Executive Director13.1yrsUS$81.00kno data
Martin Barrington
Independent Chairman0.8yrsUS$53.87kno data

5.3yrs

Average Tenure

56.5yo

Average Age

Experienced Board: ABI's board of directors are considered experienced (5.3 years average tenure).


Ownership

Who are the major shareholders and have insiders been buying or selling?


Insider Trading Volume

Insider Buying: Insufficient data to determine if insiders have bought more shares than they have sold in the past 3 months.


Ownership Breakdown

Dilution of Shares: Shareholders have not been meaningfully diluted in the past year.


Top Shareholders

Company Information

Anheuser-Busch InBev SA/NV's company bio, employee growth, exchange listings and data sources


Key Information

  • Name: Anheuser-Busch InBev SA/NV
  • Ticker: ABI
  • Exchange: ENXTBR
  • Founded: 1366
  • Industry: Brewers
  • Sector: Food, Beverage & Tobacco
  • Market Cap: €129.613b
  • Shares outstanding: 1.96b
  • Website: https://www.ab-inbev.com

Number of Employees


Location

  • Anheuser-Busch InBev SA/NV
  • Brouwerijplein 1
  • Leuven
  • Flemish Brabant
  • 3000
  • Belgium

Listings

TickerExchangePrimary SecuritySecurity TypeCountryCurrencyListed on
ABIBIT (Borsa Italiana)YesNew Ordinary SharesITEURDec 2000
ABIENXTBR (Euronext Brussels)YesNew Ordinary SharesBEEURDec 2000
ABITSWX (SIX Swiss Exchange)YesNew Ordinary SharesCHCHFDec 2000
0RJILSE (London Stock Exchange)YesNew Ordinary SharesGBEURDec 2000
ANHJSE (The Johannesburg Securities Exchange)YesNew Ordinary SharesZAZARDec 2000
1NBADB (Deutsche Boerse AG)YesNew Ordinary SharesDEEURDec 2000
1NBAXTRA (XETRA Trading Platform)YesNew Ordinary SharesDEEURDec 2000
ANB *BMV (Bolsa Mexicana de Valores)YesNew Ordinary SharesMXMXNDec 2000
ABIBBATS-CHIXE (BATS 'Chi-X Europe')YesNew Ordinary SharesGBEURDec 2000
BUDF.FOTCPK (Pink Sheets LLC)YesNew Ordinary SharesUSUSDDec 2000
ABINWBAG (Wiener Boerse AG)YesNew Ordinary SharesATEURDec 2000
BUDNYSE (New York Stock Exchange)SPONSORED ADRUSUSDJul 2009
ITKADB (Deutsche Boerse AG)SPONSORED ADRDEEURJul 2009

Biography

Anheuser-Busch InBev SA/NV, a brewing company, engages in the production, distribution, and sale of beer, alcoholic beverages, and soft drinks. The company offers a portfolio of approximately 500 beer brands, including Budweiser, Corona, and Stella Artois; Beck’s, Castle, Castle Lite, Hoegaarden, and Leffe; and Aguila, Antarctica, Bud Light, Brahma, Cass, Cristal, Harbin, Jupiler, Michelob Ultra, Modelo Especial, Quilmes, Victoria, Sedrin, and Skol. It has operations in North America, Latin America West, Latin America North, Latin America South, Europe, Africa, and the Asia Pacific. The company was founded in 1366 and is headquartered in Leuven, Belgium. 


Company Analysis and Financial Data Status

All financial data provided by Standard & Poor's Capital IQ.
DataLast Updated (UTC time)
Company Analysis2020/02/22 23:44
End of Day Share Price2020/02/21 00:00
Earnings2019/09/30
Annual Earnings2018/12/31


Unless specified all financial data is based on a yearly period but updated quarterly. This is known as Trailing Twelve Month (TTM) or Last Twelve Month (LTM) Data. Learn more here.