Market Cap
R$245.6b
Last Updated
2021/01/22 21:56 UTC
Data Sources
Company Financials +
Executive Summary
Ambev S.A., through its subsidiaries, produces, distributes, and sells beer, draft beer, carbonated soft drinks (CSD), other non-alcoholic beverages, malt, and food products in the Americas. More Details
Rewards
Risk Analysis
Snowflake Analysis
Excellent balance sheet unattractive dividend payer.
Similar Companies
Share Price & News
How has Ambev's share price performed over time and what events caused price changes?
Latest Share Price and Events
Stable Share Price: ABEV3 is not significantly more volatile than the rest of BR stocks over the past 3 months, typically moving +/- 6% a week.
Volatility Over Time: ABEV3's weekly volatility (6%) has been stable over the past year.
Market Performance
7 Day Return
-5.0%
ABEV3
-3.1%
BR Beverage
-2.6%
BR Market
1 Year Return
-20.2%
ABEV3
-15.5%
BR Beverage
-2.2%
BR Market
Return vs Industry: ABEV3 underperformed the BR Beverage industry which returned -13.8% over the past year.
Return vs Market: ABEV3 underperformed the BR Market which returned -1.4% over the past year.
Shareholder returns
| ABEV3 | Industry | Market | |
|---|---|---|---|
| 7 Day | -5.0% | -3.1% | -2.6% |
| 30 Day | -2.3% | -0.1% | 0.6% |
| 90 Day | 9.1% | 11.2% | 14.3% |
| 1 Year | -18.0%-20.2% | -13.2%-15.5% | 0.4%-2.2% |
| 3 Year | -24.6%-30.8% | -14.4%-21.1% | 47.3%31.4% |
| 5 Year | -5.8%-18.8% | 2.2%-10.7% | 195.4%144.8% |
Long-Term Price Volatility Vs. Market
How volatile is Ambev's share price compared to the market and industry in the last 5 years?
Simply Wall St News
2 days ago | Simply Wall St
Is Ambev S.A. (BVMF:ABEV3) Popular Amongst Institutions?2 weeks ago | Simply Wall St
What Type Of Returns Would Ambev's(BVMF:ABEV3) Shareholders Have Earned If They Purchased Their SharesThree Years Ago?3 weeks ago | Simply Wall St
Ambev (BVMF:ABEV3) Seems To Use Debt Quite SensiblyValuation
Is Ambev undervalued compared to its fair value and its price relative to the market?
27.42x
Price to Earnings (PE) ratio
Share Price vs. Fair Value
Below Fair Value: ABEV3 (R$15.15) is trading above our estimate of fair value (R$10.13)
Significantly Below Fair Value: ABEV3 is trading above our estimate of fair value.
Price To Earnings Ratio
PE vs Industry: ABEV3 is poor value based on its PE Ratio (27.4x) compared to the XS Beverage industry average (17.6x).
PE vs Market: ABEV3 is poor value based on its PE Ratio (27.4x) compared to the BR market (17.3x).
Price to Earnings Growth Ratio
PEG Ratio: ABEV3 is poor value based on its PEG Ratio (2.1x)
Price to Book Ratio
PB vs Industry: ABEV3 is overvalued based on its PB Ratio (3.1x) compared to the XS Beverage industry average (2.2x).
Next Steps
Future Growth
How is Ambev forecast to perform in the next 1 to 3 years based on estimates from 13 analysts?
13.3%
Forecasted annual earnings growth
Earnings and Revenue Growth Forecasts
Analyst Future Growth Forecasts
Earnings vs Savings Rate: ABEV3's forecast earnings growth (13.3% per year) is above the savings rate (9.9%).
Earnings vs Market: ABEV3's earnings (13.3% per year) are forecast to grow slower than the BR market (27.4% per year).
High Growth Earnings: ABEV3's earnings are forecast to grow, but not significantly.
Revenue vs Market: ABEV3's revenue (5.1% per year) is forecast to grow slower than the BR market (10.4% per year).
High Growth Revenue: ABEV3's revenue (5.1% per year) is forecast to grow slower than 20% per year.
Earnings per Share Growth Forecasts
Future Return on Equity
Future ROE: ABEV3's Return on Equity is forecast to be low in 3 years time (18.5%).
Next Steps
Past Performance
How has Ambev performed over the past 5 years?
-5.1%
Historical annual earnings growth
Earnings and Revenue History
Quality Earnings: ABEV3 has high quality earnings.
Growing Profit Margin: ABEV3's current net profit margins (15.6%) are lower than last year (20.9%).
Past Earnings Growth Analysis
Earnings Trend: ABEV3's earnings have declined by 5.1% per year over the past 5 years.
Accelerating Growth: ABEV3's has had negative earnings growth over the past year, so it can't be compared to its 5-year average.
Earnings vs Industry: ABEV3 had negative earnings growth (-21.3%) over the past year, making it difficult to compare to the Beverage industry average (-6.8%).
Return on Equity
High ROE: ABEV3's Return on Equity (11.4%) is considered low.
Next Steps
Financial Health
How is Ambev's financial position?
Financial Position Analysis
Short Term Liabilities: ABEV3's short term assets (R$39.1B) exceed its short term liabilities (R$30.3B).
Long Term Liabilities: ABEV3's short term assets (R$39.1B) exceed its long term liabilities (R$17.2B).
Debt to Equity History and Analysis
Debt Level: ABEV3's debt to equity ratio (6.6%) is considered satisfactory.
Reducing Debt: ABEV3's debt to equity ratio has increased from 6.3% to 6.6% over the past 5 years.
Debt Coverage: ABEV3's debt is well covered by operating cash flow (380.3%).
Interest Coverage: ABEV3's interest payments on its debt are well covered by EBIT (11.7x coverage).
Balance Sheet
Next Steps
Dividend
What is Ambev current dividend yield, its reliability and sustainability?
3.24%
Current Dividend Yield
Dividend Yield vs Market
Notable Dividend: ABEV3's dividend (3.24%) is higher than the bottom 25% of dividend payers in the BR market (0.96%).
High Dividend: ABEV3's dividend (3.24%) is low compared to the top 25% of dividend payers in the BR market (5.13%).
Stability and Growth of Payments
Stable Dividend: ABEV3 has been paying a dividend for less than 10 years and during this time payments have been volatile.
Growing Dividend: ABEV3 has only been paying a dividend for 7 years, and since then payments have fallen.
Current Payout to Shareholders
Dividend Coverage: At its current payout ratio (88.8%), ABEV3's payments are covered by earnings.
Future Payout to Shareholders
Future Dividend Coverage: ABEV3's dividends in 3 years are not forecast to be well covered by earnings (110.5% payout ratio).
Next Steps
Management
How experienced are the management team and are they aligned to shareholders interests?
2.0yrs
Average management tenure
CEO
Jean Neto (46 yo)
1
Tenure
Mr. Jean Jereissati Neto has been Chief Executive Officer of Ambev S.A. since January 1, 2020 serves as its Member of Executive Board. He served as Chief Sales Officer and Chief Marketing Officer at Ambev ...
Leadership Team
| Name | Position | Tenure | Compensation | Ownership |
|---|---|---|---|---|
| CEO & Member of Executive Board | 1yr | no data | no data | |
| CFO, Chief Investor Relations & Shared Services Officer and Member of Board of Executive Officers | 0.75yr | no data | no data | |
| VP Officer of Commercial & Member of Executive Board of Officers | 2.5yrs | no data | no data | |
| VP Officer of People and Management & Member of Executive Board of Officers | no data | no data | no data | |
| VP Officer of Procurement & Member of Executive Board of Officers | no data | no data | no data | |
| Industrial VP Officer & Member of Executive Board of Officers | 4.17yrs | no data | no data | |
| VP Officer of Sales & Member of Executive Board of Officers | no data | no data | no data | |
| VP Officer of Legal | no data | no data | no data | |
| VP Officer of Compliance and Corporate Affairs & Member of Executive Board of Officers | 2yrs | no data | no data | |
| VP Officer of Logistics & Member of Executive Board of Officers | 2yrs | no data | no data | |
| VP Officer of Information Technology & Member of Board of Executive Officers | 1yr | no data | no data | |
| VP Officer of Marketing & Member of Executive Board of Officers | no data | no data | no data |
2.0yrs
Average Tenure
44yo
Average Age
Experienced Management: ABEV3's management team is considered experienced (2 years average tenure).
Board Members
| Name | Position | Tenure | Compensation | Ownership |
|---|---|---|---|---|
| VP of Finance & Director | 2.75yrs | no data | no data | |
| Director | 13yrs | no data | no data | |
| Independent Director | 7yrs | no data | no data | |
| Co-Chairman | 22yrs | no data | no data | |
| Director | 22yrs | no data | no data | |
| Co-Chairman | 15yrs | no data | no data | |
| Director | 16yrs | no data | no data | |
| Director | 22yrs | no data | no data | |
| Director | 3yrs | no data | no data | |
| Independent Director | 7yrs | no data | no data | |
| Director | 10yrs | no data | no data | |
| Independent Chairman of the Fiscal Council | 2.5yrs | no data | no data |
11.5yrs
Average Tenure
60yo
Average Age
Experienced Board: ABEV3's board of directors are seasoned and experienced ( 11.5 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
Ambev S.A.'s company bio, employee growth, exchange listings and data sources
Key Information
- Name: Ambev S.A.
- Ticker: ABEV3
- Exchange: BOVESPA
- Founded: 1885
- Industry: Brewers
- Sector: Food, Beverage & Tobacco
- Market Cap: R$245.599b
- Shares outstanding: 15.73b
- Website: https://www.ambev.com.br
Number of Employees
Location
- Ambev S.A.
- Rua Dr. Renato Paes de Barros, 1017
- 3rd Floor
- São Paulo
- São Paulo
- 04530-001
- Brazil
Listings
| Ticker | Exchange | Primary Security | Security Type | Country | Currency | Listed on |
|---|---|---|---|---|---|---|
| ABEV3 | BOVESPA (Bolsa de Valores de Sao Paulo) | Yes | Ordinary Shares | BR | BRL | Nov 2013 |
| ABEV | NYSE (New York Stock Exchange) | SPONSORED ADR | US | USD | Nov 2013 | |
| ABEV N | BMV (Bolsa Mexicana de Valores) | SPONSORED ADR | MX | MXN | Nov 2013 | |
| AMNA | DB (Deutsche Boerse AG) | SPONSORED ADR | DE | EUR | Nov 2013 |
Biography
Ambev S.A., through its subsidiaries, produces, distributes, and sells beer, draft beer, carbonated soft drinks (CSD), other non-alcoholic beverages, malt, and food products in the Americas. It operates th...
Company Analysis and Financial Data Status
| Data | Last Updated (UTC time) |
|---|---|
| Company Analysis | 2021/01/22 21:56 |
| End of Day Share Price | 2021/01/22 00:00 |
| Earnings | 2020/09/30 |
| Annual Earnings | 2019/12/31 |
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.