DB:4GNB

Stock Analysis Report

Wal-Mart de México. de

Executive Summary

Wal-Mart de México, S.A.B. de C.V. owns and operates self-service stores in Mexico and Central America.


Snowflake Analysis

Flawless balance sheet established dividend payer.


Similar Companies

Share Price & News

How has Wal-Mart de México. de's share price performed over time and what events caused price changes?


Latest Share Price and Events

Stable Share Price: 4GNB has not had significant price volatility in the past 3 months.


Market Performance


7 Day Return

-1.4%

4GNB

0.5%

DE Consumer Retailing

-0.9%

DE Market


1 Year Return

15.7%

4GNB

2.8%

DE Consumer Retailing

12.8%

DE Market

Return vs Industry: 4GNB exceeded the German Consumer Retailing industry which returned 2.8% over the past year.

Return vs Market: 4GNB exceeded the German Market which returned 12.8% over the past year.


Shareholder returns

4GNBIndustryMarket
7 Day-1.4%0.5%-0.9%
30 Day2.2%1.7%-0.4%
90 Day10.2%2.0%2.3%
1 Year20.2%15.7%6.9%2.8%16.3%12.8%
3 Year66.9%47.8%9.1%-1.8%15.8%5.7%
5 Year59.5%30.4%9.6%-7.2%19.7%3.3%

Price Volatility Vs. Market

How volatile is Wal-Mart de México. de's share price compared to the market and industry in the last 5 years?


Simply Wall St News

No news available

Valuation

Is Wal-Mart de México. de undervalued compared to its fair value and its price relative to the market?

4.8%

Undervalued compared to fair value


Share Price vs. Fair Value

Below Fair Value: 4GNB (€2.8) is trading below our estimate of fair value (€2.94)

Significantly Below Fair Value: 4GNB is trading below fair value, but not by a significant amount.


Price To Earnings Ratio

PE vs Industry: 4GNB is poor value based on its PE Ratio (27.1x) compared to the Consumer Retailing industry average (21x).

PE vs Market: 4GNB is poor value based on its PE Ratio (27.1x) compared to the German market (21x).


Price to Earnings Growth Ratio

PEG Ratio: 4GNB is poor value based on its PEG Ratio (3.4x)


Price to Book Ratio

PB vs Industry: 4GNB is overvalued based on its PB Ratio (6.1x) compared to the XE Consumer Retailing industry average (1.6x).


Next Steps

Future Growth

How is Wal-Mart de México. de forecast to perform in the next 1 to 3 years based on estimates from 13 analysts?

7.9%

Forecasted annual earnings growth


Earnings and Revenue Growth Forecasts


Analyst Future Growth Forecasts

Earnings vs Savings Rate: 4GNB's forecast earnings growth (7.9% per year) is above the savings rate (-0.4%).

Earnings vs Market: 4GNB's earnings (7.9% per year) are forecast to grow slower than the German market (13% per year).

High Growth Earnings: 4GNB's earnings are forecast to grow, but not significantly.

Revenue vs Market: 4GNB's revenue (6.8% per year) is forecast to grow faster than the German market (5.2% per year).

High Growth Revenue: 4GNB's revenue (6.8% per year) is forecast to grow slower than 20% per year.


Earnings per Share Growth Forecasts


Future Return on Equity

Future ROE: 4GNB's Return on Equity is forecast to be high in 3 years time (25.1%)


Next Steps

Past Performance

How has Wal-Mart de México. de performed over the past 5 years?

10.6%

Historical annual earnings growth


Earnings and Revenue History

Quality Earnings: 4GNB has high quality earnings.

Growing Profit Margin: 4GNB's current net profit margins (5.9%) are lower than last year (6%).


Past Earnings Growth Analysis

Earnings Trend: 4GNB's earnings have grown by 10.6% per year over the past 5 years.

Accelerating Growth: 4GNB's earnings growth over the past year (3.1%) is below its 5-year average (10.6% per year).

Earnings vs Industry: 4GNB earnings growth over the past year (3.1%) exceeded the Consumer Retailing industry 2%.


Return on Equity

High ROE: 4GNB's Return on Equity (22.5%) is considered high.


Return on Assets


Return on Capital Employed


Next Steps

Financial Health

How is Wal-Mart de México. de's financial position?


Financial Position Analysis

Short Term Liabilities: 4GNB's short term assets (MX$113.9B) exceed its short term liabilities (MX$113.5B).

Long Term Liabilities: 4GNB's short term assets (MX$113.9B) exceed its long term liabilities (MX$67.5B).


Debt to Equity History and Analysis

Debt Level: 4GNB is debt free.

Reducing Debt: 4GNB currently has no debt however we can't compare to 5 years ago as we have no data for that period.

Debt Coverage: 4GNB has no debt, therefore it does not need to be covered by operating cash flow.

Interest Coverage: 4GNB has no debt, therefore coverage of interest payments is not a concern.


Balance Sheet

Inventory Level: 4GNB has a high level of physical assets or inventory.

Debt Coverage by Assets: Insufficient data to determine if 4GNB's debt is covered by short term assets.


Next Steps

Dividend

What is Wal-Mart de México. de's current dividend yield, its reliability and sustainability?

3.04%

Current Dividend Yield


Dividend Yield vs Market

Notable Dividend: 4GNB's dividend (3.04%) is higher than the bottom 25% of dividend payers in the German market (1.31%).

High Dividend: 4GNB's dividend (3.04%) is low compared to the top 25% of dividend payers in the German market (3.63%).


Stability and Growth of Payments

Stable Dividend: 4GNB's dividends per share have been stable in the past 10 years.

Growing Dividend: 4GNB's dividend payments have increased over the past 10 years.


Current Payout to Shareholders

Dividend Coverage: With its reasonably low payout ratio (40.1%), 4GNB's dividend payments are well covered by earnings.


Future Payout to Shareholders

Future Dividend Coverage: 4GNB's dividends in 3 years are forecast to be covered by earnings (79.2% payout ratio).


Next Steps

Management

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

3.5yrs

Average management tenure


CEO

Guilherme De Souza Macedo Loureiro 0

4yrs

Tenure

Mr. Guilherme De Souza Macedo Loureiro has been Chief Executive Officer and President at Wal-Mart de Mexico SAB De CV since February 01, 2016. He has been with Walmart for 3 years. He serves as Chairman of ...


Leadership Team

NamePositionTenureCompensationOwnership
Enrique Ostalé Cambiaso
Executive Chairman5.3yrsno datano data
Guilherme De Souza Macedo Loureiro
President4yrsno datano data
Olga González Aponte
Chief Financial Officer2.6yrsno datano data
Carlos Gerardo Arroyo
Chief Operations Officer0yrsno datano data
John Gleason
Vice President of Treasury4.5yrsno datano data
Alberto Manuel Sepúlveda González Cosío
Executive VP and General Director for Legal & Institutional Matters and Secretary0yrsno datano data
Adriana Velázquez
Chief Compliance Officer0yrsno datano data
Steve Procter
Business development director0yrsno datano data
Ivonne Montiel
Vice President of Marketing3yrsno datano data
Eduardo de la Garza
Senior Vice President of Human Resources0yrsno datano data

3.5yrs

Average Tenure

Experienced Management: 4GNB's management team is considered experienced (3.5 years average tenure).


Board Members

NamePositionTenureCompensationOwnership
Enrique Ostalé Cambiaso
Executive Chairman5.3yrsno datano data
Guilherme De Souza Macedo Loureiro
President4yrsno datano data
Adolfo Cerezo Perez José
Lead Independent Director0yrsno datano data
Blanca Avelina Treviño de Vega
Independent Director13.3yrsno datano data
Richard Mayfield
Director4.9yrsno datano data
Roberto Newell García
Independent Director5.9yrsno datano data
Ernesto Cervera Gómez
Independent Director5.9yrsno datano data
Lori Flees
Director3.9yrsno datano data
Kirsten Evans
Director1.9yrsno datano data
Eric Pérez-Grovas Aréchiga
Independent Director1.9yrsno datano data

4.9yrs

Average Tenure

59.5yo

Average Age

Experienced Board: 4GNB's board of directors are considered experienced (4.9 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

Wal-Mart de México, S.A.B. de C.V.'s company bio, employee growth, exchange listings and data sources


Key Information

  • Name: Wal-Mart de México, S.A.B. de C.V.
  • Ticker: 4GNB
  • Exchange: DB
  • Founded: 1958
  • Industry: Hypermarkets and Super Centers
  • Sector: Consumer Retailing
  • Market Cap: Mex$1.027t
  • Listing Market Cap: Mex$50.137b
  • Shares outstanding: 17.46b
  • Website: https://www.walmartmexico.com.mx

Number of Employees


Location

  • Wal-Mart de México, S.A.B. de C.V.
  • Nextengo #78
  • Santa Cruz Acayucan
  • Mexico City
  • Distrito Federal
  • 2770
  • Mexico

Listings

TickerExchangePrimary SecuritySecurity TypeCountryCurrencyListed on
WMMV.FOTCPK (Pink Sheets LLC)YesSeries V Common StockUSUSDDec 1997
WALMEX *BMV (Bolsa Mexicana de Valores)YesSeries V Common StockMXMXNDec 1997
4GNBDB (Deutsche Boerse AG)YesSeries V Common StockDEEURDec 1997
WMMV.YOTCPK (Pink Sheets LLC)SPON ADR REP VUSUSDJan 1998

Biography

Wal-Mart de México, S.A.B. de C.V. owns and operates self-service stores in Mexico and Central America. The company operates discount stores, hypermarkets, supermarkets, membership self-service wholesale stores, and pharmacies. It operates 1,910 Bodega Aurrerá discount stores, 274 Walmart hypermarkets, 91 Superama supermarkets, and 163 Sam’s Club membership self-service wholesale stores. The company also operates 540 Despensa Familiar and Palí discount stores; 97 Paiz, La Despensa de Don Juan, La Unión, and Más x Menos supermarkets; 143 Bodegas, Maxi Bodega, and Maxi Palí stores; and 31 Walmart hypermarkets in Costa Rica, Guatemala, Honduras, Nicaragua, and El Salvador. In addition, it imports and sells goods; develops properties; and manages real estate companies. The company was founded in 1958 and is headquartered in Mexico City, Mexico. Wal-Mart de México, S.A.B. de C.V. is a subsidiary of Walmart Inc. 


Company Analysis and Financial Data Status

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


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.