UBL

United BreweriesNSEI:UBL Stock Report

Market Cap

₹410.2b

7D

-2.7%

1Y

58.3%

Updated

20 Sep, 2021

Data

Company Financials +
UBL fundamental analysis
Snowflake Score
Valuation0/6
Future Growth5/6
Past Performance3/6
Financial Health6/6
Dividends0/6

UBL Overview

United Breweries Limited manufactures, purchases, and sells beer and non-alcoholic beverages in India and internationally.

Rewards

Earnings are forecast to grow 40.68% per year

Risk Analysis

No risks detected for UBL from our risk checks.

Share Price & News

How has United Breweries's share price performed over time and what events caused price changes?


Latest Share Price and Events

Stable Share Price: UBL is less volatile than 75% of Indian stocks over the past 3 months, typically moving +/- 4% a week.

Volatility Over Time: UBL's weekly volatility (4%) has been stable over the past year.


Market Performance


7 Day Return

-2.7%

UBL

-2.5%

IN Beverage

-0.5%

IN Market


1 Year Return

58.3%

UBL

64.8%

IN Beverage

61.2%

IN Market

Return vs Industry: UBL underperformed the Indian Beverage industry which returned 61.4% over the past year.

Return vs Market: UBL matched the Indian Market which returned 59% over the past year.


Shareholder returns

UBLIndustryMarket
7 Day-2.7%-2.5%-0.5%
30 Day7.1%6.8%6.8%
90 Day6.8%11.1%9.7%
1 Year58.3%58.3%65.0%64.8%63.5%61.2%
3 Year18.6%18.1%58.3%57.6%60.4%52.2%
5 Year73.0%71.7%85.5%84.7%96.0%80.9%

Long-Term Price Volatility Vs. Market

How volatile is United Breweries's share price compared to the market and industry in the last 5 years?


Simply Wall St News

United Breweries Fundamentals Summary

How do United Breweries's earnings and revenue compare to its market cap?
UBL fundamental statistics
Market Cap₹410.20b
Earnings (TTM)₹2.59b
Revenue (TTM)₹48.55b

158.7x

P/E Ratio

8.4x

P/S Ratio

Earnings & Revenue

Key profitability statistics from the latest earnings report
UBL income statement (TTM)
Revenue₹48.55b
Cost of Revenue₹23.78b
Gross Profit₹24.78b
Expenses₹22.19b
Earnings₹2.59b

Last Reported Earnings

Jun 30, 2021

Next Earnings Date

n/a

Earnings per share (EPS)9.78
Gross Margin51.03%
Net Profit Margin5.32%
Debt/Equity Ratio7.3%

How did UBL perform over the long term?

See historical performance and comparison

Dividends

0.03%

Current Dividend Yield

5%

Payout Ratio

Valuation

Is United Breweries undervalued compared to its fair value and its price relative to the market?

158.68x

Price to Earnings (PE) ratio


Share Price vs. Fair Value

Below Fair Value: UBL (₹1555.2) is trading above our estimate of fair value (₹611.45)

Significantly Below Fair Value: UBL is trading above our estimate of fair value.


Price To Earnings Ratio

PE vs Industry: UBL is poor value based on its PE Ratio (158.7x) compared to the Indian Beverage industry average (35.6x).

PE vs Market: UBL is poor value based on its PE Ratio (158.7x) compared to the Indian market (20.4x).


Price to Earnings Growth Ratio

PEG Ratio: UBL is poor value based on its PEG Ratio (3.9x)


Price to Book Ratio

PB vs Industry: UBL is overvalued based on its PB Ratio (11.5x) compared to the IN Beverage industry average (3.1x).


Future Growth

How is United Breweries forecast to perform in the next 1 to 3 years based on estimates from 9 analysts?

40.7%

Forecasted annual earnings growth


Earnings and Revenue Growth Forecasts


Analyst Future Growth Forecasts

Earnings vs Savings Rate: UBL's forecast earnings growth (40.7% per year) is above the savings rate (6.8%).

Earnings vs Market: UBL's earnings (40.7% per year) are forecast to grow faster than the Indian market (18.4% per year).

High Growth Earnings: earnings are expected to grow significantly over the next 3 years.

Revenue vs Market: UBL's revenue (22.8% per year) is forecast to grow faster than the Indian market (12.6% per year).

High Growth Revenue: UBL's revenue (22.8% per year) is forecast to grow faster than 20% per year.


Earnings per Share Growth Forecasts


Future Return on Equity

Future ROE: UBL's Return on Equity is forecast to be low in 3 years time (17%).


Past Performance

How has United Breweries performed over the past 5 years?

-20.9%

Historical annual earnings growth


Earnings and Revenue History

Quality Earnings: UBL has high quality earnings.

Growing Profit Margin: UBL's current net profit margins (5.3%) are higher than last year (3%).


Past Earnings Growth Analysis

Earnings Trend: UBL's earnings have declined by 20.9% per year over the past 5 years.

Accelerating Growth: UBL's earnings growth over the past year (73.8%) exceeds its 5-year average (-20.9% per year).

Earnings vs Industry: UBL earnings growth over the past year (73.8%) underperformed the Beverage industry 95.9%.


Return on Equity

High ROE: UBL's Return on Equity (7.2%) is considered low.


Financial Health

How is United Breweries's financial position?


Financial Position Analysis

Short Term Liabilities: UBL's short term assets (₹33.2B) exceed its short term liabilities (₹21.4B).

Long Term Liabilities: UBL's short term assets (₹33.2B) exceed its long term liabilities (₹1.3B).


Debt to Equity History and Analysis

Debt Level: UBL's debt to equity ratio (7.3%) is considered satisfactory.

Reducing Debt: UBL's debt to equity ratio has reduced from 34.3% to 7.3% over the past 5 years.

Debt Coverage: UBL's debt is well covered by operating cash flow (236.8%).

Interest Coverage: UBL's interest payments on its debt are well covered by EBIT (25.8x coverage).


Balance Sheet


Dividend

What is United Breweries's current dividend yield, its reliability and sustainability?

0.032%

Current Dividend Yield


Dividend Yield vs Market

Notable Dividend: UBL's dividend (0.032%) isn’t notable compared to the bottom 25% of dividend payers in the Indian market (0.34%).

High Dividend: UBL's dividend (0.032%) is low compared to the top 25% of dividend payers in the Indian market (1.45%).


Stability and Growth of Payments

Stable Dividend: UBL is not paying a notable dividend for the Indian market, therefore no need to check if payments are stable.

Growing Dividend: UBL is not paying a notable dividend for the Indian market, therefore no need to check if payments are increasing.


Current Payout to Shareholders

Dividend Coverage: UBL is not paying a notable dividend for the Indian market.


Future Payout to Shareholders

Future Dividend Coverage: No need to calculate the sustainability of UBL's dividend in 3 years as they are not forecast to pay a notable one for the Indian market.


Next Steps

Management

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

2.1yrs

Average management tenure


CEO

Rishi Pardal (48 yo)

1.08yrs

Tenure

₹47,808,970

Compensation

Mr. Rishi Pardal serves as Chief Executive Officer, Managing Director and Executive Director at United Breweries Limited August 01, 2020. He served as Vice President and General Manager of Global Apparel S...


CEO Compensation Analysis

Compensation vs Market: Rishi's total compensation ($USD648.86K) is about average for companies of similar size in the Indian market ($USD715.65K).

Compensation vs Earnings: Insufficient data to compare Rishi's compensation with company performance.


Leadership Team

Experienced Management: UBL's management team is considered experienced (2.1 years average tenure).


Board Members

Experienced Board: UBL's board of directors are considered experienced (7.5 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

United Breweries Limited's company bio, employee growth, exchange listings and data sources


Key Information

  • Name: United Breweries Limited
  • Ticker: UBL
  • Exchange: NSEI
  • Founded: 1915
  • Industry: Brewers
  • Sector: Food, Beverage & Tobacco
  • Market Cap: ₹410.198b
  • Shares outstanding: 264.41m
  • Website: https://www.unitedbreweries.com

Number of Employees


Location

  • United Breweries Limited
  • UB Tower
  • UB City
  • Bengaluru
  • Karnataka
  • 560001
  • India

Listings


Biography

United Breweries Limited manufactures, purchases, and sells beer and non-alcoholic beverages in India and internationally. It offers its products under the Kingfisher Premium, Kingfisher Strong, Kingfisher...


Company Analysis and Financial Data Status

All financial data provided by Standard & Poor's Capital IQ.
DataLast Updated (UTC time)
Company Analysis2021/09/20 15:26
End of Day Share Price2021/09/20 00:00
Earnings2021/06/30
Annual Earnings2021/03/31


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.