ENXTAM:HEIA

Stock Analysis Report

Executive Summary

Heineken N.V. engages in brewing and selling beer and cider.

Snowflake

Fundamentals

Average dividend payer with limited growth.


Similar Companies

Share Price & News

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


Latest Share Price and Events


Market Performance


7 Day Return

1.4%

ENXTAM:HEIA

0.9%

NL Beverage

1.0%

NL Market


1 Year Return

19.2%

ENXTAM:HEIA

16.6%

NL Beverage

2.7%

NL Market

HEIA outperformed the Beverage industry which returned 15.7% over the past year.

HEIA outperformed the Market in Netherlands which returned 3.2% over the past year.


Share holder returns

HEIAIndustryMarket
7 Day1.4%0.9%1.0%
30 Day3.6%1.0%5.5%
90 Day-0.2%4.0%0.4%
1 Year21.3%19.2%18.9%16.6%7.3%2.7%
3 Year31.5%25.0%17.2%9.7%45.3%29.3%
5 Year83.2%68.5%53.1%37.0%56.9%25.2%

Price Volatility Vs. Market

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


Simply Wall St News

Valuation

Is Heineken undervalued based on future cash flows and its price relative to the stock market?

17%

Discount to future cash flow value


Intrinsic Value Based on Future Cash Flows

Heineken's share price is below the future cash flow value, but not at a moderate discount (< 20%).

Heineken's share price is below the future cash flow value, but not at a substantial discount (< 40%).


Price Based on Earnings

Heineken is overvalued based on earnings compared to the Europe Beverage industry average.

Heineken is overvalued based on earnings compared to the Netherlands market.


Price Based on Expected Growth

Heineken is poor value based on expected growth next year.


Price Based on Value of Assets

Heineken is overvalued based on assets compared to the Europe Beverage industry average.


Next Steps

Future Growth

How is Heineken expected to perform in the next 1 to 3 years based on estimates from 20 analysts?

10.6%

Forecasted annual earnings growth


Earnings and Revenue Growth Estimates


Future Annual Growth Analysis

Heineken's revenue is expected to grow by 4.5% yearly, however this is not considered high growth (20% yearly).

Heineken's earnings are expected to grow by 10.6% yearly, however this is not considered high growth (20% yearly).

Heineken's revenue growth is expected to exceed the Netherlands market average.

Heineken's earnings growth is positive but not above the Netherlands market average.

Heineken's earnings growth is expected to exceed the low risk savings rate of 0.4%.


Earnings per Share Growth Estimates


Future Return on Equity

Heineken is not expected to efficiently use shareholders’ funds in the future (Return on Equity less than 20%).


Next Steps

Past Performance

How has Heineken performed over the past 5 years?

4.7%

Historical annual earnings growth


Earnings and Revenue History


Past Earnings Growth Analysis

Heineken's year on year earnings growth rate has been positive over the past 5 years.

Heineken's 1-year earnings growth is negative, it can't be compared to the 5-year average.

Heineken's 1-year earnings growth is negative, it can't be compared to the Europe Beverage industry average.


Return on Equity

Heineken has not efficiently used shareholders’ funds last year (Return on Equity less than 20%).


Return on Assets

Heineken used its assets less efficiently than the Europe Beverage industry average last year based on Return on Assets.


Return on Capital Employed

Heineken's use of capital deteriorated last year versus 3 years ago (Return on Capital Employed).


Next Steps

Financial Health

How is Heineken's financial position?


Financial Position Analysis

Heineken's short term (1 year) commitments are greater than its holdings of cash and other short term assets.

Heineken's long term commitments exceed its cash and other short term assets.


Debt to Equity History and Analysis

Heineken's level of debt (102%) compared to net worth is high (greater than 40%).

The level of debt compared to net worth has increased over the past 5 years (93.8% vs 102% today).

Debt is well covered by operating cash flow (24.2%, greater than 20% of total debt).

Interest payments on debt are well covered by earnings (EBIT is 8.2x coverage).


Balance Sheet

High level of physical assets or inventory.

Debt is not covered by short term assets, assets are 0.5x debt.


Next Steps

Dividend

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

1.88%

Expected Dividend Yield


Dividend Yield and Payments Analysis

Heineken's pays a lower dividend yield than the bottom 25% of dividend payers in Netherlands (2.29%).

Heineken's dividend is below the markets top 25% of dividend payers in Netherlands (5.96%).

Dividends per share have been stable in the past 10 years.

Dividends per share have increased over the past 10 years.


Current Payout to Shareholders

Dividends paid are well covered by earnings (2x coverage).


Future Payout to Shareholders

Dividends after 3 years are expected to be well covered by earnings (2.7x coverage).


Next Steps

Management

What is the CEO of Heineken's salary, the management and board of directors tenure and is there insider trading?

6.3yrs

Average management tenure


CEO

Jean-François M. Van Boxmeer (58yo)

13.9yrs

Tenure

€8,244,000

Compensation

Mr. Jean-François M. L. Van Boxmeer has been the Chairman of Executive Board and Chief Executive Officer at Heineken NV since October 1, 2005 and its Member of the Executive Board since 2001. Mr. Van Boxme ...


CEO Compensation Analysis

Jean-François M.'s remuneration is higher than average for companies of similar size in Netherlands.

Jean-François M.'s compensation has been consistent with company performance over the past year, both up more than 20%.


Management Age and Tenure

6.3yrs

Average Tenure

57.5yo

Average Age

The average tenure for the Heineken management team is over 5 years, this suggests they are a seasoned and experienced team.


Board Age and Tenure

6.4yrs

Average Tenure

60.5yo

Average Age

The tenure for the Heineken board of directors is about average.


Insider Trading

No 3 month open market individual insider trading information.


Recent Insider Transactions

Sell€1,803,80008 Mar 19
Jean-François M. Van Boxmeer
EntityIndividual
Role
Chief Executive Officer
Chairman of the Executive Board & CEO
Shares20,000
Max Price€90.19
Sell€1,603,20003 Dec 18
Jean-François M. Van Boxmeer
EntityIndividual
Role
Chief Executive Officer
Chairman of the Executive Board & CEO
Shares20,000
Max Price€80.16

Ownership Breakdown


Management Team

  • Jean-François M. Van Boxmeer (58yo)

    Chairman of the Executive Board & CEO

    • Tenure: 13.9yrs
    • Compensation: €8.24m
  • Marc Gross (61yo)

    Chief Supply Chain Officer

    • Tenure: 14.7yrs
  • Laurence Debroux (50yo)

    CFO & Member of the Executive Board

    • Tenure: 4.4yrs
    • Compensation: €3.81m
  • Chris Van Steenbergen (63yo)

    Chief Human Resources Officer

    • Tenure: 5.3yrs
  • Jan van Karnebeek (52yo)

    Chief Commercial Officer

    • Tenure: 10.7yrs
  • Marc Koster

    Executive Director of Global Business Development

    • Tenure: 0yrs
  • Frans Eusman (57yo)

    Executive Director of Global Audit

    • Tenure: 0.9yrs
  • Ernst Van de Weert

    Executive Director of Global Legal Affairs

    • Tenure: 2.2yrs
  • Jacco Van Der Linden

    Managing Director of China Business

    • Tenure: 7.7yrs
  • David Forde

    Managing Director of UK Business

    • Tenure: 6.3yrs

Board Members

  • José Antonio Vicente Fernández Carbajal (65yo)

    Vice Chairman of Supervisory Board

    • Tenure: 9.4yrs
  • Michel de Carvalho (75yo)

    Member of Supervisory Board

    • Tenure: 23.7yrs
  • V. Christophe O. B. Navarre (61yo)

    Member of Supervisory Board

    • Tenure: 10.7yrs
  • Maarten Das (71yo)

    Member of Supervisory Board

    • Tenure: 25.7yrs
  • Javier Gerardo Astaburuaga Sanjines (60yo)

    Member of Supervisory Board

    • Tenure: 9.4yrs
  • Rosemary Ripley (64yo)

    Member of Supervisory Board

    • Tenure: 0.4yrs
  • Marion Helmes (54yo)

    Member of Supervisory Board

    • Tenure: 1.4yrs
  • Jean Huët (50yo)

    Chairman of Supervisory Board

    • Tenure: 0.4yrs
  • Pamela Mars-Wright (59yo)

    Member of Supervisory Board

    • Tenure: 3.4yrs
  • Ingrid Arnold (50yo)

    Member of Supervisory Board

    • Tenure: 0.4yrs

Company Information

Heineken N.V.'s company bio, employee growth, exchange listings and data sources


Key Information

  • Name: Heineken N.V.
  • Ticker: HEIA
  • Exchange: ENXTAM
  • Founded: 1864
  • Industry: Brewers
  • Sector: Food, Beverage & Tobacco
  • Market Cap: €55.638b
  • Shares outstanding: 570.18m
  • Website: https://www.theheinekencompany.com

Number of Employees


Location

  • Heineken N.V.
  • Tweede Weteringplantsoen 21
  • Amsterdam
  • Noord-Holland
  • 1017 ZD
  • Netherlands

Listings

TickerExchangePrimary SecuritySecurity TypeCountryCurrencyListed on
0O26LSE (London Stock Exchange)YesOrdinary SharesGBEURJun 1976
HEIASEP (The Stock Exchange Prague Co. Ltd.)YesOrdinary SharesCZCZKJun 1976
HNK1DB (Deutsche Boerse AG)YesOrdinary SharesDEEURJun 1976
HEIAENXTAM (Euronext Amsterdam)YesOrdinary SharesNLEURJun 1976
HEISWX (SIX Swiss Exchange)YesOrdinary SharesCHCHFJun 1976
HNK1XTRA (XETRA Trading Platform)YesOrdinary SharesDEEURJun 1976
HINK.FOTCPK (Pink Sheets LLC)YesOrdinary SharesUSUSDJun 1976
HEIAABATS-CHIXE (BATS 'Chi-X Europe')YesOrdinary SharesGBEURJun 1976
HEIA NBMV (Bolsa Mexicana de Valores)YesOrdinary SharesMXMXNJun 1976
HEIAWBAG (Wiener Boerse AG)YesOrdinary SharesATEURJun 1976
HNK2DB (Deutsche Boerse AG)SPON ADR EACH REP 1/2 ORD EUR0.00DEEURJan 1980
HEIN.YOTCPK (Pink Sheets LLC)SPON ADR EACH REP 1/2 ORD EUR0.00USUSDJan 1980

Biography

Heineken N.V. engages in brewing and selling beer and cider. The company operates through Africa, Middle East & Eastern Europe; Americas; Asia Pacific; and Europe segments. It offers beer, cider, soft drin ...


Company Analysis and Financial Data Status

All financial data provided by Standard & Poor's Capital IQ.
DataLast Updated (UTC time)
Company Analysis2019/09/17 20:45
End of Day Share Price2019/09/17 00:00
Earnings2019/06/30
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.