Anheuser-Busch Inbev logged a -2.9% change during today's afternoon session, and is now trading at a price of $59.59 per share.
Over the last year, Anheuser-Busch Inbev logged a -1.9% change, with its stock price reaching a high of $72.13 and a low of $45.94. Over the same period, the stock underperformed the S&P 500 index by -18.2%. AThe company's 50-day average price was $65.21. Anheuser-Busch InBev SA/NV produces, distributes, exports, markets, and sells beer in North America, Middle Americas, South America, Europe, the Middle East, Africa, and the Asia Pacific. Based in Leuven, Belgium, the Large-Cap Consumer Staples company has 144,000 full time employees. Anheuser-Busch Inbev has offered a 1.7% dividend yield over the last 12 months.
Generally Positive Cash Flows but a Highly Leveraged Balance Sheet:
| 2019 | 2020 | 2021 | 2022 | 2023 | 2024 | |
|---|---|---|---|---|---|---|
| Revenue (M) | $52,329 | $46,881 | $54,304 | $57,786 | $59,380 | $59,768 |
| Gross Margins | 61% | 57% | 56% | 54% | 54% | 55% |
| Net Margins | 20% | 5% | 11% | 13% | 12% | 12% |
| Net Income (M) | $10,414 | $2,202 | $6,114 | $7,597 | $6,891 | $7,416 |
| Net Interest Expense (M) | $4,168 | -$4,004 | $3,674 | $3,588 | $3,696 | $3,437 |
| Depreciation & Amort. (M) | $4,657 | $4,829 | $5,052 | $5,078 | $5,411 | $5,544 |
| Diluted Shares (M) | 1,693 | 1,693 | 1,737 | 1,737 | 1,737 | 1,797 |
| Earnings Per Share | $4.53 | $0.69 | $2.28 | $2.91 | $2.6 | $2.86 |
| EPS Growth | n/a | -84.77% | 230.43% | 27.63% | -10.65% | 10.0% |
| Avg. Price | $80.77 | $55.68 | $62.99 | $57.64 | $64.62 | $59.63 |
| P/E Ratio | 17.48 | 79.54 | 27.03 | 19.41 | 24.38 | 20.42 |
| Free Cash Flow (M) | $14,036 | $10,891 | $14,799 | $13,298 | $13,265 | $15,055 |
| EV / EBITDA | 16.16 | 19.11 | 14.56 | 12.76 | 13.33 | 11.43 |
| Total Debt (M) | $205,948 | $197,118 | $177,554 | $159,818 | $156,300 | $144,338 |
| Net Debt / EBITDA | 9.57 | 12.59 | 8.77 | 7.65 | 7.53 | 6.33 |
| Current Ratio | 0.83 | 0.82 | 0.7 | 0.67 | 0.63 | 0.7 |
Anheuser-Busch Inbev has declining EPS growth, not enough current assets to cover current liabilities because its current ratio is 0.7, and a highly leveraged balance sheet. On the other hand, the company has generally positive cash flows working in its favor.
The Market May Be Undervaluing Anheuser-Busch Inbev's Assets and Equity:
Anheuser-Busch Inbev has a trailing twelve month P/E ratio of 18.6, compared to an average of 25.91 for the Consumer Staples sector. Based on its EPS guidance of $3.74, the company has a forward P/E ratio of 17.4. The -2.7% compound average growth rate of Anheuser-Busch Inbev's historical and projected earnings per share yields a PEG ratio of -6.9. This indicates that its shares are overvalued.In contrast, the market is likely undervaluing Anheuser-Busch Inbev in terms of its equity because its P/B ratio is 1.44 while the sector average is 3.03. The company's shares are currently trading 5.7% below their Graham number.
Analysts Give Anheuser-Busch Inbev an Average Rating of Buy:
The 11 analysts following Anheuser-Busch Inbev have set target prices ranging from $65.0 to $90.0 per share, for an average of $77.64 with a buy rating. The company is trading -23.2% away from its average target price, indicating that there is an analyst consensus of strong upside potential.
Anheuser-Busch Inbev has a very low short interest because 0.8% of the company's shares are sold short. Institutions own 6.1% of the company's shares, and the insider ownership rate stands at 0.0%, suggesting a small amount of insider investors. The largest shareholder is Dodge & Cox Inc, whose 2% stake in the company is worth $2,292,876,733.
