ABEV Valuation

Ambev SA

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2.310

+0.01(0.435%)1D

ABEV Relative Valuation

ABEV's fair value is calculated using relative valuation, based on historical P/E and P/S ranges and their premiums/discounts relative to a competitor average, adjusted by weights. If the market price exceeds this fair value range, ABEV is overvalued; if below, it's undervalued.

Historical Valuation

Ambev SA (ABEV) is now in the Undervalued zone, suggesting that its current forward PE ratio of 12.18 is considered Undervalued compared with the five-year average of 16.82. The fair price of Ambev SA (ABEV) is between 2.43 to 3.72 according to relative valuation methord. Compared to the current price of 2.31 USD , Ambev SA is Undervalued By 4.86%.

Relative Value

Fair Zone

2.43-3.72

Current Price：2.31

4.86%

Undervalued

12.18

Trailing

Forward

5.74

EV/EBITDA

Ambev SA. (ABEV) has a current EV/EBITDA of 5.74. The 5-year average EV/EBITDA is 8.31. The thresholds are as follows: Strongly Undervalued below 4.60, Undervalued between 4.60 and 6.46, Fairly Valued between 10.17 and 6.46, Overvalued between 10.17 and 12.03, and Strongly Overvalued above 12.03. The current Forward EV/EBITDA of 5.74 falls within the Undervalued range.

7.73

EV/EBIT

Ambev SA. (ABEV) has a current EV/EBIT of 7.73. The 5-year average EV/EBIT is 11.25. The thresholds are as follows: Strongly Undervalued below 6.01, Undervalued between 6.01 and 8.63, Fairly Valued between 13.87 and 8.63, Overvalued between 13.87 and 16.49, and Strongly Overvalued above 16.49. The current Forward EV/EBIT of 7.73 falls within the Undervalued range.

12.43

Ambev SA. (ABEV) has a current PS of 12.43. The 5-year average PS is 2.79. The thresholds are as follows: Strongly Undervalued below 1.13, Undervalued between 1.13 and 1.96, Fairly Valued between 3.62 and 1.96, Overvalued between 3.62 and 4.45, and Strongly Overvalued above 4.45. The current Forward PS of 12.43 falls within the Strongly Overvalued range.

8.68

P/OCF

Ambev SA. (ABEV) has a current P/OCF of 8.68. The 5-year average P/OCF is 10.62. The thresholds are as follows: Strongly Undervalued below 7.04, Undervalued between 7.04 and 8.83, Fairly Valued between 12.40 and 8.83, Overvalued between 12.40 and 14.19, and Strongly Overvalued above 14.19. The current Forward P/OCF of 8.68 falls within the Undervalued range.

11.38

P/FCF

Ambev SA. (ABEV) has a current P/FCF of 11.38. The 5-year average P/FCF is 14.01. The thresholds are as follows: Strongly Undervalued below 8.89, Undervalued between 8.89 and 11.45, Fairly Valued between 16.56 and 11.45, Overvalued between 16.56 and 19.12, and Strongly Overvalued above 19.12. The current Forward P/FCF of 11.38 falls within the Undervalued range.

Ambev SA (ABEV) has a current Price-to-Book (P/B) ratio of 1.98. Compared to its 3-year average P/B ratio of 2.32 , the current P/B ratio is approximately -14.76% higher. Relative to its 5-year average P/B ratio of 2.60, the current P/B ratio is about -23.66% higher. Ambev SA (ABEV) has a Forward Free Cash Flow (FCF) yield of approximately 11.13%. Compared to its 3-year average FCF yield of 8.85%, the current FCF yield is approximately 25.87% lower. Relative to its 5-year average FCF yield of 7.63% , the current FCF yield is about 45.96% lower.

1.98

P/B

Median3y

2.32

Median5y

2.60

11.13

FCF Yield

Median3y

8.85

Median5y

7.63

Competitors Valuation Multiple

The average P/S ratio for ABEV's competitors is 68.10, providing a benchmark for relative valuation. Ambev SA Corp (ABEV) exhibits a P/S ratio of 12.43, which is -81.75% above the industry average. Given its robust revenue growth of 0.23%, this premium appears unsustainable.

P/S

P/E

EV/EBITDA

EV/EBIT

P/S

Revenue Growth

Market Cap

Anheuser-Busch Inbev SA

Constellation Brands Inc

Molson Coors Beverage Co

43.72

-1.58%

8.11B

Performance Decomposition

Market capitalization of ABEV increased by 8.96% over the past 1 year. The primary factor behind the change was an increase in Margin Expansion from 12.23 to 13.89.

The secondary factor is the Revenue Growth, contributed 0.23%to the performance.

Overall, the performance of ABEV in the past 1 year is driven by Margin Expansion. Which is more sustainable.

0.23%

20.04B → 20.09B

Revenue Growth

13.57%

12.23 → 13.89

Margin Expansion

-4.84%

16.25 → 15.46

P/E Change

8.96%