ABEV vs. BF-B: A Head-to-Head Stock Comparison
Updated onHere’s a clear look at ABEV and BF-B, comparing key factors like historical performance, profitability, financial strength, growth, dividend, and valuation.
Company Overview
ABEV’s market capitalization of 38.65 billion USD is substantially larger than BF-B’s 13.49 billion USD, indicating a significant difference in their market valuations.
BF-B carries a higher beta at 0.61, indicating it’s more sensitive to market moves, while ABEV (beta: 0.35) exhibits greater stability.
ABEV trades as an American Depositary Receipt (ADR), offering U.S. investors a convenient way to access its foreign-listed shares. In contrast, BF-B is a standard domestic listing.
| Symbol | ABEV | BF-B |
|---|---|---|
| Company Name | Ambev S.A. | Brown-Forman Corporation |
| Country | BR | US |
| Sector | Consumer Defensive | Consumer Defensive |
| Industry | Beverages - Alcoholic | Beverages - Wineries & Distilleries |
| CEO | Carlos Eduardo Klutzenschell Lisboa | Lawson E. Whiting |
| Price | 2.47 USD | 28.27 USD |
| Market Cap | 38.65 billion USD | 13.49 billion USD |
| Beta | 0.35 | 0.61 |
| Exchange | NYSE | NYSE |
| IPO Date | March 5, 1997 | March 17, 1980 |
| ADR | Yes | No |
Historical Performance
This chart compares the performance of ABEV and BF-B by tracking the growth of an initial $10,000 investment in each. Use the tabs to select the desired time period.
Data is adjusted for dividends and splits.
Profitability
Return on Equity
ABEV
14.93%
Beverages - Alcoholic Industry
- Max
- 14.93%
- Q3
- 11.65%
- Median
- 9.82%
- Q1
- 7.98%
- Min
- 7.40%
In the upper quartile for the Beverages - Alcoholic industry, ABEV’s Return on Equity of 14.93% signals a highly effective use of shareholder capital to drive profitability compared to most of its peers.
BF-B
23.19%
Beverages - Wineries & Distilleries Industry
- Max
- 35.39%
- Q3
- 26.24%
- Median
- 12.22%
- Q1
- 0.68%
- Min
- -0.99%
BF-B’s Return on Equity of 23.19% is on par with the norm for the Beverages - Wineries & Distilleries industry, indicating its profitability relative to shareholder equity is typical for the sector.
Return on Invested Capital
ABEV
15.16%
Beverages - Alcoholic Industry
- Max
- 8.96%
- Q3
- 8.78%
- Median
- 7.43%
- Q1
- 6.60%
- Min
- 6.50%
ABEV’s Return on Invested Capital of 15.16% is exceptionally high, placing it well beyond the typical range for the Beverages - Alcoholic industry. This demonstrates an outstanding ability to deploy capital efficiently and create significant value.
BF-B
12.16%
Beverages - Wineries & Distilleries Industry
- Max
- 12.16%
- Q3
- 11.54%
- Median
- 6.24%
- Q1
- 1.03%
- Min
- 0.64%
In the upper quartile for the Beverages - Wineries & Distilleries industry, BF-B’s Return on Invested Capital of 12.16% signifies a highly effective use of its capital to generate profits when compared to its peers.
Net Profit Margin
ABEV
15.74%
Beverages - Alcoholic Industry
- Max
- 15.74%
- Q3
- 11.09%
- Median
- 7.37%
- Q1
- 4.71%
- Min
- 3.46%
A Net Profit Margin of 15.74% places ABEV in the upper quartile for the Beverages - Alcoholic industry, signifying strong profitability and more effective cost management than most of its peers.
BF-B
21.86%
Beverages - Wineries & Distilleries Industry
- Max
- 21.86%
- Q3
- 18.81%
- Median
- 9.72%
- Q1
- 1.03%
- Min
- -0.80%
A Net Profit Margin of 21.86% places BF-B in the upper quartile for the Beverages - Wineries & Distilleries industry, signifying strong profitability and more effective cost management than most of its peers.
Operating Profit Margin
ABEV
24.12%
Beverages - Alcoholic Industry
- Max
- 26.22%
- Q3
- 21.64%
- Median
- 11.53%
- Q1
- 8.73%
- Min
- 4.73%
An Operating Profit Margin of 24.12% places ABEV in the upper quartile for the Beverages - Alcoholic industry. This signals a strong ability to translate revenue into operating profit, outperforming most of its competitors in core business efficiency.
BF-B
27.85%
Beverages - Wineries & Distilleries Industry
- Max
- 28.89%
- Q3
- 28.11%
- Median
- 17.76%
- Q1
- 6.58%
- Min
- 3.33%
BF-B’s Operating Profit Margin of 27.85% is around the midpoint for the Beverages - Wineries & Distilleries industry, indicating that its efficiency in managing core business operations is typical for the sector.
Profitability at a Glance
| Symbol | ABEV | BF-B |
|---|---|---|
| Return on Equity (TTM) | 14.93% | 23.19% |
| Return on Assets (TTM) | 9.80% | 10.75% |
| Return on Invested Capital (TTM) | 15.16% | 12.16% |
| Net Profit Margin (TTM) | 15.74% | 21.86% |
| Operating Profit Margin (TTM) | 24.12% | 27.85% |
| Gross Profit Margin (TTM) | 50.61% | 58.94% |
Financial Strength
Current Ratio
ABEV
1.11
Beverages - Alcoholic Industry
- Max
- 2.16
- Q3
- 1.70
- Median
- 1.37
- Q1
- 0.95
- Min
- 0.70
ABEV’s Current Ratio of 1.11 aligns with the median group of the Beverages - Alcoholic industry, indicating that its short-term liquidity is in line with its sector peers.
BF-B
3.88
Beverages - Wineries & Distilleries Industry
- Max
- 3.88
- Q3
- 3.10
- Median
- 2.22
- Q1
- 1.43
- Min
- 0.92
BF-B’s Current Ratio of 3.88 is in the upper quartile for the Beverages - Wineries & Distilleries industry. This signifies a strong liquidity position, suggesting the company is well-equipped to cover its immediate liabilities compared to its peers.
Debt-to-Equity Ratio
ABEV
0.03
Beverages - Alcoholic Industry
- Max
- 0.92
- Q3
- 0.90
- Median
- 0.66
- Q1
- 0.16
- Min
- 0.03
Falling into the lower quartile for the Beverages - Alcoholic industry, ABEV’s Debt-to-Equity Ratio of 0.03 points to a conservative financing strategy. This results in lower financial risk but potentially limits strategic investments compared to more leveraged competitors.
BF-B
0.68
Beverages - Wineries & Distilleries Industry
- Max
- 2.11
- Q3
- 1.85
- Median
- 1.22
- Q1
- 0.61
- Min
- 0.37
BF-B’s Debt-to-Equity Ratio of 0.68 is typical for the Beverages - Wineries & Distilleries industry, indicating its use of leverage is in line with the sector norm. This suggests a balanced approach to its capital structure.
Interest Coverage Ratio
ABEV
10.02
Beverages - Alcoholic Industry
- Max
- 10.02
- Q3
- 10.02
- Median
- 3.93
- Q1
- 3.73
- Min
- 3.32
ABEV’s Interest Coverage Ratio of 10.02 is positioned comfortably within the norm for the Beverages - Alcoholic industry, indicating a standard and healthy capacity to cover its interest payments.
BF-B
9.07
Beverages - Wineries & Distilleries Industry
- Max
- 9.07
- Q3
- 8.13
- Median
- 7.62
- Q1
- 5.77
- Min
- 2.23
BF-B’s Interest Coverage Ratio of 9.07 is in the upper quartile for the Beverages - Wineries & Distilleries industry, signifying a strong and healthy capacity to meet its interest payments from operating profits.
Financial Strength at a Glance
| Symbol | ABEV | BF-B |
|---|---|---|
| Current Ratio (TTM) | 1.11 | 3.88 |
| Quick Ratio (TTM) | 0.80 | 1.56 |
| Debt-to-Equity Ratio (TTM) | 0.03 | 0.68 |
| Debt-to-Asset Ratio (TTM) | 0.02 | 0.34 |
| Net Debt-to-EBITDA Ratio (TTM) | -0.54 | 1.90 |
| Interest Coverage Ratio (TTM) | 10.02 | 9.07 |
Growth
The following charts compare key year-over-year (YoY) growth metrics for ABEV and BF-B. These metrics are based on the companies’ annual financial reports.
Revenue Growth
Earnings Per Share (EPS) Growth
Free Cash Flow Growth
Dividend
Dividend Yield
ABEV
1.89%
Beverages - Alcoholic Industry
- Max
- 1,539.93%
- Q3
- 3.36%
- Median
- 1.63%
- Q1
- 0.78%
- Min
- 0.00%
ABEV’s Dividend Yield of 1.89% is consistent with its peers in the Beverages - Alcoholic industry, providing a dividend return that is standard for its sector.
BF-B
3.17%
Beverages - Wineries & Distilleries Industry
- Max
- 4.29%
- Q3
- 3.62%
- Median
- 2.95%
- Q1
- 2.29%
- Min
- 1.61%
BF-B’s Dividend Yield of 3.17% is consistent with its peers in the Beverages - Wineries & Distilleries industry, providing a dividend return that is standard for its sector.
Dividend Payout Ratio
ABEV
73.84%
Beverages - Alcoholic Industry
- Max
- 73.84%
- Q3
- 45.81%
- Median
- 33.17%
- Q1
- 7.61%
- Min
- 0.00%
ABEV’s Dividend Payout Ratio of 73.84% is in the upper quartile for the Beverages - Alcoholic industry. This indicates a strong commitment to shareholder returns but also suggests that a smaller portion of earnings is retained for reinvestment compared to many peers.
BF-B
48.33%
Beverages - Wineries & Distilleries Industry
- Max
- 98.04%
- Q3
- 89.24%
- Median
- 80.45%
- Q1
- 64.39%
- Min
- 48.33%
BF-B’s Dividend Payout Ratio of 48.33% is in the lower quartile for the Beverages - Wineries & Distilleries industry. This suggests a conservative dividend policy, with a strategic focus on reinvesting profits for future growth.
Dividend at a Glance
| Symbol | ABEV | BF-B |
|---|---|---|
| Dividend Yield (TTM) | 1.89% | 3.17% |
| Dividend Payout Ratio (TTM) | 73.84% | 48.33% |
Valuation
Price-to-Earnings Ratio
ABEV
14.68
Beverages - Alcoholic Industry
- Max
- 29.99
- Q3
- 27.46
- Median
- 17.07
- Q1
- 13.71
- Min
- 9.30
ABEV’s P/E Ratio of 14.68 is within the middle range for the Beverages - Alcoholic industry. This suggests its valuation is in line with the sector average, representing neither a significant premium nor a discount compared to its peers.
BF-B
15.38
Beverages - Wineries & Distilleries Industry
- Max
- 283.34
- Q3
- 171.27
- Median
- 59.20
- Q1
- 36.80
- Min
- 14.39
In the lower quartile for the Beverages - Wineries & Distilleries industry, BF-B’s P/E Ratio of 15.38 suggests the stock may be undervalued compared to its peers, potentially presenting an attractive entry point for investors.
Forward P/E to Growth Ratio
ABEV
1.23
Beverages - Alcoholic Industry
- Max
- 2.24
- Q3
- 2.12
- Median
- 1.48
- Q1
- 1.20
- Min
- 1.19
ABEV’s Forward PEG Ratio of 1.23 is within the middle range of its peers in the Beverages - Alcoholic industry. This suggests a reasonable balance between the stock’s price and its expected growth, aligning with sector valuation norms.
BF-B
2.10
Beverages - Wineries & Distilleries Industry
- Max
- 43.98
- Q3
- 24.22
- Median
- 4.45
- Q1
- 3.21
- Min
- 1.97
In the lower quartile for the Beverages - Wineries & Distilleries industry, BF-B’s Forward PEG Ratio of 2.10 is a positive indicator. It suggests that the stock may be attractively valued relative to its expected earnings growth.
Price-to-Sales Ratio
ABEV
2.31
Beverages - Alcoholic Industry
- Max
- 2.32
- Q3
- 2.30
- Median
- 1.63
- Q1
- 0.89
- Min
- 0.76
ABEV’s P/S Ratio of 2.31 is in the upper echelon for the Beverages - Alcoholic industry. This means the company is valued richly on its revenue stream compared to its peers, suggesting the stock is priced for a high level of future performance.
BF-B
3.39
Beverages - Wineries & Distilleries Industry
- Max
- 3.18
- Q3
- 2.89
- Median
- 2.41
- Q1
- 1.76
- Min
- 0.97
With a P/S Ratio of 3.39, BF-B trades at a valuation that eclipses even the highest in the Beverages - Wineries & Distilleries industry. This implies the market has priced in exceptionally optimistic scenarios for future revenue growth, posing considerable valuation risk.
Price-to-Book Ratio
ABEV
2.24
Beverages - Alcoholic Industry
- Max
- 2.39
- Q3
- 2.34
- Median
- 1.97
- Q1
- 1.54
- Min
- 0.74
ABEV’s P/B Ratio of 2.24 is within the conventional range for the Beverages - Alcoholic industry. This shows a balanced market view, where the stock’s price is neither at a significant premium nor a discount to the book value of its peers.
BF-B
3.35
Beverages - Wineries & Distilleries Industry
- Max
- 66.00
- Q3
- 27.93
- Median
- 3.67
- Q1
- 2.54
- Min
- 0.77
BF-B’s P/B Ratio of 3.35 is within the conventional range for the Beverages - Wineries & Distilleries industry. This shows a balanced market view, where the stock’s price is neither at a significant premium nor a discount to the book value of its peers.
Valuation at a Glance
| Symbol | ABEV | BF-B |
|---|---|---|
| Price-to-Earnings Ratio (P/E, TTM) | 14.68 | 15.38 |
| Forward PEG Ratio (TTM) | 1.23 | 2.10 |
| Price-to-Sales Ratio (P/S, TTM) | 2.31 | 3.39 |
| Price-to-Book Ratio (P/B, TTM) | 2.24 | 3.35 |
| Price-to-Free Cash Flow Ratio (P/FCF, TTM) | 9.61 | 31.29 |
| EV-to-EBITDA (TTM) | 6.68 | 13.11 |
| EV-to-Sales (TTM) | 2.13 | 3.97 |