ABEV vs. HSY: A Head-to-Head Stock Comparison
Updated onHere’s a clear look at ABEV and HSY, comparing key factors like historical performance, profitability, financial strength, growth, dividend, and valuation.
Company Overview
ABEV’s market capitalization stands at 38.65 billion USD, while HSY’s is 35.75 billion USD, indicating their market valuations are broadly comparable.
With betas of 0.35 for ABEV and 0.28 for HSY, both stocks show similar sensitivity to overall market movements.
ABEV trades as an American Depositary Receipt (ADR), offering U.S. investors a convenient way to access its foreign-listed shares. In contrast, HSY is a standard domestic listing.
| Symbol | ABEV | HSY |
|---|---|---|
| Company Name | Ambev S.A. | The Hershey Company |
| Country | BR | US |
| Sector | Consumer Defensive | Consumer Defensive |
| Industry | Beverages - Alcoholic | Food Confectioners |
| CEO | Carlos Eduardo Klutzenschell Lisboa | Michele Gross Buck |
| Price | 2.47 USD | 176.47 USD |
| Market Cap | 38.65 billion USD | 35.75 billion USD |
| Beta | 0.35 | 0.28 |
| Exchange | NYSE | NYSE |
| IPO Date | March 5, 1997 | March 17, 1980 |
| ADR | Yes | No |
Historical Performance
This chart compares the performance of ABEV and HSY 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.
HSY
37.42%
Food Confectioners Industry
- Max
- 37.69%
- Q3
- 37.49%
- Median
- 25.36%
- Q1
- 12.55%
- Min
- 10.29%
HSY’s Return on Equity of 37.42% is on par with the norm for the Food Confectioners 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.
HSY
17.71%
Food Confectioners Industry
- Max
- 17.71%
- Q3
- 14.38%
- Median
- 9.80%
- Q1
- -20.38%
- Min
- -72.51%
In the upper quartile for the Food Confectioners industry, HSY’s Return on Invested Capital of 17.71% 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.
HSY
15.32%
Food Confectioners Industry
- Max
- 15.32%
- Q3
- 13.13%
- Median
- 11.66%
- Q1
- 10.66%
- Min
- 9.88%
A Net Profit Margin of 15.32% places HSY in the upper quartile for the Food Confectioners 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.
HSY
21.26%
Food Confectioners Industry
- Max
- 21.20%
- Q3
- 17.05%
- Median
- 15.39%
- Q1
- 14.29%
- Min
- 11.79%
HSY’s Operating Profit Margin of 21.26% is exceptionally high, placing it well above the typical range for the Food Confectioners industry. This demonstrates outstanding efficiency in managing its core operations, which can be a result of strong pricing power or superior cost control.
Profitability at a Glance
| Symbol | ABEV | HSY |
|---|---|---|
| Return on Equity (TTM) | 14.93% | 37.42% |
| Return on Assets (TTM) | 9.80% | 11.80% |
| Return on Invested Capital (TTM) | 15.16% | 17.71% |
| Net Profit Margin (TTM) | 15.74% | 15.32% |
| Operating Profit Margin (TTM) | 24.12% | 21.26% |
| Gross Profit Margin (TTM) | 50.61% | 42.91% |
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.
HSY
1.59
Food Confectioners Industry
- Max
- 1.59
- Q3
- 1.20
- Median
- 0.80
- Q1
- 0.70
- Min
- 0.61
HSY’s Current Ratio of 1.59 is in the upper quartile for the Food Confectioners 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.
HSY
1.34
Food Confectioners Industry
- Max
- 1.59
- Q3
- 1.40
- Median
- 1.06
- Q1
- 0.59
- Min
- 0.01
HSY’s Debt-to-Equity Ratio of 1.34 is typical for the Food Confectioners 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.
HSY
12.63
Food Confectioners Industry
- Max
- 12.63
- Q3
- 11.88
- Median
- 11.13
- Q1
- 8.85
- Min
- 6.56
HSY’s Interest Coverage Ratio of 12.63 is in the upper quartile for the Food Confectioners industry, signifying a strong and healthy capacity to meet its interest payments from operating profits.
Financial Strength at a Glance
| Symbol | ABEV | HSY |
|---|---|---|
| Current Ratio (TTM) | 1.11 | 1.59 |
| Quick Ratio (TTM) | 0.80 | 1.11 |
| Debt-to-Equity Ratio (TTM) | 0.03 | 1.34 |
| Debt-to-Asset Ratio (TTM) | 0.02 | 0.45 |
| Net Debt-to-EBITDA Ratio (TTM) | -0.54 | 1.91 |
| Interest Coverage Ratio (TTM) | 10.02 | 12.63 |
Growth
The following charts compare key year-over-year (YoY) growth metrics for ABEV and HSY. 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.
HSY
3.11%
Food Confectioners Industry
- Max
- 3.28%
- Q3
- 2.98%
- Median
- 2.80%
- Q1
- 2.16%
- Min
- 0.53%
With a Dividend Yield of 3.11%, HSY offers a more attractive income stream than most of its peers in the Food Confectioners industry, signaling a strong commitment to shareholder returns.
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.
HSY
65.72%
Food Confectioners Industry
- Max
- 66.48%
- Q3
- 65.91%
- Median
- 61.19%
- Q1
- 49.66%
- Min
- 28.65%
HSY’s Dividend Payout Ratio of 65.72% is within the typical range for the Food Confectioners industry, suggesting a balanced approach between shareholder payouts and company reinvestment.
Dividend at a Glance
| Symbol | ABEV | HSY |
|---|---|---|
| Dividend Yield (TTM) | 1.89% | 3.11% |
| Dividend Payout Ratio (TTM) | 73.84% | 65.72% |
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.
HSY
21.71
Food Confectioners Industry
- Max
- 27.38
- Q3
- 25.74
- Median
- 22.87
- Q1
- 20.36
- Min
- 19.81
HSY’s P/E Ratio of 21.71 is within the middle range for the Food Confectioners industry. This suggests its valuation is in line with the sector average, representing neither a significant premium nor a discount compared to its peers.
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.
HSY
2.05
Food Confectioners Industry
- Max
- 11.13
- Q3
- 8.03
- Median
- 4.93
- Q1
- 2.65
- Min
- 1.94
In the lower quartile for the Food Confectioners industry, HSY’s Forward PEG Ratio of 2.05 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.
HSY
3.32
Food Confectioners Industry
- Max
- 4.07
- Q3
- 3.38
- Median
- 2.78
- Q1
- 2.35
- Min
- 2.17
HSY’s P/S Ratio of 3.32 aligns with the market consensus for the Food Confectioners industry. This suggests its valuation, based on sales, is seen as standard and is on par with its competitors.
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.
HSY
7.64
Food Confectioners Industry
- Max
- 7.23
- Q3
- 7.04
- Median
- 5.25
- Q1
- 3.33
- Min
- 2.77
At 7.64, HSY’s P/B Ratio is at an extreme premium to the Food Confectioners industry. This signifies that the market’s valuation is heavily reliant on future potential rather than its current net asset value, which can be a high-risk proposition.
Valuation at a Glance
| Symbol | ABEV | HSY |
|---|---|---|
| Price-to-Earnings Ratio (P/E, TTM) | 14.68 | 21.71 |
| Forward PEG Ratio (TTM) | 1.23 | 2.05 |
| Price-to-Sales Ratio (P/S, TTM) | 2.31 | 3.32 |
| Price-to-Book Ratio (P/B, TTM) | 2.24 | 7.64 |
| Price-to-Free Cash Flow Ratio (P/FCF, TTM) | 9.61 | 19.63 |
| EV-to-EBITDA (TTM) | 6.68 | 16.24 |
| EV-to-Sales (TTM) | 2.13 | 3.77 |