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ABEV vs. SFM: A Head-to-Head Stock Comparison

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Here’s a clear look at ABEV and SFM, 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 SFM’s 15.88 billion USD, indicating a significant difference in their market valuations.

SFM carries a higher beta at 0.81, 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, SFM is a standard domestic listing.

SymbolABEVSFM
Company NameAmbev S.A.Sprouts Farmers Market, Inc.
CountryBRUS
SectorConsumer DefensiveConsumer Defensive
IndustryBeverages - AlcoholicGrocery Stores
CEOCarlos Eduardo Klutzenschell LisboaJack L. Sinclair
Price2.47 USD162.29 USD
Market Cap38.65 billion USD15.88 billion USD
Beta0.350.81
ExchangeNYSENASDAQ
IPO DateMarch 5, 1997August 1, 2013
ADRYesNo

Historical Performance

This chart compares the performance of ABEV and SFM 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.

ABEV vs. SFM: Growth of a $10,000 investment over the past one year.

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.

SFM

34.20%

Grocery Stores Industry

Max
41.83%
Q3
33.21%
Median
17.57%
Q1
4.85%
Min
-1.90%

In the upper quartile for the Grocery Stores industry, SFM’s Return on Equity of 34.20% signals a highly effective use of shareholder capital to drive profitability compared to most of its peers.

ABEV vs. SFM: A comparison of their ROE against their respective Beverages - Alcoholic and Grocery Stores industry benchmarks.

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.

SFM

14.95%

Grocery Stores Industry

Max
9.72%
Q3
6.86%
Median
5.47%
Q1
3.42%
Min
1.05%

SFM’s Return on Invested Capital of 14.95% is exceptionally high, placing it well beyond the typical range for the Grocery Stores industry. This demonstrates an outstanding ability to deploy capital efficiently and create significant value.

ABEV vs. SFM: A comparison of their ROIC against their respective Beverages - Alcoholic and Grocery Stores industry benchmarks.

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.

SFM

5.53%

Grocery Stores Industry

Max
5.53%
Q3
3.00%
Median
1.73%
Q1
1.16%
Min
-1.36%

A Net Profit Margin of 5.53% places SFM in the upper quartile for the Grocery Stores industry, signifying strong profitability and more effective cost management than most of its peers.

ABEV vs. SFM: A comparison of their Net Profit Margin against their respective Beverages - Alcoholic and Grocery Stores industry benchmarks.

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.

SFM

7.22%

Grocery Stores Industry

Max
4.30%
Q3
3.63%
Median
2.32%
Q1
1.32%
Min
0.87%

SFM’s Operating Profit Margin of 7.22% is exceptionally high, placing it well above the typical range for the Grocery Stores industry. This demonstrates outstanding efficiency in managing its core operations, which can be a result of strong pricing power or superior cost control.

ABEV vs. SFM: A comparison of their Operating Margin against their respective Beverages - Alcoholic and Grocery Stores industry benchmarks.

Profitability at a Glance

SymbolABEVSFM
Return on Equity (TTM)14.93%34.20%
Return on Assets (TTM)9.80%11.94%
Return on Invested Capital (TTM)15.16%14.95%
Net Profit Margin (TTM)15.74%5.53%
Operating Profit Margin (TTM)24.12%7.22%
Gross Profit Margin (TTM)50.61%38.47%

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.

SFM

0.95

Grocery Stores Industry

Max
1.25
Q3
1.20
Median
1.00
Q1
0.95
Min
0.90

SFM’s Current Ratio of 0.95 falls into the lower quartile for the Grocery Stores industry. This indicates a tighter liquidity situation and a more constrained capacity to handle short-term debt than many of its competitors.

ABEV vs. SFM: A comparison of their Current Ratio against their respective Beverages - Alcoholic and Grocery Stores industry benchmarks.

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.

SFM

1.33

Grocery Stores Industry

Max
4.19
Q3
2.56
Median
1.41
Q1
0.87
Min
0.12

SFM’s Debt-to-Equity Ratio of 1.33 is typical for the Grocery Stores industry, indicating its use of leverage is in line with the sector norm. This suggests a balanced approach to its capital structure.

ABEV vs. SFM: A comparison of their D/E Ratio against their respective Beverages - Alcoholic and Grocery Stores industry benchmarks.

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.

SFM

194.58

Grocery Stores Industry

Max
24.50
Q3
16.36
Median
5.08
Q1
3.73
Min
-0.63

With an Interest Coverage Ratio of 194.58, SFM demonstrates a superior capacity to service its debt, placing it well above the typical range for the Grocery Stores industry. This stems from either robust earnings or a conservative debt load.

ABEV vs. SFM: A comparison of their Interest Coverage against their respective Beverages - Alcoholic and Grocery Stores industry benchmarks.

Financial Strength at a Glance

SymbolABEVSFM
Current Ratio (TTM)1.110.95
Quick Ratio (TTM)0.800.51
Debt-to-Equity Ratio (TTM)0.031.33
Debt-to-Asset Ratio (TTM)0.020.46
Net Debt-to-EBITDA Ratio (TTM)-0.541.65
Interest Coverage Ratio (TTM)10.02194.58

Growth

The following charts compare key year-over-year (YoY) growth metrics for ABEV and SFM. These metrics are based on the companies’ annual financial reports.

Revenue Growth

ABEV vs. SFM: A comparison of their annual year-over-year Revenue Growth.

Earnings Per Share (EPS) Growth

ABEV vs. SFM: A comparison of their annual year-over-year Earnings Per Share (EPS) Growth.

Free Cash Flow Growth

ABEV vs. SFM: A comparison of their annual year-over-year 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.

SFM

0.00%

Grocery Stores Industry

Max
5.28%
Q3
2.38%
Median
1.48%
Q1
0.26%
Min
0.00%

SFM currently does not pay a dividend, resulting in a yield of 0%. This is a common strategy for growth-focused companies that prioritize reinvesting earnings, though it may be less typical in mature, income-oriented sectors.

ABEV vs. SFM: A comparison of their Dividend Yield against their respective Beverages - Alcoholic and Grocery Stores industry benchmarks.

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.

SFM

0.00%

Grocery Stores Industry

Max
4,966.68%
Q3
30.78%
Median
24.38%
Q1
0.00%
Min
0.00%

SFM has a Dividend Payout Ratio of 0%, indicating it does not currently pay a dividend. This is a common strategy for growth-oriented companies that reinvest all profits back into the business.

ABEV vs. SFM: A comparison of their Payout Ratio against their respective Beverages - Alcoholic and Grocery Stores industry benchmarks.

Dividend at a Glance

SymbolABEVSFM
Dividend Yield (TTM)1.89%0.00%
Dividend Payout Ratio (TTM)73.84%0.00%

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.

SFM

35.81

Grocery Stores Industry

Max
35.78
Q3
21.80
Median
18.09
Q1
11.47
Min
8.82

At 35.81, SFM’s P/E Ratio is exceptionally high, exceeding the typical maximum for the Grocery Stores industry. This suggests the stock may be significantly overvalued compared to its peers and implies high market expectations that could be difficult to meet.

ABEV vs. SFM: A comparison of their P/E Ratio against their respective Beverages - Alcoholic and Grocery Stores industry benchmarks.

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.

SFM

2.82

Grocery Stores Industry

Max
4.43
Q3
3.62
Median
2.13
Q1
0.83
Min
0.05

SFM’s Forward PEG Ratio of 2.82 is within the middle range of its peers in the Grocery Stores industry. This suggests a reasonable balance between the stock’s price and its expected growth, aligning with sector valuation norms.

ABEV vs. SFM: A comparison of their Forward PEG Ratio against their respective Beverages - Alcoholic and Grocery Stores industry benchmarks.

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.

SFM

1.97

Grocery Stores Industry

Max
0.69
Q3
0.45
Median
0.28
Q1
0.22
Min
0.14

With a P/S Ratio of 1.97, SFM trades at a valuation that eclipses even the highest in the Grocery Stores industry. This implies the market has priced in exceptionally optimistic scenarios for future revenue growth, posing considerable valuation risk.

ABEV vs. SFM: A comparison of their P/S Ratio against their respective Beverages - Alcoholic and Grocery Stores industry benchmarks.

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.

SFM

12.42

Grocery Stores Industry

Max
5.54
Q3
4.47
Median
2.48
Q1
1.04
Min
0.41

At 12.42, SFM’s P/B Ratio is at an extreme premium to the Grocery Stores 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.

ABEV vs. SFM: A comparison of their P/B Ratio against their respective Beverages - Alcoholic and Grocery Stores industry benchmarks.

Valuation at a Glance

SymbolABEVSFM
Price-to-Earnings Ratio (P/E, TTM)14.6835.81
Forward PEG Ratio (TTM)1.232.82
Price-to-Sales Ratio (P/S, TTM)2.311.97
Price-to-Book Ratio (P/B, TTM)2.2412.42
Price-to-Free Cash Flow Ratio (P/FCF, TTM)9.6132.68
EV-to-EBITDA (TTM)6.6819.94
EV-to-Sales (TTM)2.132.15