ABEV vs. TGT: A Head-to-Head Stock Comparison
Updated onHere’s a clear look at ABEV and TGT, 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 TGT’s is 47.28 billion USD, indicating their market valuations are broadly comparable.
TGT carries a higher beta at 1.21, 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, TGT is a standard domestic listing.
| Symbol | ABEV | TGT |
|---|---|---|
| Company Name | Ambev S.A. | Target Corporation |
| Country | BR | US |
| Sector | Consumer Defensive | Consumer Defensive |
| Industry | Beverages - Alcoholic | Discount Stores |
| CEO | Carlos Eduardo Klutzenschell Lisboa | Brian C. Cornell |
| Price | 2.47 USD | 104.06 USD |
| Market Cap | 38.65 billion USD | 47.28 billion USD |
| Beta | 0.35 | 1.21 |
| Exchange | NYSE | NYSE |
| IPO Date | March 5, 1997 | October 18, 1967 |
| ADR | Yes | No |
Historical Performance
This chart compares the performance of ABEV and TGT 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.
TGT
28.60%
Discount Stores Industry
- Max
- 31.68%
- Q3
- 28.60%
- Median
- 15.53%
- Q1
- 12.21%
- Min
- 12.12%
TGT’s Return on Equity of 28.60% is on par with the norm for the Discount Stores 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.
TGT
10.48%
Discount Stores Industry
- Max
- 20.02%
- Q3
- 12.27%
- Median
- 11.13%
- Q1
- 6.51%
- Min
- 5.03%
TGT’s Return on Invested Capital of 10.48% is in line with the norm for the Discount Stores industry, reflecting a standard level of efficiency in generating profits from its capital base.
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.
TGT
3.95%
Discount Stores Industry
- Max
- 2.92%
- Q3
- 2.92%
- Median
- 2.81%
- Q1
- 2.75%
- Min
- 2.75%
TGT’s Net Profit Margin of 3.95% is exceptionally high, placing it well beyond the typical range for the Discount Stores industry. This demonstrates outstanding operational efficiency and a strong competitive advantage in converting revenue into profit.
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.
TGT
5.42%
Discount Stores Industry
- Max
- 5.42%
- Q3
- 5.42%
- Median
- 4.33%
- Q1
- 3.93%
- Min
- 2.10%
TGT’s Operating Profit Margin of 5.42% is around the midpoint for the Discount Stores industry, indicating that its efficiency in managing core business operations is typical for the sector.
Profitability at a Glance
| Symbol | ABEV | TGT |
|---|---|---|
| Return on Equity (TTM) | 14.93% | 28.60% |
| Return on Assets (TTM) | 9.80% | 7.45% |
| Return on Invested Capital (TTM) | 15.16% | 10.48% |
| Net Profit Margin (TTM) | 15.74% | 3.95% |
| Operating Profit Margin (TTM) | 24.12% | 5.42% |
| Gross Profit Margin (TTM) | 50.61% | 28.05% |
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.
TGT
0.94
Discount Stores Industry
- Max
- 1.25
- Q3
- 1.23
- Median
- 1.02
- Q1
- 0.78
- Min
- 0.74
TGT’s Current Ratio of 0.94 aligns with the median group of the Discount Stores industry, indicating that its short-term liquidity is in line with its sector 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.
TGT
1.54
Discount Stores Industry
- Max
- 2.34
- Q3
- 1.40
- Median
- 0.80
- Q1
- 0.31
- Min
- 0.20
TGT’s leverage is in the upper quartile of the Discount Stores industry, with a Debt-to-Equity Ratio of 1.54. While this approach can boost equity growth, it also exposes the company to greater financial vulnerability.
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.
TGT
13.64
Discount Stores Industry
- Max
- 18.46
- Q3
- 17.45
- Median
- 13.09
- Q1
- 10.49
- Min
- 1.08
TGT’s Interest Coverage Ratio of 13.64 is positioned comfortably within the norm for the Discount Stores industry, indicating a standard and healthy capacity to cover its interest payments.
Financial Strength at a Glance
| Symbol | ABEV | TGT |
|---|---|---|
| Current Ratio (TTM) | 1.11 | 0.94 |
| Quick Ratio (TTM) | 0.80 | 0.25 |
| Debt-to-Equity Ratio (TTM) | 0.03 | 1.54 |
| Debt-to-Asset Ratio (TTM) | 0.02 | 0.41 |
| Net Debt-to-EBITDA Ratio (TTM) | -0.54 | 2.24 |
| Interest Coverage Ratio (TTM) | 10.02 | 13.64 |
Growth
The following charts compare key year-over-year (YoY) growth metrics for ABEV and TGT. 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.
TGT
4.31%
Discount Stores Industry
- Max
- 4.51%
- Q3
- 0.91%
- Median
- 0.49%
- Q1
- 0.00%
- Min
- 0.00%
With a Dividend Yield of 4.31%, TGT offers a more attractive income stream than most of its peers in the Discount Stores 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.
TGT
48.94%
Discount Stores Industry
- Max
- 44.99%
- Q3
- 36.65%
- Median
- 19.69%
- Q1
- 0.00%
- Min
- 0.00%
At 48.94%, TGT’s Dividend Payout Ratio is exceptionally high, exceeding the typical range for the Discount Stores industry. While this provides a significant return to shareholders, it may limit funds for reinvestment and could be difficult to sustain.
Dividend at a Glance
| Symbol | ABEV | TGT |
|---|---|---|
| Dividend Yield (TTM) | 1.89% | 4.31% |
| Dividend Payout Ratio (TTM) | 73.84% | 48.94% |
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.
TGT
11.31
Discount Stores Industry
- Max
- 55.76
- Q3
- 45.00
- Median
- 33.38
- Q1
- 22.25
- Min
- 10.79
In the lower quartile for the Discount Stores industry, TGT’s P/E Ratio of 11.31 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.
TGT
1.54
Discount Stores Industry
- Max
- 5.06
- Q3
- 3.70
- Median
- 2.97
- Q1
- 2.24
- Min
- 1.25
In the lower quartile for the Discount Stores industry, TGT’s Forward PEG Ratio of 1.54 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.
TGT
0.45
Discount Stores Industry
- Max
- 2.07
- Q3
- 1.63
- Median
- 0.96
- Q1
- 0.64
- Min
- 0.43
In the lower quartile for the Discount Stores industry, TGT’s P/S Ratio of 0.45 indicates its revenue is valued more conservatively than most of its peers. This could present a compelling opportunity if the market has overlooked its sales-generating capabilities.
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.
TGT
3.17
Discount Stores Industry
- Max
- 16.12
- Q3
- 9.30
- Median
- 5.40
- Q1
- 3.27
- Min
- 2.73
TGT’s P/B Ratio of 3.17 is in the lower quartile for the Discount Stores industry. From a value investing perspective, this is favorable, as it suggests the stock is trading at a discount to its net asset value and may offer a greater margin of safety.
Valuation at a Glance
| Symbol | ABEV | TGT |
|---|---|---|
| Price-to-Earnings Ratio (P/E, TTM) | 14.68 | 11.31 |
| Forward PEG Ratio (TTM) | 1.23 | 1.54 |
| Price-to-Sales Ratio (P/S, TTM) | 2.31 | 0.45 |
| Price-to-Book Ratio (P/B, TTM) | 2.24 | 3.17 |
| Price-to-Free Cash Flow Ratio (P/FCF, TTM) | 9.61 | 13.38 |
| EV-to-EBITDA (TTM) | 6.68 | 7.53 |
| EV-to-Sales (TTM) | 2.13 | 0.64 |