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Budweiser Brewing Co. APAC Ltd. (HK:1876)
:1876
Hong Kong Market

Budweiser Brewing Co. APAC Ltd. (1876) AI Stock Analysis

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HK

Budweiser Brewing Co. APAC Ltd.

(1876)

Rating:75Outperform
Price Target:
HK$9.50
â–²(10.98%Upside)
Budweiser Brewing Co. APAC Ltd. earns a strong overall stock score driven primarily by solid financial performance and a healthy dividend yield. Technical analysis suggests caution due to mixed signals, while valuation remains attractive. The absence of recent earnings call data or corporate events leaves the financial and technical factors as the primary drivers.
Positive Factors
Financial Valuation
Budweiser APAC maintains a BUY rating based on undemanding valuation and prospects for an improving dividend payout.
Geographical Focus
Opportunities in China include healthy channel inventory levels ahead of Chinese New Year and geographical expansion into inland cities like Hubei and Anhui.
Market Expansion
Budweiser APAC is achieving continued market share gains in South Korea, with successful product innovations.
Negative Factors
Consumer Sentiment
Weak consumer sentiment in China resulted in a decline in beer production, impacting sales volume negatively.
Earnings Pressure
Analyst reduced FY24/FY25/FY26 earnings estimates to reflect volume pressure and weakness in the super-premium segment in China.
Economic Challenges
China business remained under pressure in 4Q24, with APAC West revenue/EBITDA likely down 20%/30%, offset by South Korea’s market share gains and India’s strong momentum.

Budweiser Brewing Co. APAC Ltd. (1876) vs. iShares MSCI Hong Kong ETF (EWH)

Budweiser Brewing Co. APAC Ltd. Business Overview & Revenue Model

Company DescriptionBudweiser Brewing Co. APAC Ltd. (1876) is a leading brewing company in the Asia-Pacific region, primarily engaged in the production, distribution, and sale of a diverse portfolio of beer brands. The company operates in various sectors of the beverage industry, focusing on premium and super-premium beer segments. Its core products include globally recognized brands such as Budweiser, Stella Artois, and Corona, along with a selection of local brands tailored to regional tastes.
How the Company Makes MoneyBudweiser Brewing Co. APAC Ltd. generates revenue primarily through the sale of its beer products across the Asia-Pacific region. The company's revenue model is centered around brewing and distributing a wide range of beer brands, from global icons like Budweiser to regional favorites. Key revenue streams include direct sales to retail establishments, such as supermarkets and convenience stores, as well as sales to bars, restaurants, and other hospitality venues. The company also benefits from strategic partnerships and alliances that enhance its distribution capabilities and market reach. Additionally, Budweiser Brewing Co. APAC Ltd. invests in marketing and promotional activities to strengthen brand recognition and drive sales growth. Its earnings are significantly influenced by consumer preferences, regional economic conditions, and competitive dynamics within the beverage industry.

Budweiser Brewing Co. APAC Ltd. Financial Statement Overview

Summary
Budweiser Brewing Co. APAC Ltd. demonstrates solid financial health with strong profitability margins and a robust balance sheet characterized by low leverage. While revenue growth has declined recently, the company continues to generate healthy cash flows and maintain financial stability. Overall, the company's financials are strong with room for improvement in revenue growth.
Income Statement
72
Positive
The company's revenue has shown a declining trend with a decrease from 2021 to 2024. The gross profit margin remains strong, indicating good cost management. However, the net profit margin experienced a decline in 2023, primarily due to a significant drop in net income. EBIT and EBITDA margins have been relatively consistent, showing stability in operational efficiency.
Balance Sheet
88
Very Positive
The company maintains a solid equity base with a high equity ratio, suggesting a low reliance on debt. The debt-to-equity ratio is very low, which reduces financial risk. Return on Equity (ROE) has fluctuated but remains positive, demonstrating effective use of shareholder funds.
Cash Flow
80
Positive
Operating cash flow is strong, consistently exceeding net income, which is a positive indicator of cash-generating ability. Free cash flow has been positive, supporting growth and potential dividends. However, the free cash flow growth rate has been inconsistent, showing potential volatility in cash generation.
Breakdown
Dec 2024Dec 2023Dec 2022Dec 2021Dec 2020
Income StatementTotal Revenue
48.51B53.54B50.73B52.76B43.34B
Gross Profit
24.44B26.96B24.31B27.25B21.46B
EBIT
8.53B10.07B8.77B9.93B5.99B
EBITDA
13.70B15.63B13.98B16.56B12.11B
Net Income Common Stockholders
5.64B852.00M7.15B7.38B3.99B
Balance SheetCash, Cash Equivalents and Short-Term Investments
22.27B24.53B19.71B15.98B10.04B
Total Assets
114.78B126.76B124.85B129.61B125.53B
Total Debt
1.58B331.00M1.75B1.58B1.82B
Net Debt
-20.68B-2.81B-17.96B-14.40B-8.22B
Total Liabilities
35.25B42.04B40.30B43.21B42.23B
Stockholders Equity
79.10B84.22B84.01B85.86B82.85B
Cash FlowFree Cash Flow
5.86B10.28B8.48B10.08B6.15B
Operating Cash Flow
8.81B14.18B12.35B14.79B10.09B
Investing Cash Flow
-3.18B-3.50B-3.45B-5.68B-4.56B
Financing Cash Flow
-7.01B-4.86B-3.92B-3.61B-3.23B

Budweiser Brewing Co. APAC Ltd. Technical Analysis

Technical Analysis Sentiment
Positive
Last Price8.56
Price Trends
50DMA
8.21
Positive
100DMA
7.90
Positive
200DMA
7.84
Positive
Market Momentum
MACD
0.14
Negative
RSI
60.06
Neutral
STOCH
80.90
Negative
Evaluating momentum and price trends is crucial in stock analysis to make informed investment decisions. For HK:1876, the sentiment is Positive. The current price of 8.56 is above the 20-day moving average (MA) of 8.24, above the 50-day MA of 8.21, and above the 200-day MA of 7.84, indicating a bullish trend. The MACD of 0.14 indicates Negative momentum. The RSI at 60.06 is Neutral, neither overbought nor oversold. The STOCH value of 80.90 is Negative, not indicating any strong overbought or oversold conditions. Overall, these indicators collectively point to a Positive sentiment for HK:1876.

Budweiser Brewing Co. APAC Ltd. Peers Comparison

Overall Rating
UnderperformOutperform
Sector (65)
Financial Indicators
Name
Overall Rating
Market Cap
P/E Ratio
ROE
Dividend Yield
Revenue Growth
EPS Growth
76
Outperform
HK$4.42B8.8411.39%8.50%1.38%-14.80%
75
Outperform
HK$114.04B20.146.94%5.13%-9.19%-14.90%
70
Neutral
$191.11B6.899.66%6.59%9.97%-19.80%
65
Neutral
$8.88B15.034.75%203.74%3.58%-2.49%
63
Neutral
HK$70.59B625.610.21%2.98%-11.90%-97.93%
* Consumer Defensive Sector Average
Performance Comparison
Ticker
Company Name
Price
Change
% Change
HK:1876
Budweiser Brewing Co. APAC Ltd.
8.65
-0.09
-1.03%
HK:2319
China Mengniu Dairy Co
18.08
5.26
41.04%
HK:1109
China Resources Land
26.80
0.38
1.43%
HK:1234
China Lilang Ltd.
3.66
-0.50
-12.00%

Budweiser Brewing Co. APAC Ltd. Corporate Events

Budweiser Brewing Co. APAC Ltd. Announces Board Composition
May 15, 2025

Budweiser Brewing Co. APAC Ltd. has announced the composition of its board of directors, which includes executive, non-executive, and independent non-executive members. The board’s structure is designed to enhance governance and strategic oversight, with three key committees focused on audit and risk, remuneration, and nominations. This announcement reflects the company’s commitment to robust corporate governance, which is crucial for maintaining stakeholder confidence and ensuring sustainable growth in the competitive beverage industry.

The most recent analyst rating on (HK:1876) stock is a Buy with a HK$14.90 price target. To see the full list of analyst forecasts on Budweiser Brewing Co. APAC Ltd. stock, see the HK:1876 Stock Forecast page.

Budweiser APAC Announces Board Reshuffle to Strengthen Leadership
May 14, 2025

Budweiser Brewing Company APAC Limited announced several changes in its board of directors effective from May 15, 2025. Mr. Ricardo Tadeu will join as a Non-executive Director, while Ms. Katherine Barrett will transition from a Non-executive Director to an alternate Director. Additionally, Mr. John Blood and Mr. David Almeida will take on new roles as alternate Directors to multiple board members. These changes are part of the company’s strategic adjustments to strengthen its leadership and governance structure.

The most recent analyst rating on (HK:1876) stock is a Buy with a HK$16.40 price target. To see the full list of analyst forecasts on Budweiser Brewing Co. APAC Ltd. stock, see the HK:1876 Stock Forecast page.

Budweiser APAC Declares Final Dividend for 2024
May 14, 2025

Budweiser Brewing Company APAC Limited has announced a final ordinary cash dividend of USD 0.0566 per share for the financial year ending December 31, 2024. The dividend, payable in Hong Kong dollars at a rate of HKD 0.4396 per share, reflects the company’s commitment to returning value to its shareholders. The ex-dividend date is set for May 21, 2025, with payment scheduled for June 25, 2025. This announcement underscores the company’s stable financial performance and its strategic focus on maintaining shareholder confidence.

The most recent analyst rating on (HK:1876) stock is a Buy with a HK$16.40 price target. To see the full list of analyst forecasts on Budweiser Brewing Co. APAC Ltd. stock, see the HK:1876 Stock Forecast page.

Budweiser Brewing Co. APAC Ltd. Approves Key Resolutions at AGM
May 14, 2025

At the Annual General Meeting held on May 14, 2025, Budweiser Brewing Co. APAC Ltd. announced that all proposed resolutions were approved by a majority vote. Key resolutions included the approval of the audited financial statements, the declaration of a final dividend of US$5.66 cents per share, and the re-election of several directors. Additionally, the company re-appointed PricewaterhouseCoopers as its independent auditors and authorized the board to repurchase shares and issue additional shares. These decisions are likely to impact the company’s financial strategies and shareholder value positively.

The most recent analyst rating on (HK:1876) stock is a Buy with a HK$16.40 price target. To see the full list of analyst forecasts on Budweiser Brewing Co. APAC Ltd. stock, see the HK:1876 Stock Forecast page.

Budweiser APAC Reports Decline in Q1 2025 Financial Results Amidst Challenging Market Conditions
May 7, 2025

Budweiser Brewing Company APAC Limited reported a decline in its financial performance for the first quarter of 2025, with revenue dropping by 7.5% and normalized EBITDA decreasing by 11.2%. This downturn was largely attributed to a challenging market environment in China, although the company noted strong performance in South Korea. The CEO emphasized the company’s strategic focus on adapting to market conditions and leveraging its brand portfolio to drive future growth.

Budweiser APAC to Announce Q1 2025 Financial Results
Apr 23, 2025

Budweiser Brewing Company APAC Limited has announced that a board committee meeting will be held on May 7, 2025, to approve the unaudited financial results for the first quarter of 2025. The results are expected to be released on May 8, 2025, which could provide insights into the company’s financial performance and impact its market positioning.

Budweiser APAC Declares Final Dividend for 2024
Apr 16, 2025

Budweiser Brewing Company APAC Limited has announced a final ordinary cash dividend of USD 0.0566 per share for the financial year ending December 31, 2024. This announcement reflects the company’s commitment to returning value to its shareholders and may influence investor sentiment positively. The dividend is subject to shareholder approval on May 14, 2025, with the payment scheduled for June 25, 2025.

Budweiser Brewing APAC Announces Virtual AGM and Strategic Resolutions
Apr 16, 2025

Budweiser Brewing Company APAC Limited has announced its upcoming Annual General Meeting (AGM) scheduled for May 14, 2025, to be held virtually. Key agenda items include the consideration of the company’s audited financial statements for 2024, the declaration of a final dividend, re-election of directors, and re-appointment of auditors. Additionally, the company seeks shareholder approval for mandates to repurchase shares and issue additional shares, reflecting strategic moves to enhance shareholder value and maintain market competitiveness.

Budweiser Brewing Co. APAC Finalizes Voluntary Shares and RSUs Grant
Apr 3, 2025

Budweiser Brewing Co. APAC Ltd. announced the final details of its grant of Voluntary Shares and Restricted Stock Units (RSUs) under the SBC Plan. The grants include 40,204 Voluntary Shares and 1,404,919 RSUs for directors of certain subsidiaries, and 3,713,671 Voluntary Shares and 7,831,264 RSUs for other employees. The company also stated the number of shares available for future grants under the Scheme Mandate Limit, indicating a strategic move to incentivize and retain talent within the organization.

Budweiser Brewing Co. APAC Announces Leadership Change
Apr 1, 2025

Budweiser Brewing Co. APAC Ltd. has announced a significant change in its senior leadership, effective from April 1, 2025. Mr. Jan Craps will step down from his roles as CEO, Co-Chair, Executive Director, and Authorized Representative, with Mr. Yanjun Cheng taking over these positions. Mr. Cheng brings over 40 years of experience in the beer and beverage industry, having held various leadership roles within AB InBev, including CEO of Harbin Group and Vice President Supply and Logistics for the APAC region. His appointment is expected to bring a wealth of expertise and continuity to the company’s operations in the Asia Pacific region.

Budweiser Brewing APAC Announces Board Composition
Apr 1, 2025

Budweiser Brewing Company APAC Limited has announced the composition of its board of directors, which includes a mix of executive, non-executive, and independent non-executive directors. The board is structured with specific committees such as Audit and Risk, Remuneration, and Nomination, each chaired by different members. This announcement reflects the company’s commitment to strong governance and strategic oversight, potentially impacting its operational efficiency and stakeholder confidence.

Glossary
BuyA stock rated as a "Buy" is expected to perform better than the overall market or a specific benchmark over the near-to-medium term. This rating suggests the stock is likely to deliver higher returns compared to other stocks in the same sector or market index. Note: This is not investment advice; please consult a financial advisor before making investment decisions.
HoldA stock rated as a "Hold" is expected to perform in line with the overall market or a specific benchmark. This rating indicates that the stock is neither particularly compelling nor unfavorable for investment. Note: This is not investment advice; please consult a financial advisor before making investment decisions.
SellA stock rated as a "Sell" is expected to perform worse than the overall market or a specific benchmark over the near-to-medium term. This rating suggests the stock may deliver lower returns compared to other stocks in the same sector or market index. Note: This is not investment advice; please consult a financial advisor before making investment decisions.

Disclaimer

This AI Analyst Stock Report is automatically generated by our AI systems using advanced algorithms and publicly available financial, technical, and market data. While the information provided aims to be accurate and insightful, it is intended for informational purposes only and should not be considered financial advice. Any content created by an AI (Artificial Intelligence) system may contain inaccuracies and/or contain errors. Investing in stocks carries inherent risks, and past performance is not indicative of future results. This report does not account for your personal financial circumstances, objectives, or risk tolerance. Always conduct your own research or consult with a qualified financial advisor before making investment decisions. The analysis and recommendations provided are based on historical and current data and may not fully reflect future market conditions or unexpected developments. Neither the creators of this report nor its affiliated entities guarantee the accuracy, completeness, or reliability of the information presented. Use this report at your own discretion and risk.