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

• Market Cap: HK$108.64B
• Dividend Yield: 5.23%
• Average Volume (3M): 15.31M
• Price to Earnings (P/E): 23.2
• Beta (1Y): 1.04
• Revenue Growth: -9.54%
• EPS Growth: -27.75%
• Country: HK
• Employees: 21,000
• Sector: Consumer Defensive
• Sector Strength: 42
• Industry: Beverages - Alcoholic
• EPS (TTM): 0.09
• Shares Outstanding: 13,243,397,000
• 10 Day Avg. Volume: 9,122,965
• 30 Day Avg. Volume: 15,310,689
• PEG Ratio: -1.10
• Price to Book (P/B): 1.26
• Price to Sales (P/S): 2.05
• P/FCF Ratio: 16.98
• Enterprise Value/Market Cap: N/A
• Enterprise Value/Revenue: N/A
• Enterprise Value/Gross Profit: N/A
• Enterprise Value/Ebitda: N/A
• 1Y Price Target: HK$9.53
• Price Target Upside: 13.45% Upside
• Rating Consensus: Moderate Buy
• Number of Analyst Covering: 16

• Rating: 70 Outperform
• Price Target: HK$9.00 ▲(7.14% Upside)

Budweiser Brewing Co. APAC Ltd. shows strong financial health with solid profitability and a robust balance sheet. The technical indicators suggest a neutral to slightly bearish outlook, while the valuation indicates a potentially overvalued stock with an attractive dividend yield. The absence of earnings call data and corporate events limits further insights.

Positive Factors

Strong Profitability Margins

Strong profitability margins indicate effective cost management and pricing power, supporting long-term financial stability and shareholder value.

Robust Balance Sheet

A robust balance sheet with low debt enhances financial flexibility, reducing risk and enabling strategic investments and growth opportunities.

Strong Cash Flow Generation

Strong cash flow generation supports ongoing operations, strategic investments, and potential dividends, contributing to long-term financial health.

Negative Factors

Declining Revenue Growth

Declining revenue growth can signal challenges in market expansion or competitive pressures, potentially impacting future profitability and market position.

Net Profit Margin Decline

A declining net profit margin may indicate rising costs or pricing pressures, affecting overall profitability and shareholder returns over time.

Inconsistent Free Cash Flow Growth

Inconsistent free cash flow growth suggests potential volatility in cash generation, which can affect the company's ability to fund growth initiatives and return capital to shareholders.

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

Company Description

Budweiser Brewing Company APAC Limited, an investment holding company, produces, imports, markets, distributes, and sells beer primarily in China, South Korea, India, Vietnam, and the other Asia Pacific regions. The company offers a portfolio of approximately more than 50 beer brands, including Budweiser, Stella Artois, Corona, Hoegaarden, Cass, and Harbin. It also produces, markets, distributes, and sells ready-to-drink products, energy drinks, and spirits. The company sells its products to distributors and retailers. It operates 48 breweries. The company was incorporated in 2019 and is based in Causeway Bay, Hong Kong. Budweiser Brewing Company APAC Limited is a subsidiary of AB InBev Brewing Company (APAC) Limited.

How the Company Makes Money

Budweiser Brewing Co. APAC Ltd. generates revenue primarily through the sale of its alcoholic beverages across multiple markets in the Asia Pacific. The company employs a revenue model that includes direct sales to retailers, bars, and restaurants, as well as distribution through third-party wholesalers. Key revenue streams consist of domestic sales, export sales, and premium product offerings that appeal to various consumer segments. Significant partnerships with local distributors and retailers enhance market penetration and brand visibility. Additionally, the company capitalizes on seasonal promotions and events, leveraging marketing strategies that align with consumer trends to drive sales. The company's ability to innovate and expand its product lineup with new flavors and limited editions also contributes positively to its earnings.

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

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

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

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	TTM	Dec 2024	Dec 2023	Dec 2022	Dec 2021	Dec 2020
Income Statement
Total Revenue	46.73B	48.51B	53.54B	50.73B	52.76B	43.34B
Gross Profit	23.50B	24.44B	26.96B	24.31B	27.25B	21.46B
EBITDA	12.90B	13.70B	15.63B	13.98B	16.56B	12.11B
Net Income	4.65B	5.64B	852.00M	7.15B	7.38B	3.99B
Balance Sheet
Total Assets	14.78B	114.78B	126.76B	124.85B	129.61B	125.53B
Cash, Cash Equivalents and Short-Term Investments	2.46B	22.27B	24.72B	19.71B	15.98B	10.04B
Total Debt	307.00M	1.58B	331.00M	1.75B	1.58B	1.82B
Total Liabilities	4.41B	35.25B	42.04B	40.30B	43.21B	42.23B
Stockholders Equity	10.30B	79.10B	84.22B	84.01B	85.86B	82.85B
Cash Flow
Free Cash Flow	6.72B	5.86B	10.28B	8.48B	10.08B	6.15B
Operating Cash Flow	9.17B	8.81B	14.18B	12.35B	14.79B	10.09B
Investing Cash Flow	-2.09B	-3.18B	-3.50B	-3.45B	-5.68B	-4.56B
Financing Cash Flow	-7.24B	-7.01B	-4.86B	-3.92B	-3.61B	-3.23B

Budweiser Brewing Co. APAC Ltd. Technical Analysis

• Technical Analysis Sentiment: Positive
• Last Price: 8.40
• 50DMA: Positive
• 100DMA: Positive
• 200DMA: Positive
• MACD: Negative
• RSI: Neutral
• STOCH: Neutral

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 8.4 is above the 20-day moving average (MA) of 8.23, above the 50-day MA of 8.31, and above the 200-day MA of 8.07, indicating a bullish trend. The MACD of >-0.01 indicates Negative momentum. The RSI at 56.57 is Neutral, neither overbought nor oversold. The STOCH value of 59.48 is Neutral, 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

Name	Overall Rating	Market Cap	P/E Ratio	ROE	Dividend Yield	Revenue Growth	EPS Growth
0168	―	HK$84.23B	14.43	14.80%	4.50%	1.51%	5.50%
9633	―	HK$606.75B	41.64	46.45%	1.58%	4.14%	7.35%
1876	―	HK$108.64B	23.17	5.74%	5.23%	-9.54%	-27.75%
0291	―	$84.35B	13.48	16.77%	3.42%	-0.31%	10.85%
Sector *	―	$20.33B	14.63	-3.31%	3.23%	1.93%	-12.26%
0236	―	HK$466.96M	―	-1.15%	4.00%	2.77%	-110.76%

Budweiser Brewing Co. APAC Ltd. Corporate Events

Budweiser APAC to Announce Q3 2025 Financial Results

Budweiser Brewing Company APAC Limited has scheduled a board committee meeting on 29 October 2025 to approve the unaudited financial results for the nine months ending 30 September 2025. The announcement of these results is anticipated to be released on 30 October 2025, which could provide insights into the company’s financial health and market performance, potentially impacting stakeholders’ perspectives.

The most recent analyst rating on (HK:1876) stock is a Buy with a HK$9.00 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 2025 First Half Financials Amidst Market Challenges

Budweiser Brewing Company APAC Limited reported a decrease in its normalized EBITDA by 8.0% for the first half of 2025, primarily due to operational deleverage and increased commercial investment. The company’s revenue also saw a decline of 5.6%, with a decrease in total volumes by 6.1%, mainly impacted by challenges in China, although growth was noted in India. Despite these setbacks, the company continues to focus on disciplined execution and investment in its mega brands to drive long-term growth.

The most recent analyst rating on (HK:1876) stock is a Buy with a HK$15.40 price target. To see the full list of analyst forecasts on Budweiser Brewing Co. APAC Ltd. stock, see the HK:1876 Stock Forecast page.