Asahi Group Holdings (2502) AI Stock Analysis

• Market Cap: $2.57T
• Dividend Yield: 3.06%
• Average Volume (3M): 6.75M
• Price to Earnings (P/E): 14.6
• Beta (1Y): 0.43
• Revenue Growth: 0.86%
• EPS Growth: 0.55%
• Country: JP
• Employees: 28,173
• Sector: Consumer Defensive
• Sector Strength: 42
• Industry: Beverages - Alcoholic
• EPS (TTM): 24.75
• Shares Outstanding: 1,521,010,100
• 10 Day Avg. Volume: 8,504,770
• 30 Day Avg. Volume: 6,753,146
• PEG Ratio: 0.76
• Price to Book (P/B): 0.94
• Price to Sales (P/S): 0.85
• P/FCF Ratio: 8.51
• Enterprise Value/Market Cap: 1.67
• Enterprise Value/Revenue: 1.47
• Enterprise Value/Gross Profit: 3.94
• Enterprise Value/Ebitda: 10.10
• 1Y Price Target: $2,318.46
• Price Target Upside: 33.94% Upside
• Rating Consensus: Moderate Buy
• Number of Analyst Covering: 2
• EPS Forecast (FY): N/A
• Revenue Forecast (FY): N/A

• Rating: 60 Neutral
• Price Target: ¥1,872.00 ▲(8.15% Upside)

The overall stock score is primarily influenced by solid financial performance and reasonable valuation. However, the bearish technical indicators and recent decline in revenue growth and cash flow generation present significant challenges. Investors should be cautious of the current market momentum and focus on the company's ability to reverse negative trends.

Positive Factors

Market Position

Asahi's strong brand recognition with Asahi Super Dry enhances its competitive position, supporting long-term market presence and customer loyalty.

Geographic Diversification

Asahi's diversified geographic operations reduce dependency on any single market, providing resilience against regional economic fluctuations.

Balance Sheet Health

Improved leverage ratios enhance financial stability, providing Asahi with greater flexibility for strategic investments and growth opportunities.

Negative Factors

Revenue Growth Decline

Declining revenue growth poses a challenge to sustaining market share and profitability, necessitating strategic initiatives to reverse the trend.

Free Cash Flow Decrease

Reduced free cash flow limits Asahi's ability to fund new projects and return capital to shareholders, potentially impacting long-term growth.

Cash Generation Ability

Moderate cash generation from operations may constrain Asahi's capacity to invest in growth initiatives and manage financial obligations effectively.

Asahi Group Holdings Business Overview & Revenue Model

Company Description

Asahi Group Holdings (ticker: 2502) is a leading Japanese beverage and food company headquartered in Tokyo. It operates primarily in the sectors of alcoholic beverages, non-alcoholic beverages, and food products. The company is best known for its flagship Asahi Super Dry beer but also produces a wide range of other alcoholic drinks, soft drinks, and various food items, including processed foods and dairy products. Asahi has a strong presence in both domestic and international markets, continuously expanding its portfolio through strategic acquisitions and innovations.

How the Company Makes Money

Asahi Group Holdings generates revenue through multiple key streams. The primary source comes from the sale of alcoholic beverages, particularly beer, which includes both its flagship products and a variety of other brands. Additionally, the company earns revenue from non-alcoholic beverages, such as soft drinks, teas, and water, catering to diverse consumer preferences. The food segment further contributes to revenue through the sale of processed foods and dairy products. Asahi also benefits from strategic partnerships and acquisitions, which enhance its market share and distribution capabilities. Factors such as brand loyalty, product innovation, and expanding international markets play crucial roles in driving the company's earnings.

Asahi Group Holdings Financial Statement Overview

Summary

Asahi Group Holdings demonstrates solid profitability and a stable financial position, with strong margins and a healthy balance sheet. However, the recent decline in revenue growth and free cash flow indicates potential challenges in maintaining growth momentum.

Income Statement

Asahi Group Holdings shows stable profitability with a consistent gross profit margin around 37% and a net profit margin of approximately 6.4% in the TTM period. However, the revenue growth rate has turned negative at -1.13% in the TTM, indicating a potential concern in revenue generation. EBIT and EBITDA margins remain healthy, reflecting efficient cost management.

Balance Sheet

The company's debt-to-equity ratio has improved to 0.59 in the TTM, indicating a reduction in leverage compared to previous years. Return on equity is stable at around 7.15%, suggesting consistent profitability relative to shareholder equity. The equity ratio is healthy, showing a strong equity base relative to total assets.

Cash Flow

Free cash flow has decreased by 3.42% in the TTM, which is a concern. The operating cash flow to net income ratio is 0.20, indicating moderate cash generation from operations. The free cash flow to net income ratio is 0.63, reflecting a decent conversion of net income into free cash flow.

Breakdown	TTM	Dec 2024	Dec 2023	Dec 2022	Dec 2021	Dec 2020
Income Statement
Total Revenue	2.92T	2.94T	2.77T	2.51T	2.24T	2.03T
Gross Profit	1.09T	1.10T	998.93B	921.84B	852.88B	744.61B
EBITDA	424.98B	418.42B	404.54B	363.63B	350.38B	263.66B
Net Income	174.44B	192.08B	164.07B	151.56B	153.50B	92.83B
Balance Sheet
Total Assets	5.43T	5.40T	5.29T	4.83T	4.55T	4.44T
Cash, Cash Equivalents and Short-Term Investments	57.59B	101.04B	59.95B	37.44B	52.74B	48.46B
Total Debt	1.45T	1.28T	1.41T	1.50T	1.60T	1.82T
Total Liabilities	2.76T	2.73T	2.82T	2.77T	2.79T	2.92T
Stockholders Equity	2.67T	2.67T	2.46T	2.06T	1.76T	1.52T
Cash Flow
Free Cash Flow	190.46B	295.40B	237.72B	166.15B	245.18B	185.12B
Operating Cash Flow	301.72B	403.72B	347.55B	265.99B	337.81B	275.86B
Investing Cash Flow	-154.15B	-118.67B	-117.71B	-69.19B	-14.35B	-1.24T
Financing Cash Flow	-138.31B	-272.78B	-226.75B	-219.56B	-320.32B	956.76B

Asahi Group Holdings Technical Analysis

• Technical Analysis Sentiment: Neutral
• Last Price: 1731.00
• 50DMA: Negative
• 100DMA: Negative
• 200DMA: Negative
• MACD: Negative
• RSI: Neutral
• STOCH: Negative

Evaluating momentum and price trends is crucial in stock analysis to make informed investment decisions. For JP:2502, the sentiment is Neutral. The current price of 1731 is above the 20-day moving average (MA) of 1716.75, below the 50-day MA of 1776.04, and below the 200-day MA of 1842.42, indicating a neutral trend. The MACD of -16.31 indicates Negative momentum. The RSI at 49.39 is Neutral, neither overbought nor oversold. The STOCH value of 88.61 is Negative, not indicating any strong overbought or oversold conditions. Overall, these indicators collectively point to a Neutral sentiment for JP:2502.

Asahi Group Holdings Peers Comparison

Name	Overall Rating	Market Cap	P/E Ratio	ROE	Dividend Yield	Revenue Growth	EPS Growth
2587	68 Neutral	$1.44T	16.37	6.97%	2.38%	1.26%	-13.39%
2269	64 Neutral	¥856.37B	18.02	6.40%	3.29%	2.45%	-9.06%
Sector *	62 Neutral	$20.33B	14.63	-3.31%	3.23%	1.93%	-12.26%
2531	61 Neutral	¥306.16B	23.82	―	2.03%	5.66%	-25.02%
2502	60 Neutral	$2.57T	14.62	6.47%	3.06%	0.86%	0.55%
2503	60 Neutral	$1.76T	32.69	6.93%	3.29%	4.75%	-24.33%
2501	55 Neutral	¥579.80B	169.56	1.95%	0.70%	0.01%	-82.82%

Asahi Group Holdings Corporate Events

Asahi Group Delays Q3 Financial Results Due to Cyberattack

Asahi Group Holdings has announced a delay in releasing its financial results for the third quarter of 2025 due to a ransomware attack that disrupted its systems. This cyberattack has affected order processing and access to accounting data, leading to a postponement in financial disclosures, with the company prioritizing product supply to customers and working on system restoration.

The most recent analyst rating on (JP:2502) stock is a Hold with a Yen1872.00 price target. To see the full list of analyst forecasts on Asahi Group Holdings stock, see the JP:2502 Stock Forecast page.

Asahi Group Reports Mixed Results Amid Strategic Expansion

Asahi Group Holdings, Ltd. is a prominent player in the beverage industry, known for its diverse portfolio of alcoholic and non-alcoholic drinks, operating primarily in Japan with a significant international presence.

Asahi Group Announces Early Redemption of Hybrid Bonds

Asahi Group Holdings has announced the early redemption of its publicly offered hybrid bonds, initially issued in October 2020 to finance the acquisition of Anheuser-Busch InBev’s Australian business. The decision to redeem the bonds ahead of schedule is due to the company’s sufficient equity capital, eliminating the need for capital replenishment. This move reflects Asahi’s strategic approach to maintaining financial soundness while balancing growth investments.

The most recent analyst rating on (JP:2502) stock is a Buy with a Yen2500.00 price target. To see the full list of analyst forecasts on Asahi Group Holdings stock, see the JP:2502 Stock Forecast page.

Asahi Group Holdings Announces Share Buyback to Enhance Shareholder Value

Asahi Group Holdings has announced its decision to acquire up to 45 million of its own common shares, representing 3% of its outstanding shares, with a maximum acquisition cost of JPY 70 billion. This move aims to enhance shareholder returns and improve capital efficiency, reflecting the company’s strategic focus on optimizing its financial structure and providing value to its stakeholders.

The most recent analyst rating on (JP:2502) stock is a Buy with a Yen2500.00 price target. To see the full list of analyst forecasts on Asahi Group Holdings stock, see the JP:2502 Stock Forecast page.

Asahi Group Holdings Reports Decline in Semi-Annual Financial Results

Asahi Group Holdings reported a decline in its semi-annual financial results for 2025, with sales, operating profit, and profit attributable to owners of the parent all experiencing decreases compared to the previous year. This downturn in financial performance may impact the company’s market positioning and could have implications for its stakeholders, as it reflects challenges in maintaining growth amid changing market conditions.

The most recent analyst rating on (JP:2502) stock is a Buy with a Yen2500.00 price target. To see the full list of analyst forecasts on Asahi Group Holdings stock, see the JP:2502 Stock Forecast page.