AMBEV SA (Brazil) Valuation

ABEV3
  

BRL 15.61  0.07  0.45%   

How much is AMBEV SA ON worth today? Calculating the true value of any business is not as easy as it may seem. While the market cap of a public entity, such as AMBEV SA, is its stock price multiplied by the total number of shares outstanding, calculating AMBEV SA's enterprise value requires a different approach. It uses AMBEV SA's balance sheet items such as long-term debt, the book value of the preferred stock, minority interest, and other important financials.
AMBEV SA ON owns a latest Real Value of R$18.06 per share. The recent price of the firm is R$15.61. At this time, the firm appears to be undervalued. Our model approximates the value of AMBEV SA ON from analyzing the firm fundamentals such as return on asset of 8.37 %, and Shares Outstanding of 15.74 B as well as examining its technical indicators and Probability Of Bankruptcy. In general, we favor buying undervalued equities and selling overvalued equities since, in the future, asset prices and their ongoing real values will grow together.
  
AMBEV SA Valuation Module provides a unique way to ballpark how much the company is worth today. It is done using both, our quantitative analysis of the company fundamentals as well as its intrinsic market price estimation to project the real value. We also take into consideration other essential factors such as AMBEV SA's management style, its c-level domain expertise and tenure, its overall leadership history as well as current capital structure, and future earnings potential.
Undervalued
Today 15.61
Please note that AMBEV SA's price fluctuation is very steady at this time. Calculation of the real value of AMBEV SA ON is based on 3 months time horizon. Increasing AMBEV SA's time horizon generally increases the accuracy of value calculation and significantly improves the predictive power of the methodology used.
Our valuation method for AMBEV SA ON is useful when determining the fair value of the AMBEV stock, which is usually determined by what a typical buyer is willing to pay for full or partial control of AMBEV SA. Since AMBEV SA is currently traded on the exchange, buyers and sellers on that exchange determine the market value of AMBEV Stock. However, AMBEV SA's intrinsic value may or may not be the same as its current market price, in which case there is an opportunity to profit from the mispricing, assuming the market price will eventually merge with its intrinsic value.
18.06
Real Value
19.49
Upside
Estimating the potential upside or downside of AMBEV SA ON helps investors to forecast how AMBEV stock's addition to their portfolios will impact the overall performance. We also use other valuation drivers to help us estimate the true value of AMBEV SA more accurately as focusing exclusively on AMBEV SA's fundamentals will not take into account other important factors:
Bollinger
Band Projection (param)
LowerMiddle BandUpper
15.1715.5315.88
Details
Hype
Prediction
LowEstimated ValueHigh
14.2915.7217.15
Details
Potential
Annual Dividend
LowIncome Per ShareHigh
0.350.360.38
Details

AMBEV SA Valuation Ratios as Compared to Competition

Comparative valuation techniques use various fundamental indicators to help in determining AMBEV SA's current stock value. Our valuation model uses many indicators to compare AMBEV SA value to that of its competitors to determine the firm's financial worth. You can analyze the relationship between different fundamental ratios across AMBEV SA competition to find correlations between indicators driving AMBEV SA's intrinsic value. More Info.
AMBEV SA ON is rated second in price to book category among related companies. It is rated second in beta category among related companies totaling about  0.27  of Beta per Price to Book. The ratio of Price to Book to Beta for AMBEV SA ON is roughly  3.68 . Comparative valuation analysis is a catch-all model that can be used if you cannot value AMBEV SA by discounting back its dividends or cash flows. This model doesn't attempt to find an intrinsic value for AMBEV SA's Stock . Still, instead, it compares the stock's price multiples to a benchmark or nearest competition to determine if the stock is relatively undervalued or overvalued. The reason why the comparable model can be used in almost all circumstances is due to the vast number of multiples that can be utilized, such as the price-to-earnings (P/E), price-to-book (P/B), price-to-sales (P/S), price-to-cash flow (P/CF), and many others. The P/E ratio is the most commonly used of these ratios because it focuses on the AMBEV SA's earnings, one of the primary drivers of an investment's value.
Please note that valuation analysis is one of the essential comprehensive assessments in business. It evaluates AMBEV SA's worth, which you can determine by considering its current assets, liabilities and future cash flows. The investors' valuation analysis is an important metric that will give you a perspective on different companies. It helps you know the worth of the potential investment in AMBEV SA and how it compares across the competition.

About AMBEV SA Valuation

The stock valuation mechanism determines the current worth of AMBEV SA ON on a weekly basis. We use both absolute as well as relative valuation methodologies to arrive at the intrinsic value of AMBEV SA ON. In general, an absolute valuation paradigm, as applied to this company, attempts to find the value of AMBEV SA ON based exclusively on its fundamental and basic technical indicators. By analyzing AMBEV SA's financials, quarterly and monthly indicators, and its related drivers such as dividends, operating cash flow, and various types of growth rates, we attempt to find the most accurate representation of AMBEV SA's intrinsic value. In some cases, mostly for established, large-cap companies, we also incorporate more traditional valuation methods such as dividend discount, discounted cash flow, or asset-based models. As compared to an absolute model, our relative valuation model uses a comparative analysis of AMBEV SA. We calculate exposure to AMBEV SA's market risk, different technical and fundamental indicators, relevant financial multiples and ratios, and then comparing them to AMBEV SA's related companies.
Ambev S.A., through its subsidiaries, produces, distributes, and sells beer, draft beer, carbonated soft drinks, other non-alcoholic beverages, malt, and food products in the Americas. The company was founded in 1885 and is headquartered in So Paulo, Brazil. AMBEV SA operates under BeveragesBrewers classification in Brazil and is traded on Sao Paolo Stock Exchange. It employs 53000 people.
Please continue to Trending Equities. Note that the AMBEV SA ON information on this page should be used as a complementary analysis to other AMBEV SA's statistical models used to find the right mix of equity instruments to add to your existing portfolios or create a brand new portfolio. You can also try Piotroski F Score module to get Piotroski F Score based on binary analysis strategy of nine different fundamentals.

Other Tools for AMBEV Stock

When running AMBEV SA ON price analysis, check to measure AMBEV SA's market volatility, profitability, liquidity, solvency, efficiency, growth potential, financial leverage, and other vital indicators. We have many different tools that can be utilized to determine how healthy AMBEV SA is operating at the current time. Most of AMBEV SA's value examination focuses on studying past and present price action to predict the probability of AMBEV SA's future price movements. You can analyze the entity against its peers and financial market as a whole to determine factors that move AMBEV SA's price. Additionally, you may evaluate how the addition of AMBEV SA to your portfolios can decrease your overall portfolio volatility.
Bond Analysis
Evaluate and analyze corporate bonds as a potential investment for your portfolios.
Go
Risk-Return Analysis
View associations between returns expected from investment and the risk you assume
Go
Efficient Frontier
Plot and analyze your portfolio and positions against risk-return landscape of the market.
Go
Bollinger Bands
Use Bollinger Bands indicator to analyze target price for a given investing horizon
Go
Portfolio Backtesting
Avoid under-diversification and over-optimization by backtesting your portfolios
Go
Portfolio File Import
Quickly import all of your third-party portfolios from your local drive in csv format
Go