Ambev SA ADR (ABEV)vsThe Coca-Cola Company (KO)
ABEV
Ambev SA ADR
$3.29
+0.30%
CONSUMER DEFENSIVE · Cap: $53.50B
KO
The Coca-Cola Company
$78.42
-0.01%
CONSUMER DEFENSIVE · Cap: $337.40B
Smart Verdict
WallStSmart Research — data-driven comparison
Ambev SA ADR generates 79% more annual revenue ($88.21B vs $49.28B). KO leads profitability with a 27.8% profit margin vs 17.7%. ABEV appears more attractively valued with a PEG of 2.31. KO earns a higher WallStSmart Score of 65/100 (B-).
ABEV
Buy57
out of 100
Grade: C
KO
Strong Buy65
out of 100
Grade: B-
Intrinsic Value Comparison
Multi-model valuation · Graham Formula
Margin of Safety
+74.4%
Fair Value
$11.91
Current Price
$3.29
$8.62 discount
Margin of Safety
-22.2%
Fair Value
$64.19
Current Price
$78.42
$14.23 premium
Key Strengths & Concerns
Side-by-side fundamental analysis
Key Strengths
Generating 11.6B in free cash flow
Large-cap with strong market position
Attractively priced relative to earnings
Reasonable price relative to book value
Strong operational efficiency at 26.5%
Mega-cap, among the largest globally
Every $100 of equity generates 43 in profit
Strong operational efficiency at 35.1%
Keeps 28 of every $100 in revenue as profit
Generating 1.8B in free cash flow
Areas to Watch
Expensive relative to growth rate
2.2% earnings growth
Revenue declined 0.1%
Trading at 10.0x book value
Elevated debt levels
Expensive relative to growth rate
Comparative Analysis Report
WallStSmart ResearchBull Case : ABEV
The strongest argument for ABEV centers on Free Cash Flow, Market Cap, P/E Ratio. Profitability is solid with margins at 17.7% and operating margin at 26.5%.
Bull Case : KO
The strongest argument for KO centers on Market Cap, Return on Equity, Operating Margin. Profitability is solid with margins at 27.8% and operating margin at 35.1%. Revenue growth of 12.1% demonstrates continued momentum.
Bear Case : ABEV
The primary concerns for ABEV are PEG Ratio, EPS Growth, Revenue Growth.
Bear Case : KO
The primary concerns for KO are Price/Book, Debt/Equity, PEG Ratio.
Key Dynamics to Monitor
ABEV profiles as a declining stock while KO is a mature play — different risk/reward profiles.
KO carries more volatility with a beta of 0.36 — expect wider price swings.
KO is growing revenue faster at 12.1% — sustainability is the question.
ABEV generates stronger free cash flow (11.6B), providing more financial flexibility.
Bottom Line
KO scores higher overall (65/100 vs 57/100), backed by strong 27.8% margins and 12.1% revenue growth. ABEV offers better value entry with a 74.4% margin of safety. Both earn "Strong Buy" and "Buy" ratings respectively — the choice depends on your investment horizon and risk tolerance.
This analysis is generated from publicly available financial data. Not financial advice.
Ambev SA ADR
CONSUMER DEFENSIVE · BEVERAGES - BREWERS · USA
Ambev SA produces, distributes and sells beer, draft beer, carbonated soft drinks (CSD), other non-alcoholic beverages, malt and food products in the Americas. The company is headquartered in So Paulo, Brazil.
The Coca-Cola Company
CONSUMER DEFENSIVE · BEVERAGES - NON-ALCOHOLIC · USA
The Coca-Cola Company is an American multinational beverage corporation incorporated under Delaware's General Corporation Law and headquartered in Atlanta, Georgia. The Coca-Cola Company has interests in the manufacturing, retailing, and marketing of nonalcoholic beverage concentrates and syrups.
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