Ambev SA ADR (ABEV)vsPhilip Morris International Inc (PM)
ABEV
Ambev SA ADR
$3.29
+0.30%
CONSUMER DEFENSIVE · Cap: $53.50B
PM
Philip Morris International Inc
$170.99
-0.07%
CONSUMER DEFENSIVE · Cap: $266.69B
Smart Verdict
WallStSmart Research — data-driven comparison
Ambev SA ADR generates 113% more annual revenue ($88.21B vs $41.49B). PM leads profitability with a 26.7% profit margin vs 17.7%. PM appears more attractively valued with a PEG of 1.93. ABEV earns a higher WallStSmart Score of 57/100 (C).
ABEV
Buy57
out of 100
Grade: C
PM
Buy54
out of 100
Grade: C-
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
-48.0%
Fair Value
$115.64
Current Price
$170.99
$55.35 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
Strong operational efficiency at 36.0%
Keeps 27 of every $100 in revenue as profit
Areas to Watch
Expensive relative to growth rate
2.2% earnings growth
Revenue declined 0.1%
Expensive relative to growth rate
ROE of 0.0% — below average capital efficiency
Earnings declined 9.3%
Negative free cash flow — burning cash
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 : PM
The strongest argument for PM centers on Market Cap, Operating Margin, Profit Margin. Profitability is solid with margins at 26.7% and operating margin at 36.0%.
Bear Case : ABEV
The primary concerns for ABEV are PEG Ratio, EPS Growth, Revenue Growth.
Bear Case : PM
The primary concerns for PM are PEG Ratio, Return on Equity, EPS Growth.
Key Dynamics to Monitor
ABEV profiles as a declining stock while PM is a mature play — different risk/reward profiles.
PM carries more volatility with a beta of 0.39 — expect wider price swings.
PM is growing revenue faster at 9.1% — sustainability is the question.
ABEV generates stronger free cash flow (11.6B), providing more financial flexibility.
Bottom Line
ABEV scores higher overall (57/100 vs 54/100), backed by strong 17.7% margins. Both earn "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.
Philip Morris International Inc
CONSUMER DEFENSIVE · TOBACCO · USA
Philip Morris International Inc. (PMI) is a Swiss-American multinational cigarette and tobacco manufacturing company, with products sold in over 180 countries. The most recognized and best selling product of the company is Marlboro.
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