WallStSmart

Ambev SA ADR (ABEV)vsConstellation Brands Inc Class A (STZ)

VS

Smart Verdict

WallStSmart Research — data-driven comparison

Ambev SA ADR generates 866% more annual revenue ($88.24B vs $9.14B). STZ leads profitability with a 18.5% profit margin vs 17.6%. ABEV appears more attractively valued with a PEG of 2.00. STZ earns a higher WallStSmart Score of 56/100 (C).

ABEV

Buy

55

out of 100

Grade: C

Growth: 2.7Profit: 8.5Value: 7.3Quality: 5.8
Piotroski: 5/9Altman Z: 2.39

STZ

Buy

56

out of 100

Grade: C

Growth: 2.0Profit: 8.5Value: 5.0Quality: 5.5
Piotroski: 6/9Altman Z: 1.95
IV

Intrinsic Value Comparison

Multi-model valuation · Graham Formula

ABEVUndervalued (+74.5%)

Margin of Safety

+74.5%

Fair Value

$11.95

Current Price

$2.90

$9.05 discount

UndervaluedFair: $11.95Overvalued

Intrinsic value data unavailable for STZ.

Key Strengths & Concerns

Side-by-side fundamental analysis

Key Strengths

ABEV4 strengths · Avg: 8.5/10
Free Cash FlowQuality
$11.62B10/10

Generating 11.6B in free cash flow

P/E RatioValuation
14.5x8/10

Attractively priced relative to earnings

Price/BookValuation
2.6x8/10

Reasonable price relative to book value

Operating MarginProfitability
28.2%8/10

Strong operational efficiency at 28.2%

STZ3 strengths · Avg: 8.3/10
Return on EquityProfitability
22.6%9/10

Every $100 of equity generates 23 in profit

P/E RatioValuation
15.9x8/10

Attractively priced relative to earnings

Operating MarginProfitability
26.7%8/10

Strong operational efficiency at 26.7%

Areas to Watch

ABEV3 concerns · Avg: 2.7/10
PEG RatioValuation
2.004/10

Expensive relative to growth rate

Revenue GrowthGrowth
-8.2%2/10

Revenue declined 8.2%

EPS GrowthGrowth
-10.1%2/10

Earnings declined 10.1%

STZ4 concerns · Avg: 2.8/10
Altman Z-ScoreHealth
1.954/10

Grey zone — moderate risk

Debt/EquityHealth
1.383/10

Elevated debt levels

PEG RatioValuation
2.832/10

Expensive relative to growth rate

Revenue GrowthGrowth
-11.3%2/10

Revenue declined 11.3%

Comparative Analysis Report

WallStSmart Research

Bull Case : ABEV

The strongest argument for ABEV centers on Free Cash Flow, P/E Ratio, Price/Book. Profitability is solid with margins at 17.6% and operating margin at 28.2%.

Bull Case : STZ

The strongest argument for STZ centers on Return on Equity, P/E Ratio, Operating Margin. Profitability is solid with margins at 18.5% and operating margin at 26.7%.

Bear Case : ABEV

The primary concerns for ABEV are PEG Ratio, Revenue Growth, EPS Growth.

Bear Case : STZ

The primary concerns for STZ are Altman Z-Score, Debt/Equity, PEG Ratio.

Key Dynamics to Monitor

STZ carries more volatility with a beta of 0.43 — expect wider price swings.

ABEV is growing revenue faster at -8.2% — sustainability is the question.

ABEV generates stronger free cash flow (11.6B), providing more financial flexibility.

Monitor BEVERAGES - BREWERS industry trends, competitive dynamics, and regulatory changes.

Bottom Line

STZ scores higher overall (56/100 vs 55/100), backed by strong 18.5% margins. ABEV offers better value entry with a 74.5% margin of safety. 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.

Constellation Brands Inc Class A

CONSUMER DEFENSIVE · BEVERAGES - BREWERS · USA

Constellation Brands, Inc., headquartered in Victor, New York, is an American producer and marketer of beer, wine, and spirits.

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