WallStSmart

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

VS

Smart Verdict

WallStSmart Research — data-driven comparison

Ambev SA ADR generates 875% more annual revenue ($88.27B vs $9.06B). STZ leads profitability with a 20.1% profit margin vs 18.4%. STZ appears more attractively valued with a PEG of 1.63. STZ earns a higher WallStSmart Score of 74/100 (B).

ABEV

Strong Buy

67

out of 100

Grade: B-

Growth: 5.3Profit: 8.0Value: 7.3Quality: 7.5
Piotroski: 6/9Altman Z: 2.14

STZ

Strong Buy

74

out of 100

Grade: B

Growth: 4.7Profit: 8.5Value: 6.3Quality: 5.0
Piotroski: 5/9Altman Z: 2.08
IV

Intrinsic Value Comparison

Multi-model valuation · Graham Formula

ABEVUndervalued (+70.6%)

Margin of Safety

+70.6%

Fair Value

$10.39

Current Price

$3.02

$7.37 discount

UndervaluedFair: $10.39Overvalued

Intrinsic value data unavailable for STZ.

Key Strengths & Concerns

Side-by-side fundamental analysis

Key Strengths

ABEV6 strengths · Avg: 8.3/10
Debt/EquityHealth
0.0310/10

Conservative balance sheet, low leverage

P/E RatioValuation
15.1x8/10

Attractively priced relative to earnings

Price/BookValuation
2.7x8/10

Reasonable price relative to book value

Operating MarginProfitability
23.7%8/10

Strong operational efficiency at 23.7%

EPS GrowthGrowth
24.6%8/10

Earnings expanding 24.6% YoY

Free Cash FlowQuality
$3.83B8/10

Generating 3.8B in free cash flow

STZ6 strengths · Avg: 9.0/10
P/E RatioValuation
11.5x10/10

Attractively priced relative to earnings

Operating MarginProfitability
35.9%10/10

Strong operational efficiency at 35.9%

Return on EquityProfitability
22.1%9/10

Every $100 of equity generates 22 in profit

Profit MarginProfitability
20.1%9/10

Keeps 20 of every $100 in revenue as profit

Price/BookValuation
2.5x8/10

Reasonable price relative to book value

EPS GrowthGrowth
30.7%8/10

Earnings expanding 30.7% YoY

Areas to Watch

ABEV2 concerns · Avg: 4.0/10
PEG RatioValuation
1.874/10

Expensive relative to growth rate

Revenue GrowthGrowth
0.3%4/10

0.3% revenue growth

STZ3 concerns · Avg: 3.0/10
PEG RatioValuation
1.634/10

Expensive relative to growth rate

Debt/EquityHealth
1.283/10

Elevated debt levels

Revenue GrowthGrowth
-3.3%2/10

Revenue declined 3.3%

Comparative Analysis Report

WallStSmart Research

Bull Case : ABEV

The strongest argument for ABEV centers on Debt/Equity, P/E Ratio, Price/Book. Profitability is solid with margins at 18.4% and operating margin at 23.7%.

Bull Case : STZ

The strongest argument for STZ centers on P/E Ratio, Operating Margin, Return on Equity. Profitability is solid with margins at 20.1% and operating margin at 35.9%.

Bear Case : ABEV

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

Bear Case : STZ

The primary concerns for STZ are PEG Ratio, Debt/Equity, Revenue Growth.

Key Dynamics to Monitor

ABEV profiles as a value stock while STZ is a declining play — different risk/reward profiles.

STZ carries more volatility with a beta of 0.40 — expect wider price swings.

ABEV is growing revenue faster at 0.3% — sustainability is the question.

ABEV generates stronger free cash flow (3.8B), providing more financial flexibility.

Bottom Line

STZ scores higher overall (74/100 vs 67/100), backed by strong 20.1% margins. ABEV offers better value entry with a 70.6% margin of safety. Both earn "Strong Buy" and "Strong 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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