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Ambev (ABEV) PS Ratio

: 2.26 (As of Today)
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The PS Ratio, or Price-to-Sales ratio, or Price/Sales, is a financial ratio used to compare a company's market price to its Revenue per Share. As of today, Ambev's share price is $2.29. Ambev's Revenue per Share for the trailing twelve months (TTM) ended in Dec. 2023 was $1.01. Hence, Ambev's PS Ratio for today is 2.26.

Good Sign:

Ambev SA stock PS Ratio (=2.38) is close to 10-year low of 2.36

The historical rank and industry rank for Ambev's PS Ratio or its related term are showing as below:

ABEV' s PS Ratio Range Over the Past 10 Years
Min: 2.36   Med: 5.76   Max: 8
Current: 2.39

During the past 13 years, Ambev's highest PS Ratio was 8.00. The lowest was 2.36. And the median was 5.76.

ABEV's PS Ratio is ranked worse than
63.51% of 211 companies
in the Beverages - Alcoholic industry
Industry Median: 1.7 vs ABEV: 2.39

Ambev's Revenue per Sharefor the three months ended in Dec. 2023 was $0.26. Its Revenue per Share for the trailing twelve months (TTM) ended in Dec. 2023 was $1.01.

Warning Sign:

Ambev SA revenue growth has slowed down over the past 12 months.

During the past 12 months, the average Revenue per Share Growth Rate of Ambev was 0.10% per year. During the past 3 years, the average Revenue per Share Growth Rate was 11.00% per year. During the past 5 years, the average Revenue per Share Growth Rate was 11.50% per year. During the past 10 years, the average Revenue per Share Growth Rate was 7.40% per year.

During the past 13 years, Ambev's highest 3-Year average Revenue per Share Growth Rate was 106.90% per year. The lowest was -30.10% per year. And the median was 9.75% per year.

Back to Basics: PS Ratio


Ambev PS Ratio Historical Data

The historical data trend for Ambev's PS Ratio can be seen below:

* For Operating Data section: All numbers are indicated by the unit behind each term and all currency related amount are in USD.
* For other sections: All numbers are in millions except for per share data, ratio, and percentage. All currency related amount are indicated in the company's associated stock exchange currency.

* Premium members only.

Ambev Annual Data
Trend Dec14 Dec15 Dec16 Dec17 Dec18 Dec19 Dec20 Dec21 Dec22 Dec23
PS Ratio
Premium Member Only Premium Member Only Premium Member Only Premium Member Only Premium Member Only 5.70 4.25 3.37 2.89 2.73

Ambev Quarterly Data
Mar19 Jun19 Sep19 Dec19 Mar20 Jun20 Sep20 Dec20 Mar21 Jun21 Sep21 Dec21 Mar22 Jun22 Sep22 Dec22 Mar23 Jun23 Sep23 Dec23
PS Ratio Premium Member Only Premium Member Only Premium Member Only Premium Member Only Premium Member Only Premium Member Only Premium Member Only Premium Member Only Premium Member Only Premium Member Only Premium Member Only Premium Member Only Premium Member Only Premium Member Only Premium Member Only 2.89 2.78 2.95 2.52 2.73

Competitive Comparison

For the Beverages - Brewers subindustry, Ambev's PS Ratio, along with its competitors' market caps and PS Ratio data, can be viewed below:

* Competitive companies are chosen from companies within the same industry, with headquarter located in same country, with closest market capitalization; x-axis shows the market cap, and y-axis shows the term value; the bigger the dot, the larger the market cap. Note that "N/A" values will not show up in the chart.


Ambev PS Ratio Distribution

For the Beverages - Alcoholic industry and Consumer Defensive sector, Ambev's PS Ratio distribution charts can be found below:

* The bar in red indicates where Ambev's PS Ratio falls into.



Ambev PS Ratio Calculation

The PS Ratio, or Price-to-Sales ratio, or Price/Sales, is a financial ratio used to compare a company's market price to its Revenue per Share. It is a ratio widely used to value stocks and it was first used by Ken Fisher.

Ambev's PS Ratio for today is calculated as

PS Ratio=Share Price/Revenue per Share (TTM)
=2.29/1.013
=2.26

Ambev's Share Price of today is $2.29.
Ambev's Revenue per Share for the trailing twelve months (TTM) ended in Dec. 2023 adds up the quarterly data reported by the company within the most recent 12 months, which was $1.01.

* For Operating Data section: All numbers are indicated by the unit behind each term and all currency related amount are in USD.
* For other sections: All numbers are in millions except for per share data, ratio, and percentage. All currency related amount are indicated in the company's associated stock exchange currency.

It can also be calculated from the numbers for the whole company:

PS Ratio=Market Cap/Revenue

The Revenue here is for the trailing 12 months.


Ambev  (NYSE:ABEV) PS Ratio Explanation

The PS Ratio is an excellent valuation indicator if you want to compare a stock with its historical valuation or with the stocks in the same industry. The PS Ratio works especially well when you want to compare the stock's current valuation with its historical valuation. The PS Ratio is a great valuation tool for evaluating cyclical businesses where the PE Ratio works poorly. It works the best when comparing the current valuation with the historical valuation because over time, a company's profit margin tends to revert to the mean.

When the PS Ratio is applied to the whole stock market, it can be used to evaluate the current market valuation and projected returns. In this case, the price is the total market cap of all stocks that are traded, and sales are the GDP of the country. This is how Warren Buffett estimates the broad market valuation and project future returns.

Similar to the PE Ratio or Price-to-Operating-Cash-Flow or Price-to-Free-Cash-Flow , the PS Ratio measures the valuation based on the earning power of the company. This is where it is different from the PB Ratio , which measures the valuation based on the company's balance sheet.


Be Aware

The PS Ratio does not tell you how cheap or expensive the stock is. It cannot be used to compare companies in different industries. It works better for companies within the same industry because these companies tend to have similar capital structures and profit margins. It works the best when comparing a company with itself in the past.


Ambev PS Ratio Related Terms

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Ambev (ABEV) Business Description

Address
Rua Doutor Renato Paes de Barros, 1017, 3rd Floor, Sao Paulo, SP, BRA, 04530-001
Ambev is the largest brewer in Latin America and the Caribbean and is Anheuser-Busch InBev's subsidiary in the region. It produces, distributes, and sells beer and PepsiCo products in Brazil and other Latin American countries and owns Argentina's largest brewer, Quinsa. Ambev was formed in 1999 through the merger of Brazil's two largest beverage companies, Brahma and Antarctica. In 2004, Ambev combined with Canadian brewer Labatt, giving Interbrew (now AB InBev) a controlling interest of 61.8% as at the end of 2022.

Ambev (ABEV) Headlines

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