Anheuser-Busch InBev/NV vs Constellation Brands Which Is More Promising?

Anheuser-Busch InBev and Constellation Brands are two major players in the global beverage industry, each with their own unique strengths and market positions. Anheuser-Busch InBev, the world's largest brewer, is known for its iconic brands such as Budweiser and Stella Artois. Constellation Brands, on the other hand, is a leading producer of premium wine, spirits, and beer, with popular labels like Corona and Modelo. Both companies are publicly traded on the stock market, with investors closely monitoring their performance and competition within the industry.

Anheuser-Busch InBev/NV or Constellation Brands?

When comparing Anheuser-Busch InBev/NV and Constellation Brands, different investors may prioritize various metrics based on their investment strategies and goals. So, ask yourself what type of investor you are. This will guide you in determining which metrics are most important for your investment decision between Anheuser-Busch InBev/NV and Constellation Brands.

Dividend Investors:

Dividend investors look for stable and growing income streams, using dividend metrics to assess potential investments. A company's dividend yield essentially measures the size of its dividend relative to the total market value of the company. Anheuser-Busch InBev/NV has a dividend yield of 1.15%, while Constellation Brands has a dividend yield of 2.04%. Beyond the yield itself, considering the growth and sustainability of these dividends is also crucial. Anheuser-Busch InBev/NV reports a 5-year dividend growth of -24.22% year and a payout ratio of 38.05%. On the other hand, Constellation Brands reports a 5-year dividend growth of 4.84% year and a payout ratio of 119.90%.

Value Investors:

Value investors focus on financial metrics to determine a stock's intrinsic value compared to its market value. The Price-to-Earnings (P/E) Ratio links stock price to a company's earnings per share, with Anheuser-Busch InBev/NV P/E ratio at 13.09 and Constellation Brands's P/E ratio at 75.98. Another crucial valuation metric is the Price-to-Book (P/B) Ratio, which compares stock price with book value per share. Anheuser-Busch InBev/NV P/B ratio is 1.42 while Constellation Brands's P/B ratio is 5.59.

Growth Investors:

Growth investors prioritize metrics indicative of a company's expansion potential. Focusing on top-line growth, Anheuser-Busch InBev/NV has seen a 5-year revenue growth of 0.07%, while Constellation Brands's is 0.26%. Return on Equity (ROE) measures how effectively a company uses equity investment to generate earnings, with Anheuser-Busch InBev/NV's ROE at 9.93% and Constellation Brands's ROE at 6.21%.

Retail Investors:

Retail investors often consider stock affordability and company familiarity. For example, day low prices are $56.31 for Anheuser-Busch InBev/NV and $240.97 for Constellation Brands. Over the past year, Anheuser-Busch InBev/NV's prices ranged from $55.43 to $67.49, with a yearly change of 21.76%. Constellation Brands's prices fluctuated between $224.76 and $274.87, with a yearly change of 22.29%. Brand recognition also plays a role, as familiarity with a company can influence investment decisions.