Carlsberg Brewery Malaysia Berhad vs Heineken Which Should You Buy?

Carlsberg Brewery Malaysia Berhad and Heineken are two well-known breweries that have established themselves as major players in the Malaysian beer market. Carlsberg Brewery Malaysia Berhad, a subsidiary of Carlsberg Group, is known for its strong presence in the country and its popular brands such as Carlsberg and Kronenbourg 1664. On the other hand, Heineken, a global brewing company, has also made a significant impact with its wide range of products including Heineken Lager Beer and Tiger Beer. Both companies have seen fluctuations in their stock prices in recent years, influenced by various factors such as market trends and economic conditions. Investors interested in the brewery industry may find these stocks appealing due to their established market presence and growth potential.

Carlsberg Brewery Malaysia Berhad or Heineken?

When comparing Carlsberg Brewery Malaysia Berhad and Heineken, 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 Carlsberg Brewery Malaysia Berhad and Heineken.

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. Carlsberg Brewery Malaysia Berhad has a dividend yield of 4.7%, while Heineken has a dividend yield of 3.16%. Beyond the yield itself, considering the growth and sustainability of these dividends is also crucial. Carlsberg Brewery Malaysia Berhad reports a 5-year dividend growth of 13.25% year and a payout ratio of 85.45%. On the other hand, Heineken reports a 5-year dividend growth of 2.58% year and a payout ratio of 210.99%.

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 Carlsberg Brewery Malaysia Berhad P/E ratio at 18.58 and Heineken's P/E ratio at 15.47. Another crucial valuation metric is the Price-to-Book (P/B) Ratio, which compares stock price with book value per share. Carlsberg Brewery Malaysia Berhad P/B ratio is 24.09 while Heineken's P/B ratio is 0.88.

Growth Investors:

Growth investors prioritize metrics indicative of a company's expansion potential. Focusing on top-line growth, Carlsberg Brewery Malaysia Berhad has seen a 5-year revenue growth of 0.00%, while Heineken's is 1.73%. Return on Equity (ROE) measures how effectively a company uses equity investment to generate earnings, with Carlsberg Brewery Malaysia Berhad's ROE at 127.01% and Heineken's ROE at 5.61%.

Retail Investors:

Retail investors often consider stock affordability and company familiarity. For example, day low prices are RM20.42 for Carlsberg Brewery Malaysia Berhad and $30.74 for Heineken. Over the past year, Carlsberg Brewery Malaysia Berhad's prices ranged from RM17.80 to RM21.20, with a yearly change of 19.10%. Heineken's prices fluctuated between $30.48 and $43.56, with a yearly change of 42.92%. Brand recognition also plays a role, as familiarity with a company can influence investment decisions.