Anheuser-Busch InBev (ABI) is the largest global brewer with c27% market share by volume. ABI is market leader by value in six of its major markets, the US, Brazil, Mexico, South Africa, China and Colombia, which represent the majority of its global profits. The brewer’s main international brands are Budweiser, Bud Light, Corona, Stella Artois and Beck’s. Its major shareholders are Stichting InBev (46.03%), Altria (10.1%) and Bevco (5.22%).
ABI has start rebalancing its portfolio in the US. Company management argues that the company is now in a structurally better position with still plenty of opportunities to grow. In LATAM, market has turned around; its biggest market, though, is in Asia where the company is addressing the demands of a growing client base.
While the outlook for the company is excellent, the consumer staple company’s share price is subject to a number of external factors: economic and political stability, seasonality and shift of consumption trends, in and output costs (which are going to weight on EPS – the company is highly dependent on soft commodities such barley, malt, sugar and hard commodities such as glass, aluminum, and PET).