Ambev SA
ABEV3: BVMF (BRA)
Morningstar Rating for Stocks | Fair Value | Economic Moat | Capital Allocation |
---|---|---|---|
BRL 36.47 | Nvyl | Rqldkpll |
Ambev Drives AB InBev’s Rebound, but Cost Pressures Erode Margins in Q3
Ambev was a key driver of AB InBev’s strong third quarter, with the Latin America brewer reporting surprisingly strong beer volume in Brazil and South America. We have raised our short-term assumptions accordingly, but this has no impact on our BRL 18 fair value estimate. We are reiterating our wide moat rating and regard Ambev as being an undervalued high-quality investment opportunity.