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Sergey Savastiouk's Avatar
published in Blogs
Jul 15, 2019

Anheuser-Busch (BUD, $88.38) cancels $10 billion Asia IPO plan; but promises to bring down debt to core earnings ratio

Anheuser-Busch InBev cancelled plans to list its Asia business on the Hong Kong stock market. Had the brewing giant gone ahead with its Asian IPO, it could have surpassed Uber as the year’s biggest IPO.

Anheuser-Busch had previously planned to sell around 1.6 million shares of Budweiser Brewing APAC at between HK$40 and HK$47 each. The Hong Kong listing could have potentially brought in $8-10 billion for the company.

The company attributed the shelving of the IPO to “several factors, including the prevailing market conditions". 

Anheuser-Busch has indicated that even without the flotation of a minority stake in its Asian division, it will lower its net debt to operating earnings ratio to below 4 by the end of 2020 - from 4.6 as of 2018-end.

Related Ticker: BUD

BUD in +0.99% Uptrend, rising for three consecutive days on June 20, 2025

Moving higher for three straight days is viewed as a bullish sign. Keep an eye on this stock for future growth. Considering data from situations where BUD advanced for three days, in of 311 cases, the price rose further within the following month. The odds of a continued upward trend are .

Price Prediction Chart

Technical Analysis (Indicators)

Bullish Trend Analysis

The Momentum Indicator moved above the 0 level on June 20, 2025. You may want to consider a long position or call options on BUD as a result. In of 78 past instances where the momentum indicator moved above 0, the stock continued to climb. The odds of a continued upward trend are .

The Aroon Indicator entered an Uptrend today. In of 257 cases where BUD Aroon's Indicator entered an Uptrend, the price rose further within the following month. The odds of a continued Uptrend are .

Bearish Trend Analysis

The 10-day RSI Indicator for BUD moved out of overbought territory on June 05, 2025. This could be a bearish sign for the stock. Traders may want to consider selling the stock or buying put options. Tickeron's A.I.dvisor looked at 33 similar instances where the indicator moved out of overbought territory. In of the 33 cases, the stock moved lower in the following days. This puts the odds of a move lower at .

The Stochastic Oscillator may be shifting from an upward trend to a downward trend. In of 53 cases where BUD's Stochastic Oscillator exited the overbought zone, the price fell further within the following month. The odds of a continued downward trend are .

The Moving Average Convergence Divergence Histogram (MACD) for BUD turned negative on June 06, 2025. This could be a sign that the stock is set to turn lower in the coming weeks. Traders may want to sell the stock or buy put options. Tickeron's A.I.dvisor looked at 42 similar instances when the indicator turned negative. In of the 42 cases the stock turned lower in the days that followed. This puts the odds of success at .

The Tickeron Price Growth Rating for this company is (best 1 - 100 worst), indicating steady price growth. BUD’s price grows at a higher rate over the last 12 months as compared to S&P 500 index constituents.

The Tickeron Profit vs. Risk Rating rating for this company is (best 1 - 100 worst), indicating well-balanced risk and returns. The average Profit vs. Risk Rating rating for the industry is 89, placing this stock slightly better than average.

The Tickeron Seasonality Score of (best 1 - 100 worst) indicates that the company is fair valued in the industry. The Tickeron Seasonality score describes the variance of predictable price changes around the same period every calendar year. These changes can be tied to a specific month, quarter, holiday or vacation period, as well as a meteorological or growing season.

The Tickeron Valuation Rating of (best 1 - 100 worst) indicates that the company is fair valued in the industry. This rating compares market capitalization estimated by our proprietary formula with the current market capitalization. This rating is based on the following metrics, as compared to industry averages: P/B Ratio (1.471) is normal, around the industry mean (4.028). P/E Ratio (23.500) is within average values for comparable stocks, (29.201). BUD's Projected Growth (PEG Ratio) (0.970) is slightly lower than the industry average of (2.099). Dividend Yield (0.014) settles around the average of (0.024) among similar stocks. P/S Ratio (2.114) is also within normal values, averaging (6.236).

The Tickeron PE Growth Rating for this company is (best 1 - 100 worst), pointing to worse than average earnings growth. The PE Growth rating is based on a comparative analysis of stock PE ratio increase over the last 12 months compared against S&P 500 index constituents.

The Tickeron SMR rating for this company is (best 1 - 100 worst), indicating slightly better than average sales and a considerably profitable business model. SMR (Sales, Margin, Return on Equity) rating is based on comparative analysis of weighted Sales, Income Margin and Return on Equity values compared against S&P 500 index constituents. The weighted SMR value is a proprietary formula developed by Tickeron and represents an overall profitability measure for a stock.

Notable companies

The most notable companies in this group are Anheuser-Busch INBEV SA/NV (NYSE:BUD), Constellation Brands (NYSE:STZ), Molson Coors Beverage Company (NYSE:TAP).

Industry description

The alcoholic beverage market includes beer, wine, and spirits. From $230 billion in 2015, the industry has grown to around $250 billion by 2019. In recent years, alcoholic beverage makers have been looking to expand distribution and purchase channels, such as through online stores (e.g. e-commerce platform Drizly) and convenience stores. Anheuser-Busch In Bev and Diageo are major global alcoholic beverage companies, while U.S.-owned companies include Constellation Brands and Brown-Forman Corp. among several others.

Market Cap

The average market capitalization across the Beverages: Alcoholic Industry is 21.7B. The market cap for tickers in the group ranges from 2.66K to 19.33T. PBGDF holds the highest valuation in this group at 19.33T. The lowest valued company is WBEVQ at 2.66K.

High and low price notable news

The average weekly price growth across all stocks in the Beverages: Alcoholic Industry was -1%. For the same Industry, the average monthly price growth was -4%, and the average quarterly price growth was -3%. BLNE experienced the highest price growth at 54%, while RSAU experienced the biggest fall at -19%.

Volume

The average weekly volume growth across all stocks in the Beverages: Alcoholic Industry was -23%. For the same stocks of the Industry, the average monthly volume growth was 44% and the average quarterly volume growth was 2%

Fundamental Analysis Ratings

The average fundamental analysis ratings, where 1 is best and 100 is worst, are as follows

Valuation Rating: 43
P/E Growth Rating: 54
Price Growth Rating: 65
SMR Rating: 79
Profit Risk Rating: 89
Seasonality Score: 9 (-100 ... +100)
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General Information

a holding company whose subsidiaries manufactures and distributes alcoholic and non-alcoholic beverages

Industry BeveragesAlcoholic

Profile
Fundamentals
Details
Industry
Beverages Alcoholic
Address
Brouwerijplein 1
Phone
+32 16276111
Employees
154540
Web
https://www.ab-inbev.com