Anheuser-Busch InBev's Reversal Is Here: Double Digits Upside Potential Ahead

Summary

• BUD's performance metrics are showing great improvements from its 5Y and 10Y averages, underscoring why the oversold status has been unwarranted.
• This is on top of the robust Beyond Beer and no-alcohol beer performance, along with the expanding profit margins, healthier balance sheet, and raised dividend payouts.
• Given the renewed growth opportunity ahead, we believe that BUD remains cheap despite the recent recovery, offering interested investors with an excellent double-digit upside potential.
• Even so, given the still sticky inflationary pressure, Fed's hawkish commentary, and the potential impacts from the intensified tariff war, FY2025 may bring forth moderate uncertainties.
• This is on top of the FX fluctuation and commodity cost headwinds, which have already contributed to the FY2024 bottom-line impacts by -2.9% and -2%, respectively.

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BUD Remains Attractively Valued - Offering Opportunistic Investors With The Dual Pronged Returns

We previously covered Anheuser-Busch InBev SA/NV (BUD) (OTCPK:BUDFF) in January 2025, discussing why the stock had been sold

Analyst’s Disclosure: I/we have no stock, option or similar derivative position in any of the companies mentioned, and no plans to initiate any such positions within the next 72 hours. I wrote this article myself, and it expresses my own opinions. I am not receiving compensation for it (other than from Seeking Alpha). I have no business relationship with any company whose stock is mentioned in this article.

The analysis is provided exclusively for informational purposes and should not be considered professional investment advice. Before investing, please conduct personal in-depth research and utmost due diligence, as there are many risks associated with the trade, including capital loss.