Operating Margin

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Price: 71.25 USD 2.05% Market Closed

Market Cap: $140.5B

31.4%

Improving

by 3.5%

Operating Margin shows how much profit a company makes from its regular business activities after covering operating costs. It helps measure how efficiently the company turns sales into profit.

Operating Margin

31.4%

Operating Income

$15.6B

Revenue

$58.6B

Operating Margin shows how much profit a company makes from its regular business activities after covering operating costs. It helps measure how efficiently the company turns sales into profit.

Operating Margin

31.4%

Operating Income

$15.6B

Revenue

$58.6B

Peer Comparison

Country	Company	Market Cap	Operating Margin
BE	Anheuser Busch Inbev SA XETRA:1NBA	116.5B EUR	Loading...
BE	Anheuser-Busch Inbev SA MIL:ABI	114B EUR	Loading...
UK	Diageo PLC LSE:DGE	36.9B GBP	Loading...
US	Molson Coors Beverage Co NYSE:TAP	9.4B USD	Loading...
NL	Heineken NV AEX:HEIA	38.8B EUR	Loading...
BR	Ambev SA BOVESPA:ABEV3	228.9B BRL	Loading...
NL	Heineken Holding NV AEX:HEIO	17.6B EUR	Loading...
DK	Carlsberg A/S CSE:CARL B	111.6B DKK	Loading...
JP	Asahi Group Holdings Ltd TSE:2502	2.4T JPY	Loading...
HK	Budweiser Brewing Company APAC Ltd HKEX:1876	102.4B HKD	Loading...
JP	Kirin Holdings Co Ltd TSE:2503	1.9T JPY	Loading...

Market Distribution

Min	-11 800%
30th Percentile	4.9%
Median	11%
70th Percentile	26.6%
Max	45 050%

Other Profitability Ratios

Anheuser Busch Inbev SA
Glance View

Economic Moat

None

Market Cap

140.5B USD

Industry

Beverages

Anheuser-Busch InBev SA, often abbreviated as AB InBev, stands as a behemoth in the global brewing industry. Born from the merger of three brewing giants: Interbrew from Belgium, AmBev from Brazil, and Anheuser-Busch from the United States, AB InBev emerged as the world's largest beer maker. With a portfolio teeming with iconic brands such as Budweiser, Stella Artois, and Corona, the company taps into a diverse array of markets across the globe. Its strategy hinges on capturing economies of scale and optimizing distribution networks, allowing it to consolidate production and reduce overheads while distributing its brands widely and effectively. By aggressively pursuing acquisitions and market expansion, AB InBev has solidified its footprint in both developed and emerging markets, thereby ensuring a steady flow of revenue streams. Operationally, AB InBev generates significant income by leveraging its brand power and vast distribution capabilities. The company adopts a vertically integrated business model, controlling the entire value chain from brewing to distribution. This approach not only reduces costs but also allows for tight quality control and brand consistency. Revenue is primarily driven by the sale of a wide array of beer products, but AB InBev also continually refines its product offerings—expanding into craft beers and non-alcoholic beverages to cater to shifting consumer preferences. By engaging in strategic marketing campaigns and partnerships, the company enhances brand visibility, fueling demand. Their adept use of data analytics and digital platforms further tailors their marketing efforts, targeting specific demographics and maximizing the reach and impact of their vast brand lineup.

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Economic Moat is a concept popularized by Warren Buffett to describe a company's durable competitive advantage. It represents the 'moat' that protects a company from competitors and helps it sustain profitability over the long term. Our analysis of the past 10 years showed that companies with a wide economic moat significantly outperformed the market, delivering +645% returns compared to +189% for the S&P 500.

Our research into Economic Moat performance spans the past 10 years and focuses on companies with a wide economic moat. For this analysis, we calculated the average stock price returns of these companies, comparing them to the performance of the S&P 500 index over the same period.

The results were compelling: wide moat stocks achieved a remarkable +645% average return, compared to +188% for the broader market. This difference highlights the long-term benefits of investing in businesses that can maintain their market position and pricing power over time.

Note: This research does not account for survivorship bias. Past performance is not indicative of future results.

Determining whether a company has an economic moat requires both a deep dive into financial metrics and a qualitative assessment of its competitive position. Our analysts conduct a rigorous evaluation that focuses on identifying structural advantages that enable a company to sustain profitability and defend its market share over the long term.

The process begins with an analysis of a company’s historical financial performance. We assess how consistently the company has generated returns above its cost of capital and whether those returns have been stable or improving. However, financial performance alone doesn’t reveal the full picture. To understand the sources of these advantages, we evaluate five key drivers of economic moats:

Network Effect: We analyze whether the value of a company’s product or service grows as its user base expands. Platforms like payment systems or marketplaces benefit from this self-reinforcing.

Switching Costs: We assess whether customers face significant costs or disruptions when switching to a competitor’s product or service. High switching costs create customer stickiness and provide pricing power.

Intangible Assets: Strong brands, patents, and regulatory licenses can protect a company’s market position by creating barriers for competitors or enabling premium pricing. For example, a well-recognized consumer brand may command higher customer loyalty and margins.

Efficient scale: Occurs when a market is optimally served by one or a few players, making it unprofitable for new entrants to compete. This typically happens in industries with high fixed costs or geographic constraints, such as utilities or pipelines.

Cost Advantage: Companies with structural cost advantages can produce goods or services at a lower cost than their competitors, enabling them to offer competitive pricing or maintain higher margins. These advantages often arise from economies of scale, superior supply chain management, or proprietary technology. Firms like Walmart leverage their massive scale to negotiate better terms with suppliers, allowing them to undercut competitors on price.

By examining these factors in combination with a company’s financial performance and market positioning, we classify each company into one of three categories:

This rigorous evaluation ensures that our moat ratings are both comprehensive and reliable, giving investors the tools they need to make well-informed, long-term decisions.

The AI Assistant may sometimes provide inaccurate information.

Make your own investment decisions or consult a licensed financial advisor.

Anheuser Busch Inbev SA
NYSE:BUD

Peer Comparison

Market Distribution

Other Profitability Ratios

Anheuser Busch Inbev SA
Glance View

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Anheuser Busch Inbev SA NYSE:BUD