$Ambev SA (ABEV.US)$Brazilian company listed in 2000, the ma...

Revenue has continued to grow over the past 5 years, with an average growth rate of 10.7%. The operating profit changed very little. The average growth rate was 1.4%. The net profit growth rate was somewhat distorted due to income tax, and the average 5-year growth rate of net profit before tax was 2.1%. There are no interest charges. Gross profit margin has continued to decline in the past 5 years, from 61.7% to 49.3%, and the return on net assets is 17.6%.

In the first three quarters of 2023, revenue increased 4.8%, operating profit increased 8.2%, and net profit increased 6.4%.

The balance ratio has basically been around 40% in the past 5 years, and has dropped sharply to 33.6% in the past 3 quarters. This may be due to seasonal factors. Receivables have not changed much. Inventory has grown very fast in recent years. It reached 15.8% of revenue in 2022, while in 2019 it only accounted for 10.9%, an increase of 50%, and finally declined in the past three quarters.

Goodwill and other intangible assets account for 54% of net assets, and long-term loans account for 2.7% of net assets, and there is no debt burden. There are few treasury stocks, and there is little change in share capital.

Over the past five years, net operating cash flow has been much higher than net investment, generating many shareholders' surpluses.

Currently, the price-earnings ratio is 15.3, the price-earnings ratio is TTM14.6, and the dividend ratio is 5.8%. The dividend is basically stable. Generally speaking, the decline in gross margin will have a lower limit. In the context of rapid revenue growth, if gross margin stops falling, net profit will grow rapidly, so you can choose carefully (⭐️)