Overall Fundamental outlook

Business Operations:

Sector: Consumer Defensive
Industry: Beverages - Brewers

United Breweries Limited engages in manufacture, purchase, and sale of beer and non-alcoholic beverages in India and internationally. The company offers beer products under the Heineken, Heineken Silver, Kingfisher Premium, Kingfisher Strong, Kingfisher Ultra, Kingfisher Ultra Max, Kingfisher Ultra Witbier, Amstel Bier, Bullet, Bullet Super Strong, Cannon 10000, Zingaro, Kingfisher Storm, Kingfisher Blue, Kalyani Black Label, UB Export Large, UB Export Strong, London Pilsner, and London Pilsner Strong brands; and non-alcoholic products under the Kingfisher Premium Packaged Drinking Water, Kingfisher Strong Power Soda, Kingfisher Storm Strong Soda, Kingfisher Ultra Non-Alcoholic, and Heineken 0.0. It also licenses its brands; and offers contract manufacturing services. The company was founded in 1915 and is based in Bengaluru, India. United Breweries Limited operates as a subsidiary of Heineken N.V.

Revenue projections:

Revenue projections for UBL
Revenue projections for UBL

With UBL's revenues forecasted to be lower than last year's, investors are expected to be cautious. A decline in revenue typically harms the company's bottom line, reducing profitability and making investors less confident about the company's ability to sustain its financial health.

Financial Ratios:

currentRatio 1.338000
forwardPE 57.225273
debtToEquity 17.864000
earningsGrowth -0.648000
revenueGrowth -0.030000
grossMargins 0.413930
operatingMargins 0.031950
trailingEps 13.930000
forwardEps 33.800000

With a current ratio 1.338, United Breweries Limited demonstrates the ability to service its short-term debt without difficulty. The company's strong cash reserves and current assets ensure that it can meet its liabilities, reflecting financial stability and healthy liquidity.
United Breweries Limited's elevated forward PE ratio suggests limited upside potential and a risk of price correction. Investors must scrutinize this metric closely, ensuring it aligns with other fundamental indicators before making any decisions.
United Breweries Limited's low Debt-to-Equity ratio suggests the company is minimally leveraged, with limited reliance on debt to finance its operations. This reduced financial risk positions the company for greater stability and financial health, appealing to investors who value conservative financial management.
UBL's low earnings and revenue growth suggest that the company may face shrinking profits. This could indicate underlying financial challenges, making it difficult for UBL to sustain its current profitability.
UBL's negative gross and operating margins reflect unprofitability, suggesting the company is unable to generate revenue sufficient to cover its costs. This could indicate deeper financial challenges or declining efficiency.
UBL's forward EPS exceeding its trailing EPS means the company is expected to be more profitable this year than last. This suggests an upward trend in earnings, with forecasts indicating that UBL's financial performance will improve in the current financial year.

Price projections:

Price projections for UBL
Price projections for UBL

UBL's price projections have been revised downward gradually, suggesting that expectations for the company's future performance are becoming more conservative. Analysts may be tempering their optimism based on current trends.

Recommendation changes over time:

Recommendations trend for UBL
Recommendations trend for UBL


The analysts' mixed ratings for UBL indicate no clear guidance on whether to buy or sell. Investors may need to explore other data points or wait for more concrete market signals before taking any decisive action regarding UBL.