CCU

United Breweries Co

Fundamental data last updated:April 13, 2026

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company profile

SECTOR

Consumer Defensive

industry

Beverages - Brewers

Exchange

NYSE

County of HQ

Chile

Next Earnings Date

05/06/26

Business Summary

The company operates as a large-scale brewer within the Consumer Defensive sector, generating cash by producing and distributing branded alcoholic beverages across established retail and on-premise channels. Its moat is built on brand recognition, entrenched distribution networks, and economies of scale in production and procurement. Brewing benefits from recurring consumer demand and pricing power tied to brand loyalty, allowing steady revenue generation even in softer macro conditions. Cash flow durability comes from repeat purchase behavior, controlled production costs, and the ability to leverage scale across marketing and logistics infrastructure.

 


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VALUATION

P/E

17.8

Market Cap ($M USD)

$2,299

Forward P/E

13.6

PEG

2

PRICE TO SALES

0.7

PRICE TO BOOK

1.4

EV / EBITDA

14

5-Year Average P/E

Free Cash Flow Yield

DCF Value

Graham Number

Price to FCF

EV to FCF

Earnings Yield

FCF Yield

DIVIDEND

Yield

3.20%

Annual Payout

$0.35

Payout Ratio

58.30%

Consecutive Years of Dividend Growth

0

5-Year Dividend Growth Rate

2.80%

Financial Health & Profitability

Earnings Per Share

$0.73

Next Year EPS Growth Estimate

$0.92

Next Year Revenue Growth Estimate

4.80%

Return on Equity (ROE)

8.00%

FREE CASH FLOW

Operating Margin

7.30%

Debt-to-Equity

0.9

Piotroski F-Score

4

Altman Z-Score

2.2

Return on Invested Capital (ROIC)

5.50%

Current Ratio

1.9

Quick Ratio

Net Debt to EBITDA

Interest Coverage

Gross Profit margin

FCF PER SHARE

REVENUE PER SHARE

Analyze CCU on TradingView

Gainseekers Quantitative Analysis

Summary

At 17.8x earnings and 13.6x forward earnings, the stock screens optically reasonable, but the 2 PEG ratio signals growth is not keeping pace with valuation, undermining the GARP appeal. An Altman Z-Score of 2.2 places the company in the gray zone, not distressed but far from financially bulletproof, especially when paired with just 4.80% ROE and 5.50% ROIC. The market appears to be pricing in stabilization rather than acceleration, and with an 8.00% operating margin and only 0.9 yield, this is a modest-quality defensive name rather than a hidden compounder. This is not a screaming mispricing — it is a middling asset priced for cautious optimism.

AI Exposure / Tech Reliance

As a Consumer Defensive brewer, the company’s exposure to AI is indirect, primarily through supply chain optimization, demand forecasting, and marketing efficiency. The beverages segment is relatively insulated from technological disruption but benefits from data-driven pricing and distribution analytics. Its resilience lies more in brand equity and distribution scale than in technological differentiation.

The Bull Case

A value-oriented investor could argue the stock offers reasonable entry at 0.7x sales and 1.4x book, suggesting limited balance sheet overstatement and moderate valuation support. The 13.6 forward P/E implies earnings normalization ahead, and with ROIC at 5.50% exceeding many defensive peers’ cost discipline thresholds, there is at least some capital efficiency. An 8.00% operating margin combined with a 1.9 current ratio signals operational stability and adequate short-term liquidity. The Piotroski F-Score of 4 is neutral but not distressed, and with short interest at just 2.80%, the market is not aggressively betting against the company. For a patient investor seeking defensive exposure with modest improvement potential, this could represent a steady, low-expectation setup.

The Bear Case

The red flags are hard to ignore: 7.30% Debt/Equity suggests leverage that limits flexibility, especially with only 4.80% ROE and 5.50% ROIC to justify it. A PEG of 2 indicates growth is expensive relative to price, and the Altman Z-Score of 2.2 keeps the firm uncomfortably close to balance sheet stress territory. The payout ratio of $0.35 alongside a 3.20% dividend per share and only 0.9 yield creates inconsistency in capital allocation optics, while the Piotroski F-Score of 4 signals mediocre financial momentum. With a consensus rating of 4.10% and a mean target price of 3.83, expectations appear muted, and the stock risks being a capital trap rather than a compounding story.

Market Sentiment & Smart Money

Short Interest %

4.10%

Analyst Consensus

3.83

Average Analyst Price Target

$12.45

Institutional Ownership %

13.90%

1-Year Beta

0.78

Insider Buying % (6 Mo)

0.00%%

Distance to 52-Week High

79.60%

Distance to 52-Week Low

117.10%

EARNINGS SURPRISE %

50-DAY SMA

200-DAY SMA

⚠️ Financial Disclaimer:
This content is for informational purposes only and is not financial advice. Information may be delayed or inaccurate. We may earn a commission from partner links.