Alsea, S.A.B. de C.V.
Alsea, S.A.B. de C.V. Fundamental Analysis
Alsea, S.A.B. de C.V. (ALSSF) shows moderate financial fundamentals with a PE ratio of 26.29, profit margin of 2.29%, and ROE of 22.04%. The company generates $84.4B in annual revenue with moderate year-over-year growth of 5.64%.
Key Strengths
Areas of Concern
The stock receives a Fundamental Health Score of 44.7/100 based on profitability, valuation, growth, and balance sheet metrics. The D grade reflects weak fundamentals and significant financial concerns.
Fundamental Health Score
We analyze ALSSF's fundamental strength across five key dimensions:
Efficiency Score
WeakALSSF struggles to generate sufficient returns from assets.
Valuation Score
ModerateALSSF shows balanced valuation metrics.
Growth Score
ModerateALSSF shows steady but slowing expansion.
Financial Health Score
WeakALSSF carries high financial risk with limited liquidity.
Profitability Score
ModerateALSSF maintains healthy but balanced margins.
Key Financial Metrics
Is ALSSF Expensive or Cheap?
P/E Ratio
ALSSF trades at 26.29 times earnings. This indicates a fair valuation.
PEG Ratio
When adjusting for growth, ALSSF's PEG of 0.07 indicates potential undervaluation.
Price to Book
The market values Alsea, S.A.B. de C.V. at 5.87 times its book value. This suggests the stock is fully valued or overvalued on an asset basis.
EV/EBITDA
Enterprise value stands at 0.20 times EBITDA. This is generally considered low.
How Well Does ALSSF Make Money?
Net Profit Margin
For every $100 in sales, Alsea, S.A.B. de C.V. keeps $2.29 as profit after all expenses.
Operating Margin
Core operations generate 9.76 in profit for every $100 in revenue, before interest and taxes.
ROE
Management delivers $22.04 in profit for every $100 of shareholder equity.
ROA
Alsea, S.A.B. de C.V. generates $2.37 in profit for every $100 in assets, demonstrating efficient asset deployment.
Following the Money - Real Cash Generation
Operating Cash Flow
Alsea, S.A.B. de C.V. produces operating cash flow of $15.52B, showing steady but balanced cash generation.
Free Cash Flow
Alsea, S.A.B. de C.V. generates strong free cash flow of $9.72B, providing ample flexibility for dividends, buybacks, or growth.
FCF Per Share
Each share generates $12.16 in free cash annually.
FCF Yield
ALSSF converts 19.27% of its market value into free cash.
Financial Ratios Analysis
Valuation Ratios
P/E Ratio
Price to earnings ratio
26.29
vs 25 benchmark
PEG Ratio
Price/earnings to growth ratio
0.07
vs 25 benchmark
P/B Ratio
Price to book value ratio
5.87
vs 25 benchmark
P/S Ratio
Price to sales ratio
0.60
vs 25 benchmark
Financial Health
Debt/Equity
Total debt to shareholders' equity
5.99
vs 25 benchmark
Current Ratio
Current assets to current liabilities
0.47
vs 25 benchmark
Efficiency Ratios
ROE
Return on equity percentage
0.22
vs 25 benchmark
ROA
Return on assets percentage
0.02
vs 25 benchmark
ROCE
Return on capital employed
0.16
vs 25 benchmark
How ALSSF Stacks Against Its Sector Peers
| Metric | ALSSF Value | Sector Average | Performance |
|---|---|---|---|
| P/E Ratio | 26.29 | 24.93 | Neutral |
| ROE | 22.04% | 1149.00% | Weak |
| Net Margin | 2.29% | 749.00% | Weak |
| Debt/Equity | 5.99 | 0.76 | Weak (High Leverage) |
| Current Ratio | 0.47 | 9.21 | Weak Liquidity |
| ROA | 2.37% | 1274.00% | Weak |
ALSSF outperforms its industry in 0 out of 6 key metrics, but lagging in ROE.
Historical Growth Performance
5-Year Growth Trajectory
This section reviews Alsea, S.A.B. de C.V.'s 5-year compound annual growth rate (CAGR) and compares its performance against the typical investment style of its industry.
Revenue CAGR
40.77%
Industry Style: Cyclical, Growth, Discretionary
High GrowthEPS CAGR
-14.15%
Industry Style: Cyclical, Growth, Discretionary
DecliningFCF CAGR
26.22%
Industry Style: Cyclical, Growth, Discretionary
High Growth