Brazilian stock alert

BRAZ

CLOSING UPDATE: Ambev increases 0.9%, led Industrial sector index higher 17 August 2018 17:38 BRT

NEWS BITES - BRIC

This is an end of day Alert, produced after today's Brazilian market close. It concludes the BSS News Bites intra-day Alert series (summaries below).

Ambev, Brazil's largest beverages company by market capitalisation, has increased 0.9% to trade at R$19.18 vs. the Industrial sector index which strengthened 30.8 points (or 0.2%) to 15,065.6. Representing a weighting of about 47.0% of the index, the stock accounted for the gain. Trading volume was 1.4 times average at the end of the day. Compared with the Brazil Index 50 which fell 123.2 points (or 1%) in the day, this represented a relative price increase of 1.9%.

Technical indicators complementing today's significant uptrend:

+ The positive 0.08 MACD (Moving Average Convergence Divergence) indicator suggests a bullish signal.

+ The price increased 1.4% in the last week and 0.1% in the last month.

Other Bullish Signals include:

+ Total Liabilities/EBITDA of 2.8 is comfortably below the Joseph Piotroski benchmark of <5.

+ Net profit margin has averaged 29.6% in the last 3 years. This is considered superior and suggests a high margin of safety.

+ As per the Du Pont analysis, Return on Equity is high at 28.0%. Also, this has improved from 25.7% last year.

Note

Ambev today is at a discount of 21.2% to the 12-month high of R$24.35 on 05 Apr, 2018. It is at a premium of 7.8% to the 12-month low of R$17.79 on 26 Jun, 2018.

Bearish Signals:

Tobin's Q Ratio is 3.6. Compared with the rest of the market the stock is overvalued and ranks in the bottom 4% of stocks by value of Q Ratio.

TODAY'S ALERTS

Afternoon Alert: Ambev decreases 0.5%, leads Consumption index lower

17 August 2018 13:07 BRT

Ambev SA (SA:ABEV3) has decreased 0.5% to trade at R$18.91 vs. the Consumption index which weakened 49.2 points (or 1.6%) to 3,129.1. Representing a weighting of about 46.6% of the index, the stock accounted for 15.8% of today's loss. Trading volume was 2.4 times average so far today.

Morning Alert: Ambev decreases 1.1%, leads market lower

17 August 2018 11:10 BRT

Ambev SA (SA:ABEV3) has decreased 1.1% to trade at R$18.80 vs. the Brazil Index 50 which weakened 112.1 points (or 0.9%) to 12,737.4. Representing a weighting of about 13.4% of the index, the stock accounted for 17.0% of today's loss. Trading volume was 78% of average so far today.

RECENT ALERTS

CLOSING UPDATE: Ambev drops 2.1%, led market lower

16 August 2018 17:36 BRT

Ambev, Brazil's largest beverages company by market capitalisation, has dropped 2.1% to trade at R$19.01 vs. the Brazil Index 50 which weakened 46.5 points (or 0.4%) to 12,849.5. Representing a weighting of about 13.4% of the index, the stock accounted for 78.7% of today's loss. Trading volume was 75% of average at the end of the day. Compared with the Brazil Index 50 which fell 46.5 points (or 0.4%) in the day, this represented a relative price change of -1.8%.

Afternoon Alert: Ambev decreases 1.2%, leads Consumption index lower

16 August 2018 13:07 BRT

Ambev SA (SA:ABEV3) has decreased 1.2% to trade at R$19.19 vs. the Consumption index which weakened 23.6 points (or 0.7%) to 3,205.7. Representing a weighting of about 46.1% of the index, the stock accounted for 73.7% of today's loss. Trading volume was 1.1 times average so far today.

Ambev SA (SA:ABEV3; SAO:ABEV3; BZ:ABEV3)

ISIN: BRABEVACNOR1

PermID: 5000604622

Source: www.BuySellSignals.com