One-glance verdict
Undervalued
$24.05 our estimate vs market $10.00
58% below our estimate, below the bear case
Fundamentals snapshot
Asahi Group Holdings, Ltd.
ASBRF · PNK · Consumer Defensive · Beverages - Brewers
Current price
$10.00
52-week range
$8.83 - $13.00
Market cap
$14.63B
Balance sheet
Watch
6.52x Adequate
Net debt $9.16B. Interest coverage shows how many times profit covers the interest bill.
What stands out
3 Rewards
2 Risks
3 rewards · 2 risks
- Reward Returns 5.6% on equity, ahead of 16% of its peers.
- Reward Free cash flow was positive in 3/10 years.
- Risk Stock trades 13468.2% above its 5-year average P/E.
- Risk Net debt grew 1.4% over 3 years.
What this company does
Asahi Group Holdings, Ltd.
Asahi Group is a global beverage and food company from Japan, best known for its beers like Asahi Super Dry, Peroni, and Pilsner Urquell. The company makes most of its money selling alcoholic drinks, so its financial health is closely tied to beer sales in key markets like Europe and Japan. This means its success also depends on efficiently managing its supply chain (the complex process of getting ingredients, making the drinks, and delivering them to stores).
How the company got here
Asahi's story begins in 1889 in Japan as Osaka Brewery. After a post-World War II split of a larger beer conglomerate, Asahi Breweries was formed in 1949. A major turning point was the 1987 launch of Asahi Super Dry, which created a new 'dry beer' category and dramatically boosted its success. Facing a mature beer market in Japan, the company began expanding overseas, acquiring well-known beverage companies in Australia, Europe, and other parts of Asia. This strategy of buying established international brands transformed Asahi from a primarily Japanese brewer into a global beverage player.
What it actually does
Asahi is a global company that makes and sells a wide variety of drinks and some food items. Most people know them for their beers, like the flagship Asahi Super Dry, and other international brands they own such as Peroni, Pilsner Urquell, and Grolsch. Beyond beer, they also produce and sell non-alcoholic drinks like teas, coffees, and sodas, including well-known Japanese brands like Calpis and Wilkinson. Additionally, they have a food division that offers products ranging from baby food and supplements to freeze-dried soups and snack bars.
Japan Business
This is Asahi's home base and largest segment, making up nearly half of the company's business. In Japan, the company sells its famous alcoholic beverages, including a wide range of beers and other traditional Japanese drinks. It also has a significant presence in non-alcoholic beverages, with popular brands of teas, coffees, and sodas that are common in Japanese convenience stores and vending machines. A smaller but still important part of this segment is the food business, which includes everything from supplements to baby products.
Europe Business
This segment represents a significant portion of Asahi's sales and is focused almost entirely on the beer market. Asahi built this business by acquiring several famous European breweries, giving it ownership of iconic brands like Peroni from Italy, Grolsch from the Netherlands, and Pilsner Urquell from the Czech Republic. This division makes money by selling these well-known premium beers to consumers across Europe, where it holds a strong market share (the percentage of total sales in an industry generated by a particular company) in several countries.
Asia Pacific Business
This part of the company covers Australia, New Zealand, and Southeast Asia and is a major contributor to revenue (the total amount of money a company generates from its sales). In Australia and New Zealand, Asahi is a dominant player, selling famous local beers like Victoria Bitter and Carlton Draught, which it acquired through the purchase of Carlton & United Breweries. In Southeast Asia, the focus is more on non-alcoholic beverages, and the company even operates the Pepsi bottling business in some areas.
What management is betting on now
The company's main focus is on 'premiumization,' which means encouraging customers to buy more of its higher-priced, higher-quality brands like Asahi Super Dry and Peroni globally. They are also expanding into new, but related, categories such as non-alcoholic beer and ready-to-drink cocktails to meet changing consumer tastes. To become more profitable, management is also focused on cost efficiency, which involves finding ways to save money in their supply chain (the entire process of making and selling goods, from getting raw materials to delivering the final product to customers) and marketing efforts. A key part of their strategy is to operate as 'One Asahi,' aiming to better coordinate their global operations to strengthen the company as a whole.
Price history
How the share price has moved
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Is it cheap or expensive?
Fair value $24.05 vs current price $10.00
Our most-likely fair value is $24.05 a share — about 140.5% above today's price of $10.00, so the stock currently looks cheap (undervalued).
Is it drowning in debt?
Watch
Net debt $9.2B. Interest coverage 6.5x.
Net debt
$9.16B
Interest coverage
6.52x
Asahi Group Holdings, Ltd.'s profit covers its interest bill about 6.5 times over. which is stronger than most peers shown here.
Watch
Worse cushion
Baseline
Better cushion
ASBRF
BASELINE
Asahi Group Holdings, Ltd.
Total debt $10.70B Interest coverage 6.52x This is the baseline the peer rows are being compared against.
Total debt $72.73B Interest coverage 4.05x -38% vs ASBRF Carries about 1.6x less debt cushion than ASBRF.
Total debt $22.20B Interest coverage 2.94x -55% vs ASBRF Carries about 2.2x less debt cushion than ASBRF.
Total debt $10.53B Interest coverage 7.92x +22% vs ASBRF Carries about 1.2x more debt cushion than ASBRF.
Total debt $5.34B Interest coverage 11.44x +76% vs ASBRF Carries about 1.8x more debt cushion than ASBRF.
Total debt $7.91B Interest coverage 6.58x +1% vs ASBRF Has roughly the same debt cushion as ASBRF.
What you should know
The case for and against ASBRF
3 Rewards
2 Risks
Rewards
-
Returns 5.6% on equity, ahead of 16% of its peers.
-
Free cash flow was positive in 3/10 years.
-
Dividend yield is 3.5% with 13-year payout history.
Risks
-
Stock trades 13468.2% above its 5-year average P/E.
-
Net debt grew 1.4% over 3 years.
The numbers
All the key metrics, grouped by purpose
Tap any ? icon to learn what it means.
Valuation
How expensive the stock looks
P/E (TTM)
14.29x
Forward P/E
—
P/B
0.72x
P/S
0.00x
EV/EBITDA
3.32x
PEG ratio
0.79x
Profitability
How much profit each dollar creates
Gross margin
37.9%
Operating margin
13.6%
Net margin
5.4%
ROE
5.6%
ROA
2.9%
Health
Liquidity and balance-sheet strength
Debt / equity
0.53x
Current ratio
0.65x
Quick ratio
0.42x
Total debt
$10.70B
Total cash
$1.54B
Growth
How the business has been compounding
Revenue TTM
$19.00B
Revenue 5Y CAGR
4.9%
EPS TTM
0.70
EPS 5Y CAGR
-6.6%
Cash flow
How much cash the business throws off
Operating CF TTM
$664.11M
Free CF TTM
$-316.11M
FCF margin
-1.7%
Dividend
Shareholder payout
Yield
3.5%
Payout ratio
47.3%
Last ex-div date
2026-12-29