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Compania Cervecerias Unidas S.A. (ADR)

  • Another M&A Candidate: Beer

    By Federico Zaldua - May 8, 2013 | Tickers: BUD, CCU, SAB

    The beer industry, as a part of the consumer goods industry, has a tendency towards consolidation. The reason is simple: the more share of the market a company owns, the lower its fixed costs per unit of volume sold are. Hence, your margins soar as your share of the market increases.

    AB InBev (NYSE: BUD) and its owners (the Brazilian trio led by Jorge Paulo Leman) know this very well more »

  • This Elephant Deal Will not Happen (yet)

    By Federico Zaldua - March 7, 2013 | Tickers: BUD, CCU, GPMCY, SBMRY

    I just came from a Banking conference in Bogota, Colombia. Most people were consumer goods experts, and the talk revolved about brewers. Having worked at AB InBev (NYSE: BUD) , brewers are always a matter of interest to me. As a matter of fact, brewers are usually a matter of interest to most bankers, since its an industry that has been consolidating itself very aggressively for the last twenty years. Huge more »

  • Tips To Finding M&A Deals

    By Federico Zaldua - March 5, 2013 | Tickers: BUD, SAM, CCU, HNZ, PKD

    Last week I wrote about the transaction that Warren Buffett and 3G Capital are intending to complete: taking Heinz private. In the Heinz post I tried to explain why, to my understanding, that company was a clear M&A target: strong global brands, solid (and stable) free cash flow generation, and low leverage. In this post I will try to make a short but useful analysis of what to look more »

  • Why You Should Know What Pisco Is

    By Chris Hodge - December 11, 2012 | Tickers: BUD, CCU, JSDA, TAP, PM

    I was writing an article a little while ago and came across a company named Compania Cerveceria Unidas (NYSE: CCU) that makes something called pisco. At first, I just considered this a footnote to the brewing angle I was pursuing, no differently than how I appreciate Busch's (NYSE: BUD) Budweiser and Molson Coors's (NYSE: TAP) Coors brands to be valuable to marketing the companies. Since I'm name-dropping more »

  • Brew a Better Portfolio With These Stocks

    By Chris Hodge - December 10, 2012 | Tickers: BUD, CCU, TAP, VCO

    I'm not a booze guy, personally. But I've noticed that a lot of people enjoy a brew or a glass of wine every so often, and I like the idea of profiting off of other people's habits. I noticed that there are a few stocks that seemed promising when I filtered for a dividend, at least a 10% profit margin, and a P/E ratio under 20 more »

  • Brewing South American Consolidation

    By Federico Zaldua - November 14, 2012 | Tickers: BUD, ABV, CCU

    High volume growth and strong pricing power have been the main characteristics that South American beverage businesses have been working with for years. That was the environment the three brewers ruling the different countries in the region enjoyed and knew how to profit from. Here I will make a case for two of those three and analyze the case for a potential merger between them. We will review market giant more »

  • Big Wave Trading Portfolio Update And Top Current Holdings

    By Joshua Hayes - March 31, 2012 | Tickers: AVD, BVSN, CIS, CERS, CCU, EPAM, LHCG, LNKD, KORS, RF, SWHC, SUNH

    The biggest cause of trouble in the world today is that the stupid people are so sure about things and the intelligent folks are so full of doubts. — Bertrand Russell

    It is not the strongest of the species that survive, nor the most intelligent, but the ones most responsive to change. — Charles Darwin

    The Big Wave Trading portfolio remains under a BUY signal.

    There are concerns with the current condition more »