Diageo (DEO) Competitors

Diageo (NYSE:DEO) and Anheuser-Busch InBev SA/NV (NYSE:BUD) are both large-cap consumer staples companies, but which is the better stock? We will contrast the two companies based on the strength of their media sentiment, profitability, institutional ownership, dividends, risk, earnings, analyst recommendations and valuation.

Which has higher valuation & earnings, DEO or BUD?

Anheuser-Busch InBev SA/NV has higher revenue and earnings than Diageo. Diageo is trading at a lower price-to-earnings ratio than Anheuser-Busch InBev SA/NV, indicating that it is currently the more affordable of the two stocks.

Company	Gross Revenue	Price/Sales Ratio	Net Income	Earnings Per Share	Price/Earnings Ratio
Diageo	$20.25B	3.05	$2.35B	$6.85	16.19
Anheuser-Busch InBev SA/NV	$59.77B	1.85	$5.86B	$3.56	17.25

Is DEO or BUD more profitable?

Anheuser-Busch InBev SA/NV has a net margin of 12.16% compared to Diageo's net margin of 0.00%. Anheuser-Busch InBev SA/NV's return on equity of 16.21% beat Diageo's return on equity.

Company	Net Margins	Return on Equity	Return on Assets
Diageo	N/A	N/A	N/A
Anheuser-Busch InBev SA/NV	12.16%	16.21%	6.99%

Is DEO or BUD a better dividend stock?

Diageo pays an annual dividend of $3.18 per share and has a dividend yield of 2.9%. Anheuser-Busch InBev SA/NV pays an annual dividend of $0.85 per share and has a dividend yield of 1.4%. Diageo pays out 46.4% of its earnings in the form of a dividend. Anheuser-Busch InBev SA/NV pays out 23.9% of its earnings in the form of a dividend. Both companies have healthy payout ratios and should be able to cover their dividend payments with earnings for the next several years.

Does the media refer more to DEO or BUD?

In the previous week, Diageo had 14 more articles in the media than Anheuser-Busch InBev SA/NV. MarketBeat recorded 16 mentions for Diageo and 2 mentions for Anheuser-Busch InBev SA/NV. Anheuser-Busch InBev SA/NV's average media sentiment score of 1.72 beat Diageo's score of 1.12 indicating that Anheuser-Busch InBev SA/NV is being referred to more favorably in the news media.

Company	Very Positive	Positive	Neutral	Negative	Very Negative	Overall Sentiment
Diageo	9 Very Positive mention(s)	0 Positive mention(s)	4 Neutral mention(s)	1 Negative mention(s)	0 Very Negative mention(s)	Positive
Anheuser-Busch InBev SA/NV	2 Very Positive mention(s)	0 Positive mention(s)	0 Neutral mention(s)	0 Negative mention(s)	0 Very Negative mention(s)	Very Positive

Do insiders and institutionals hold more shares of DEO or BUD?

9.0% of Diageo shares are owned by institutional investors. Comparatively, 5.5% of Anheuser-Busch InBev SA/NV shares are owned by institutional investors. 4.5% of Anheuser-Busch InBev SA/NV shares are owned by insiders. Strong institutional ownership is an indication that hedge funds, large money managers and endowments believe a company will outperform the market over the long term.

Which has more risk and volatility, DEO or BUD?

Diageo has a beta of 0.53, indicating that its stock price is 47% less volatile than the S&P 500. Comparatively, Anheuser-Busch InBev SA/NV has a beta of 0.79, indicating that its stock price is 21% less volatile than the S&P 500.

Do analysts recommend DEO or BUD?

Diageo currently has a consensus price target of $129.00, suggesting a potential upside of 16.30%. Anheuser-Busch InBev SA/NV has a consensus price target of $71.50, suggesting a potential upside of 16.45%. Given Anheuser-Busch InBev SA/NV's stronger consensus rating and higher possible upside, analysts plainly believe Anheuser-Busch InBev SA/NV is more favorable than Diageo.

Company	Sell Ratings	Hold Ratings	Buy Ratings	Strong Buy Ratings	Rating Score
Diageo	1 Sell rating(s)	3 Hold rating(s)	4 Buy rating(s)	0 Strong Buy rating(s)	2.38
Anheuser-Busch InBev SA/NV	0 Sell rating(s)	1 Hold rating(s)	6 Buy rating(s)	3 Strong Buy rating(s)	3.20

Summary

Anheuser-Busch InBev SA/NV beats Diageo on 14 of the 19 factors compared between the two stocks.