Fomento Economico Mexicano stock analysis
Fomento Economico Mexicano (0TD7) Share Price & Analysis
0TD7 Stock Chart & Stats
- Day’s Range
- $131.40 - $135.00
- 52-Week Range
- $91.50 - $135.00
- Previous Close
- $132.15
- Volume
- N/A
- Average Volume (3M)
- 61
- Market Cap
- $26.75B
- Enterprise Value
- $56.17B
- Total Cash (Recent Filing)
- $6.43B
- Total Debt (Recent Filing)
- $13.94B
- Price to Earnings (P/E)
- 23.2
- Beta
- 0.50
- Next Earnings
- Mar 01, 2027 (Est.)
- EPS Estimate
- 1.6
- Next Dividend Ex-Date
- N/A
- Dividend Yield
- 5.64%
Bulls Say, Bears Say
Bulls Say
Core Revenue And Market-Share Growth
Growth across consolidated revenue and operating income, combined with OXXO Mexico market-share gains, indicates stronger customer adoption and competitive execution. This supports durable scale benefits, better supplier economics, and continued reinvestment in FEMSA’s core retail and beverage platforms.
Improving Cash Generation
Material improvement in operating and free cash flow strengthens FEMSA’s ability to fund store expansion, maintain shareholder distributions, and absorb operating volatility internally. Better cash conversion also improves earnings quality, although the benefits are partly offset by the company’s remaining debt burden.
Large, Ongoing Store Expansion Opportunity
A sustained store-opening program provides a multi-year route to revenue growth by expanding FEMSA’s physical reach and transaction base. The scale of OXXO Mexico, alongside faster-growing international and Bara formats, can deepen network advantages and support long-term operating leverage.
Bears Say
Higher Leverage Reduces Flexibility
Higher leverage leaves FEMSA with less financial flexibility to fund expansion, pursue opportunities, or withstand weaker consumer conditions without relying more heavily on external capital. Improving cash flow helps, but current debt coverage indicates that balance-sheet de-risking may take time.
Labor Costs And Margin Pressure
Rising wages and a reduced workweek can increase the cost base across a labor-intensive store network, especially while consumers remain focused on affordability. Unless productivity, pricing, or mix improvements offset the pressure, these changes may constrain retail margins over the next several quarters.
Weakness In Non-Core Operating Segments
Sharp profitability declines in Americas & Mobility show that international and fuel operations are not yet contributing consistently to group earnings. Continued OXXO Brasil losses and low segment margins could dilute the strength of Mexico’s core businesses and require prolonged operational remediation.
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Fomento Economico Mexicano Stock Smart Score
Company Description
Fomento Economico Mexicano
Fomento Económico Mexicano, S.A.B. de C.V. (FEMSA) is a diverse multinational enterprise. Its operations include acting as a key bottler, marketer, and distributor of Coca-Cola trademark beverages across a wide territory encompassing Mexico, Guatemala, Nicaragua, Costa Rica, Panama, Colombia, Venezuela, Brazil, Argentina, and Uruguay. Furthermore, FEMSA is a significant player in the retail sector, managing 20,431 OXXO convenience stores in Mexico, Colombia, Peru, Chile, and Brazil as of December 31, 2021. The company also operates 567 OXXO GAS service stations in Mexico, which supply fuels, motor oils, lubricants, and car care items. Its pharmaceutical retail division comprises 3,652 drugstores operating under names such as Cruz Verde, Fybeca, SanaSana, YZA, La Moderna, and Farmacon in Chile, Colombia, Ecuador, and Mexico. In addition to these core activities, FEMSA is involved in the manufacturing of chillers, commercial refrigeration equipment, plastic containers, and specialized food processing and weighing machinery. It also offers comprehensive logistic transportation, distribution, and maintenance services, point-of-sale refrigeration solutions, plastic solutions, and runs a distribution platform for cleaning products and various consumables. Established in 1890, the company is headquartered in Monterrey, Mexico.
- Sector
- Consumerdefensive
- Industry
- Beverages - Non-Alcoholic
- CEO
- Jose Antonio Fernandez Garza-Laguera
- Employees
- 368,776
- Website
- www.femsa.com
- Address
- General Anaya Nº 601 Pte., Monterrey, NL, 64410, MX
Fomento Economico Mexicano (0TD7) Earnings & Revenues
0TD7 Earnings Call
Earnings Call SentimentPositive
The call was predominantly positive. FEMSA reported strong consolidated growth, an 81% increase in net income, improving OXXO México traffic and market share, solid Coca-Cola FEMSA performance, rapid Bara expansion, and continued shareholder returns. These positives were partly offset by margin contraction, store-pruning impacts, weaker European and health profitability, Colombia credit-risk provisions, labor-cost pressure, OXXO Brasil losses, a soft Mexican consumer environment, and more demanding comparisons. Management remained confident in its strategy while maintaining a cautious outlook for the consumer environment and expansion timing.
View all GB:0TD7 earnings summaries0TD7 Stock 12 Month Forecast
Average Price Target
Technical Analysis
Overall Consensus
| Indicator | Bullish | Neutral | Bearish |
|---|---|---|---|
| Overall Consensus | 15 | 3 | 4 |
| Technical Analysis | 3 | 3 | 4 |
| Moving Averages | 12 | 0 | 0 |











