What does Fomento Económico Mexicano (FEMSA) do?

Fomento Económico Mexicano, S.A.B. de C.V. (NYSE ADR: FMX, BMV: FEMSAUBD) is a Mexican convenience retail + beverage bottling conglomerate. Headquartered in Monterrey, Mexico. 392,000+ employees in 18 countries — the largest private employer in Latin America. Businesses: (1) Proximity / OXXO Mexico — the crown jewel. 24,455 convenience stores (+888 net year over year, pace of ~2–3 per day). Drives massive foot traffic: food, drinks, bill payments, phone top-ups, and increasingly financial services (Spin, its fintech). (2) Americas & Mobility — international proximity expansion: OXXO Brazil (full takeover Feb 2026), OXXO Texas (bought 249 stores from Delek US for $385M to enter the US), plus fuel/mobility stations. (3) Coca-Cola FEMSA (KOF) — FEMSA owns 47.2% of equity / 56% of the vote in the largest Coca-Cola bottler in the world, operating across much of Latin America. (4) Health — pharmacy chains in Mexico, Chile, Colombia, Ecuador. (5) Europe — Valora (97.77%) — convenience and food-on-the-go stores in Switzerland, Germany, Austria, Luxembourg. Key structural change: FEMSA sold its entire Heineken stake in 2023–24 (was ~15%) and returned capital to shareholders + refocused on its core retail + beverages. No longer a sprawling holding company — now a concentrated bet on defensive Latin American consumer spending. ADR structure: 1 ADR FMX = 10 UBD units. Trades in USD but the business earns mostly in Mexican pesos (and other LATAM currencies). Leadership: CEO José Antonio Fernández Garza-Lagüera (effective Nov 1, 2025); Executive Chairman José Antonio Fernández Carbajal (his father). The founding Monterrey families maintain long-term control.

Why did Vectorial Data pick FMX?

FMX at $118.71 means buying defensive Latin American consumer spending — the convenience store on every corner in Mexico (OXXO) + the world's largest Coca-Cola bottler — while collecting a ~6% dividend. Specific reasons: (1) OXXO is an unstoppable traffic machine: 24,455 stores, opening 2–3 per day, with same-store sales +6.0% in Q1 2026. People go to OXXO regardless of whether the economy is up or down — it's routine spending, not discretionary. (2) Coca-Cola FEMSA is globally defensive: the world's #1 Coca-Cola bottler, ~4.2 billion cases/year through 2.2M+ points of sale, reaching 276M consumers. Recurring volume, brand pricing power. (3) Refocus after exiting Heineken: FEMSA stopped being a sprawling holding company; it sold Heineken 2023–24 and concentrated capital in retail + beverages, its core competence. (4) Two new growth options: OXXO Brazil (full control Feb 2026) and OXXO Texas (249 stores from Delek) — taking Mexico's proven model to large markets. (5) Generous ~6% dividend: ordinary Ps.47.52 + extraordinary Ps.80.60 = Ps.128.12/ADS in 2026, paid in 4 installments (Apr, Jul, Oct 2026, Jan 2027) — one of the highest yields in the portfolio. (6) Q1 2026 solid: revenue Ps.207,784M (~$11.8B) +6.1%, adjusted operating profit +11.2%. (7) Embedded fintech (Spin) monetizes OXXO's giant foot traffic base with financial services. (8) Analysts: Buy, average target $124.61 (~+5%) + ~6% yield = ~11% expected total return.

What are the risks of investing in FMX?

Risks: (1) Mexican peso / exchange rate — #1: the business earns in pesos (and other LATAM currencies) but the FMX ADR trades in dollars. If the peso weakens, USD returns fall even if the company sells and earns the same in local currency. It is the dominant risk of any Latin American ADR. (2) Mexican politics: the Sheinbaum government, regulatory changes, or trade tensions/tariffs with the US (USMCA review) can hit sentiment and valuation. (3) OXXO execution in the US: entering Texas with OXXO is new and doesn't guarantee replicating Mexico's success — different market, different competition (7-Eleven, Buc-ee's), different habits. (4) Spin (fintech) regulation: the digital payments business is under CNBV supervision (Mexico's financial regulator); rule changes could slow its growth. (5) Input costs at Coca-Cola FEMSA: sugar, PET plastic, aluminum and energy — if they rise, the bottling margin compresses. (6) Dividend withholding: Mexico withholds ~10% tax on dividends before they reach the ADR holder. (7) LATAM concentration: despite Europe (Valora) and the entry into the US, most of the value is still tied to Mexico and Latin America — exposure to regional macro risk.

Does FMX pay dividends?

Yes. Fomento Económico Mexicano (FEMSA) pays a dividend of about 5.99% per year.

How can I buy FMX with little money?

You can buy fractional shares of FMX starting from a few dollars with any broker that offers fractional shares. The Vectorial Data method: invest the same amount in every pick, every time.

When was this FMX analysis last updated?

The FMX analysis was last updated on Invalid Date.

Stocks/FMX

FMX — Fomento Económico Mexicano (FEMSA)

Consumer StaplesLatin AmericaMexicoBlockchain certified

$118.71

Target: $124.61 (+5%)

P/E Ratio

23.4

P/E Forward

19.8

Dividend

5.99%

Market Cap

$36.9B

EPS

$5.07

Consensus

Buy

What they do

Fomento Económico Mexicano, S.A.B. de C.V. (NYSE ADR: FMX, BMV: FEMSAUBD) is a Mexican convenience retail + beverage bottling conglomerate. Headquartered in Monterrey, Mexico. 392,000+ employees in 18 countries — the largest private employer in Latin America.

Businesses:

Proximity / OXXO Mexico — the crown jewel. 24,455 convenience stores** (+888 net year over year, pace of ~2–3 per day). Drives massive foot traffic: food, drinks, bill payments, phone top-ups, and increasingly financial services (Spin, its fintech).

Americas & Mobility — international proximity expansion: OXXO Brazil (full takeover Feb 2026), OXXO Texas (bought 249 stores from Delek US for $385M** to enter the US), plus fuel/mobility stations.

Coca-Cola FEMSA (KOF) — FEMSA owns 47.2% of equity / 56% of the vote in the largest Coca-Cola bottler in the world**, operating across much of Latin America.

Health** — pharmacy chains in Mexico, Chile, Colombia, Ecuador.

Europe — Valora** (97.77%) — convenience and food-on-the-go stores in Switzerland, Germany, Austria, Luxembourg.

Key structural change: FEMSA sold its entire Heineken stake in 2023–24 (was ~15%) and returned capital to shareholders + refocused on its core retail + beverages. No longer a sprawling holding company — now a concentrated bet on defensive Latin American consumer spending.

ADR structure: 1 ADR FMX = 10 UBD units. Trades in USD but the business earns mostly in Mexican pesos (and other LATAM currencies). Leadership: CEO José Antonio Fernández Garza-Lagüera (effective Nov 1, 2025); Executive Chairman José Antonio Fernández Carbajal (his father). The founding Monterrey families maintain long-term control.

Why we like it

FMX at $118.71 means buying defensive Latin American consumer spending — the convenience store on every corner in Mexico (OXXO) + the world's largest Coca-Cola bottler — while collecting a ~6% dividend. Specific reasons:

OXXO is an unstoppable traffic machine: 24,455 stores, opening 2–3 per day, with same-store sales +6.0% in Q1 2026. People go to OXXO regardless of whether the economy is up or down — it's routine spending, not discretionary.
Coca-Cola FEMSA is globally defensive: the world's #1 Coca-Cola bottler, ~4.2 billion cases/year through 2.2M+ points of sale, reaching 276M consumers. Recurring volume, brand pricing power.
Refocus after exiting Heineken: FEMSA stopped being a sprawling holding company; it sold Heineken 2023–24 and concentrated capital in retail + beverages, its core competence.
Two new growth options: OXXO Brazil (full control Feb 2026) and OXXO Texas (249 stores from Delek) — taking Mexico's proven model to large markets.
Generous ~6% dividend: ordinary Ps.47.52 + extraordinary Ps.80.60 = Ps.128.12/ADS in 2026, paid in 4 installments (Apr, Jul, Oct 2026, Jan 2027) — one of the highest yields in the portfolio.
Q1 2026 solid: revenue Ps.207,784M (~$11.8B) +6.1%, adjusted operating profit +11.2%.
Embedded fintech (Spin) monetizes OXXO's giant foot traffic base with financial services.
Analysts: Buy, average target $124.61 (~+5%) + ~6% yield = ~11% expected total return.

Key Risk

Risks:

Mexican peso / exchange rate — #1: the business earns in pesos (and other LATAM currencies) but the FMX ADR trades in dollars. If the peso weakens, USD returns fall even if the company sells and earns the same in local currency. It is the dominant risk of any Latin American ADR.
Mexican politics: the Sheinbaum government, regulatory changes, or trade tensions/tariffs with the US (USMCA review) can hit sentiment and valuation.
OXXO execution in the US: entering Texas with OXXO is new and doesn't guarantee replicating Mexico's success — different market, different competition (7-Eleven, Buc-ee's), different habits.
Spin (fintech) regulation: the digital payments business is under CNBV supervision (Mexico's financial regulator); rule changes could slow its growth.
Input costs at Coca-Cola FEMSA: sugar, PET plastic, aluminum and energy — if they rise, the bottling margin compresses.
Dividend withholding: Mexico withholds ~10% tax on dividends before they reach the ADR holder.
LATAM concentration: despite Europe (Valora) and the entry into the US, most of the value is still tied to Mexico and Latin America — exposure to regional macro risk.

This is educational and informational content, not financial advice. Always consult a qualified financial advisor before making investment decisions.

Vectorial Data picked FMX on 2026-06-01 at $118.71.

Last updated: Invalid Date

Dividends received by the Vectorial portfolio

What this stock has paid the model since we bought it. Your actual amount depends on when you replicated.

Ex-div date	Per share	Shares	Total to portfolio
Jul 15, 2026	$1.8270	0.4272	$0.78

Total received: $0.78

Full Research

Fomento Económico Mexicano — FEMSA (FMX) — Research Completo

Precio: $118.71 ADR | P/E TTM: 23.39x | Div Yield: ~5.99% | Market Cap: ~$36.9B USD

¿Qué es FEMSA?

Conglomerado mexicano de retail de conveniencia (OXXO) + embotellado de Coca-Cola (KOF). HQ Monterrey. >392,000 empleados en 18 países — el mayor empleador privado de Latinoamérica. 1 ADR FMX = 10 unidades UBD.

Negocios

Segmento	Qué es	Nota
Proximidad / OXXO México	24,455 tiendas de conveniencia	+888 netas YoY (~2-3/día)
Americas & Mobility	OXXO Brasil (control total feb 2026), OXXO Texas (249 tiendas ex-Delek, $385M), movilidad	Expansión internacional
Coca-Cola FEMSA (KOF)	Embotelladora de Coca #1 del mundo	FEMSA 47.2% capital / 56% voto
Salud	Farmacias (México, Chile, Colombia, Ecuador)	—
Europa — Valora	Conveniencia Suiza/Alemania/Austria	97.77%

Cambio estructural

Salió por completo de Heineken en 2023-24 (era ~15%) → devolvió capital + reenfoque en core retail + bebidas.

Q1 2026

Métrica	Q1 2026	YoY
Revenue	Ps.207,784M (~$11.8B)	+6.1%
Adj EBITDA	—	+11.2%
OXXO same-store sales	—	+6.0%
Net income (ex-gain)	Ps.5,688M	−36.4%

Nota: el net income reportado está distorsionado por una ganancia extraordinaria de una sola vez; usar la cifra ex-gain para comparar.

Liderazgo

CEO: José Antonio Fernández Garza-Lagüera (efectivo 1-nov-2025).
Exec Chairman: José Antonio Fernández Carbajal (su padre).
Familias fundadoras de Monterrey: control de largo plazo.

Dividendo 2026

Componente	Monto/ADS
Ordinario	Ps.47.520
Extraordinario	Ps.80.597
Total	Ps.128.117

Yield ~5.99%.
4 pagos: 23-abr, 16-jul, 15-oct-2026, 14-ene-2027.
Pagado en pesos; 10% de retención fiscal mexicana.

Anchor Fact

La parte de Coca-Cola de FEMSA vende ~4,200 millones de cajas de bebidas al año a través de >2.2 millones de puntos de venta, llegando a 276 millones de personas en Latinoamérica. Y su cadena OXXO abre entre 2 y 3 tiendas nuevas CADA DÍA, sin parar. Es un negocio aburrido pero imparable: la gente compra refrescos y va al OXXO sin importar si la economía sube o baja.

Top 5 Risks

Peso mexicano / FX — negocio en pesos, ADR en dólares
Política mexicana — Sheinbaum, USMCA/aranceles
Ejecución OXXO en EE.UU. — Texas es mercado nuevo
Regulación de Spin (fintech) — supervisión CNBV
Costos de insumos en KOF — azúcar, PET, aluminio

Analyst Consensus

Rating: Buy
Target promedio: $124.61 (~+5% desde $118.71)
Market cap ~$36.9B, P/E fwd 19.83x

Tesis en una línea

El consumo defensivo de Latinoamérica —la tienda de la esquina de todo México (OXXO) + la embotelladora de Coca-Cola más grande del mundo— pagando ~6% de dividendo mientras esperas, con OXXO Brasil y Texas como nuevas opcionalidades de crecimiento.

Research fecha: 01 Jun 2026 | Próxima revisión: Dic 2026

Esto no es asesoría financiera.

More picks in Consumer Staples

See all Consumer Staples picks →

Researched: 6/1/2026Updated: 6/1/2026Next review: 12/1/2026

This is not financial advice. Consult a certified financial advisor.

The author may hold positions in the securities discussed.

Past performance does not guarantee future results.