Boston Beer Company (NYSE: SAM) has recently attracted mixed opinions from a variety of equities analysts. Citigroup raised its price target for the company’s stock from $280 to $285, maintaining a “buy” rating in a report published on April 14. Meanwhile, Piper Sandler lowered its target from $240 to $230 and assigned a “neutral” rating on April 17. Roth Mkm also adjusted its price target downward from $389 to $349 while reiterating a “buy” rating on February 26. Royal Bank of Canada maintained a “sector perform” rating and set a price target of $279 in its analysis released earlier this week. In contrast, StockNews.com downgraded the stock from a “buy” to a “hold” rating on March 5.
In total, ten analysts have rated the stock as a “hold,” while two have issued “buy” ratings. As of the latest data from MarketBeat, Boston Beer holds an average rating of “Hold” with a consensus target price of $290.01.
Stock Performance and Earnings Report
Boston Beer’s stock saw a slight decline of $0.21 to $242.20 in midday trading on Friday, April 25. The stock’s trading volume was lower than its usual average, with 67,453 shares changing hands compared to a typical volume of 208,983. The company’s market capitalization stands at $2.72 billion, with a price-to-earnings (P/E) ratio of 35.61, a P/E-to-growth (P/E/G) ratio of 1.23, and a beta of 1.26. Over the past 52 weeks, the stock has fluctuated between a low of $215.10 and a high of $339.77. The company’s 50-day moving average is $236.30, while its 200-day moving average is $269.02.
On April 24, Boston Beer released its quarterly earnings report, exceeding analyst expectations. The company reported earnings per share (EPS) of $2.16, significantly surpassing the consensus estimate of $0.78. The firm posted a net margin of 3.82% and a return on equity of 11.76%. Boston Beer generated revenue of $481.36 million for the quarter, outperforming the expected $436.27 million. Analysts forecast that the company will report earnings of 9.29 per share for the current fiscal year.
Institutional Activity
Boston Beer has seen notable changes in institutional ownership in recent quarters. GAMMA Investing LLC increased its stake by 59.3% during Q4, owning 129 shares worth $39,000. Lazard Asset Management LLC raised its stake by 10.3%, owning 515 shares valued at $153,000. Additionally, First Horizon Advisors Inc. boosted its holdings by 42.1%, bringing its total to 172 shares valued at $52,000. Cetera Investment Advisers increased its position by 4.6%, now owning 1,269 shares worth $381,000, while Exchange Traded Concepts LLC raised its stake by 2.5%, owning 2,630 shares worth $789,000. Institutional investors and hedge funds currently hold 81.13% of Boston Beer’s stock.
Company Profile
The Boston Beer Company produces and markets alcoholic beverages, primarily in the United States. Its flagship product is Samuel Adams Boston Lager, but the company also offers a wide range of other beverages, including beers, hard ciders, flavored malt beverages, and hard seltzers. These are sold under various brand names, including Samuel Adams, Twisted Tea, Truly, Angry Orchard, Dogfish Head, Angel City, and Coney Island.
Outlook
Despite the positive earnings performance, Boston Beer faces varied ratings from analysts. While some analysts have maintained a “buy” rating, others have adopted a more cautious stance with “hold” or “neutral” recommendations. Institutional investors continue to show interest in the company, suggesting that there is potential for long-term growth despite the fluctuating market conditions.
You Might Be Interested In:
