NYSE:SAM

312.80
5.62 (1.83%) 1d
0

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Investor Insights

This summary was created by AI, based on 1 opinions in the last 12 months.

Boston Beer (SAM) produces and sells popular beer and seltzer brands including Samuel Adams and Twisted Tea. The stock has recently suffered due to missing revenue and EPS forecasts for Q2. While analyst estimates forecast significant EPS expansion over the next three years, revenue growth has been modest. The company has a solid balance sheet with a net cash position of $178.8M and has been working on expanding its margins effectively. However, the tough consumer environment has led to flat or declining sales. The stock trades at 27.1x forward earnings but only 1.6x forward sales, making it less attractive for investors seeking growth opportunities at better valuation levels.

Consensus
Neutral
Valuation
Overvalued
Similar
Anheuser-Busch, BUD-N
WATCH
Boston Beer
Trevor Rose’s Insights - Trevor’s most-liked answers from 5i Research

SAM produces and sells a number of popular beer and seltzer brands including Samuel Adams and Twisted Tea. The stock has taken a hit recently after missing on revenue and EPS forecasts for Q2. Analyst estimates forecast significant EPS expansion over the next three-years and modest revenue growth. EPS margin expansion has been displayed over the last few quarters but revenue has been flat/declining since the beginning of 2023. The balance sheet looks solid with a nice net cash position at $178.8M. We do not see any history of the company ever paying a dividend. SAM has been working to expand its margins and so far this looks to have been effective with gross margins expanding 2.5% year-to-date. However, the company and industry are faced with a tough consumer environment which has seen sales being flat/declining. SAM trades at 27.1x forward earnings but only 1.6x forward sales. With the hope of earnings expansion, we are not overly interested here and think that investors can find more attractive growth opportunities at similar or better valuation levels. 
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Consumer Products
DON'T BUY
Boston Beer
It reports Thursday. He expects declining numbers, especially their hard seltzer sales. He prefers STZ for its strong beer brands (which he owns).
Consumer Products
DON'T BUY
Boston Beer
Allan Tong’s Discover Picks Unfortunately, SAM has missed all of its last four quarters, and they were wide misses. Its EPS is $-4.31 and worse, has declined 123.17% over the past year. SAM’s PE is -85.1x and profit margin is a woeful -2.73%. In Q1, shipment volumes fell 25% YOY as demand decreased. Revenue fell 21% in the quarter and its gross margin slipped from 45.8% to 40.2% YOY. The company has weak pricing power in a highly competitive business. Lots of negatives among its fundamentals. No surprise that Sam pays no dividend. The street feels lukewarm towards SAM stocks with five buys and six holds with a $442.90 price target or 23% higher. But will it get there? Read Summer stocks fun or summertime blues? 3 stocks to consider this summer for our full analysis.
Consumer Products
DON'T BUY
Boston Beer
Incredible run through the pandemic. Starting to have significant cost pressures, without the ability to pass costs along. A couple of weak quarters. Every time the stock rallies, you have sellers bailing. He wouldn't touch it, too much damage to the technical chart.
Consumer Products
BUY ON WEAKNESS
Boston Beer
Hard seltzer's growth isn't sustainable, though the street believes it. The stock has pulled back, but still isn't cheap. He sees low-single-digit growth in the sector for a while. He'd wait for this to pull back even more.
Consumer Products
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This is a Panic-proof Portfolio opinion which is available only for Premium members

Curated by Michael O'Reilly since 2020.
1550+ opinions with 4.81 rating (one of the best performing expert).

PAST TOP PICK
Boston Beer
(A Top Pick Jul 13/21, Down 22.8%)Stockchase Research Editor: Michael O'Reilly Our PAST TOP PICK with SAM has gapped down through our stop. We recommend covering any holdings at this time. We will look for better opportunities.
Consumer Products
premium

This is a Panic-proof Portfolio opinion which is available only for Premium members

Curated by Michael O'Reilly since 2020.
1550+ opinions with 4.81 rating (one of the best performing expert).

TOP PICK
Boston Beer
Stockchase Research Editor: Michael O'Reilly SAM is a US based beer company best known under the Samuel Adams brand. They have been expanding their product offering into new seltzer products that are driving up earnings. It trades at 51x earnings above peers at 46x, however, with EPS expected by analysts to grow annually at over 40% over the next five years, it is valued more like 29x earnings. The high growth in earnings puts the PEG ratio at 1.3. We also like that is continuing to grow cash reserves. We would buy this with a stop loss at $800, looking to achieve $1386 -- upside over 45%. Yield 0% (Analysts’ price target is $1386.00)
Consumer Products
HOLD
Boston Beer
Allan Tong’s Discover Picks SAM stock has also run up a lot this year so far, soaring 31% YTD by mid-April, but since plunging to to 6% YTD last week. Based on this metric, I would rule out SAM, but just last week, the company announced a Canadian pilot program to eventually launch non-alcoholic cannabis drinks. Details are few, but this program is one to watch. Despite its manic run, Boston Beer still outperforms Constellation YTD at 12% to 7%, and the stocks are starting to diverge again. Wall Street likes (but doesn’t love) SAM by awarding it six buys but also five holds and projects 26% upside to $1,396.30. Read 2 Top American Beer Stocks for our full analysis.
Consumer Products
BUY
Boston Beer
They report Thursday. The shorts, as they always do, will lean against SAM, because of their competition. SAM should do just fine, he thinks.
Consumer Products
WEAK BUY
Boston Beer
They report Wednesday. They sell a red-hot hard seltzer. If another competitor comes out with their own seltzer, it may be too much for SAM to handle, but they have enough momentum against their peers. He expects them to report another good quarter, though the field is getting crowded.
Consumer Products
PARTIAL SELL
Boston Beer
It has thrived during Covid, even with most bars closed. Their hard seltzer product has excelled. SAM just reported a great quarter ($6.51 EPS vs. estimated $4.50) so the stock spiked 19% today. Take profits.
Consumer Products
BUY ON WEAKNESS
Boston Beer

She likes the beverage sector. We maybe missed this opportunity. It has gone down so much, but it is still 25 times earnings. She likes it cheaper. Buy at $100 a share. It is too rich to be taken out.

Consumer Products
TOP PICK
Boston Beer
Has been a lot of consolidation of beer companies globally and beer is starting to taste the same. They have a good quality product. Own about 20%-25% of the craft beer market. They win a lot of awards. Strong fundamentals.
Consumer Products
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Boston Beer(SAM-N) Rating

Ranking : 1 out of 5

Bullish - Buy Signals / Votes : 0

Neutral - Hold Signals / Votes : 0

Bearish - Sell Signals / Votes : 0

Total Signals / Votes : 0

Stockchase rating for Boston Beer is calculated according to the stock experts' signals. A high score means experts mostly recommend to buy the stock while a low score means experts mostly recommend to sell the stock.

Boston Beer(SAM-N) Frequently Asked Questions

What is Boston Beer stock symbol?

Boston Beer is a American stock, trading under the symbol SAM-N on the New York Stock Exchange (SAM). It is usually referred to as NYSE:SAM or SAM-N

Is Boston Beer a buy or a sell?

In the last year, there was no coverage of Boston Beer published on Stockchase.

Is Boston Beer a good investment or a top pick?

Boston Beer was recommended as a Top Pick by on . Read the latest stock experts ratings for Boston Beer.

Why is Boston Beer stock dropping?

Earnings reports or recent company news can cause the stock price to drop. Read stock experts’ recommendations for help on deciding if you should buy, sell or hold the stock.

Is Boston Beer worth watching?

0 stock analysts on Stockchase covered Boston Beer In the last year. It is a trending stock that is worth watching.

What is Boston Beer stock price?

On 2024-11-22, Boston Beer (SAM-N) stock closed at a price of $312.8.