Last Updated: 14 Nov 2024
Executive Summary
Boston Beer Company Inc. (SAM) is a leading producer of alcoholic beverages in the United States. The company has a strong portfolio of brands, including Samuel Adams, Truly Hard Seltzer, and Twisted Tea. SAM has been facing headwinds in recent quarters due to rising costs and competition, but the company remains well-positioned for long-term growth. The stock is currently trading at a discount to its intrinsic value and offers investors a compelling opportunity.
Company Overview
SAM was founded in 1984 and is headquartered in Boston, Massachusetts. The company produces a wide range of alcoholic beverages, including beer, hard seltzer, and cider. SAM's products are sold in all 50 states and in over 100 countries. The company has a strong distribution network and a loyal customer base.
Fundamental Analysis
SAM's financial performance has been mixed in recent quarters. The company's revenue has been growing, but its profits have been declining. This is due in part to rising costs and competition. However, SAM remains a profitable company with a strong balance sheet. The company has a low level of debt and a healthy cash flow.
SAM's key financial metrics are as follows:
Revenue: $2.00 billion (TTM)
Gross profit: $0.86 billion (TTM)
Net income: $0.25 billion (TTM)
EPS: $6.80 (TTM)
P/E ratio: 46.67
PEG ratio: 0.835
Book value: $89.17
Dividend yield: None
Technical Analysis
SAM's stock price has been trading in a range between $254.4 and $371.65 over the past 52 weeks. The stock is currently trading at $323.56. The stock's 50-day moving average is $285.82 and its 200-day moving average is $293.2.
The stock's technical indicators are mixed. The RSI is above 50, indicating that the stock is overbought. However, the MACD is below zero, indicating that the stock is in a downtrend.
Short Term Outlook
SAM's stock price is likely to remain range-bound in the short term. The company is facing headwinds from rising costs and competition. However, the company's strong brands and loyal customer base should help to support the stock price.
Long Term Outlook
SAM is a well-positioned company with a strong portfolio of brands and a loyal customer base. The company is expected to continue to grow its revenue and profits in the long term. The stock is currently trading at a discount to its intrinsic value and offers investors a compelling opportunity.
Analyst Recommendations
The consensus analyst rating for SAM is "Hold". The average analyst target price is $303.69. Of the 15 analysts covering the stock, 1 has a "Strong Buy" rating, 3 have a "Buy" rating, 8 have a "Hold" rating, 3 have a "Sell" rating, and 0 have a "Strong Sell" rating.
