Boston Beer (NYSE:SAM) Shares Gap Down Following Weak Earnings

The Boston Beer Company, Inc. (NYSE:SAM)’s stock price gapped down before the market opened on Friday after the company announced weaker than expected quarterly earnings. The stock had previously closed at $270.52, but opened at $262.00. Boston Beer shares last traded at $281.14, with a volume of 17,556 shares.

The company reported $4.39 earnings per share (EPS) for the quarter, missing the consensus estimate of $4.99 by ($0.60). Boston Beer had a net margin of 4.60% and a return on equity of 10.11%. The business had revenue of $579.10 million for the quarter, compared to analyst estimates of $597.33 million. During the same period in the prior year, the company earned $4.72 earnings per share. The company’s quarterly revenue was down 4.0% on a year-over-year basis.

Wall Street Analysts Forecast Growth

A number of brokerages have recently weighed in on SAM. StockNews.com lowered shares of Boston Beer from a “buy” rating to a “hold” rating in a report on Wednesday, June 12th. Jefferies Financial Group upgraded Boston Beer from a “hold” rating to a “buy” rating and raised their price objective for the stock from $335.00 to $360.00 in a research note on Tuesday, May 14th. Piper Sandler dropped their target price on Boston Beer from $344.00 to $325.00 and set an “overweight” rating on the stock in a research report on Friday. The Goldman Sachs Group reduced their price target on shares of Boston Beer from $257.00 to $250.00 and set a “sell” rating for the company in a research report on Tuesday, April 9th. Finally, Evercore ISI lifted their price objective on shares of Boston Beer from $310.00 to $325.00 and gave the company an “in-line” rating in a research note on Friday, April 26th. One research analyst has rated the stock with a sell rating, eleven have assigned a hold rating and three have assigned a buy rating to the company’s stock. Based on data from MarketBeat, the company presently has an average rating of “Hold” and an average target price of $333.93.

Institutional Investors Weigh In On Boston Beer

Hedge funds have recently modified their holdings of the company. LRI Investments LLC acquired a new position in Boston Beer in the 1st quarter worth about $28,000. Quarry LP acquired a new position in shares of Boston Beer during the 4th quarter worth approximately $42,000. ORG Partners LLC purchased a new position in shares of Boston Beer during the 2nd quarter valued at approximately $48,000. CWM LLC grew its stake in Boston Beer by 17.6% in the 4th quarter. CWM LLC now owns 227 shares of the company’s stock valued at $78,000 after acquiring an additional 34 shares during the period. Finally, Principal Securities Inc. purchased a new stake in Boston Beer in the 4th quarter worth $82,000. 81.13% of the stock is owned by hedge funds and other institutional investors.

Boston Beer Stock Up 1.0 %

The stock’s 50-day simple moving average is $286.51 and its two-hundred day simple moving average is $306.05. The company has a market capitalization of $3.27 billion, a price-to-earnings ratio of 35.27, a PEG ratio of 1.04 and a beta of 1.03.

Boston Beer Company Profile

The Boston Beer Company, Inc produces and sells alcohol beverages primarily in the United States. The company's flagship beer is Samuel Adams Boston Lager. It offers various beers, hard ciders, flavored malt beverages, and hard seltzers under the Samuel Adams, Twisted Tea, Truly, Angry Orchard, Dogfish Head, Angel City, and Coney Island brand names.