NasdaqGS:BREW

Stock Analysis Report

Executive Summary

Craft Brew Alliance, Inc. brews and sells craft beers and ciders in the United States and internationally.

Snowflake

Fundamentals

Moderate growth potential with imperfect balance sheet.

Risks

  • Craft Brew Alliance has significant price volatility in the past 3 months.

Similar Companies

Share Price & News

How has Craft Brew Alliance's share price performed over time and what events caused price changes?


Latest Share Price and Events


Market Performance


7 Day Return

-8.0%

NasdaqGS:BREW

2.8%

US Beverage

0.9%

US Market


1 Year Return

-31.5%

NasdaqGS:BREW

11.2%

US Beverage

0.3%

US Market

BREW underperformed the Beverage industry which returned 10.5% over the past year.

BREW underperformed the Market in United States of America which returned -0.5% over the past year.


Share holder returns

BREWIndustryMarket
7 Day-8.0%2.8%0.9%
30 Day-17.8%2.7%-1.9%
90 Day-16.3%4.6%1.6%
1 Year-31.5%-31.5%14.2%11.2%2.6%0.3%
3 Year-11.1%-11.1%29.1%19.1%41.0%31.8%
5 Year-2.2%-2.2%57.4%37.4%55.2%38.0%

Price Volatility Vs. Market

How volatile is Craft Brew Alliance's share price compared to the market and industry in the last 5 years?


Simply Wall St News

Valuation

Is Craft Brew Alliance undervalued based on future cash flows and its price relative to the stock market?

1.89x

Price to Book (PB) ratio


Intrinsic Value Based on Future Cash Flows

Craft Brew Alliance's share price is above the future cash flow value, it's not available at a moderate discount (< 20%).

Craft Brew Alliance's share price is above the future cash flow value, it's not available at a substantial discount (< 40%).


Price Based on Earnings

Craft Brew Alliance is loss making, we can't compare its value to the US Beverage industry average.

Craft Brew Alliance is loss making, we can't compare the value of its earnings to the United States of America market.


Price Based on Expected Growth

Unable to calculate PEG ratio for Craft Brew Alliance, we can't assess if its growth is good value.


Price Based on Value of Assets

Craft Brew Alliance is good value based on assets compared to the US Beverage industry average.


Next Steps

Future Growth

How is Craft Brew Alliance expected to perform in the next 1 to 3 years based on estimates from 3 analysts?

103.5%

Forecasted annual earnings growth


Earnings and Revenue Growth Estimates


Future Annual Growth Analysis

Craft Brew Alliance's revenue is expected to grow by 7% yearly, however this is not considered high growth (20% yearly).

Craft Brew Alliance's earnings are expected to grow significantly at over 20% yearly.

Craft Brew Alliance's revenue growth is positive but not above the United States of America market average.

Craft Brew Alliance's earnings growth is expected to exceed the United States of America market average.

Craft Brew Alliance's earnings growth is expected to exceed the low risk savings rate of 2.7%.


Earnings per Share Growth Estimates


Future Return on Equity

Unable to establish if Craft Brew Alliance will efficiently use shareholders’ funds in the future without estimates of Return on Equity.


Next Steps

Past Performance

How has Craft Brew Alliance performed over the past 5 years?

11.0%

Historical annual earnings growth


Earnings and Revenue History


Past Earnings Growth Analysis

Craft Brew Alliance does not make a profit even though their year on year earnings growth rate was positive over the past 5 years.

Unable to compare Craft Brew Alliance's 1-year earnings growth to the 5-year average as it is not currently profitable.

Unable to compare Craft Brew Alliance's 1-year growth to the US Beverage industry average as it is not currently profitable.


Return on Equity

It is difficult to establish if Craft Brew Alliance has efficiently used shareholders’ funds last year (Return on Equity greater than 20%) as it is loss-making.


Return on Assets

It is difficult to establish if Craft Brew Alliance has efficiently used its assets last year compared to the US Beverage industry average (Return on Assets) as it is loss-making.


Return on Capital Employed

It is difficult to establish if Craft Brew Alliance improved its use of capital last year versus 3 years ago (Return on Capital Employed) as it is currently loss-making.


Next Steps

Financial Health

How is Craft Brew Alliance's financial position?


Financial Position Analysis

Craft Brew Alliance is able to meet its short term (1 year) commitments with its holdings of cash and other short term assets.

Craft Brew Alliance's long term commitments exceed its cash and other short term assets.


Debt to Equity History and Analysis

Craft Brew Alliance's level of debt (39.3%) compared to net worth is satisfactory (less than 40%).

The level of debt compared to net worth has increased over the past 5 years (11.1% vs 39.3% today).

Debt is not well covered by operating cash flow (17.1%, less than 20% of total debt).

Unable to confirm if the interest payments on Craft Brew Alliance's debt are well covered by earnings due to lack of past financial data.


Balance Sheet

High level of physical assets or inventory.

Debt is covered by short term assets, assets are 1.1x debt.


Next Steps

Dividend

What is Craft Brew Alliance's current dividend yield, its reliability and sustainability?


Dividend Yield and Payments Analysis

Unable to evaluate Craft Brew Alliance's dividend yield against the bottom 25% of dividend payers as the company has not reported any payouts.

Unable to evaluate Craft Brew Alliance's dividend against the top 25% market benchmark as the company has not reported any payouts.

Unable to perform a dividend volatility check as Craft Brew Alliance has not reported any payouts.

Unable to verify if Craft Brew Alliance's dividend has been increasing as the company has not reported any payouts.


Current Payout to Shareholders

Unable to calculate sustainability of dividends as Craft Brew Alliance has not reported any payouts.


Future Payout to Shareholders

No need to calculate the sustainability of Craft Brew Alliance's dividends in 3 years as they are not expected to pay a notable one for United States of America.


Next Steps

Management

What is the CEO of Craft Brew Alliance's salary, the management and board of directors tenure and is there insider trading?

3.5yrs

Average management tenure


CEO

Andy Thomas (51yo)

5.6yrs

Tenure

US$1,249,277

Compensation

Mr. Andrew J. Thomas, also known as Andy, has been the Chief Executive Officer at Craft Brewers Alliance, Inc. since January 1, 2014 and served as its President of Commercial Operations since June 1, 2011. ...


CEO Compensation Analysis

Andy's remuneration is about average for companies of similar size in United States of America.

Andy's compensation has increased whilst company is loss making.


Management Age and Tenure

3.5yrs

Average Tenure

51yo

Average Age

The tenure for the Craft Brew Alliance management team is about average.


Board Age and Tenure

3.5yrs

Average Tenure

61.5yo

Average Age

The tenure for the Craft Brew Alliance board of directors is about average.


Insider Trading

No 3 month open market individual insider trading information.


Recent Insider Transactions

SellUS$39,88122 Mar 19
Nickolas Mills
EntityIndividual
Role
Member of the Board of Directors
Director
Shares2,610
Max PriceUS$15.28
BuyUS$8,73312 Dec 18
Edwin Smith
EntityIndividual
Role
Chief Accounting Officer
Corporate Controller & Principal Accounting Officer
Shares558
Max PriceUS$15.65

Ownership Breakdown


Management Team

  • Kurt Widmer (67yo)

    • Tenure: 0.0yrs
    • Compensation: US$305.00k
  • Andy Thomas (51yo)

    Chief Executive Officer

    • Tenure: 5.6yrs
    • Compensation: US$1.25m
  • Ken Kunze (60yo)

    Chief Marketing Officer & Vice President

    • Tenure: 5.8yrs
    • Compensation: US$555.33k
  • Rob Widmer

    • Tenure: 0.0yrs
  • Christine Perich (50yo)

    Chief Financial & Strategy Officer

    • Tenure: 0.3yrs
  • Jenny McLean

    Director of Communications

    • Tenure: 0.0yrs
  • Derek Hahm (49yo)

    Vice President of Sales & Brewpubs

    • Tenure: 2.8yrs
    • Compensation: US$541.85k
  • J. Mennen (54yo)

    COO & VP

    • Tenure: 4.3yrs
    • Compensation: US$557.67k
  • Edwin Smith (43yo)

    Corporate Controller & Principal Accounting Officer

    • Tenure: 2.4yrs
    • Compensation: US$209.52k
  • Shannon Grosse

    Senior Director of Financial Planning & Analysis

    • Tenure: 0.0yrs

Board Members

  • Paul Davis (62yo)

    Independent Director

    • Tenure: 3.4yrs
    • Compensation: US$104.01k
  • Tim Boyle (69yo)

    Independent Director

    • Tenure: 11.1yrs
    • Compensation: US$105.01k
  • Dave Lord (70yo)

    Chairman of the Board

    • Tenure: 3.6yrs
    • Compensation: US$147.01k
  • Kevin Kelly (69yo)

    Independent Director

    • Tenure: 11.1yrs
    • Compensation: US$112.01k
  • Marc Cramer (61yo)

    Independent Director

    • Tenure: 8.7yrs
    • Compensation: US$110.01k
  • Nick Mills (42yo)

    Director

    • Tenure: 2.6yrs
    • Compensation: US$92.01k
  • Jacqueline Woodward (57yo)

    Director

    • Tenure: 2.3yrs
    • Compensation: US$97.01k
  • Matthew Gilbertson (43yo)

    Director

    • Tenure: 0.5yrs

Company Information

Craft Brew Alliance, Inc.'s company bio, employee growth, exchange listings and data sources


Key Information

  • Name: Craft Brew Alliance, Inc.
  • Ticker: BREW
  • Exchange: NasdaqGS
  • Founded: 1981
  • Industry: Brewers
  • Sector: Food, Beverage & Tobacco
  • Market Cap: US$250.128m
  • Shares outstanding: 19.47m
  • Website: https://www.craftbrew.com

Number of Employees


Location

  • Craft Brew Alliance, Inc.
  • 929 North Russell Street
  • Portland
  • Oregon
  • 97227
  • United States

Listings

TickerExchangePrimary SecuritySecurity TypeCountryCurrencyListed on
BREWNasdaqGS (Nasdaq Global Select)YesCommon StockUSUSDAug 1995
RHBDB (Deutsche Boerse AG)YesCommon StockDEEURAug 1995

Biography

Craft Brew Alliance, Inc. brews and sells craft beers and ciders in the United States and internationally. It operates through two segments, Beer Related Operations and Brewpubs Operations. It offers beers ...


Company Analysis and Financial Data Status

All financial data provided by Standard & Poor's Capital IQ.
DataLast Updated (UTC time)
Company Analysis2019/08/20 00:06
End of Day Share Price2019/08/19 00:00
Earnings2019/06/30
Annual Earnings2018/12/31


Unless specified all financial data is based on a yearly period but updated quarterly. This is known as Trailing Twelve Month (TTM) or Last Twelve Month (LTM) Data. Learn more here.