NYSE:SAM

Stock Analysis Report

Executive Summary

The Boston Beer Company, Inc. produces and sells alcohol beverages primarily in the United States.

Snowflake

Fundamentals

Solid track record with reasonable growth potential.


Similar Companies

Share Price & News

How has Boston Beer Company's share price performed over time and what events caused price changes?


Latest Share Price and Events


Market Performance


7 Day Return

-8.3%

NYSE:SAM

-0.6%

US Beverage

-0.02%

US Market


1 Year Return

22.7%

NYSE:SAM

13.8%

US Beverage

1.6%

US Market

SAM outperformed the Beverage industry which returned 13.7% over the past year.

SAM outperformed the Market in United States of America which returned 1.9% over the past year.


Share holder returns

SAMIndustryMarket
7 Day-8.3%-0.6%-0.02%
30 Day-15.3%1.1%2.7%
90 Day4.5%2.4%1.4%
1 Year22.7%22.7%16.8%13.8%3.8%1.6%
3 Year137.0%137.0%33.7%23.3%45.2%35.8%
5 Year61.4%61.4%57.6%37.6%61.8%44.1%

Price Volatility Vs. Market

How volatile is Boston Beer Company's share price compared to the market and industry in the last 5 years?


Simply Wall St News

Valuation

Is Boston Beer Company undervalued based on future cash flows and its price relative to the stock market?

37.47x

Price to Earnings (PE) ratio


Intrinsic Value Based on Future Cash Flows

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

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


Price Based on Earnings

Boston Beer Company is overvalued based on earnings compared to the US Beverage industry average.

Boston Beer Company is overvalued based on earnings compared to the United States of America market.


Price Based on Expected Growth

Boston Beer Company is poor value based on expected growth next year.


Price Based on Value of Assets

Boston Beer Company is overvalued based on assets compared to the US Beverage industry average.


Next Steps

Future Growth

How is Boston Beer Company expected to perform in the next 1 to 3 years based on estimates from 10 analysts?

18.0%

Forecasted annual earnings growth


Earnings and Revenue Growth Estimates


Future Annual Growth Analysis

Boston Beer Company's revenue is expected to grow by 9.4% yearly, however this is not considered high growth (20% yearly).

Boston Beer Company's earnings are expected to grow by 18% yearly, however this is not considered high growth (20% yearly).

Boston Beer Company's revenue growth is expected to exceed the United States of America market average.

Boston Beer Company's earnings growth is expected to exceed the United States of America market average.

Boston Beer Company's earnings growth is expected to exceed the low risk savings rate of 2.7%.


Earnings per Share Growth Estimates


Future Return on Equity

Boston Beer Company is expected to efficiently use shareholders’ funds in the future (Return on Equity greater than 20%).


Next Steps

Past Performance

How has Boston Beer Company performed over the past 5 years?

2.9%

Historical annual earnings growth


Earnings and Revenue History


Past Earnings Growth Analysis

Boston Beer Company's year on year earnings growth rate has been positive over the past 5 years.

Boston Beer Company's 1-year earnings growth exceeds its 5-year average (14.3% vs 2.9%)

Boston Beer Company's earnings growth has exceeded the US Beverage industry average in the past year (14.3% vs -0.5%).


Return on Equity

Boston Beer Company has efficiently used shareholders’ funds last year (Return on Equity greater than 20%).


Return on Assets

Boston Beer Company used its assets more efficiently than the US Beverage industry average last year based on Return on Assets.


Return on Capital Employed

Boston Beer Company's use of capital deteriorated last year versus 3 years ago (Return on Capital Employed).


Next Steps

Financial Health

How is Boston Beer Company's financial position?


Financial Position Analysis

Boston Beer Company's short term (1 year) commitments are greater than its holdings of cash and other short term assets.

Boston Beer Company's cash and other short term assets cover its long term commitments.


Debt to Equity History and Analysis

Boston Beer Company's level of debt (7.2%) compared to net worth is satisfactory (less than 40%).

The level of debt compared to net worth has increased over the past 5 years (0.2% vs 7.2% today).

Debt is well covered by operating cash flow (440.6%, greater than 20% of total debt).

Boston Beer Company earns more interest than it pays, coverage of interest payments is not a concern.


Balance Sheet

High level of physical assets or inventory.

Debt is covered by short term assets, assets are 4.8x debt.


Next Steps

Dividend

What is Boston Beer Company's current dividend yield, its reliability and sustainability?


Dividend Yield and Payments Analysis

Unable to evaluate Boston Beer Company's dividend yield against the bottom 25% of dividend payers as the company has not reported any payouts.

Unable to evaluate Boston Beer Company's dividend against the top 25% market benchmark as the company has not reported any payouts.

Unable to perform a dividend volatility check as Boston Beer Company has not reported any payouts.

Unable to verify if Boston Beer Company's dividend has been increasing as the company has not reported any payouts.


Current Payout to Shareholders

Unable to calculate sustainability of dividends as Boston Beer Company has not reported any payouts.


Future Payout to Shareholders

No need to calculate the sustainability of Boston Beer Company'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 Boston Beer Company's salary, the management and board of directors tenure and is there insider trading?

3.6yrs

Average management tenure


CEO

Dave Burwick (57yo)

1.4yrs

Tenure

US$20,037,668

Compensation

Mr. David A. Burwick, also known as Dave, has been the President and Chief Executive Officer at The Boston Beer Company, Inc. since April 2018.. Mr. Burwick was Chief Executive Officer and President of Pee ...


CEO Compensation Analysis

Dave's remuneration is higher than average for companies of similar size in United States of America.

Dave's compensation has increased by more than 20% in the past year whilst earnings grew less than 20%.


Management Age and Tenure

3.6yrs

Average Tenure

56yo

Average Age

The tenure for the Boston Beer Company management team is about average.


Board Age and Tenure

4.8yrs

Average Tenure

58yo

Average Age

The tenure for the Boston Beer Company board of directors is about average.


Insider Trading

No 3 month open market individual insider trading information.


Recent Insider Transactions

SellUS$157,93725 Feb 19
Frank Smalla
EntityIndividual
Role
Chief Financial Officer
CFO & Treasurer
Shares519
Max PriceUS$307.69
SellUS$241,09626 Nov 18
David Grinnell
EntityIndividual
Shares784
Max PriceUS$307.52
SellUS$209,16030 Oct 18
Quincy Troupe
EntityIndividual
Role
Senior Key Executive
Senior Vice President of Supply Chain
Shares700
Max PriceUS$298.80

Ownership Breakdown


Management Team

  • Jim Koch (69yo)

    Founder & Chairman

    • Tenure: 0yrs
    • Compensation: US$1.51m
  • Dave Burwick (57yo)

    President

    • Tenure: 1.4yrs
    • Compensation: US$20.04m
  • Matt Murphy (50yo)

    Chief Accounting Officer

    • Tenure: 4.1yrs
  • Sam Calagione

    Founder & Brewer of Dogfish Head

    • Tenure: 0yrs
  • John Geist (59yo)

    Chief Sales Officer

    • Tenure: 3.7yrs
    • Compensation: US$1.66m
  • Lesya Lysyj (56yo)

    Chief Marketing Officer

    • Tenure: 0.4yrs
  • Frank Smalla (53yo)

    CFO & Treasurer

    • Tenure: 3.6yrs
    • Compensation: US$1.71m
  • Quincy Troupe (53yo)

    Senior Vice President of Supply Chain

    • Tenure: 3.7yrs
    • Compensation: US$1.15m
  • Tara Heath (44yo)

    VP of Legal & Deputy General Counsel

    • Tenure: 3.2yrs
  • Cheryl Fisher (60yo)

    Vice President of Human Resources

    • Tenure: 2.9yrs

Board Members

  • Jim Koch (69yo)

    Founder & Chairman

    • Tenure: 0yrs
    • Compensation: US$1.51m
  • Cynthia Fisher (58yo)

    Non-Executive Director

    • Tenure: 7.7yrs
    • Compensation: US$144.93k
  • David Fialkow (60yo)

    Director

    • Tenure: 3.3yrs
    • Compensation: US$156.93k
  • Jean-Michel Valette (58yo)

    Lead Director

    • Tenure: 6.3yrs
    • Compensation: US$175.93k
  • Dave Burwick (57yo)

    President

    • Tenure: 1.4yrs
    • Compensation: US$20.04m
  • Michael Spillane (59yo)

    Director

    • Tenure: 3.3yrs
    • Compensation: US$156.93k
  • Meghan Joyce (34yo)

    Director

    • Tenure: 0.5yrs

Company Information

The Boston Beer Company, Inc.'s company bio, employee growth, exchange listings and data sources


Key Information

  • Name: The Boston Beer Company, Inc.
  • Ticker: SAM
  • Exchange: NYSE
  • Founded: 1984
  • Industry: Brewers
  • Sector: Food, Beverage & Tobacco
  • Market Cap: US$4.289b
  • Shares outstanding: 11.98m
  • Website: https://www.bostonbeer.com

Number of Employees


Location

  • The Boston Beer Company, Inc.
  • One Design Center Place
  • Suite 850
  • Boston
  • Massachusetts
  • 2210
  • United States

Listings

TickerExchangePrimary SecuritySecurity TypeCountryCurrencyListed on
SAMNYSE (New York Stock Exchange)YesClass A Common StockUSUSDNov 1995
BBEADB (Deutsche Boerse AG)YesClass A Common StockDEEURNov 1995

Biography

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, and hard s ...


Company Analysis and Financial Data Status

All financial data provided by Standard & Poor's Capital IQ.
DataLast Updated (UTC time)
Company Analysis2019/09/18 23:32
End of Day Share Price2019/09/18 00:00
Earnings2019/06/29
Annual Earnings2018/12/29


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.