Couple of things to ponder....company stock buy back has came to a halt......shorts still hold roughly 26% of float....could be company sees scenario developing with heavy shorts & a much better than expected product depletions in upcoming earnings report that will wash out the heavy short & allow stock to rebound. Big brewers think they will be able to bully beer drinkers into their way of thinking.....won't happen....there are sacred loyalties to products & why they exist....this one is the one that endures. Koch has some pride & believes in his vision.....appreciate this is a true craft! Eliminate the unfair trade practice of distributors controlling shelf space & things look much different.
Rick: I believe you're a tad on the low side...........many months befer I said the $150 mark would go down and right now with all the competition I suspect we could se $120 by Labor Day......stayin' on the sidelines.
SAM should be trading max $90, company is shrinking, using S&P mutilple on $5 earnings gets $90 and should be a discount, only reason stock is here is because they are buying it back themselves
Yahoo Finance Insights
SAM reached a new 52 Week Low at 133.60
Why was Mr. Roper's salary in 2016 $23,392,000? Why did the Board of Directors grant Mr. Roper 575,507 options in 2016? Why is Mr. Roper leaving the company? Why do ALL of the Directors and Executives of SAM sell all of their stock? Why are Directors making $145,000 each for attending 4 board meetings a year? Why has SAM spent all their cash on buying back stock in the open market? Why are sales down 14% year over year? Why do people buy SAM at $143/ share?
sAm be en 🚀drink summer ale righty mate
What is going on here?
Berkshire should buy it in a cash deal!
Where is BBdott
1.7B Market cap? This will be taken over by big guys soon or later. I am buyer here.
In case anyone missed Cramers comments 2 days ago. Short open interest was 24%. The squeeze may be on! You can't beat quality and consistency. That's what this product is. They re innovators in what they do, and they will long be around when many of these as runs get ran out of business or quit when it's not fun anymore.
SAM reported very poor 1st Qtr results and the market reacts with a higher stock price? Does ANYBODY who owns this stock take the time to read the Press Releases? Revenues were DOWN 14% Year over Year. 14%. AP actually let its Robot press release set a headline that said SAM actually beat its 1st Qtr. Estimate! What an outright lie. I'm shocked that AP is not worried that somebody will sue them for false reporting. Had it not been for a 1 time accounting adjustment of $.28 per share, SAM had 1st Qtr earnings of $.17, well below the street estimate of $.26 per share. This brewery is in big trouble and the market does not see it. It's truly fascinating. Depletions were down 14% from same time last year. My only assumption is that the Board of Directors is in the market this morning spending more of their money buying back stock like crazy. THey bought back 283,000 shares for $43.3 million the 1st Qtr. paying an average of $153 per share. How do they justify spending all their cash on a sinking stock? Just so their CEO and owner can go in each day and sell 7500 shares for a better stock price. Two key people have already jumped off the ship - Martin Roper, their CEO is leaving, and a Board member recently announced he is stepping down.
Sam Adams got a huge problem in marketing its products. It is simply too expensive and price has to fall further as a legitimate punishment.
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I wish Constellation Brands (STZ) would buy SAM at the low-low-low price.
Boston Beer Co Inc NYSE $SAM Correlation Histogram
X axis : Stocks Price Correlation Coefficient Y axis : Quantity of stocks Sep-2016 1,000 Day Parameter 4,338 NYSE Stocks Price Analysis This stock mode of correlation coefficient is 0.2 In other words, the correlation coefficient of the other stocks
Beer bubble burst... Jim Cramer pumped beers stock to have PE of 40..
SIX things will move SAM lower. 1. Declining revenues across the board. 2. Lower margins due to their big new ad campaign. 3. Trading at 30x 2017 earnings despite declining revenues and earnings. Shouldn't that be 10x? 4. The CEO just quit. 5. The founder and Chairman just announced a huge stock sale plan despite the stock being cut in half. 6. Craft beer industry is saturated and more are coming every day. Either need to be huge like Bud, Miller and Coors or be local.
2 things will move $SAM higher. 1. instituting some sort of dividend. This will drive shorts out of the name and value investors in. 2. brewing a hefeweizen or similar wheat beer. The sweetness is what everybody likes. Tampering with/creating a million different IPAs s not appealing to beer consumers.
Should SM purchase ROX to get into the growing spirits market? The knock on SAM is that craft beer is becoming very competitive, and that a move in a new vertical is needed. ROX (Castle Brands) just signed a deal with Walmart for product and they have a nice, though under-marketed spirit lineup. SGA savings and SAM distribution could triple revenues at ROX in 36-60 months. It feels like a low risk, potential high return move.