The Boston Beer Company Inc. (NYSE:SAM) shares traded lower over the last trading session, losing -6.83% on 05/27/21. The shares fell to a low of $1,030.45 before closing at $1030.45. Intraday shares traded counted 0.83 million, which was -525.36% lower than its 30-day average trading volume of 132.41K. SAM’s previous close was $1105.94 while the outstanding shares total 12.27M. The firm has a beta of 0.80, a 12-month trailing P/E ratio of 55.44, and a growth ratio of 1.48. The stock’s Relative Strength Index (RSI) is 37.58, with weekly volatility at 4.53% and ATR at 50.44. The SAM stock’s 52-week price range has touched low of $498.29 and a $1349.98 high.
Investors have identified the Beverages – Brewers company The Boston Beer Company Inc. as an interesting stock but before investments are made there, an in-depth look at its trading activities will have to be conducted. The share is trading with a market value of around $12.70 billion, the company now has both obstacles and catalysts that affect them and they came from their mode of operations. With the company affected by events currently, it is a perfect time to analyze the numbers behind the firm in order to come up with a rather realistic picture of what this stock is.
The Boston Beer Company Inc. (SAM) Fundamentals that are to be considered.
When analyzing a stock, the first fundamental thing to take into account is the balance sheet. How healthy the balance sheet of a company is will determine if the company will be able to carry out all its financial and non-financial obligations and also keep the faith of its investors. In terms of their assets, the company currently has 450.55 million total, with 271.63 million as their total liabilities.
SAM were able to record -19.47 million as free cash flow during the 07/29/2021 quarter of the year, this saw their quarterly net cash flow reduce by -18.62 million. In cash movements, the company had a total of 19.81 million as operating cash flow.
Potential earnings growth for The Boston Beer Company Inc. (SAM)
In order to determine the future investment potential for this stock, we will have to analyze key trends that affect it. During the 07/29/2021 quarter of the year, The Boston Beer Company Inc. recorded a total of 545.08 million in revenue. This figure implies that they witnessed a quarterly year/year change in their earnings with 39.35% coming in sequential stages and their sales for the 07/29/2021 quarter increasing by 15.44%.
What matters though is how it ends. When the core data for the company is broken down, then the stock sounds interesting. The company spent 295.45 million trying to sell their products during the last quarter, with the result yielding a gross income of 249.63 million. This allows shareholders to hold on to 12.27M with the recently reported earning now reading 5.34 cents per share. This is a figure that compared to analyst’s prediction for their 07/29/2021 (4.58 cents a share).
Having a look at the company’s valuation, the company is expected to record 30.14 total earnings per share during the next fiscal year. It is very important though to remember that the importance of trend far outweighs that of outlook. This analysis has been great and getting further updates on SAM sounds very interesting.
Is the stock of SAM attractive?
In related news, Chairman, KOCH C JAMES sold 2,500 shares of the company’s stock in a transaction that recorded on May 27. The sale was performed at an average price of 1086.40, for a total value of 2,716,004. As the sale deal closes, the Chairman, KOCH C JAMES now sold 2,500 shares of the company’s stock, valued at 2,755,009. Also, Chairman, KOCH C JAMES sold 2,500 shares of the company’s stock in a deal that was recorded on May 25. The shares were price at an average price of 1089.01 per share, with a total market value of 2,722,531. Following this completion of acquisition, the Chairman, KOCH C JAMES now holds 2,500 shares of the company’s stock, valued at 2,636,549. In the last 6 months, insiders have changed their ownership in shares of company stock by 2.50%.
6 out of 17 analysts covering the stock have rated it a Buy, while 8 have maintained a Hold recommendation on The Boston Beer Company Inc.. 1 analysts has assigned a Sell rating on the SAM stock. The 12-month mean consensus price target for the company’s shares has been set at $1407.14.