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Investing.com - Bernstein SocGen Group has reiterated its Market Perform rating and $230.00 price target on Boston Beer Company (NYSE:SAM), despite the stock being the worst performer year-to-date in the firm’s beverage coverage with a 33% decline. According to InvestingPro data, the stock is currently trading at $208.61, significantly below its Fair Value, with analyst targets ranging from $187 to $326.
The firm identified three positive developments in Boston Beer’s latest earnings report that could be well received by the market: Sun Cruiser performance, gross margins, and tariff impact assessments.
Bernstein SocGen noted that significant challenges remain for the company, specifically pointing to weakness in the U.S. beer market and declining sales of its Twisted Tea product line.
Following the earnings results and scanner data analysis, the firm updated its financial model for Boston Beer, resulting in a 1.1% reduction in fiscal year 2025 earnings per share estimates and a 0.9% reduction for fiscal year 2026.
The Market Perform rating reflects Bernstein SocGen’s neutral stance on Boston Beer’s stock, maintaining the $230 price target despite the company’s recent underperformance in the beverage sector.
In other recent news, Boston Beer Company announced its second-quarter 2025 earnings, reporting an earnings per share (EPS) of $5.45. This figure exceeded analyst expectations, which had projected an EPS of $3.92. Despite this earnings beat, the company experienced a slight revenue shortfall. The market reaction was mixed, as evidenced by the after-hours trading activity, although specific stock price movements are not detailed here. Analysts have not provided additional updates regarding any upgrades or downgrades for Boston Beer following these earnings results. Investors may find the earnings performance noteworthy, given the disparity between EPS and revenue outcomes. These developments reflect the company’s current financial standing and market response.
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