Why Boston Beer Stock Is Trading Lower

Boston Beer Co SAM shares are trading lower Thursday after the company reported worse-than-expected Q4 EPS and issued soft guidance.

Boston Beer reported quarterly losses of $0.93 per share which missed the analyst consensus estimate of $0.70 per share. The company also reported quarterly sales of $447.52 million which beat the consensus estimate of $393.71 million.

"Revenue growth was strong in the fourth quarter; however, margins came in below our expectations largely due to our production mix and supply chain inefficiencies," said president and CEO Dave Burwick.

"Twisted Tea continues to experience industry-leading double-digit growth, while hard seltzer remains in decline. We have new initiatives in place to improve Truly share trends and adapt our cost structure to the current volume environment, which we believe will lead to long-term success."

For full-year 2023, Boston Beer anticipates EPS in a range of $6 to $10 versus analyst estimates of $11.02.

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SAM Price Action: Boston Beer has a 52-week high of $431.95 and a 52-week low of $287.

Boston Beer shares are down 14.1% at $337.29 at the time of publication, according to Benzinga Pro.

Photo: Jason Evans from Flickr.