Boston Beer Company: These 2 Beverages Have Diminished Their 2025 Outlook, Says Previously Bullish Analyst

Boston Beer Company Inc's SAM sales growth in 2025 and 2026 is likely to be slower than was earlier expected, according to Piper Sandler.

The Boston Beer Company Analyst: Analyst Michael Lavery downgraded the rating for Boston Beer Company from Overweight to Neutral, while cutting the price target from $370 to $275.

The Boston Beer Company Thesis: While Hard Mountain Dew has not ramped up as fast as anticipated, while Twisted Tea's sales growth has slowed meaningfully, Lavery said in the downgrade note.  

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"We had expected Hard Mtn Dew to drive incremental upside as it launched nationally, and it continues to ramp up in SAM's distribution network, but success will likely take more time to build than we had expected," the analyst wrote.

Twisted Tea’s sales growth has decelerated from 12.0% in the 12 weeks in Summar to 5.8% in the most recent 12 weeks, he added.

"Sun Cruiser continues to hold promise for 2025, and we consider it an attractive way to drive premiumization in hard tea," Lavery stated.

He lowered the earnings estimates for 2025 from $12.00 per share to $11.35 per share and from $14.80 per share to $13.75 per share, respectively.

SAM Price Action: Shares of Boston Beer Company had declined by2.27% to $244.50 at the time of publication on Thursday.

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