BOSTON BEER COMPANY INC-A (SAM) Stock Fundamental Analysis
NYSE:SAM - New York Stock Exchange, Inc. - US1005571070 - Common Stock - Currency: USD
Taking everything into account, SAM scores 5 out of 10 in our fundamental rating. SAM was compared to 32 industry peers in the Beverages industry. SAM is in great health and has no worries on liquidiy or solvency at all, but the profibility rating is only average. SAM is not valued too expensively and it also shows a decent growth rate.
1. Profitability
1.1 Basic Checks
In the past year SAM was profitable.
In the past year SAM had a positive cash flow from operations.
In the past 5 years SAM has always been profitable.
In the past 5 years SAM always reported a positive cash flow from operatings.
1.2 Ratios
With a Return On Assets value of 5.77%, SAM perfoms like the industry average, outperforming 59.38% of the companies in the same industry.
The Return On Equity of SAM (7.97%) is comparable to the rest of the industry.
Looking at the Return On Invested Capital, with a value of 11.71%, SAM is in the better half of the industry, outperforming 65.63% of the companies in the same industry.
Measured over the past 3 years, the Average Return On Invested Capital for SAM is below the industry average of 11.57%.
The 3 year average ROIC (8.12%) for SAM is below the current ROIC(11.71%), indicating increased profibility in the last year.
| Industry Rank | Sector Rank | ||
|---|---|---|---|
| ROA | 5.77% | ||
| ROE | 7.97% | ||
| ROIC | 11.71% |
ROA(3y)4.95%
ROA(5y)5.95%
ROE(3y)6.63%
ROE(5y)8.26%
ROIC(3y)8.12%
ROIC(5y)8.73%
1.3 Margins
SAM has a Profit Margin (3.50%) which is comparable to the rest of the industry.
In the last couple of years the Profit Margin of SAM has declined.
The Operating Margin of SAM (8.32%) is worse than 68.75% of its industry peers.
SAM's Operating Margin has declined in the last couple of years.
SAM's Gross Margin of 45.41% is in line compared to the rest of the industry. SAM outperforms 50.00% of its industry peers.
SAM's Gross Margin has declined in the last couple of years.
| Industry Rank | Sector Rank | ||
|---|---|---|---|
| OM | 8.32% | ||
| PM (TTM) | 3.5% | ||
| GM | 45.41% |
OM growth 3Y39.49%
OM growth 5Y-8.36%
PM growth 3Y61.25%
PM growth 5Y-19.42%
GM growth 3Y4.62%
GM growth 5Y-2.01%
2. Health
2.1 Basic Checks
With a Return on Invested Capital (ROIC) just above the Cost of Capital (WACC), SAM is creating some value.
SAM has less shares outstanding than it did 1 year ago.
Compared to 5 years ago, SAM has less shares outstanding
Compared to 1 year ago, SAM has a worse debt to assets ratio.
2.2 Solvency
An Altman-Z score of 6.36 indicates that SAM is not in any danger for bankruptcy at the moment.
The Altman-Z score of SAM (6.36) is better than 84.38% of its industry peers.
SAM has no outstanding debt. Therefor its Debt/Equity and Debt/FCF ratios are 0 and belong to the best of the industry.
| Industry Rank | Sector Rank | ||
|---|---|---|---|
| Debt/Equity | 0 | ||
| Debt/FCF | 0 | ||
| Altman-Z | 6.36 |
ROIC/WACC1.29
WACC9.06%
2.3 Liquidity
SAM has a Current Ratio of 1.72. This is a normal value and indicates that SAM is financially healthy and should not expect problems in meeting its short term obligations.
SAM has a Current ratio of 1.72. This is in the better half of the industry: SAM outperforms 62.50% of its industry peers.
A Quick Ratio of 1.12 indicates that SAM should not have too much problems paying its short term obligations.
SAM has a Quick ratio of 1.12. This is in the better half of the industry: SAM outperforms 68.75% of its industry peers.
| Industry Rank | Sector Rank | ||
|---|---|---|---|
| Current Ratio | 1.72 | ||
| Quick Ratio | 1.12 |
3. Growth
3.1 Past
SAM shows a strong growth in Earnings Per Share. In the last year, the EPS has been growing by 28.23%, which is quite impressive.
Measured over the past years, SAM shows a decrease in Earnings Per Share. The EPS has been decreasing by -0.56% on average per year.
The Revenue has been growing slightly by 0.79% in the past year.
The Revenue has been growing by 10.00% on average over the past years. This is quite good.
EPS 1Y (TTM)28.23%
EPS 3Y32.41%
EPS 5Y-0.56%
EPS Q2Q%107.69%
Revenue 1Y (TTM)0.79%
Revenue growth 3Y-0.73%
Revenue growth 5Y10%
Sales Q2Q%6.53%
3.2 Future
The Earnings Per Share is expected to grow by 14.72% on average over the next years. This is quite good.
SAM is expected to show a small growth in Revenue. In the coming years, the Revenue will grow by 3.56% yearly.
EPS Next Y3.13%
EPS Next 2Y10.91%
EPS Next 3Y13.59%
EPS Next 5Y14.72%
Revenue Next Year2.38%
Revenue Next 2Y2.49%
Revenue Next 3Y2.56%
Revenue Next 5Y3.56%
3.3 Evolution
The EPS growth rate is accelerating: in the next years the growth will be better than in the last years.
When comparing the Revenue growth rate of the last years to the growth rate of the upcoming years, we see that the growth is decreasing.
4. Valuation
4.1 Price/Earnings Ratio
With a Price/Earnings ratio of 19.08, SAM is valued on the expensive side.
The rest of the industry has a similar Price/Earnings ratio as SAM.
The average S&P500 Price/Earnings ratio is at 27.30. SAM is valued slightly cheaper when compared to this.
The Price/Forward Earnings ratio is 17.42, which indicates a rather expensive current valuation of SAM.
SAM's Price/Forward Earnings ratio is in line with the industry average.
SAM's Price/Forward Earnings ratio indicates a similar valuation than the S&P500 average which is at 21.76.
| Industry Rank | Sector Rank | ||
|---|---|---|---|
| PE | 19.08 | ||
| Fwd PE | 17.42 |
4.2 Price Multiples
Based on the Enterprise Value to EBITDA ratio, SAM is valued cheaply inside the industry as 84.38% of the companies are valued more expensively.
Based on the Price/Free Cash Flow ratio, SAM is valued cheaper than 84.38% of the companies in the same industry.
| Industry Rank | Sector Rank | ||
|---|---|---|---|
| P/FCF | 11.74 | ||
| EV/EBITDA | 7.79 |
4.3 Compensation for Growth
The high PEG Ratio(NY), which compensates the Price/Earnings for growth, indicates SAM does not grow enough to justify the current Price/Earnings ratio.
SAM's earnings are expected to grow with 13.59% in the coming years. This may justify a more expensive valuation.
PEG (NY)6.1
PEG (5Y)N/A
EPS Next 2Y10.91%
EPS Next 3Y13.59%
5. Dividend
5.1 Amount
No dividends for SAM!.
| Industry Rank | Sector Rank | ||
|---|---|---|---|
| Dividend Yield | N/A |
194.98
-2.69 (-1.36%)
Chartmill FA Rating
GICS SectorConsumer Staples
GICS IndustryGroupFood, Beverage & Tobacco
GICS IndustryBeverages
Earnings (Last)
Earnings (Next)
Inst Owners84.22%
Inst Owner Change0%
Ins Owners9.5%
Ins Owner Change16.48%
Market Cap2.17B
Analysts66
Price Target264.62 (35.72%)
Short Float %10.25%
Short Ratio4.18
Dividend
| Industry Rank | Sector Rank | ||
|---|---|---|---|
| Dividend Yield | N/A |
Yearly DividendN/A
Dividend Growth(5Y)N/A
DPN/A
Div Incr Years0
Div Non Decr Years0
Ex-DateN/A
Surprises & Revisions
EPS beat(2)1
Avg EPS beat(2)132.38%
Min EPS beat(2)-27.29%
Max EPS beat(2)292.05%
EPS beat(4)2
Avg EPS beat(4)64.45%
Min EPS beat(4)-27.29%
Max EPS beat(4)292.05%
EPS beat(8)4
Avg EPS beat(8)1477.66%
EPS beat(12)4
Avg EPS beat(12)951.74%
EPS beat(16)4
Avg EPS beat(16)694.22%
Revenue beat(2)2
Avg Revenue beat(2)2.9%
Min Revenue beat(2)2.35%
Max Revenue beat(2)3.45%
Revenue beat(4)2
Avg Revenue beat(4)0.38%
Min Revenue beat(4)-4.01%
Max Revenue beat(4)3.45%
Revenue beat(8)5
Avg Revenue beat(8)-0.16%
Revenue beat(12)8
Avg Revenue beat(12)1.28%
Revenue beat(16)9
Avg Revenue beat(16)0.05%
PT rev (1m)-1.77%
PT rev (3m)-3.32%
EPS NQ rev (1m)-0.82%
EPS NQ rev (3m)-14.32%
EPS NY rev (1m)0%
EPS NY rev (3m)-5.9%
Revenue NQ rev (1m)0.71%
Revenue NQ rev (3m)-0.94%
Revenue NY rev (1m)0%
Revenue NY rev (3m)-0.14%
Valuation
| Industry Rank | Sector Rank | ||
|---|---|---|---|
| PE | 19.08 | ||
| Fwd PE | 17.42 | ||
| P/S | 1.07 | ||
| P/FCF | 11.74 | ||
| P/OCF | 8.5 | ||
| P/B | 2.42 | ||
| P/tB | 2.83 | ||
| EV/EBITDA | 7.79 |
EPS(TTM)10.22
EY5.24%
EPS(NY)11.19
Fwd EY5.74%
FCF(TTM)16.61
FCFY8.52%
OCF(TTM)22.93
OCFY11.76%
SpS183.03
BVpS80.45
TBVpS68.92
PEG (NY)6.1
PEG (5Y)N/A
Profitability
| Industry Rank | Sector Rank | ||
|---|---|---|---|
| ROA | 5.77% | ||
| ROE | 7.97% | ||
| ROCE | 17% | ||
| ROIC | 11.71% | ||
| ROICexc | 13.82% | ||
| ROICexgc | 16.29% | ||
| OM | 8.32% | ||
| PM (TTM) | 3.5% | ||
| GM | 45.41% | ||
| FCFM | 9.08% |
ROA(3y)4.95%
ROA(5y)5.95%
ROE(3y)6.63%
ROE(5y)8.26%
ROIC(3y)8.12%
ROIC(5y)8.73%
ROICexc(3y)10.19%
ROICexc(5y)10.53%
ROICexgc(3y)12.36%
ROICexgc(5y)13.08%
ROCE(3y)11.79%
ROCE(5y)12.67%
ROICexcg growth 3Y51.57%
ROICexcg growth 5Y-0.97%
ROICexc growth 3Y53.78%
ROICexc growth 5Y1.55%
OM growth 3Y39.49%
OM growth 5Y-8.36%
PM growth 3Y61.25%
PM growth 5Y-19.42%
GM growth 3Y4.62%
GM growth 5Y-2.01%
F-Score7
Asset Turnover1.65
Health
| Industry Rank | Sector Rank | ||
|---|---|---|---|
| Debt/Equity | 0 | ||
| Debt/FCF | 0 | ||
| Debt/EBITDA | 0 | ||
| Cap/Depr | 75.44% | ||
| Cap/Sales | 3.45% | ||
| Interest Coverage | 250 | ||
| Cash Conversion | 97.13% | ||
| Profit Quality | 259.06% | ||
| Current Ratio | 1.72 | ||
| Quick Ratio | 1.12 | ||
| Altman-Z | 6.36 |
F-Score7
WACC9.06%
ROIC/WACC1.29
Cap/Depr(3y)88.4%
Cap/Depr(5y)136.69%
Cap/Sales(3y)3.77%
Cap/Sales(5y)5.31%
Profit Quality(3y)238.48%
Profit Quality(5y)N/A
High Growth Momentum
Growth
EPS 1Y (TTM)28.23%
EPS 3Y32.41%
EPS 5Y-0.56%
EPS Q2Q%107.69%
EPS Next Y3.13%
EPS Next 2Y10.91%
EPS Next 3Y13.59%
EPS Next 5Y14.72%
Revenue 1Y (TTM)0.79%
Revenue growth 3Y-0.73%
Revenue growth 5Y10%
Sales Q2Q%6.53%
Revenue Next Year2.38%
Revenue Next 2Y2.49%
Revenue Next 3Y2.56%
Revenue Next 5Y3.56%
EBIT growth 1Y12.55%
EBIT growth 3Y38.47%
EBIT growth 5Y0.81%
EBIT Next Year64.71%
EBIT Next 3Y26.1%
EBIT Next 5Y23.19%
FCF growth 1Y33.28%
FCF growth 3YN/A
FCF growth 5Y15.22%
OCF growth 1Y14.62%
OCF growth 3Y64.13%
OCF growth 5Y6.91%