Shares of beer company Boston Beer (NYSE:SAM)
jumped 3% in the morning session after the release of a favorable Consumer Price Index (CPI) report showed inflation cooling more than anticipated. The July report from the Bureau of Labor Statistics indicated a year-over-year inflation rate of 2.7%, just below the 2.8% economists had forecast. This suggests that price pressures on consumers may be easing. Particularly beneficial for the sector was the news that the food index remained flat, with grocery prices even declining by 0.1% month-over-month. This development is seen as a positive for the profitability of food, beverage, and personal care companies, as lower input costs and increased consumer purchasing power could boost sales. A Federal Reserve official's comments on the same day, noting that consumer spending fundamentals remain solid, further bolstered investor confidence in the sector's resilience.
Small-cap stocks can be incredibly lucrative investments because their lack of analyst coverage leads to frequent mispricings.
However, these businesses (and their stock prices) often stay small because their subscale operations make it harder to expand their competitive moats.
Shares of beer company Boston Beer (NYSE:SAM)
jumped 5.5% in the afternoon session after the company reported second-quarter earnings that showed a significant profit beat and strong guidance, which overshadowed a miss on revenue.
Beer company Boston Beer (NYSE:SAM) met Wall Street’s revenue expectations in Q2 CY2025, with sales up 1.5% year on year to $587.9 million. Its GAAP profit of $5.45 per share was 36.4% above analysts’ consensus estimates.
Boston Beer Co. (SAM) reported mixed Q2 2025 results, missing revenue estimates but beating EPS by 41%. Shares rose 4.2% post-earnings on strong profitability.
Regarded as defensive investments, consumer staples stocks are generally safe bets in choppy markets. On the other hand, they usually underperform during bull runs,
and this paradigm has rung true over the past six months as the sector’s -4.1% decline paled in comparison to the S&P 500’s 7.1% gain.
Rock-bottom prices don't always mean rock-bottom businesses.
The stocks we're examining today have all touched their 52-week lows, creating a classic investor's dilemma: bargain opportunity or value trap?
The end of an earnings season can be a great time to discover new stocks and assess how companies are handling the current business environment. Let’s take a look at how Boston Beer (NYSE:SAM) and the rest of the beverages, alcohol, and tobacco stocks fared in Q1.
A company that generates cash isn’t automatically a winner.
Some businesses stockpile cash but fail to reinvest wisely, limiting their ability to expand.
The end of the earnings season is always a good time to take a step back and see who shined (and who not so much). Let’s take a look at how beverages, alcohol, and tobacco stocks fared in Q1, starting with Zevia (NYSE:ZVIA).
Let’s dig into the relative performance of Monster (NASDAQ:MNST) and its peers as we unravel the now-completed Q1 beverages, alcohol, and tobacco earnings season.
Beer company Boston Beer (NYSE:SAM) reported revenue ahead of Wall Street’s expectations in Q1 CY2025, with sales up 6.5% year on year to $453.9 million. Its GAAP profit of $2.17 per share was significantly above analysts’ consensus estimates.
