Summary
This week’s stock analysis focuses on Boston Beer ($SAM), a leading craft brewery in the United States. The company was founded in 1984 by Jim Koch and Rhonda Kallman, and its flagship brand is Samuel Adams Boston Lager. Boston Beer has experienced significant growth in recent years, driven by the increasing popularity of craft beer. However, the stock has been beaten down over the past year, and analysts are divided on its future prospects.
Company Overview
Boston Beer Company was founded in 1984 by Jim Koch and Rhonda Kallman. The company’s flagship brand is Samuel Adams Boston Lager, which is now distributed nationwide. Other popular brands include Angry Orchard Hard Cider, Twisted Tea, and Truly Spiked & Sparkling. Boston Beer Company employs over 2,500 people and has a market capitalization of over $4 billion. In 2021, they generated over $2 billion in revenue.
The company’s products are distributed through a network of over 400 distributors in 46 states. Boston Beer Company is the largest craft brewery in the United States and the sixth-largest overall brewery in the country.
Earnings Growth
Earnings for $SAM are expected to grow by 23% per year, which is above the industry norm. This has some analysts extremely excited about the future prospects for the company. However, we need to look at this optimistic outlook in context to the bearish path the stock has recently traveled.
Technical Analysis
We will analyze various technical indicators and metrics to guide our trading decisions. These include:
- Wall Street Analysts’ Estimates
- 52-week high and low boundaries
- Vantagepoint A.I. Forecast (Predictive Blue Line)
- Best Case – Worst Case Scenarios
- Neural Network Forecast
- Daily Range Forecast
Intermarket Analysis
We will also perform an intermarket analysis to understand the correlation between different asset classes and make better-informed trading decisions.
Trading Strategy
Our trading strategy is based on a combination of technical indicators and intermarket analysis. We will use the Vantagepoint A.I. Forecast (Predictive Blue Line) to determine the medium-term trend price forecast. We will also use the Neural Network Indicator to predict future short-term strength and/or weakness in the market.
Conclusion
In conclusion, Boston Beer ($SAM) is a company with significant growth potential, but its stock has been beaten down over the past year. Analysts are divided on its future prospects, and we need to approach this opportunity with caution. Our trading strategy is based on a combination of technical indicators and intermarket analysis, and we will use the Vantagepoint A.I. Forecast (Predictive Blue Line) to determine the medium-term trend price forecast.
Disclaimer: Trading involves significant risk, and it is not advisable to make trading decisions that are beyond your financial means or involve trading capital that you are not willing and capable of losing.
Recommendation
Our recommendation is to follow the A.I. trend analysis as outlined in this stock study and practice good money management on all trades. Preserve your capital, and practice good money management. We will re-evaluate based on new Wall Street Analysts’ Estimates, new 52-week high and low boundaries, Vantagepoint A.I. Forecast (Predictive Blue Line), Neural Network Forecast, and Daily Range Forecast.
Let’s Be Careful Out There! Remember, It’s Not Magic. It’s Machine Learning.