Needham analyst Gerald Pascarelli has maintained their neutral stance on SAM stock, giving a Hold rating today.
Gerald Pascarelli has given his Hold rating due to a combination of factors, including Boston Beer’s recent financial performance and market conditions. The company reported a strong start to the year with better-than-expected revenue, gross margin, and earnings per share, largely driven by a significant increase in shipment volumes. However, despite this positive performance, there was a slight decline in depletions, indicating some caution in the market.
While the company has reiterated its full-year guidance, the impact of tariffs on earnings per share remains a concern. The potential for improvement in depletions, particularly with the success of the Sun Cruiser product, could offset these tariff impacts. Additionally, the expansion in distribution is expected to provide more insights into the company’s performance in the coming months. These mixed signals contribute to the Hold rating, as the future performance is contingent on several variables that need to be monitored closely.
According to TipRanks, Pascarelli is an analyst with an average return of -1.7% and a 44.29% success rate. Pascarelli covers the Consumer Defensive sector, focusing on stocks such as Celsius Holdings, Constellation Brands, and Boston Beer.
In another report released today, Piper Sandler also maintained a Hold rating on the stock with a $230.00 price target.