Big Rock Brewery (BR) AI Stock Analysis

• Market Cap: C$24.64M
• Dividend Yield: N/A
• Average Volume (3M): 4.58K
• Price to Earnings (P/E): ―
• Beta (1Y): 0.41
• Revenue Growth: 9.98%
• EPS Growth: -80.44%
• Country: CA
• Employees: 92
• Sector: Consumer Defensive
• Sector Strength: 58
• Industry: Beverages - Alcoholic
• EPS (TTM): >-0.01
• Shares Outstanding: 24,397,842
• 10 Day Avg. Volume: 7,931
• 30 Day Avg. Volume: 4,581
• PEG Ratio: -0.11
• Price to Book (P/B): 1.00
• Price to Sales (P/S): 0.00
• P/FCF Ratio: -3.35
• Enterprise Value/Market Cap: N/A
• Enterprise Value/Revenue: N/A
• Enterprise Value/Gross Profit: N/A
• Enterprise Value/Ebitda: N/A
• 1Y Price Target: C$1.00
• Price Target Upside: -0.99% Downside
• Rating Consensus: Hold
• Number of Analyst Covering: 0

• Rating: 47 Neutral
• Price Target: C$1.00 ▼(-0.99%Downside)

Big Rock Brewery's overall stock score is primarily impacted by its financial challenges, including negative profitability and cash flow issues. Despite recent positive corporate events and strategic improvements, technical indicators and valuation concerns weigh heavily on the stock's attractiveness.

Big Rock Brewery Business Overview & Revenue Model

Company Description

Big Rock Brewery Inc. produces, markets, and distributes craft beers, ciders, and ready-to-drink beverages primarily in Canada. The company operates through two segments, Wholesale and Retail. It offers a selection of beer, ciders, and RTD beverages under the Big Rock, Tree Brewing, Rock Creek Cider, Dukes Cider, AGD, Shaftbury, Bow Valley, White Peaks, and Cottage Springs brands. The company also provides apparel and accessories, including jackets, headwear, sweaters, glassware, belt buckles, and coolers. It sells its products to provincial liquor boards, grocery chains, on-premise and contract manufacturing customers; and through premises owned and/or operated by the Corporation, Big Rock's website, and third-party delivery services. Big Rock Brewery Inc. was founded in 1985 and is headquartered in Calgary, Canada.

How the Company Makes Money

Big Rock Brewery generates revenue primarily through the sale of its craft beer products. The company distributes its beverages through various channels, including direct sales to consumers via its taprooms and online platforms, as well as wholesale distribution to retail outlets, restaurants, and bars. Additionally, Big Rock engages in contract brewing services, producing beer for other brands, which supplements its income. Key revenue streams include retail sales, distribution partnerships, and contract brewing agreements. The company leverages its brand reputation and market presence to maintain a robust and diversified revenue model.

Big Rock Brewery Financial Statement Overview

Summary

Big Rock Brewery is facing significant financial challenges. Despite a 6% revenue growth, the company struggles with profitability and cash flow management, reflected in negative margins and cash outflows. The balance sheet shows a moderate debt-to-equity ratio, but negative return on equity and cash flow issues underscore financial instability.

Income Statement

Big Rock Brewery's income statement highlights challenges with profitability. The TTM (Trailing-Twelve-Months) shows a gross profit margin of 27.6% which is decent, but the net profit margin is significantly negative at -22.7%, indicating ongoing losses. Revenue growth from 2024 to 2025 is 6.0%, showing some improvement, but EBIT and EBITDA margins are deeply negative, reflecting operational inefficiencies. Overall, the company struggles with profitability despite some revenue growth.

Balance Sheet

The balance sheet reveals a moderate financial structure with a debt-to-equity ratio of 30.6% for TTM, indicating manageable leverage compared to equity. However, return on equity is negative at -40.8%, highlighting significant losses against shareholder investments. The equity ratio is 60.9%, suggesting that equity constitutes a substantial portion of the company's financing. Despite a decent equity ratio, the financial health is undermined by persistent losses.

Cash Flow

Cash flow analysis shows weak operational cash generation with a negative operating cash flow. The free cash flow growth rate deteriorated further by 59.1% from 2024 to TTM, reflecting severe cash management issues. The operating cash flow to net income ratio is negative, indicating cash outflows exceeding net losses. The company faces significant challenges in converting its operations into cash, raising concerns about liquidity.

Breakdown	Dec 2024	Dec 2023	Dec 2022	Dec 2021	Dec 2020
Income Statement
Total Revenue	43.36M	43.68M	47.10M	45.98M	43.98M
Gross Profit	10.71M	12.95M	10.48M	14.82M	16.48M
EBITDA	-7.97M	2.62M	-4.20M	632.00K	3.62M
Net Income	-13.47M	-2.93M	-7.10M	-3.26M	-666.00K
Balance Sheet
Total Assets	40.06M	52.79M	51.63M	54.82M	51.95M
Cash, Cash Equivalents and Short-Term Investments	372.00K	1.04M	612.00K	228.00K	252.00K
Total Debt	18.90M	19.59M	17.52M	14.58M	9.06M
Total Liabilities	30.87M	30.27M	26.42M	23.12M	17.13M
Stockholders Equity	9.20M	22.53M	25.20M	31.70M	34.82M
Cash Flow
Free Cash Flow	-4.81M	-2.63M	-2.62M	-7.37M	3.08M
Operating Cash Flow	-1.49M	-2.36M	-1.33M	962.00K	4.33M
Investing Cash Flow	-479.00K	827.00K	-966.00K	-5.25M	-1.25M
Financing Cash Flow	1.30M	1.96M	2.69M	4.26M	-3.18M

Big Rock Brewery Technical Analysis

• Technical Analysis Sentiment: Negative
• Last Price: 1.01
• 50DMA: Negative
• 100DMA: Negative
• 200DMA: Negative
• MACD: Positive
• RSI: Neutral
• STOCH: Positive

Evaluating momentum and price trends is crucial in stock analysis to make informed investment decisions. For TSE:BR, the sentiment is Negative. The current price of 1.01 is below the 20-day moving average (MA) of 1.09, below the 50-day MA of 1.10, and below the 200-day MA of 1.14, indicating a bearish trend. The MACD of -0.02 indicates Positive momentum. The RSI at 37.98 is Neutral, neither overbought nor oversold. The STOCH value of 7.41 is Positive, not indicating any strong overbought or oversold conditions. Overall, these indicators collectively point to a Negative sentiment for TSE:BR.

Big Rock Brewery Peers Comparison

Name	Overall Rating	Market Cap	P/E Ratio	ROE	Dividend Yield	Revenue Growth	EPS Growth
SWP	71 Outperform	C$40.37M	14.99	4.88%	―	26.10%	―
Sector *	61 Neutral	HK$20.46B	12.07	0.81%	4.76%	2.72%	-47.45%
BR	47 Neutral	C$24.64M	―	-46.36%	―	9.98%	-80.44%
FARM	40 Underperform	C$8.31M	―		―	-15.73%	-45.92%
DWS	―	C$14.47M	―	-8.99%	―	―	―
TPX.A	―	C$13.86B	11.06	8.50%	3.14%	―	―
VDKA.H	―	C$524.89K	―		―	―	―

Big Rock Brewery Corporate Events

Big Rock Brewery Secures Shareholder Approval for Key Resolutions

Big Rock Brewery Inc. announced the successful approval of all resolutions at its annual general and special meeting of shareholders. Key resolutions included the appointment of four directors, approval of unallocated stock options and restricted share unit awards, and the appointment of MNP LLP as auditors. This outcome reinforces Big Rock’s governance and operational strategies, potentially strengthening its position in the craft beer market.

Big Rock Brewery Reports Robust Q1 2025 Results with 51% Sales Surge

Big Rock Brewery Inc. has announced a significant improvement in its financial performance for the first quarter of 2025, with a 51% increase in sales volumes and a 30.5% rise in net revenue compared to the same period in 2024. The company’s strategic focus on growing contract sales volumes has led to enhanced operational efficiencies and profitability, despite economic challenges and changes in the Alberta Markup Share. The management is actively working to mitigate the impact of global tariffs, positioning the company for continued growth.