Big Rock Brewery (BR) AI Stock Analysis

• Market Cap: C$22.00M
• Dividend Yield: N/A
• Average Volume (3M): 1.88K
• Price to Earnings (P/E): ―
• Beta (1Y): 0.39
• Revenue Growth: 25.86%
• EPS Growth: -62.85%
• Country: CA
• Employees: 92
• Sector: Consumer Defensive
• Sector Strength: 42
• Industry: Beverages - Alcoholic
• EPS (TTM): >-0.01
• Shares Outstanding: 24,442,630
• 10 Day Avg. Volume: 600
• 30 Day Avg. Volume: 1,880
• PEG Ratio: >-0.01
• Price to Book (P/B): 0.84
• Price to Sales (P/S): 0.18
• P/FCF Ratio: -1.60
• 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: N/A
• Price Target Upside: N/A
• Rating Consensus: Hold
• Number of Analyst Covering: 0
• EPS Forecast (FY): N/A
• Revenue Forecast (FY): N/A

• Rating: 40 Underperform
• Price Target: C$0.76 ▼(-5.00% Downside)

Big Rock Brewery's overall stock score is primarily impacted by its financial performance and technical analysis. The company faces significant challenges in profitability and cash flow management, which are reflected in its financial performance score. Technical analysis indicates bearish momentum, with the stock trading below key moving averages and indicators suggesting oversold conditions. Valuation is also a concern, with a negative P/E ratio and no dividend yield, further weighing down the overall score.

Positive Factors

Revenue Growth

The positive revenue growth indicates that Big Rock Brewery is expanding its market presence and product adoption, which is crucial for long-term sustainability and competitiveness in the craft beer industry.

Leverage Management

Improved leverage management reflects better financial discipline, reducing risk and enhancing the company's ability to invest in growth opportunities without excessive debt burden.

Diverse Revenue Model

A diverse revenue model across multiple channels helps mitigate risks associated with dependency on a single revenue stream, supporting stable long-term growth and resilience against market fluctuations.

Negative Factors

Profitability Challenges

Ongoing profitability challenges, as indicated by negative net profit margins, suggest operational inefficiencies and may hinder the company's ability to reinvest in growth and innovation.

Cash Flow Management

Negative cash flow indicates potential liquidity issues, limiting the company's ability to fund operations and growth initiatives, which could impact long-term financial health.

Return on Equity

A negative return on equity suggests that the company is not effectively utilizing shareholder investments to generate profits, which could deter future investment and affect growth prospects.

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 beers, which are distributed across various channels including retail locations, bars, restaurants, and through direct-to-consumer sales at its brewery and online. The company benefits from a diverse revenue model that includes not only the sales of packaged products but also draft beer sales in pubs and restaurants. Additionally, the brewery hosts events and tours which contribute to its earnings. Key partnerships with distributors and retailers enhance its market reach, while seasonal and limited-edition brews create excitement and drive sales during peak times. Furthermore, the brewery's restaurant adds an additional layer to its revenue through food sales and brewery tours, fostering a unique customer experience that encourages brand loyalty.

Big Rock Brewery Financial Statement Overview

Summary

Big Rock Brewery faces significant challenges in profitability and cash flow management, despite some improvements in leverage and revenue growth. The company needs to focus on enhancing operational efficiency and cash flow generation to improve its financial health. While there are positive signs in revenue growth and leverage management, the persistent negative margins and cash flow issues pose risks to financial stability.

Income Statement

Big Rock Brewery's income statement shows a mixed performance. The TTM (Trailing-Twelve-Months) gross profit margin improved to 27.34% from 24.71% in the previous year, indicating better cost management. However, the net profit margin remains negative at -20.68%, reflecting ongoing profitability challenges. Revenue growth is positive at 9.18% TTM, but the company has struggled with consistent revenue growth in previous years. EBIT and EBITDA margins are negative, highlighting operational inefficiencies.

Balance Sheet

The balance sheet reveals a moderate debt-to-equity ratio of 0.42 TTM, which is an improvement from 2.05 in the previous year, suggesting better leverage management. However, the return on equity is negative at -52.23%, indicating that the company is not generating sufficient returns on shareholders' equity. The equity ratio stands at 55.54%, reflecting a stable capital structure.

Cash Flow

Cash flow analysis shows challenges with negative operating cash flow and free cash flow in the TTM period. The free cash flow to net income ratio is 1.49, indicating that free cash flow is higher than net income, which is a positive sign. However, the operating cash flow to net income ratio is negative, highlighting cash flow management issues. Free cash flow growth is negative at -13.64% TTM, indicating declining cash generation capabilities.

Breakdown	TTM	Dec 2024	Dec 2023	Dec 2022	Dec 2021	Dec 2020
Income Statement
Total Revenue	50.20M	43.36M	43.68M	47.10M	45.98M	43.98M
Gross Profit	13.72M	10.71M	12.95M	10.48M	14.82M	16.48M
EBITDA	-6.45M	-7.97M	2.62M	-4.20M	632.00K	3.62M
Net Income	-10.38M	-13.47M	-2.93M	-7.10M	-3.26M	-666.00K
Balance Sheet
Total Assets	46.65M	40.06M	52.79M	51.63M	54.82M	51.95M
Cash, Cash Equivalents and Short-Term Investments	631.00K	372.00K	1.04M	612.00K	228.00K	252.00K
Total Debt	10.99M	18.90M	19.59M	17.52M	14.58M	9.06M
Total Liabilities	20.75M	30.87M	30.27M	26.42M	23.12M	17.13M
Stockholders Equity	25.91M	9.20M	22.53M	25.20M	31.70M	34.82M
Cash Flow
Free Cash Flow	-6.61M	-4.81M	-2.63M	-2.62M	-7.37M	3.08M
Operating Cash Flow	-4.43M	-1.49M	-2.36M	-1.33M	962.00K	4.33M
Investing Cash Flow	-140.00K	-479.00K	827.00K	-966.00K	-5.25M	-1.25M
Financing Cash Flow	4.31M	1.30M	1.96M	2.69M	4.26M	-3.18M

Big Rock Brewery Technical Analysis

• Technical Analysis Sentiment: Negative
• Last Price: 0.80
• 50DMA: Negative
• 100DMA: Negative
• 200DMA: Negative
• MACD: Positive
• RSI: Neutral
• STOCH: Neutral

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 0.8 is below the 20-day moving average (MA) of 0.87, below the 50-day MA of 0.94, and below the 200-day MA of 1.05, indicating a bearish trend. The MACD of -0.05 indicates Positive momentum. The RSI at 37.19 is Neutral, neither overbought nor oversold. The STOCH value of 21.83 is Neutral, 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	63 Neutral	C$45.24M	33.10	4.23%	―	46.54%	968.67%
Sector *	62 Neutral	$20.33B	14.63	-3.31%	3.23%	1.93%	-12.26%
BR	40 Underperform	C$22.00M	-0.60	-42.75%	―	25.86%	-62.85%
FARM	40 Underperform	C$8.31M	-0.12	―	―	-18.97%	-55.19%

Big Rock Brewery Corporate Events

Big Rock Brewery Reports Strong Q3 2025 Results with 36% Sales Increase

Big Rock Brewery Inc. announced a significant increase in sales volumes and financial performance for the third quarter of 2025. The company reported a 36% increase in sales volumes and a 27.4% rise in net revenue compared to the same period in 2024. The growth was driven by a substantial rise in contract and wholesale sales volumes. The company’s strategic initiatives, including a branding and portfolio refresh, have contributed to these positive results. Additionally, the successful return of the Barn Burner event highlighted the strong community connection with the Big Rock brand.

The most recent analyst rating on (TSE:BR) stock is a Sell with a C$1.00 price target. To see the full list of analyst forecasts on Big Rock Brewery stock, see the TSE:BR Stock Forecast page.

Big Rock Brewery Appoints William Woods as Interim CFO

Big Rock Brewery has appointed William Woods as Interim Chief Financial Officer, replacing James Chong. Woods brings over 25 years of financial leadership experience across various sectors, which is expected to support Big Rock’s strategic goals and financial objectives. This leadership change is part of Big Rock’s ongoing efforts to strengthen its executive team and enhance its market position.

The most recent analyst rating on (TSE:BR) stock is a Hold with a C$1.00 price target. To see the full list of analyst forecasts on Big Rock Brewery stock, see the TSE:BR Stock Forecast page.