10 Best Alcohol Stocks to Buy Now

7. The Boston Beer Company, Inc. (NYSE:SAM)

Number of Hedge Fund Holders: 22

Next up in our list of the Top Alcohol Stocks is The Boston Beer Company, Inc. (NYSE:SAM), one of the largest American-owned brewing companies, best known for its line of all-malt beers under the brand name Samuel Adams. The company reported a revenue of approximately $426 million in Q1 2024, an increase of 3.9% from the previous year. It also earned a net profit of $12.6 million versus a net loss of $8.96 million the year before.

One of TBBC’s core brands, Twisted Tea, posted strong growth with dollar sales up 21% in Q1 while growing share by 1.4 points in measured channels. However, the company reported declines in its Truly hard seltzer brand, which is now a smaller part of its business mix but maintains a 20% share of hard seltzer in measure channels.

SouthernSun Asset Management LLC stated the following about SAM in its Q1 investment letter:

“In the near term, we believe the company will remain focused on sustaining Twisted Tea’s growth, turning Truly volume trends, improving operations to enhance gross margins, and thus providing more funds to invest in its core assets as a company – its brands and its sales force. Overall, we remain confident management’s efforts and investments are likely to produce profitable growth that will reward investors over time.”

The share price of SAM jumped by over 22% on May 31st after a Wall Street Journal report that the beer maker is in talks to be sold to the Jim Beam-owner Suntory Holdings. However, the Japanese alcohol giant released a statement the very next day that it is not in talks to purchase The Boston Beer Company, Inc. (NYSE:SAM).

Among the 22 hedge fund holders of SAM in Q1 2024, Marshall Wace LLP held the largest stake of 137,515 shares, valued at $41.86 million.