Boston Beer Stock Jumps 3.14% in a Day

Among 10 leading alcohol beverage stocks, only three – Diageo, Constellation Brands and Boston Beer Co. – showed positive moves Thursday (11/5).

Boston Beer jumped 3.14% to close at $228.32 in New York Stock Exchange Trading. The company was favorably mentioned in a Wall Street Journal article Thursday about how Diageo and Pernod Ricard missed the cocktails-in-a-can craze. It noted thaat with brands such as SunCruiser. 85% of Boston Beer's volume now comes from RTDs.

There were other factors too. Morgan Stanley raised its target price for the stock to $200 after the company's recent earnings release. Analysts noted Boston Beer's earnings expansion to 51.7% in the third quarter, driven by supply chain optimization, brewery footprint efficiencies and lower third-party contract brewing fees.

Another key factor: Boston Beer's debt-free balance sheet, which provides flexibility and can support continuing share repurchases.