The mixed signal — volume declines worsening (guidance now 'down mid-single digits') but gross margin expanding and EPS guidance raised — suggests the stock may trade range-bound near-term. Watch for the Q4 earnings call in February 2027 for full-year 2027 guidance, which will be the next major catalyst. The ongoing supplier dispute litigation (total $194.5M accrued) remains an overhang but appears manageable given $308M cash and no debt.
Price Chart
Executive Summary
Boston Beer reported Q3 2026 GAAP diluted EPS of $4.21 (including $0.16/share litigation expense) and Non-GAAP EPS of $4.37, beating consensus of $4.30 by 1.6%. Net revenue of $520.1M declined 3.2% YoY, with depletions down 5% and shipments down 4.9%. The company narrowed full-year guidance: raised the low end of gross margin to 49-50% (from 48.5-50%) and Non-GAAP EPS to $9.00-$10.50 (from $8.50-$10.50), but widened the depletions/shipments decline to 'down mid-single digits' from 'down low-single digits to mid-single digits'.
Key Financial Metrics
Key Facts
- Q3 2026 GAAP diluted EPS of $4.21 vs $4.25 a year ago; Non-GAAP diluted EPS of $4.37 vs consensus $4.30
- Net revenue $520.1M, down 3.2% YoY from $537.5M
- Depletions decreased 5% and shipments decreased 4.9% in Q3
- Gross margin expanded 90 bps YoY to 51.7%
- Full-year 2026 guidance: depletions/shipments now expected 'down mid-single digits' (previously 'down low-single digits to mid-single digits')
- Non-GAAP EPS guidance raised to $9.00-$10.50 (from $8.50-$10.50); GAAP EPS guidance narrowed to ($5.76)-($4.26) from ($6.23)-($4.23)
- Gross margin guidance raised to 49%-50% (from 48.5%-50%)
- Ended Q3 with $308.1M cash, no debt; repurchased $79.5M YTD through Oct 16
- Litigation expense of $1.8M in Q3 related to supplier dispute; total YTD litigation expense $194.5M
- Year-to-date depletions through 42 weeks estimated down ~5%
Financial Impact
Q3 Non-GAAP EPS of $4.37 modestly beat consensus of $4.30 (+1.6%); revenue of $520.1M missed consensus of $389.6M by 33.5% (note: consensus appears to be a stale or erroneous figure — actual revenue was $520.1M, well above the $389.6M estimate, but the filing shows a 3.2% YoY decline)
Risk Factors
- Continued volume declines: depletions guidance worsened to 'down mid-single digits' from 'down low-single digits to mid-single digits'
- Supplier dispute litigation: $194.5M accrued, with post-judgment interest accruing at ~3.79% on $191M; outcome of appeals uncertain
- Tariff and commodity cost headwinds: tariff costs guided to $18-$22M (net of $3M refund), freight costs remain elevated
- Consumer demand environment remains challenging per management commentary
Investment Themes
Documents Analyzed
This report is based on 6 SEC documents filed with EDGAR.
| Document | Accession Number |
|---|---|
| 8-K Filing (Primary) | 0001193125-26-428973 |
| Document: sam-20261022.htm | 0001193125-26-428973 |
| Document: 0001193125-26-428973-index-headers.html | 0001193125-26-428973 |
| Document: 0001193125-26-428973-index.html | 0001193125-26-428973 |
| Document: 0001193125-26-428973.txt | 0001193125-26-428973 |
| 8-K Data (Synthetic) | 0001193125-26-428973 |
Filters
| Type | Now | ||||
|---|---|---|---|---|---|
Oct 22, 2026 4d ago | 8-K | $202.28 $201.48 | ▼ −0.40% | ▼ −1.11% | $201.48 (−0.40%) |
Oct 22, 2026 4d ago | Press Release | $202.28 $201.48 | ▲ +0.40% | ▲ +1.11% | $201.48 (+0.40%) |
Oct 19, 2026 7d ago | Press Release | $181.82 $184.20 | ▲ +1.31% | ▲ +0.97% | $201.48 (+10.81%) |
Oct 13, 2026 13d ago | 3 | $177.23 $178.14 | ▲ +0.51% | ▲ +1.59% | $201.48 (+13.68%) |
Sep 28, 2026 28d ago | Press Release | $165.36 $162.49 | ▼ −1.74% | ▼ −1.55% | $201.48 (+21.84%) |
Sep 17, 2026 5w ago | Press Release | $172.00 $171.57 | ▼ −0.25% | ▼ −0.38% | $201.48 (+17.14%) |
Aug 27, 2026 8w ago | Press Release | $182.94 $183.13 | ▲ +0.10% | ▲ +0.33% | $201.48 (+10.13%) |
Aug 20, 2026 9w ago | 8-K | $185.95 $189.44 | ▲ +1.88% | ▲ +2.17% | $201.48 (+8.35%) |
Aug 11, 2026 10w ago | Press Release | $179.96 $183.78 | ▲ +2.12% | ▲ +1.87% | $201.48 (+11.96%) |
Aug 6, 2026 11w ago | Press Release | $183.05 $186.61 | ▲ +1.94% | ▲ +1.33% | $201.48 (+10.07%) |
US Market Status
Subscribe to SecBot
Get Real-Time SEC Filing Intelligence
Comprehensive SEC filing analysis delivered the moment filings hit EDGAR. Sentiment scoring, impact analysis, and actionable insights for every material event.
Create a free account Live analysis, Telegram alerts, watchlists and the MCP server for subscribers