Friday, April 6, 2012

" Samuel Adams (Boston Beer Company Inc., symbol SAM) is the crown jewel of the Mid-Cap Beverage stocks. So why don't you own it?

Dow Jones Industrial Average 13060.14 (Down)  Week ending 04-06-2012

Samuel Adams helped start a Revolution. His cousin John Adams, the Esquire and future President of the United States stated that " Facts are stubborn things; and whatever may be our wishes, our inclinations, or the dictates of our passion, they cannot alter the state of facts and evidence."  

Well the facts and evidence in this case show the numbers on this stock to be indisputable and are very good. First of all there are only 13,741 shares of the stock outstanding as of 12/31/2011.

Boston Beer Company Inc. (Symbol SAM, $103.38) is projecting $4.18 per share for 2012 and for 2013,  $4.72 cents per share. How about if we start with the first fact: 5 year earnings growth of 42.84%.
"Abigail call my stock broker!"  . How about a Return on Equity of 37.68%.  Nothing but the facts. 

 We should also mention here that the 3 Year Total Return on the stock is 330.75%.  SAM had annual revenues last year of $513 million so there is lot's of room for growth in this name. So this story is just beginning.

In honor of the French giving us a hand and assisting in our Revolution for Independence, I added La Bourse De Paris , the CAC-40,  to my side column of stock exchanges. This is also known in modern times as Euronext Paris.

Battle of Lexington

So in Conclusion, the Opinion for our case summary is that you would be a darn fool if you didn't put a little SAM into your portfolio. So put some Eggs into your Easter basket portfolio and search no further. Monday morning  go buy some SAM.  I recommend 25-30 shares in your IRA account.

The Defense rest.


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