Let’s dig into the relative performance of MGP Ingredients (NASDAQ:MGPI) and its peers as we unravel the now-completed Q4 beverages, alcohol, and tobacco earnings season.
These companies' performance is influenced by brand strength, marketing strategies, and shifts in consumer preferences. Changing consumption patterns are particularly relevant and can be seen in the rise of cannabis, craft beer, and vaping or the steady decline of soda and cigarettes. Companies that spend on innovation to meet consumers where they are with regards to trends can reap huge demand benefits while those who ignore trends can see stagnant volumes. Finally, with the advent of the social media, the cost of starting a brand from scratch is much lower, meaning that new entrants can chip away at the market shares of established players.
The 15 beverages, alcohol, and tobacco stocks we track reported a mixed Q4. As a group, revenues beat analysts’ consensus estimates by 1.6% while next quarter’s revenue guidance was 0.6% below.
While some beverages, alcohol, and tobacco stocks have fared somewhat better than others, they have collectively declined. On average, share prices are down 2.1% since the latest earnings results.
MGP Ingredients (NASDAQ:MGPI)
Headquartered in Atchison, Kansas, MGP Ingredients (NASDAQ:MGPI) is a leading supplier of high-quality ingredients to the food and beverage industry
MGP Ingredients reported revenues of $180.8 million, down 15.9% year on year. This print exceeded analysts’ expectations by 2.3%. Despite the top-line beat, it was still a slower quarter for the company with full-year revenue guidance missing analysts’ expectations.
MGP Ingredients delivered the slowest revenue growth and weakest full-year guidance update of the whole group. Interestingly, the stock is up 1.3% since reporting and currently trades at $33.06.
Read our full report on MGP Ingredients here, it’s free.
Best Q4: Anheuser-Busch (NYSE:BUD)
Born out of a complicated web of mergers and acquisitions, Anheuser-Busch InBev (NYSE:BUD) boasts a powerhouse beer portfolio of Budweiser, Stella Artois, Corona, and local favorites around the world.
Anheuser-Busch reported revenues of $14.84 billion, up 2.5% year on year, outperforming analysts’ expectations by 5.5%. The business had a stunning quarter with an impressive beat of analysts’ EPS estimates and a solid beat of analysts’ EBITDA estimates.
The market seems happy with the results as the stock is up 12.7% since reporting. It currently trades at $61.74.
Is now the time to buy Anheuser-Busch? Access our full analysis of the earnings results here, it’s free.
Boston Beer (NYSE:SAM)
Known for its flavorful beverages challenging the status quo, Boston Beer (NYSE:SAM) is a pioneer in craft brewing and a symbol of American innovation in the alcoholic beverage industry.
Boston Beer reported revenues of $402.3 million, up 2.2% year on year, exceeding analysts’ expectations by 2.4%. Still, it was a disappointing quarter as it posted full-year EPS guidance missing analysts’ expectations.
Interestingly, the stock is up 2% since the results and currently trades at $238.99.
Read our full analysis of Boston Beer’s results here.
Philip Morris (NYSE:PM)
Founded in 1847, Philip Morris International (NYSE:PM) manufactures and sells a wide range of tobacco and nicotine-containing products, including cigarettes, heated tobacco products, and oral nicotine pouches.
Philip Morris reported revenues of $9.71 billion, up 7.3% year on year. This number beat analysts’ expectations by 2.8%. Overall, it was a strong quarter as it also produced a solid beat of analysts’ EBITDA estimates and a decent beat of analysts’ gross margin estimates.
The stock is up 17.5% since reporting and currently trades at $154.
Read our full, actionable report on Philip Morris here, it’s free.
Monster (NASDAQ:MNST)
Founded in 2002 as a natural soda and juice company, Monster Beverage (NASDAQ:MNST) is a pioneer of the energy drink category, and its Monster Energy brand targets a young, active demographic.
Monster reported revenues of $1.81 billion, up 4.7% year on year. This result topped analysts’ expectations by 0.7%. Taking a step back, it was a slower quarter as it logged a significant miss of analysts’ EBITDA estimates and a miss of analysts’ EPS estimates.
The stock is up 5.6% since reporting and currently trades at $54.80.
Read our full, actionable report on Monster here, it’s free.
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