I made a terrible call on Boston Beer (NYSE: SAM) back in November when I said it was trading at an unrealistic price. It was expensive -- but the company has made the right moves to expand its offerings at a time when craft beer is oversaturated. Seltzers and the Dogfish Head acquisition have put Boston Beer right where consumer preferences are right now. Even though the stock is more than 50% higher today than it was in November, I think it's worth a look.
The important thing to understand about Boston Beer is that it's no longer a craft beer company. It's a miniature alcohol conglomerate. The company's flagship Samuel Adams line of beers has struggled in recent years. The incredible increase in the number of craft beer brands in the U.S. has siphoned market share potential for Sam Adams, making Boston Beer very much a victim of its own success. Moreover, weakening interest in beer has been an added issue.
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Source Fool.com