Boston Beer downgraded to Underperform from Market Perform at Bernstein

Bernstein analyst Nadine Sarwat downgraded Boston Beer to Underperform from Market Perform with a price target of $255, down from $320. The company’s much lower than expected fiscal 2023 guidance reduces the potential for meaningful gross margin expansion, the analyst tells investors in a research note. The firm says Boston Beer’s supply inefficiencies run deeper than initially thought. Until Truly stabilizes, "it’s like trying to hit a moving target," writes Bernstein. The firm says Twisted Tea’s "stellar" growth is insufficient to offset the decline of and uncertainty around Truly’s near term performance.