Options Exercise Update At Boston Beer Co: Philip A Hodges Engages, Resulting In $0

Disclosed in a recent SEC filing on October 29, Hodges, Chief Operating Officer at Boston Beer Co (NYSE:SAM), made a noteworthy transaction involving the exercise of company stock options.

What Happened: A notable Form 4 filing on Wednesday with the U.S. Securities and Exchange Commission revealed that Hodges, Chief Operating Officer at Boston Beer Co, exercised stock options for 0 shares of SAM, resulting in a transaction value of $0.

Boston Beer Co shares are trading down 0.0% at $212.98 at the time of this writing on Thursday morning. Since the current price is $212.98, this makes Hodges's 0 shares worth $0.

All You Need to Know About Boston Beer Co

Boston Beer is a top player in high-end malt beverages and adjacent categories in the US, with strong positions in craft beer, flavored malt beverages, hard cider, and hard seltzer. The bulk of volume and revenue is concentrated in four brands: Samuel Adams, Angry Orchard, Twisted Tea, and Truly. Beverages are produced using a hybrid model leveraging both in-house capacities and third-party breweries through contract arrangements. While the firm is required to use distributors to reach end markets, including retailers and on-premises operators, it also employs 500 internal sales representatives to educate the market about its products. The firm generates almost all sales in the US.

Unraveling the Financial Story of Boston Beer Co

Revenue Growth: Boston Beer Co's revenue growth over a period of 3 months has faced challenges. As of 30 September, 2025, the company experienced a revenue decline of approximately -11.23%. This indicates a decrease in the company's top-line earnings. As compared to its peers, the revenue growth lags behind its industry peers. The company achieved a growth rate lower than the average among peers in Consumer Staples sector.

Key Insights into Profitability Metrics:

• Gross Margin: The company sets a benchmark with a high gross margin of 50.81%, reflecting superior cost management and profitability compared to its peers.

• Earnings per Share (EPS): Boston Beer Co's EPS is a standout, portraying a positive bottom-line trend that exceeds the industry average with a current EPS of 4.25.

Debt Management: Boston Beer Co's debt-to-equity ratio is below industry norms, indicating a sound financial structure with a ratio of 0.04.

Assessing Valuation Metrics:

• Price to Earnings (P/E) Ratio: Boston Beer Co's current Price to Earnings (P/E) ratio of 24.74 is higher than the industry average, indicating that the stock may be overvalued according to market sentiment.

• Price to Sales (P/S) Ratio: With a P/S ratio of 1.2 below industry standards, the stock shows potential undervaluation, making it an appealing investment option for those focusing on sales performance.

• EV/EBITDA Analysis (Enterprise Value to its Earnings Before Interest, Taxes, Depreciation & Amortization): At 8.29, the company's EV/EBITDA ratio outperforms industry norms, reflecting positive market perception. This positioning indicates optimistic expectations for the company's future performance.

Market Capitalization Analysis: Below industry benchmarks, the company's market capitalization reflects a smaller scale relative to peers. This could be attributed to factors such as growth expectations or operational capacity.

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Delving Into the Significance of Insider Transactions

Insider transactions contribute to decision-making but should be supplemented by a comprehensive investment analysis.

Exploring the legal landscape, an "insider" is defined as any officer, director, or beneficial owner holding more than ten percent of a company's equity securities, as stipulated by Section 12 of the Securities Exchange Act of 1934. This encompasses executives in the c-suite and major hedge funds. These insiders are required to report their transactions through a Form 4 filing, which must be submitted within two business days of the transaction.

Highlighted by a company insider's new purchase, there's a positive anticipation for the stock to rise.

But, insider sells may not necessarily indicate a bearish view and can be motivated by various factors.

Essential Transaction Codes Unveiled

For investors, a primary focus lies on transactions occurring in the open market, as indicated in Table I of the Form 4 filing. A P in Box 3 denotes a purchase, while S signifies a sale. Transaction code C signals the conversion of an option, and transaction code A denotes a grant, award, or other acquisition of securities from the company.

Check Out The Full List Of Boston Beer Co's Insider Trades.

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This article was generated by Benzinga's automated content engine and reviewed by an editor.