Boston Beer Stock Slips as Buyout Rumors Disappear

Suntory Holdings denied negotiations with the company

Laura McCandless

Deputy Editor

Jun 3, 2024 at 10:49 AM

Boston Beer Company Inc (NYSE:SAM) stock jumped 22.3% on Friday, after rumors that Japanese beverage company Suntory Holdings was in early negotiations to buy the company. Suntory has since denied the claims, however, and Boston Beer stock is down 7.1% at $291.52 at last look.

SAM's Friday pop furthered it from its May 28 five-year low of $254.40, and the shares are still a hefty premium to those levels. Year to date, the equity is down 15.9%.

Options bears are targeting SAM at a higher-than-usual volume this morning. So far, 1,130 puts have been exchanged, which is six times the intraday average amount. The June 250 put is the most popular, with new positions opening there.

On the analyst front, nine of the 12 in coverage carry a "hold" or worse rating on the stock. The 12-month consensus price target of $322.04 is a 10% premium to current levels, however.

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