Feb 4, 2021
Alcohol stocks fall into the category of sin stocks, along with their fellow ‘brutes’ like tobacco, cannabis, and gambling stocks. Whether these stocks are unethical or immoral is arguable, but what is certain is that these goods are relatively recession-resistant. This means that the demand for these goods doesn’t suffer too much even when the economy is weak.
Here are some of the best-performing alcohol stocks globally.
Boston Beer Company (NYSE: SAM)
The fact that recent consumer trends have shifted towards high-end alcohol has benefited companies that produce beverages such as craft beers and specialty carbonated drinks.
One such company is the Boston Beer Company, which has been around since 1984, but its stock surged by the end of 2020 and is currently rallying at a whopping price of over $1000 per share.
Market Cap: $13.14 billion
Earnings Per Share: $14.00
Last Reported Revenue: $125 billion in 2019
Anheuser-Busch InBev (NYSE:BUD)
The company is one of Europe’s largest brewers with over 400 beer brands, including the well-known Budweiser, Corona, Hoegaarden, Leffe, and Stella Artois beers. The company is based in Belgium and holds over 600 beer brands worldwide.
The company was formed following Anheuser-Busch’s acquisition of InBev, which itself was a merger of AmBev and Interbrew.
Market Cap: $129.36 billion
Earnings Per Share: $0.41
Last Reported Revenue: $46.75 billion in 2019
Diageo (NYSE: DEO)
Diageo is a conglomerate that is active in over 180 countries and has roughly 140 production sites. It accounts for some of the most notable brands like Johnnie Walker, Captain Morgan, Baileys, Justerini & Brooks, among many others.
Diageo’s diverse portfolio enables the company to cater to both emerging and developed markets. Its perpetual revenue growth makes it a very attractive stock to purchase.
Market Cap: $96.98 billion
Earnings Per Share: $2.54
Last Reported Revenue: $11.75 billion in 2020
Brown-Forman (NYSE: BF. A & BF. B)
The company is yet another corporate giant, with big aces in its possession. Most notably, Brown-Forman owns its flagship brand, Jack Daniels. The company focuses on hard spirits, with a portfolio that comprises brands such as Finlandia and Woodford Reserve.
Brown-Forman has withstood the test of time and recession many times over, maintaining its impressive 30–year track record of dividend growth.
Market Cap: $96.98 billion
Earnings Per Share: $2.54
Last Reported Revenue: $11.75 billion in 2020
Corby Spirit and Wine (TSX: CSW.A & CSW.B)
Corby is a Canadian company that was established over 150 years ago, Henry Corby. Today a significant amount of the company belongs to Pernod Ricard (another beverage company).
Its many-faceted selection of brands includes Absolut, Jameson, Beefeater, Glenlivet, Kahlua, Chivas, Ballantines, Malibu, and others.
Market Cap: $490.33 million
Earnings Per Share: 1.10 CAD
Last Reported Revenue: CAD 153.4 million in 2020
