Big Rock Brewery (BR) AI Stock Analysis

• Market Cap: C$27.59M
• Dividend Yield: N/A
• Average Volume (3M): 3.27K
• Price to Earnings (P/E): ―
• Beta (1Y): 0.60
• Revenue Growth: -0.72%
• EPS Growth: -358.38%
• Country: CA
• Employees: 92
• Sector: Consumer Defensive
• Sector Strength: 93
• Industry: Beverages - Alcoholic
• EPS (TTM): -1.93
• Shares Outstanding: 24,413,513
• 10 Day Avg. Volume: 862
• 30 Day Avg. Volume: 3,275
• PEG Ratio: N/A
• Price to Book (P/B): N/A
• Price to Sales (P/S): 0.63
• Price to Cash Flow (P/CF): 90.70
• P/FCF Ratio: 0.00
• Enterprise Value/Market Cap: N/A
• Enterprise Value/Revenue: N/A
• Enterprise Value/Gross Profit: N/A
• Enterprise Value/Ebitda: N/A
• 1Y Price Target: N/A
• Price Target Upside: N/A
• Rating Consensus: N/A
• Number of Analyst Covering: 0

Big Rock Brewery's stock score is primarily hampered by significant financial challenges, including declining revenue and profitability, coupled with high leverage. Technical analysis indicates a lack of upward momentum, while the valuation reflects ongoing operational losses. The absence of positive catalysts or guidance from recent earnings further underscores the need for strategic improvements.

Big Rock Brewery Business Overview & Revenue Model

Company Description

Big Rock Brewery (BR) is a Canadian craft brewery founded in 1985, headquartered in Calgary, Alberta. It operates within the beverage and brewing industry, specializing in the production and distribution of a diverse range of craft beers. The company's portfolio includes a variety of ales, lagers, and seasonal brews, catering to both domestic and international markets. Big Rock Brewery is known for its commitment to quality, innovation, and sustainability in brewing practices.

How the Company Makes Money

Big Rock Brewery generates revenue primarily through the sale of its craft beer products. The company distributes its beverages through various channels, including direct sales to consumers via its taprooms and online platforms, as well as wholesale distribution to retail outlets, restaurants, and bars. Additionally, Big Rock engages in contract brewing services, producing beer for other brands, which supplements its income. Key revenue streams include retail sales, distribution partnerships, and contract brewing agreements. The company leverages its brand reputation and market presence to maintain a robust and diversified revenue model.

Big Rock Brewery Financial Statement Overview

Summary

Big Rock Brewery is facing financial difficulties with declining revenues and increasing net losses. The balance sheet shows increased leverage and reduced equity, while cash flows are strained, impacting the company's financial stability.

Income Statement

Big Rock Brewery has faced declining revenues from 2022 to TTM 2023, indicating challenges in maintaining growth. The net profit margin remains negative, with net losses increasing in the TTM period. Gross profit margin has decreased compared to the previous year, and both EBIT and EBITDA are negative, reflecting operational difficulties and reduced profitability.

Balance Sheet

The company's debt-to-equity ratio has increased over recent periods, suggesting a higher reliance on debt financing. The equity ratio has declined, indicating reduced asset financing through equity. Although the return on equity is negative due to net losses, the company's total assets have decreased, highlighting potential liquidity issues.

Cash Flow

Big Rock Brewery's cash flow situation is concerning, with negative free cash flow growing significantly by TTM 2023. Operating cash flow to net income is negative, reflecting cash outflows from operations. The free cash flow to net income ratio is also negative, indicating substantial cash challenges.

Breakdown
TTM	Dec 2023	Dec 2022	Dec 2021	Dec 2020	Dec 2019
Income Statement		Total Revenue
42.67M	43.68M	47.10M	45.98M	43.98M	42.65M
	Gross Profit
12.20M	12.95M	10.48M	14.82M	16.48M	12.34M
	EBIT
-4.82M	-1.55M	-6.92M	-1.98M	1.35M	-5.10M
	EBITDA
-297.00K	2.62M	-4.20M	632.00K	3.62M	-1.06M
	Net Income Common Stockholders
-5.90M	-2.93M	-7.10M	-3.26M	-666.00K	-2.92M
Balance Sheet		Cash, Cash Equivalents and Short-Term Investments
1.90M	1.04M	612.00K	228.00K	252.00K	354.00K
	Total Assets
56.74M	52.79M	51.63M	54.82M	51.95M	49.78M
	Total Debt
6.04M	19.59M	17.52M	14.58M	9.06M	6.70M
	Net Debt
4.13M	18.56M	16.91M	14.35M	8.81M	6.35M
	Total Liabilities
18.16M	30.27M	26.42M	23.12M	17.13M	13.90M
	Stockholders Equity
38.58M	22.53M	25.20M	31.70M	34.82M	35.88M
Cash Flow		Free Cash Flow
-4.83M	-2.63M	-2.62M	-7.37M	3.08M	-2.17M
	Operating Cash Flow
-1.58M	-2.36M	-1.33M	962.00K	4.33M	-1.22M
	Investing Cash Flow
-135.00K	827.00K	-966.00K	-5.25M	-1.25M	-952.00K
	Financing Cash Flow
1.23M	1.96M	2.69M	4.26M	-3.18M	622.00K

Big Rock Brewery Technical Analysis

• Technical Analysis Sentiment: Positive
• Last Price: 1.13
• 50DMA: Negative
• 100DMA: Negative
• 200DMA: Negative
• MACD: Negative
• RSI: Neutral
• STOCH: Neutral

Evaluating momentum and price trends is crucial in stock analysis to make informed investment decisions. For TSE:BR, the sentiment is Positive. The current price of 1.13 is above the 20-day moving average (MA) of 1.08, below the 50-day MA of 1.15, and below the 200-day MA of 1.17, indicating a neutral trend. The MACD of -0.01 indicates Negative momentum. The RSI at 52.49 is Neutral, neither overbought nor oversold. The STOCH value of 36.96 is Neutral, not indicating any strong overbought or oversold conditions. Overall, these indicators collectively point to a Positive sentiment for TSE:BR.

Big Rock Brewery Peers Comparison

Name	Overall Rating	Market Cap	P/E Ratio	ROE	Dividend Yield	Revenue Growth	EPS Growth
Sector *	64 Neutral	$9.28B	14.55	4.62%	186.42%	3.98%	5.64%
BR	46 Neutral	C$27.59M	―	-84.90%	―	-0.72%	-358.38%
CRE	41 Neutral	C$93.68M	60.56	2.13%	―	―	―

Big Rock Brewery Corporate Events

Big Rock Brewery Sees 38% Sales Volume Surge Amid Strategic Transition

Big Rock Brewery Inc. reported a 38% increase in fourth-quarter sales volumes for fiscal 2024, despite facing challenges such as a significant operating loss and increased net loss due to one-time costs. The company is undergoing a strategic transition, focusing on expanding its ready-to-drink and co-packing business, while closing non-core operations to improve cash flow and streamline operations. The closure of facilities in Vancouver and Toronto, along with new co-packing agreements, are expected to enhance production and financial performance in the coming years.