InsiderInsights Weighs in on Boston Beer Stock Sales

It’s a question that’s been on a lot of beer industry members’ minds for a while now. Why has Jim Koch – the founder and chairman of Boston Beer Co. – been selling shares of his company’s stock?

According to a recent Barron’s article, during a three week period in November, Boston Beer founder and chairman Jim Koch sold approximately 96,000 Class A shares of the company for nearly $11 million.

And although recent Nielsen numbers which peg sales for the country’s largest craft brewer up 15 percent through the four weeks ending November 24, at least one market analyst believes Koch’s actions indicate there might be some trouble brewing for the maker of Samuel Adams.

Jonathan Moreland, the founder of InsiderInsights – a weekly, subscription based newsletter publication that provides analysis on the stock market – said he thinks that market saturation, significant competition and even the growing popularity in home brew kits could test the consumer desire for Samuel Adams.

A representative of Boston Beer Co. could not immediately be reached for comment. Brewbound.com will continue to follow this story as it develops. In the meantime, read more from Barron’s.

  • cwcinsd

    I doubt this has anything to do with the future stock value of Sam Adams, and all about Jim Koch’s personal estate planning for his family considering the looming changes in the country’s tax structure. He is no longer a young man, and it is probably a prudent financial move for him at this time.

  • http://twitter.com/somenerd somenerd

    The dude built an empire… now seems like it would be the best possible time to cash in that massive pile of chips. I say good for Jim, and I hope he treats his family to something nice this Christmas with those fat stacks o’ cheddar.

  • http://www.facebook.com/profile.php?id=100004169833181 Jamie Smith

    wow, great inspiritation to craft brewing industry, many founders are born, pass a day and will be born and this kind of stuff ‘motivates’ them. Good to get hardwork paid and not only he made it but he brought the niche into masses. Much like what Gallo did to the wine industry. Not taking anything from Bud and Miller…but Sam Adams did create craft beer category into a category that become well accepted by retailers. Brands like Sam Adams, Dog Fish, New Belgium, Yuengling, are tomorrows brand – the key is to stay close to the end consumer. You can also see distribution challenges that a craft beer company faces http://beveragetradenetwork.com/en/craft-beer-distribution-161.htm