Q4 Earnings Roundup: PepsiCo (NASDAQ:PEP) And The Rest Of The Beverages, Alcohol, and Tobacco Segment

As the Q4 earnings season comes to a close, it’s time to take stock of this quarter’s best and worst performers in the beverages, alcohol, and tobacco industry, including PepsiCo (NASDAQ:PEP) and its peers.

These companies' performance is influenced by brand strength, marketing strategies, and shifts in consumer preferences. Changing consumption patterns are particularly relevant and can be seen in the rise of cannabis, craft beer, and vaping or the steady decline of soda and cigarettes. Companies that spend on innovation to meet consumers where they are with regards to trends can reap huge demand benefits while those who ignore trends can see stagnant volumes. Finally, with the advent of the social media, the cost of starting a brand from scratch is much lower, meaning that new entrants can chip away at the market shares of established players.

The 13 beverages, alcohol, and tobacco stocks we track reported a satisfactory Q4. As a group, revenues beat analysts’ consensus estimates by 2.1% while next quarter’s revenue guidance was in line.

In light of this news, share prices of the companies have held steady. On average, they are relatively unchanged since the latest earnings results.

PepsiCo (NASDAQ:PEP)

With a history that goes back more than a century, PepsiCo (NASDAQ:PEP) is a household name in food and beverages today and best known for its flagship soda.

PepsiCo reported revenues of $29.34 billion, up 5.6% year on year. This print exceeded analysts’ expectations by 1.6%. Overall, it was a satisfactory quarter for the company with an impressive beat of analysts’ EBITDA estimates but gross margin in line with analysts’ estimates.

Interestingly, the stock is up 9.4% since reporting and currently trades at $169.76.

Is now the time to buy PepsiCo? Access our full analysis of the earnings results here, it’s free.

Best Q4: Celsius (NASDAQ:CELH)

With its proprietary MetaPlus formula as the basis for key products, Celsius (NASDAQ:CELH) offers energy drinks that feature natural ingredients to help in fitness and weight management.

Celsius reported revenues of $721.6 million, up 117% year on year, outperforming analysts’ expectations by 13.5%. The business had an exceptional quarter with an impressive beat of analysts’ EBITDA estimates and an impressive beat of analysts’ revenue estimates.

Celsius delivered the biggest analyst estimates beat and fastest revenue growth among its peers. The market seems happy with the results as the stock is up 5.5% since reporting. It currently trades at $53.39.

Is now the time to buy Celsius? Access our full analysis of the earnings results here, it’s free.

Weakest Q4: Altria (NYSE:MO)

Best known for its Marlboro brand of cigarettes, Altria (NYSE:MO) offers tobacco and nicotine products.

Altria reported revenues of $5.08 billion, flat year on year, exceeding analysts’ expectations by 1.1%. Still, it was a slower quarter as it posted a miss of analysts’ EBITDA estimates and a miss of analysts’ adjusted operating income estimates.

Interestingly, the stock is up 9.5% since the results and currently trades at $69.10.

Read our full analysis of Altria’s results here.

Boston Beer (NYSE:SAM)

Known for its flavorful beverages challenging the status quo, Boston Beer (NYSE:SAM) is a pioneer in craft brewing and a symbol of American innovation in the alcoholic beverage industry.

Boston Beer reported revenues of $385.7 million, down 4.1% year on year. This number was in line with analysts’ expectations. Zooming out, it was a satisfactory quarter as it also produced an impressive beat of analysts’ EBITDA estimates but full-year EPS guidance missing analysts’ expectations.

The stock is down 1.8% since reporting and currently trades at $223.25.

Read our full, actionable report on Boston Beer here, it’s free.

Monster (NASDAQ:MNST)

Founded in 2002 as a natural soda and juice company, Monster Beverage (NASDAQ:MNST) is a pioneer of the energy drink category, and its Monster Energy brand targets a young, active demographic.

Monster reported revenues of $2.13 billion, up 17.6% year on year. This result surpassed analysts’ expectations by 4.6%. More broadly, it was a mixed quarter as it also recorded a solid beat of analysts’ revenue estimates but a significant miss of analysts’ EBITDA estimates.

The stock is down 1.9% since reporting and currently trades at $85.13.

Read our full, actionable report on Monster here, it’s free.

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