Craft Brew Alliance Inc (NASDAQ:BREW) has two new products to propel growth this year. One is its new beer that it has developed with its partner Buffalo Wild Wings (NASDAQ:BWLD) called “Game Changer Ale.” This new craft beer will be available at all Buffalo Wild Wings (NASDAQ:BWLD)’ locations. The second product is the company’s foray into the cider market with “Square Mill Cider.” The cider market is very similar to the craft beer market and the company hopes to have the same success as Boston Beer with its cider offering.
My favorite among the three is Boston Beer. Even though the stock is up 50% in the past year, I think it’s a great buy on dips. The company has a loyal customer base and growing every day. Anheuser-Busch InBev still does not garner much respect from craft beer enthusiasts. The company still dominates the overall beer market, but to attract new drinkers it needs more craft beer brands.
Craft Brew Alliance is the smallest of the bunch and the most speculative. The company’s brands are still not as well known as a Sam Adams from Boston Beer. The company needs to spend a lot more on marketing to attract new customers. With Anheuser-Busch InBev taking a stake, I think it’s inevitable that one day they’ll be bought out.
Mark Yagalla has no position in any stocks mentioned. The Motley Fool recommends Boston Beer. The Motley Fool owns shares of Boston Beer.
The article Summer Time and Beer Go Together originally appeared on Fool.com and is written by Mark Yagalla.
Mark is a member of The Motley Fool Blog Network — entries represent the personal opinion of the blogger and are not formally edited.
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