The coronavirus pandemic had come as a massive blow to most industries of the world and things were no different for the worldwide liquor industry as supply chain issues brought things to a quagmire.
That being said, the worst is behind and the industry is slowly but surely making its way back as bars, pubs, restaurants and other establishments that serve alcohol are reopening. As it happens, the industry is clawing back faster than many of the other industries and there are many adult beverage stocks that could be on the verge of an upswing. Here is a look at five such stocks.
Rogue Baron Plc (OTCMKTS:SHNJF) – The first one that could be worth looking into at this point in time is the SHNJF stock, which expects to eventually hit the milestone of selling 10000 cases annually. If that target is hit then the company would generate revenues of $50 million.
At this point in time, the company sells 3000 cases on an annual basis and if it can raise it by 7000 cases then it would work out to 0.1% of the annual United States liquor market growth. The demand for premium Japanese whiskey is growing at a fast clip as well and that is another factor that is expected to work in favor of Rogue . It may be a good idea for investors to consider adding the stock to their watch lists at this point.
Iconic Brands Inc (OTCMKTS:ICNB) – The next one to consider among adult beverage companies is Iconic Brands Inc, which is best known for the development and delivery of both non-alcoholic and alcoholic beverages. In this regard, it ought to be mentioned that the company also has a fully owned subsidiary unity named TopPop, which is regarded as a market leader in low-calorie ready-to-drink products. It makes ready-to-freeze and ready-to-drink beverages which are then offered in stand-up pouches, which are both flexible and sustainable.
In addition to that, the subsidiary has also managed to make headway into the alcoholic ice-pop market as well as the ‘cocktails to go’ products. It may be a good time to start tracking the Iconic Brands’ stock.
Eastside Distilling Inc (NASDAQ:EAST) – Established in 2008 and based out of Portland, Oregon, Eastside Distilling Inc has been involved in the production of premium award-winning craft spirits. Additionally, the company’s fully owned subsidiary unit Craft Canning + Printing had been providing its services to the craft beverage industry based out of the Pacific Northwest.
Yesterday, the Eastside Distilling stock was however in a free fall and tanked by as much as 12% amidst a selloff despite there being no news about the company. Back on June 3, the company had been in the news after it emerged that Craft Canning + Printing had gone into an asset purchase agreement as well as a services agreement with the Aprch Beverage Co. Aprch is a manufacturer of wellness beverages.
Ambev SA (NYSE:ABEV) – Ambev SA is the biggest beer brewer in Brazil and remains one of the companies that may make a comeback in a big way this year. Hence, it is one of the stocks that finds its place on this list.
As it happens, back on April 13, the company’s Chief Executive Officer Jean JereissatiNeto had made a telling announcement that may have come as a big positive for investors. Neto noted that the demand for beer was going to go up this year and lead to a good year for Ambev. He noted that the bars and pubs had opened up again and people were returning to them.
On top of that, the soccer World Cup, later on, this year would also work as a major positive trigger for beer sales.
Willamette Valley Vineyards Inc (NASDAQ:WVVI) – In the past month, the Willamette Valley Vineyards Inc stock has been in the middle of a selloff and has gone down by as much as 12%. However, it would be interesting to see if it can realize its potential and eventually manage to bounce back.
It was in the news back on May 12, after it emerged that Willamette Valley Vineyards had suffered a loss after having decided to pay preferred dividends to the tune of $0.11 and $0.05 for the periods that had ended on March 2022 and March 2021 respectively.
