Boston Beer (SAM), reeling from weak volume trends, is likely to see continued pressure despite robust gross margin initiatives and mix benefits from its new ready-to-drink brand, Sun Cruiser, RBC Capital Markets said in a note emailed Friday.

RBC, keeping a cautious stance, said the company's shares have outperformed recently, primarily due to sector rotation and slightly better beverage alcohol performance, but fundamentals remain challenging.

The brokerage projects improvement in the beverage alcohol category, one of the weakest in 2025, but expects difficult trends to persist in 2026. Early 2026 performance benefited from easy comparisons, the impact of winter storms, reduced pricing and a softer dry January, according to the note.

RBC sees the company potentially increasing its advertising and promotion spending to drive volume recovery, which could dampen the earnings per share outlook.

The investment firm also expects the Sun Cruiser brand to be a major push for Boston Beer in 2026, it added.

RBC kept a sector perform rating and price target of $245.

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