Goldman Small Cap Research Publishes New Research Report on Splash Beverage Group, Inc.

Rhea-AI Summary

Goldman Small Cap Research has released a research report on Splash Beverage Group, Inc. (NASDAQ:SBEV), showcasing the company's potential for growth. Headquartered in Florida, SBEV is expanding its diverse beverage portfolio, which includes brands like Copa di Vino and SALT. The report emphasizes a predicted revenue increase from $11M in 2021 to $30.7M in 2023. Despite a strong sales growth forecast of 52.8%, SBEV's P/S ratio remains low at 1.4x compared to the industry average of 5x, indicating significant investment potential.

Positive

• Sales forecast to grow from $11M in 2021 to $30.7M in 2023, marking a 52.8% growth rate.
• Strong sales growth of 73% reported from 3Q21 to 3Q22.
• SBEV's P/S ratio is only 1.4x, significantly lower than the 5x average of its peers, indicating potential for share price increase.
• Management has a track record of building brands that generated billions in sales.

Negative

• None.

BALTIMORE, MD / ACCESSWIRE / November 16, 2022 / Goldman Small Cap Research, a stock market research firm specializing in the small cap and microcap sectors, announced today that it has published a new research report on Splash Beverage Group, Inc. (NASDAQ:SBEV), an innovator in the beverage industry with a diverse alcoholic and non-alcoholic brand portfolio. The report carries a price target. To view the new research report, along with disclosures and disclaimers, or to download the report in its entirety, please visit https://bit.ly/3TKkeN0.

Headquartered in Florida, Splash Beverage Group, Inc. is an emerging player in the beverage industry. Its popular beverage brands include Copa di Vino wine by the glass, SALT flavored tequilas, Pulpoloco sangria, and TapouT performance hydration and recovery drink. Splash's strategy is to rapidly develop early-stage brands already in its portfolio as well as acquire and then accelerate brands that have high visibility or are innovators in their categories. Led by a management team that has built and managed some of the top brands in the beverage industry and led sales from product launch into the billions, Splash is rapidly expanding its brand portfolio and global distribution.

In the Opportunity Research report, analyst Rob Goldman reviews the Company's competitive positioning, strategic and operational inflection points, and the potential future impact of these events on the Company and its valuation.

Overlooked Positioning, Growth Opportunities to Drive Valuation

Goldman commented, "Fast-growing, yet undervalued SBEV appears poised to enjoy a meaningful rise in share price and market value in 2023. Sales rose by 73% from 3Q21 to 3Q22, with continued strong gains forecasted ahead, but the stock is assigned a paltry 1.4x P/S ratio on FY23E projected sales, a big discount to the average 5x Price/Sales multiple assigned its peer group."

SBEV Leveraging Leadership's Prior Successes

"Management is replicating prior successes leading major brands that generated billions in annual sales. This strategy fosters the acquisition of core brands leading to diverse distribution and broad customer adoption," according to Goldman. The Company's approach could lead to industry-leading sales growth with solid gross margins based on potential product mixes. Plus, as product mix shifts and cross-sales occur, other costs could decline.as a percentage of revenue. Meanwhile, innovative niche brands and ecommerce including a general beverage and groceries B2B and B2C website are driving sales. A wine by the glass, flavored tequila, fruity sangria, and a Drew Brees ambassador-led performance drink are SBEV's core beverage offerings."

SBEV One of Industry's Fastest-Growing Players

"Our forecasts include revenue growing from $11M in 2021 to $19.4M in 2022 and to $30.7M in 2023. Our FY23E sales growth estimate represents a 52.8% top-line growth rate as compared with 9.7% for SBEV's peer group. Thus, our target reflects a similar Price/Sales multiple as the peer group members, despite the substantially higher growth rate," Goldman noted.

About Goldman Small Cap Research: Founded in 2009 by former Piper Jaffray analyst and mutual fund manager Rob Goldman, Goldman Small Cap Research produces sponsored and non-sponsored small cap and microcap stock research reports, articles, stock market blogs, and popular investment newsletters.

Goldman Small Cap Research is not in any way affiliated with Goldman Sachs & Co.

This press release contains excerpts of our most recently published company report on Splash Beverage Group, Inc. ("The Company"). The information used and statements of fact made have been obtained from sources considered reliable but we neither guarantee nor represent the completeness or accuracy. Goldman Small Cap Research relied solely upon information derived from Splash Beverage Group, Inc. The information includes authorized press releases or legal disclosures made in their filings with the U.S. Securities and Exchange Commission http://www.sec.gov.

Separate from the factual content of our update about the Company, we may from time to time include our own opinions about the Company, its business, markets, and opportunities. Any opinions we may offer about the Company are solely our own, and are made in reliance upon our rights under the First Amendment to the U.S. Constitution, and are provided solely for the general opinionated discussion of our readers. Our opinions should not be considered to be complete, precise, accurate, or current investment advice. Statements herein may contain forward-looking statements and are subject to significant risks and uncertainties affecting results.

A Goldman Small Cap Research report, update, newsletter, article, trading alert, corporate profile, sector or industry snapshot, podcast interview, or press release is not intended as an offering, recommendation, or a solicitation of an offer to buy or sell the securities mentioned or discussed and is to be used for informational purposes only. Please read all associated full disclosures, disclaimers, and analyst background on our website before investing. Neither Goldman Small Cap Research nor its parent is a registered investment adviser or broker-dealer with FINRA or any other regulatory agency. A Speculative Buy rating for our covered companies is defined as a company that we believe exhibits the potential to generate outsized returns despite inherent, above-average business, market, or financial risk. To download this research report, or any of our research, view our disclosures and disclaimers, or for more information, visit www.goldmanresearch.com. In 2022, Goldman Small Cap Research (GSCR) was compensated by a third party in the amount of $4000 for a research report production and a press release.

Goldman Small Cap Research
Rob Goldman, Analyst
410-609-7100
rob@goldmanresearch.com

SOURCE: Goldman Small Cap Research

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FAQ

What is the revenue growth forecast for Splash Beverage Group (SBEV) in 2023?

The revenue growth forecast for Splash Beverage Group (SBEV) in 2023 is estimated to reach $30.7 million.

How much did SBEV's sales increase from 3Q21 to 3Q22?

SBEV's sales increased by 73% from 3Q21 to 3Q22.

What is the projected P/S ratio for SBEV compared to its peers?

SBEV's projected P/S ratio is 1.4x, significantly lower than the 5x average of its peer group.

What brands are included in Splash Beverage Group's portfolio?

SBEV's portfolio includes Copa di Vino, SALT flavored tequilas, Pulpoloco sangria, and TapouT performance drinks.

Who published the new research report on Splash Beverage Group?

The new research report on Splash Beverage Group was published by Goldman Small Cap Research.