Eastside Distilling Inc. [NASDAQ: EAST] closed the trading session at $2.73 on 02/09/21. The day’s price range saw the stock hit a low of $1.8981, while the highest price level was $3.29. The company report on February 8, 2021 that Eastside Distilling, Inc. Increases Liquidity and Plans for Profitable Growth with the Termination of the Redneck Riviera Spirits® License.
Eastside Distilling, Inc. (“Eastside” or the “Company”) (NASDAQ: EAST) announced it has completed the termination of the Amended and Restated License Agreement, as amended, with Rich Marks, LLC and John D. Rich TISA Trust U/A/D March 27 2018, collectively (“Rich Marks”), and has sold certain assets to Redneck Spirits Group, LLC (“RSG”). The Company received net proceeds of approximately $7.8 million. The transaction encompasses the Redneck Riviera products including Redneck Riviera Whiskey®, Granny Rich Reserve®, and Howdy Dew! ®, finished and dry goods as well as a portion of the Redneck Riviera barrel stock.
The divestiture of Redneck Riviera is a significant milestone in the planned transformation of Eastside Distilling and impacts its strategy in several aspects: (1) the Company has now shifted to a portfolio of fully owned and operated spirits brands, (2) the spirits portfolio will move to more premiumization, (3) the distribution strategy will change to focus “up and down the street” with our three-tier national distributor network and (4) the Company focus on whiskey will shift to artisanal products. In addition, the divestiture has several significant economic implications as well: (1) the Company fiscal cash burn rate will be reduced, (2) the whiskey barrel inventory will be reduced by 50% or 4,000 barrels, (3) the Company will increase its cash balance and (4) overall Live Oak debt will decrease by $4.0 million.
The stocks have a year to date performance of 113.28 percent and weekly performance of 85.71 percent. The stock has been moved at 123.77 percent over the last six months. The stock has performed 97.83 percent around the most recent 30 days and changed 96.40 percent over the most recent 3-months.
If compared to the average trading volume of 202.12K shares, EAST reached to a volume of 8958459 in the most recent trading day, which is why market watchdogs consider the stock to be active.
Here’s what leading stock market gurus have to say about Eastside Distilling Inc. [EAST]:
The Average True Range (ATR) for Eastside Distilling Inc. is set at 0.23, with the Price to Sales ratio for EAST stock in the period of the last 12 months amounting to 1.65. The Price to Book ratio for the last quarter was 30.33, with the Price to Cash per share for the same quarter was set at 0.11.
EAST stock trade performance evaluation
Eastside Distilling Inc. [EAST] gain into the green zone at the end of the last week, gaining into a positive trend and gaining by 85.71. With this latest performance, EAST shares gained by 97.83% in over the last four-week period, additionally plugging by 123.77% over the last 6 months – not to mention a drop of -25.82% in the past year of trading.
Overbought and oversold stocks can be easily traced with the Relative Strength Index (RSI), where an RSI result of over 70 would be overbought, and any rate below 30 would indicate oversold conditions. An RSI rate of 50 would represent a neutral market momentum. The current RSI for EAST stock in for the last two-week period is set at 86.96, with the RSI for the last a single of trading hit 91.76, and the three-weeks RSI is set at 82.15 for Eastside Distilling Inc. [EAST]. The present Moving Average for the last 50 days of trading for this stock 1.46, while it was recorded at 1.83 for the last single week of trading, and 1.42 for the last 200 days.
Eastside Distilling Inc. [EAST]: An insightful look at the core fundamentals
Operating Margin for any stock indicates how profitable investing would be, and Eastside Distilling Inc. [EAST] shares currently have an operating margin of -85.16 and a Gross Margin at +24.11. Eastside Distilling Inc.’s Net Margin is presently recorded at -108.41.
Return on Total Capital for EAST is now -65.49, given the latest momentum, and Return on Invested Capital for the company is -88.38. Return on Equity for this stock declined to -129.64, with Return on Assets sitting at -54.35. When it comes to the capital structure of this company, Eastside Distilling Inc. [EAST] has a Total Debt to Total Equity ratio set at 126.08. Additionally, EAST Total Debt to Total Capital is recorded at 55.77, with Total Debt to Total Assets ending up at 25.78. Long-Term Debt to Equity for the company is recorded at 94.68, with the Long-Term Debt to Total Capital now at 41.88.
Reflecting on the efficiency of the workforce at the company, Eastside Distilling Inc. [EAST] managed to generate an average of -$189,979 per employee. Receivables Turnover for the company is 13.05 with a Total Asset Turnover recorded at a value of 0.50.Eastside Distilling Inc.’s liquidity data is similarly interesting compelling, with a Quick Ratio of 0.10 and a Current Ratio set at 0.40.
Earnings per share (EPS) analysis for Eastside Distilling Inc. [EAST] stock
With the latest financial reports released by the company, Eastside Distilling Inc. posted -0.78/share EPS, while the average EPS was predicted by analysts to be reported at -0.26/share. When compared, the two values demonstrate that the company fail the estimates by a Surprise Factor of -200.00%. The progress of the company may be observed through the prism of EPS growth rate, while Wall Street analysts are focusing on predicting the 5-year EPS growth rate for EAST.
Eastside Distilling Inc. [EAST]: Insider Ownership positions
There are presently around $6 million, or 24.20% of EAST stock, in the hands of institutional investors. The top three institutional holders of EAST stocks are: QUAD CAPITAL MANAGEMENT ADVISORS LLC with ownership of 797,258, which is approximately New of the company’s market cap and around 3.20% of the total institutional ownership; ROYCE & ASSOCIATES LP, holding 472,225 shares of the stock with an approximate value of $1.29 million in EAST stocks shares; and ARS INVESTMENT PARTNERS, LLC, currently with $0.98 million in EAST stock with ownership of nearly 0% of the company’s market capitalization.
Positions in Eastside Distilling Inc. stocks held by institutional investors increased at the end of April and at the time of the April reporting period, where 4 institutional holders increased their position in Eastside Distilling Inc. [NASDAQ:EAST] by around 812,651 shares. Additionally, 9 investors decreased positions by around 340,512 shares, while 6 investors held positions by with 1,082,502 shares. The mentioned changes placed institutional holdings at 2,235,665 shares, according to the latest SEC report filing. EAST stock had 2 new institutional investments in for a total of 812,258 shares, while 3 institutional investors sold positions of 16,595 shares during the same period.