Why Zevia (ZVIA) Shares Are Falling Today

What Happened?

Shares of beverage company Zevia jumped 6.6% in the morning session after Telsey Advisory Group issued a positive "Outperform" rating on the stock. This rating indicated that the advisory firm's analysts expected Zevia's stock to perform better than the overall market. Such a positive outlook from a financial firm often boosts investor confidence in a company's prospects. This can lead to increased buying activity from investors, which helped push the share price higher.

What Is The Market Telling Us

Zevia’s shares are extremely volatile and have had 41 moves greater than 5% over the last year. In that context, today’s move indicates the market considers this news meaningful but not something that would fundamentally change its perception of the business.

The biggest move we wrote about over the last year was 8 months ago when the stock gained 44.6% on the news that the company reported strong first quarter 2025 results which significantly beat analysts' EBITDA expectations and saw EPS outperform Wall Street's estimates. Sales dipped 2% year over year, but volumes stayed flat and pricing remained stable, helped by expanded shelf space at Walmart and offset by reduced exposure to the club channel and one mass retail customer. Zooming out, we think this was a solid print.

Zevia is flat since the beginning of the year, and at $2.02 per share, it is trading 58.3% below its 52-week high of $4.83 from January 2025. Investors who bought $1,000 worth of Zevia’s shares at the IPO in July 2021 would now be looking at an investment worth $147.62.

As the Q3 earnings season wraps, let’s dig into this quarter’s best and worst performers in the beverages, alcohol, and tobacco industry, including Vita Coco and its peers.

These companies' performance is influenced by brand strength, marketing strategies, and shifts in consumer preferences. Changing consumption patterns are particularly relevant and can be seen in the rise of cannabis, craft beer, and vaping or the steady decline of soda and cigarettes. Companies that spend on innovation to meet consumers where they are with regards to trends can reap huge demand benefits while those who ignore trends can see stagnant volumes. Finally, with the advent of the social media, the cost of starting a brand from scratch is much lower, meaning that new entrants can chip away at the market shares of established players.

The 14 beverages, alcohol, and tobacco stocks we track reported a strong Q3. As a group, revenues beat analysts’ consensus estimates by 2.4% while next quarter’s revenue guidance was in line.

In light of this news, share prices of the companies have held steady as they are up 3.9% on average since the latest earnings results.

Vita Coco

Founded in 2004 followed by a 2021 IPO, The Vita Coco Company offers coconut water products that are a natural way to quench thirst.

Vita Coco reported revenues of $182.3 million, up 37.2% year on year. This print exceeded analysts’ expectations by 15.2%. Overall, it was an exceptional quarter for the company with an impressive beat of analysts’ EBITDA estimates.

Vita Coco pulled off the biggest analyst estimates beat of the whole group. Unsurprisingly, the stock is up 23.6% since reporting and currently trades at $52.23.

We think Vita Coco is a good business, but is it a buy today? Read our full report here, it’s free.

Best Q3: Celsius

With its proprietary MetaPlus formula as the basis for key products, Celsius offers energy drinks that feature natural ingredients to help in fitness and weight management.

Celsius reported revenues of $725.1 million, up 173% year on year, outperforming analysts’ expectations by 1.2%. The business had an exceptional quarter with a beat of analysts’ EPS and EBITDA estimates.

Celsius scored the fastest revenue growth among its peers. Although it had a fine quarter compared its peers, the market seems unhappy with the results as the stock is down 11.6% since reporting. It currently trades at $53.60.

Weakest Q3: Altria

Best known for its Marlboro brand of cigarettes, Altria offers tobacco and nicotine products.

Altria reported revenues of $5.25 billion, down 1.7% year on year, falling short of analysts’ expectations by 1.3%. It was a slower quarter as it posted a significant miss of analysts’ gross margin estimates and a slight miss of analysts’ revenue estimates.

The stock is flat since the results and currently trades at $61.69.

Read our full analysis of Altria’s results here.

Keurig Dr Pepper

Born out of a 2018 merger between Keurig Green Mountain and Dr Pepper Snapple, Keurig Dr Pepper is a consumer staples powerhouse boasting a portfolio of beverages including sodas, coffees, and juices.

Keurig Dr Pepper reported revenues of $4.31 billion, up 10.7% year on year. This result surpassed analysts’ expectations by 3.8%. Aside from that, it was a satisfactory quarter as it also produced a solid beat of analysts’ revenue estimates but a slight miss of analysts’ gross margin estimates.

The stock is up 2.8% since reporting and currently trades at $27.92.

Read our full, actionable report on Keurig Dr Pepper here, it’s free.

Zevia

With a primary focus on soda but also a presence in energy drinks and teas, Zevia is a better-for-you beverage company.

Zevia reported revenues of $40.84 million, up 12.3% year on year. This number topped analysts’ expectations by 3.7%. Overall, it was an exceptional quarter as it also logged EBITDA guidance for next quarter exceeding analysts’ expectations and an impressive beat of analysts’ EBITDA estimates.

Zevia scored the highest full-year guidance raise among its peers. The stock is down 17.6% since reporting and currently trades at $1.95.

Read our full, actionable report on Zevia here, it’s free.

Wrapping up Q3 earnings, we look at the numbers and key takeaways for the beverages, alcohol, and tobacco stocks, including PepsiCo and its peers.

These companies' performance is influenced by brand strength, marketing strategies, and shifts in consumer preferences. Changing consumption patterns are particularly relevant and can be seen in the rise of cannabis, craft beer, and vaping or the steady decline of soda and cigarettes. Companies that spend on innovation to meet consumers where they are with regards to trends can reap huge demand benefits while those who ignore trends can see stagnant volumes. Finally, with the advent of the social media, the cost of starting a brand from scratch is much lower, meaning that new entrants can chip away at the market shares of established players.

The 14 beverages, alcohol, and tobacco stocks we track reported a strong Q3. As a group, revenues beat analysts’ consensus estimates by 2.3% while next quarter’s revenue guidance was in line.

In light of this news, share prices of the companies have held steady as they are up 3% on average since the latest earnings results.

PepsiCo

With a history that goes back more than a century, PepsiCo is a household name in food and beverages today and best known for its flagship soda.

PepsiCo reported revenues of $23.94 billion, up 2.7% year on year. This print was in line with analysts’ expectations, but overall, it was a mixed quarter for the company with revenue in line with analysts’ estimates but a slight miss of analysts’ organic revenue estimates.

Interestingly, the stock is up 8.5% since reporting and currently trades at $150.59.

Read our full report on PepsiCo here, it’s free for active Edge members.

Best Q3: Celsius

With its proprietary MetaPlus formula as the basis for key products, Celsius offers energy drinks that feature natural ingredients to help in fitness and weight management.

Celsius reported revenues of $725.1 million, up 173% year on year, outperforming analysts’ expectations by 1.2%. The business had an exceptional quarter with a beat of analysts’ EPS estimates and a solid beat of analysts’ EBITDA estimates.

Celsius achieved the fastest revenue growth among its peers. Although it had a fine quarter compared its peers, the market seems unhappy with the results as the stock is down 27.8% since reporting. It currently trades at $43.79.

Is now the time to buy Celsius? Access our full analysis of the earnings results here, it’s free for active Edge members.

Weakest Q3: Altria

Best known for its Marlboro brand of cigarettes, Altria offers tobacco and nicotine products.

Altria reported revenues of $5.25 billion, down 1.7% year on year, falling short of analysts’ expectations by 1.3%. It was a slower quarter as it posted a significant miss of analysts’ gross margin estimates and a slight miss of analysts’ revenue estimates.

As expected, the stock is down 5% since the results and currently trades at $58.88.

Read our full analysis of Altria’s results here.

Keurig Dr Pepper

Born out of a 2018 merger between Keurig Green Mountain and Dr Pepper Snapple, Keurig Dr Pepper is a consumer staples powerhouse boasting a portfolio of beverages including sodas, coffees, and juices.

Keurig Dr Pepper reported revenues of $4.31 billion, up 10.7% year on year. This number surpassed analysts’ expectations by 3.8%. Zooming out, it was a satisfactory quarter as it also logged an impressive beat of analysts’ revenue estimates but a slight miss of analysts’ gross margin estimates.

The stock is up 8.7% since reporting and currently trades at $29.53.

Read our full, actionable report on Keurig Dr Pepper here, it’s free for active Edge members.

Zevia

With a primary focus on soda but also a presence in energy drinks and teas, Zevia is a better-for-you beverage company.

Zevia reported revenues of $40.84 million, up 12.3% year on year. This result beat analysts’ expectations by 3.7%. It was an exceptional quarter as it also produced EBITDA guidance for next quarter exceeding analysts’ expectations and a solid beat of analysts’ EBITDA estimates.

Zevia pulled off the highest full-year guidance raise among its peers. The stock is up 10.8% since reporting and currently trades at $2.62.

Read our full, actionable report on Zevia here, it’s free for active Edge members.

As the craze of earnings season draws to a close, here’s a look back at some of the most exciting (and some less so) results from Q2. Today, we are looking at beverages, alcohol, and tobacco stocks, starting with Boston Beer .

These companies' performance is influenced by brand strength, marketing strategies, and shifts in consumer preferences. Changing consumption patterns are particularly relevant and can be seen in the rise of cannabis, craft beer, and vaping or the steady decline of soda and cigarettes. Companies that spend on innovation to meet consumers where they are with regards to trends can reap huge demand benefits while those who ignore trends can see stagnant volumes. Finally, with the advent of the social media, the cost of starting a brand from scratch is much lower, meaning that new entrants can chip away at the market shares of established players.

The 15 beverages, alcohol, and tobacco stocks we track reported a strong Q2. As a group, revenues beat analysts’ consensus estimates by 2.2% while next quarter’s revenue guidance was in line.

While some beverages, alcohol, and tobacco stocks have fared somewhat better than others, they have collectively declined. On average, share prices are down 4.1% since the latest earnings results.

Boston Beer

Known for its flavorful beverages challenging the status quo, Boston Beer is a pioneer in craft brewing and a symbol of American innovation in the alcoholic beverage industry.

Boston Beer reported revenues of $587.9 million, up 1.5% year on year. This print was in line with analysts’ expectations, and overall, it was an exceptional quarter for the company with an impressive beat of analysts’ EBITDA estimates and a solid beat of analysts’ adjusted operating income estimates.

“We are encouraged by our strong gross margin and earnings performance in the first half of 2025 and the positive consumer response to our Sun Cruiser innovation,” said President and CEO Michael Spillane.

Unsurprisingly, the stock is down 4.4% since reporting and currently trades at $192.90.

Is now the time to buy Boston Beer? Access our full analysis of the earnings results here, it’s free for active Edge members.

Best Q2: Celsius

With its proprietary MetaPlus formula as the basis for key products, Celsius offers energy drinks that feature natural ingredients to help in fitness and weight management.

Celsius reported revenues of $725.1 million, up 173% year on year, outperforming analysts’ expectations by 1.2%. The business had an exceptional quarter with a beat of analysts’ EPS estimates and an impressive beat of analysts’ EBITDA estimates.

Celsius delivered the fastest revenue growth among its peers. Although it had a fine quarter compared its peers, the market seems unhappy with the results as the stock is down 35.3% since reporting. It currently trades at $39.26.

Is now the time to buy Celsius? Access our full analysis of the earnings results here, it’s free for active Edge members.

Weakest Q2: Altria

Best known for its Marlboro brand of cigarettes, Altria offers tobacco and nicotine products.

Altria reported revenues of $5.25 billion, down 1.7% year on year, falling short of analysts’ expectations by 1.3%. It was a slower quarter as it posted a significant miss of analysts’ gross margin estimates and a slight miss of analysts’ revenue estimates.

As expected, the stock is down 6.3% since the results and currently trades at $58.08.

Read our full analysis of Altria’s results here.

Zevia

With a primary focus on soda but also a presence in energy drinks and teas, Zevia is a better-for-you beverage company.

Zevia reported revenues of $40.84 million, up 12.3% year on year. This print surpassed analysts’ expectations by 3.7%. Overall, it was an exceptional quarter as it also produced EBITDA guidance for next quarter exceeding analysts’ expectations and an impressive beat of analysts’ EBITDA estimates.

Zevia had the weakest full-year guidance update among its peers. The stock is up 10.8% since reporting and currently trades at $2.61.

Read our full, actionable report on Zevia here, it’s free for active Edge members.

Anheuser-Busch

Born out of a complicated web of mergers and acquisitions, Anheuser-Busch InBev boasts a powerhouse beer portfolio of Budweiser, Stella Artois, Corona, and local favorites around the world.

Anheuser-Busch reported revenues of $15.13 billion, flat year on year. This number missed analysts’ expectations by 0.6%. Taking a step back, it was a mixed quarter as it also logged a decent beat of analysts’ EBITDA estimates but a slight miss of analysts’ revenue estimates.

The stock is down 2% since reporting and currently trades at $60.21.

Read our full, actionable report on Anheuser-Busch here, it’s free for active Edge members.

The end of the earnings season is always a good time to take a step back and see who shined (and who not so much). Let’s take a look at how beverages, alcohol, and tobacco stocks fared in Q3, starting with Celsius .

These companies' performance is influenced by brand strength, marketing strategies, and shifts in consumer preferences. Changing consumption patterns are particularly relevant and can be seen in the rise of cannabis, craft beer, and vaping or the steady decline of soda and cigarettes. Companies that spend on innovation to meet consumers where they are with regards to trends can reap huge demand benefits while those who ignore trends can see stagnant volumes. Finally, with the advent of the social media, the cost of starting a brand from scratch is much lower, meaning that new entrants can chip away at the market shares of established players.

The 14 beverages, alcohol, and tobacco stocks we track reported a strong Q3. As a group, revenues beat analysts’ consensus estimates by 2.3% while next quarter’s revenue guidance was in line.

While some beverages, alcohol, and tobacco stocks have fared somewhat better than others, they have collectively declined. On average, share prices are down 3.3% since the latest earnings results.

Best Q3: Celsius

With its proprietary MetaPlus formula as the basis for key products, Celsius offers energy drinks that feature natural ingredients to help in fitness and weight management.

Celsius reported revenues of $725.1 million, up 173% year on year. This print exceeded analysts’ expectations by 1.2%. Overall, it was an exceptional quarter for the company with a beat of analysts’ EPS estimates and an impressive beat of analysts’ EBITDA estimates.

John Fieldly, Chairman and CEO of Celsius Holdings, said: “The third quarter marked another important step in Celsius Holdings’ transformation in a year full of growth catalysts. We strengthened our long-term partnership with PepsiCo and united CELSIUS, Alani Nu, and Rockstar Energy under one total energy portfolio. Combined, our brands grew nearly twice as fast as the U.S. energy drink category, driven by Alani Nu’s incredible momentum and improving trends for our core CELSIUS brand. Limited-time offerings across the portfolio also performed exceptionally well - support for our belief that innovation and consumer engagement continue to power our growth. With a broader portfolio, a deeper leadership bench, and the reach of PepsiCo’s system, we’re operating from a position of strength and staying focused on building sustainable growth for the long term.”

Celsius achieved the fastest revenue growth of the whole group. Investor expectations, however, were likely higher than Wall Street’s published projections, leaving some wishing for even better results (analysts’ consensus estimates are those published by big banks and advisory firms, not the investors who make buy and sell decisions). The stock is down 33.9% since reporting and currently trades at $40.12.

We think Celsius is a good business, but is it a buy today? Read our full report here, it’s free for active Edge members.

Vita Coco

Founded in 2004 followed by a 2021 IPO, The Vita Coco Company offers coconut water products that are a natural way to quench thirst.

Vita Coco reported revenues of $182.3 million, up 37.2% year on year, outperforming analysts’ expectations by 15.2%. The business had an exceptional quarter with a solid beat of analysts’ EBITDA estimates and an impressive beat of analysts’ adjusted operating income estimates.

Vita Coco delivered the biggest analyst estimates beat among its peers. The market seems happy with the results as the stock is up 8.1% since reporting. It currently trades at $45.65.

Is now the time to buy Vita Coco? Access our full analysis of the earnings results here, it’s free for active Edge members.

Weakest Q3: Altria

Best known for its Marlboro brand of cigarettes, Altria offers tobacco and nicotine products.

Altria reported revenues of $5.25 billion, down 1.7% year on year, falling short of analysts’ expectations by 1.3%. It was a slower quarter as it posted a significant miss of analysts’ gross margin estimates and a slight miss of analysts’ revenue estimates.

As expected, the stock is down 6.1% since the results and currently trades at $58.17.

Read our full analysis of Altria’s results here.

Constellation Brands

With a presence in more than 100 countries, Constellation Brands is a globally renowned producer and marketer of beer, wine, and spirits.

Constellation Brands reported revenues of $2.48 billion, down 15% year on year. This result surpassed analysts’ expectations by 0.5%. It was a satisfactory quarter as it also recorded a decent beat of analysts’ organic revenue estimates.

The stock is down 5.7% since reporting and currently trades at $130.88.

Read our full, actionable report on Constellation Brands here, it’s free for active Edge members.

Zevia

With a primary focus on soda but also a presence in energy drinks and teas, Zevia is a better-for-you beverage company.

Zevia reported revenues of $40.84 million, up 12.3% year on year. This number topped analysts’ expectations by 3.7%. It was an exceptional quarter as it also put up EBITDA guidance for next quarter exceeding analysts’ expectations and an impressive beat of analysts’ EBITDA estimates.

Zevia had the weakest full-year guidance update among its peers. The stock is up 5.9% since reporting and currently trades at $2.50.

Read our full, actionable report on Zevia here, it’s free for active Edge members.

Zevia’s third quarter was marked by a significant positive market reaction, reflecting the company’s ability to drive double-digit revenue growth and outperform Wall Street’s expectations. Management attributed the momentum to marketing campaigns that resonated with consumers, new product launches like Strawberry Lemon Burst, and expanded distribution, particularly in large retail partners such as Walmart and club channels. CEO Amy Taylor emphasized that, "our initiatives are positioning us for durable growth," and highlighted that proprietary survey data showed double-digit gains in both brand consideration and purchase intent.

Is now the time to buy ZVIA? Find out in our full research report (it’s free for active Edge members).

Zevia (ZVIA) Q3 CY2025 Highlights:

• Revenue: $40.84 million vs analyst estimates of $39.39 million (12.3% year-on-year growth, 3.7% beat)
• Adjusted EPS: -$0.04 vs analyst estimates of -$0.05 ($0.01 beat)
• Adjusted EBITDA: -$1.72 million vs analyst estimates of -$3.57 million (-4.2% margin, 51.7% beat)
• Revenue Guidance for Q4 CY2025 is $40 million at the midpoint, roughly in line with what analysts were expecting
• EBITDA guidance for the full year is $5.25 million at the midpoint, above analyst estimates of -$8.8 million
• Operating Margin: -7%, up from -8.2% in the same quarter last year
• Sales Volumes rose 12.6% year on year, in line with the same quarter last year
• Market Capitalization: $182 million

While we enjoy listening to the management's commentary, our favorite part of earnings calls are the analyst questions. Those are unscripted and can often highlight topics that management teams would rather avoid or topics where the answer is complicated. Here is what has caught our attention.

Our Top 5 Analyst Questions From Zevia’s Q3 Earnings Call

• James Salera (Stephens Inc.) inquired about the impact of Walmart Canada expansion on the sales outlook. CEO Amy Taylor clarified it is a positive indicator but not the primary growth driver for the near term, suggesting broader distribution and product innovation are more significant contributors.

• James Salera (Stephens Inc.) also asked about the timing and rollout of new packaging. Taylor explained the full transition will occur in early 2026, with a rolling launch rather than a hard cutover.

• Sarang Vora (Telsey Advisory Group) questioned household penetration drivers and new customer demographics. Taylor detailed gains in millennial families and noted the category’s 20% penetration versus Zevia’s 5%, indicating substantial runway.

• Sarang Vora (Telsey Advisory Group) followed up on the energy drinks segment. Taylor stated the company’s focus remains on soda, but acknowledged potential for energy drinks growth in the future, particularly after establishing stronger brand recognition in soda.

• Andrew Strelzik (BMO Capital Markets) asked about seasonality trends and baseline revenue expectations for the next year. CFO Girish Satya attributed the improved baseline to distribution gains and incremental club channel opportunities, rather than reduced seasonality.

Catalysts in Upcoming Quarters

In the coming quarters, the StockStory team will monitor (1) the effectiveness of new packaging and flavor rollouts in driving consumer trial and repeat purchases; (2) Zevia’s ability to sustain margin improvements despite ongoing aluminum tariff pressures and marketing investments; and (3) further gains in household penetration and shelf space, particularly in key retail and club channels. Performance in the convenience channel and the pace of expansion in Canada will also be important indicators.

Zevia currently trades at $2.72, up from $2.36 just before the earnings. Is the company at an inflection point that warrants a buy or sell? The answer lies in our full research report (it’s free for active Edge members).

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