Should You Go For This US Penny Stock -BRCC

Acrobull UK Advisory Services Ltd.

January 07			2025
Name	Ticker	Sector/Industry		Market Cap	Risk Factor
BRCC Inc.	BRCC-NASDAQ	Consumer Cyclical		$648.77 Million	Medium

BRCc Inc., through its subsidiaries, purchases, roasts, and sells coffee, coffee accessories, and branded apparel in the United States. The company also produces media content, as well as sells coffee brewing equipment, and outdoor and lifestyle gear. It supports active military, veterans, and first responders.

Recent Highlights

Oversold Conditions- The company’s stock has gone through massive fluctuation in recent weeks and hence is at a position where the position can be taken.

We expect the company stock to recover and report better financial results in the next quarter.

Third Quarter 2024 Financial Highlights

Third quarter 2024 revenue decreased 2.3% to $98.2 million from $100.5 million in the third quarter of 2023. Wholesale revenue increased 3.5% to $63.7 million in the third quarter of 2024 from $61.5 million in the third quarter of 2023

Revenue from Black Rifle Coffee shops ("Outposts") decreased 11.4% to $5.5 million in the third quarter of 2024 from $6.2 million in the third quarter of 2023.

Gross profit increased to $41.3 million in the third quarter of 2024 from $34.1 million in the third quarter of 2023, an increase of 21.4% year over year, with gross margin increasing 820 basis points to 42.1% from 33.9% for the third quarter of 2023.

Marketing expenses increased 22.4% to $10.1 million in the third quarter of 2024 from $8.3 million in the third quarter of 2023.

Stock Observation- The company financial performance has been excellent and is poised for further future growth, the RSI level for the stock is at 40 which shows massive oversold conditions. Customers looking for high growth blue chip stock may choose to invest in it.

Risk Involved- Financial performance of the company may have an impact on the company stock performance.

Considering all the factors and financials of the company Acrobull UK maintains Buy Rating for the stock.

Disclaimer- Though our research is fundamentally and technically based on Acrobull UK only provides general advice on the stocks and it is imperative for the investors to do the risk assessment for themselves before investing as Acrobull UK would not be liable for any loss or profit arising out through the investment made by the investors on our recommendations.

It is also advisable for the investors to consult with Financial Advisor, Broker or to seek any legal assistance as the research conducted by Acrobull UK is factually based and recommendations are given in accordance with that, but it is imperative to understand that Acrobull UK does not guarantee returns.

Acrobull UK Recommendation Based on Evaluation

Current Market Price	$3.05 USD
Acrobull Recommendation	Buy
Target Price	Target $3.35 USD
RSI Level	14 Day RSI 40
Total Shares Outstanding	1.62 Billion
Shares held by Insiders Risk Factor Stop Loss	21.71% Medium 5%