Reed's, Inc (REED) Fair Value & Analysis

Consumer Defensive · US · Market cap $16.0M

Below-average quality, and screening another 28% overvalued on our models.

What matters now

• The price sits above even our optimistic bull case ($0.7700). The favourable scenario is already priced in.
• Weak quality (28/100) and above fair value at the same time, the margin of safety is missing on both counts.
• A fairly wide model range ($0.4000 to $0.7700) leaves room in how you read the outcome.
• Evidence is limited here (fewer models, shorter history), so the fair value is a rougher estimate than usual.

Price vs Fair Value (5 years)

White line = price, green steps = our fair value per fiscal year, dashed = 300-day average. As of Jul 24, 2026.

How to read this chart

60‑month range $0.7688 – $432.00 · fair‑value band $0.4000 – $0.7700 · the $0.8499 price screens above the $0.6100 fair value. Dashed = 300-day average. As of Jul 24, 2026.

Full chart & analysis →

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Analysis

Reed's, Inc (REED) currently trades at $0.8499, while our model-based Fair Value estimate is $0.6100, implying the stock looks roughly 28.2% overvalued today. The Quality Score stands at 28/100 (below-average quality), in the Consumer Defensive sector. Bear case: priced above our estimate, the market already discounts strong expectations. Bull case: above-average quality can justify a premium, the entry price still matters most (evidence: low).

Over the trailing twelve months, Reed's, Inc generated revenue of $31.2M at a net margin of -65.0%. Revenue declined 28.8% year over year. Fundamentals as of Jul 24, 2026

Our scenario range runs from $0.4000 (bear case) to $0.7700 (bull case); at $0.8499, the current price sits above that range. Bear and bull are the same models run on conservative and optimistic assumptions (margins, growth, valuation multiples), so a plausible valuation range, not a price target. For context, the median of 10 Consumer Defensive peers we cover trades at -14% fair-value upside, at -28%, REED screens richer than that median.

Fair Value models

Each model estimates fair value its own way; the Fair Value above is the evidence-weighted blend. Evidence (0–100) measures how completely this model’s inputs are available: well-fed models carry more weight in the blend. The spread across models is intentional, each one stresses a different value driver; dividend models, for instance, come out structurally low when payout is small.

Key figures & financial health

Quality Score breakdown

About the company

Reed's, Inc. engages in the manufacture and distribution of natural beverages in the United States and the Asia-Pacific region. The company offers reed's craft ginger beer; reed's real ginger ales; reed's ready to drink; reed's functional soda; flying cauldron soda; and virgil's handcrafted sodas.

Full company description

Reed's, Inc. engages in the manufacture and distribution of natural beverages in the United States and the Asia-Pacific region. The company offers reed's craft ginger beer; reed's real ginger ales; reed's ready to drink; reed's functional soda; flying cauldron soda; and virgil's handcrafted sodas. It sells its products to natural food and gourmet retailers, grocery store chains, mass merchants, club stores, convenience and drug stores, liquor stores, industrial cafeterias, and on-premise bars and restaurants, as well as directly to consumers through its website, Amazon, and third party e-commerce retailers; and Reed's and Virgil's brand names. The company was formerly known as Original Beverage Corporation and changed its name to Reed's, Inc. in 2001. Reed's, Inc. was founded in 1987 and is headquartered in Norwalk, Connecticut.

Company description, as reported by the company or data provider.

Revenue & earnings trend

FY2021 – FY2025 · reported fiscal years

Reed's, Inc reported revenue of $34.1M in FY2025 versus $49.6M in FY2021, a compound −9.0%/yr. Reported net income was −$15.8M in FY2025.

REED screens 28% overvalued. Compare with The Coca-Cola Company →

Peer Group

Beverages - Non-Alcoholic · 92 stocks

How this stock ranks against its industry: the green marker is this stock, the band is the typical 25–75% peer range, and the tick is the median.

Valuation Multiples vs Beverages - Non-Alcoholic median · lower = cheaper

Snowflake

Five quick dimensions, each 0 to 100: VALUE (fair-value potential), FUTURE (revenue growth), PAST (return on equity), HEALTH (low debt), DIVIDEND (yield). Green = this stock, grey = typical sector peer.

VALUE 0: the price sits above our fair-value range.

Insider activity: 30/100

Values & ESG

Does this company touch areas you may want to avoid? The classification is inferred from sector and industry.

ESG scores are not available for this stock yet. Values and ESG data are contextual and can differ between providers.

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Frequently asked questions

How we calculate Fair Value

Each company is valued through a stack of independent intrinsic-value models (DCF variants, residual-income, multiples and more), blended into one family-balanced consensus and weighted by how much trustworthy data backs it. A separate quality layer scores the fundamentals. Every input is real reported data, nothing guessed.