
Shares of beverage company Zevia (NYSE:ZVIA) jumped 9.8% in the afternoon session after investors continued to bid up the company on its raised 2026 sales and earnings guidance from third-quarter results. The updated guidance indicated that the beverage business could reach breakeven adjusted EBITDA for the full year. Adjusted EBITDA, or earnings before interest, taxes, depreciation, and amortization, is a financial measure that evaluates core operating performance by excluding interest, taxes, depreciation, and amortization expenses. Zevia indicated that the potential to reach breakeven adjusted EBITDA was driven by reduced cost forecasts for aluminum and fuel.
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Zevia’s shares are extremely volatile and have had 37 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 previous big move we wrote about was 1 day ago when the stock gained 5.7% on the news that the company reported an 18.4% year-over-year increase in third-quarter net sales and raised its full-year financial outlook. According to a company press release, Zevia reported third-quarter net sales of $48.34 million, up 18.4% year over year, with a gross profit margin of 46.4%. Net sales exceeded analysts' expectations of $44.98 million by 7.5%. Zevia posted a net loss of $2.2 million, or $0.03 per share, alongside an adjusted EBITDA loss of $890,000, and raised its full-year 2026 outlook for net sales and adjusted EBITDA. The per-share loss narrowed from negative $0.04 in the prior-year period and came in $0.02 ahead of consensus estimates. Additionally, free cash flow improved to $1.35 million from negative $65,000 in the same quarter last year. The combination of double-digit top-line growth and upgraded full-year guidance appeared to bolster investor confidence.
Zevia is down 26.1% since the beginning of the year, and at $1.49 per share, it is trading 45.2% below its 52-week high of $2.71 from November 2025. Investors who bought $1,000 worth of Zevia’s shares 5 years ago would now be looking at only $123.24.
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