Roth Capital Issues Pessimistic Forecast for STZ Earnings

Constellation Brands, Inc. (NYSE:STZ) – Investment analysts at Roth Capital decreased their FY2025 earnings estimates for Constellation Brands in a report issued on Thursday, January 16th. Roth Capital analyst W. Kirk now expects that the company will earn $13.45 per share for the year, down from their prior estimate of $13.73. Roth Capital currently has a “Buy” rating and a $284.00 price target on the stock. The consensus estimate for Constellation Brands’ current full-year earnings is $13.52 per share.

Several other equities analysts have also commented on STZ. Argus lowered shares of Constellation Brands from a “buy” rating to a “hold” rating in a research note on Tuesday, January 14th. StockNews.com lowered shares of Constellation Brands from a “hold” rating to a “sell” rating in a research note on Friday, January 17th. BMO Capital Markets dropped their price target on shares of Constellation Brands from $315.00 to $305.00 and set an “outperform” rating on the stock in a research note on Tuesday, October 15th. Truist Financial lowered their target price on shares of Constellation Brands from $255.00 to $190.00 and set a “hold” rating on the stock in a research report on Tuesday, January 14th. Finally, Bank of America restated a “neutral” rating and set a $255.00 target price (down from $300.00) on shares of Constellation Brands in a research report on Monday, October 7th. One investment analyst has rated the stock with a sell rating, eight have assigned a hold rating and thirteen have given a buy rating to the stock. Based on data from MarketBeat.com, the stock presently has an average rating of “Moderate Buy” and an average price target of $259.05.

Constellation Brands Stock Performance

Shares of Constellation Brands stock opened at $182.99 on Monday. The firm has a market capitalization of $33.07 billion, a P/E ratio of 49.19, a P/E/G ratio of 1.62 and a beta of 0.91. Constellation Brands has a 52 week low of $176.51 and a 52 week high of $274.87. The company has a quick ratio of 0.46, a current ratio of 1.10 and a debt-to-equity ratio of 1.26. The firm’s 50 day moving average is $225.70 and its two-hundred day moving average is $238.27.

Constellation Brands (NYSE:STZ) last released its earnings results on Friday, January 10th. The company reported $3.25 earnings per share for the quarter, missing analysts’ consensus estimates of $3.33 by ($0.08). Constellation Brands had a return on equity of 26.55% and a net margin of 6.27%. The firm had revenue of $2.46 billion for the quarter, compared to analysts’ expectations of $2.53 billion. During the same quarter in the previous year, the company posted $3.19 earnings per share. The firm’s quarterly revenue was down .3% on a year-over-year basis.

Institutional Inflows and Outflows

Hedge funds and other institutional investors have recently made changes to their positions in the company. Paloma Partners Management Co raised its stake in shares of Constellation Brands by 568.4% during the 3rd quarter. Paloma Partners Management Co now owns 30,000 shares of the company’s stock worth $7,731,000 after buying an additional 25,512 shares during the last quarter. Nomura Asset Management Co. Ltd. increased its position in Constellation Brands by 3.7% during the 3rd quarter. Nomura Asset Management Co. Ltd. now owns 84,204 shares of the company’s stock worth $21,699,000 after purchasing an additional 2,980 shares in the last quarter. Empowered Funds LLC increased its position in Constellation Brands by 318.8% during the 3rd quarter. Empowered Funds LLC now owns 10,184 shares of the company’s stock worth $2,624,000 after purchasing an additional 7,752 shares in the last quarter. WealthPlan Investment Management LLC increased its position in Constellation Brands by 29.5% during the 3rd quarter. WealthPlan Investment Management LLC now owns 30,160 shares of the company’s stock worth $7,772,000 after purchasing an additional 6,867 shares in the last quarter. Finally, Signature Estate & Investment Advisors LLC purchased a new stake in Constellation Brands in the 3rd quarter valued at about $2,132,000. Institutional investors and hedge funds own 77.34% of the company’s stock.

Insider Buying and Selling at Constellation Brands

In other Constellation Brands news, Director William T. Giles bought 1,000 shares of Constellation Brands stock in a transaction on Friday, January 17th. The stock was bought at an average price of $186.39 per share, with a total value of $186,390.00. Following the completion of the acquisition, the director now owns 1,463 shares in the company, valued at $272,688.57. The trade was a 215.98 % increase in their ownership of the stock. The purchase was disclosed in a legal filing with the Securities & Exchange Commission, which is available through this link. Also, CEO William A. Newlands sold 25,000 shares of the firm’s stock in a transaction on Thursday, November 14th. The shares were sold at an average price of $243.58, for a total value of $6,089,500.00. Following the completion of the sale, the chief executive officer now directly owns 7,274 shares of the company’s stock, valued at approximately $1,771,800.92. This trade represents a 77.46 % decrease in their position. The disclosure for this sale can be found here. Over the last quarter, insiders sold 69,172 shares of company stock valued at $16,778,841. 12.19% of the stock is owned by company insiders.

Constellation Brands Dividend Announcement

The firm also recently announced a quarterly dividend, which will be paid on Friday, February 21st. Shareholders of record on Friday, February 7th will be issued a $1.01 dividend. This represents a $4.04 dividend on an annualized basis and a yield of 2.21%. The ex-dividend date is Friday, February 7th. Constellation Brands’s dividend payout ratio (DPR) is currently 108.60%.

Constellation Brands Company Profile

Constellation Brands, Inc, together with its subsidiaries, produces, imports, markets, and sells beer, wine, and spirits in the United States, Canada, Mexico, New Zealand, and Italy. The company provides beer primarily under the Corona Extra, Corona Familiar, Corona Hard Seltzer, Corona Light, Corona Non-Alcoholic, Corona Premier, Corona Refresca, Modelo Especial, Modelo Chelada, Modelo Negra, Modelo Oro, Victoria, Vicky Chamoy, and Pacifico brands.