Constellation Brands, Inc. (NYSE:STZ) Given Average Recommendation of “Moderate Buy” by Brokerages

Constellation Brands, Inc. (NYSE:STZ) has earned a consensus rating of “Moderate Buy” from the twenty ratings firms that are covering the firm, MarketBeat reports. Two investment analysts have rated the stock with a hold rating and eighteen have assigned a buy rating to the company. The average 1-year target price among analysts that have issued a report on the stock in the last year is $298.55.

A number of analysts have recently weighed in on the company. Wedbush reiterated an “outperform” rating and set a $300.00 target price on shares of Constellation Brands in a research report on Wednesday, April 10th. Royal Bank of Canada upped their price objective on Constellation Brands from $295.00 to $308.00 and gave the stock an “outperform” rating in a research report on Friday, April 12th. Bank of America upped their price objective on Constellation Brands from $290.00 to $300.00 and gave the stock a “buy” rating in a research report on Monday, March 18th. Evercore ISI upped their price objective on Constellation Brands from $300.00 to $310.00 and gave the stock an “outperform” rating in a research report on Friday, April 12th. Finally, Jefferies Financial Group upped their price objective on Constellation Brands from $292.00 to $314.00 and gave the stock a “buy” rating in a research report on Friday, April 12th.

Constellation Brands Stock Performance

NYSE:STZ opened at $253.46 on Friday. The stock has a fifty day moving average price of $260.31 and a 200-day moving average price of $248.46. The company has a market cap of $46.34 billion, a price-to-earnings ratio of 27.02, a PEG ratio of 1.76 and a beta of 0.97. The company has a debt-to-equity ratio of 1.06, a quick ratio of 0.53 and a current ratio of 1.19. Constellation Brands has a fifty-two week low of $221.81 and a fifty-two week high of $274.87.

Constellation Brands (NYSE:STZ) last released its earnings results on Thursday, April 11th. The company reported $2.26 earnings per share for the quarter, beating analysts’ consensus estimates of $2.10 by $0.16. The firm had revenue of $2.14 billion during the quarter, compared to the consensus estimate of $2.09 billion. Constellation Brands had a return on equity of 23.06% and a net margin of 16.13%. The company’s revenue was up 7.1% compared to the same quarter last year. During the same period in the prior year, the company posted $1.98 EPS. As a group, equities analysts anticipate that Constellation Brands will post 13.51 EPS for the current fiscal year.

Constellation Brands Increases Dividend

The business also recently declared a quarterly dividend, which will be paid on Friday, May 17th. Stockholders of record on Friday, May 3rd will be paid a $1.01 dividend. This is a boost from Constellation Brands’s previous quarterly dividend of $0.89. The ex-dividend date of this dividend is Thursday, May 2nd. This represents a $4.04 annualized dividend and a dividend yield of 1.59%. Constellation Brands’s dividend payout ratio is presently 37.95%.

Insider Activity

In other news, EVP James A. Jr. Sabia sold 15,781 shares of the stock in a transaction dated Friday, April 12th. The stock was sold at an average price of $263.63, for a total value of $4,160,345.03. Following the completion of the sale, the executive vice president now owns 20,910 shares of the company’s stock, valued at $5,512,503.30. The sale was disclosed in a legal filing with the SEC, which is available at this link. In other news, EVP James A. Jr. Sabia sold 15,781 shares of the stock in a transaction dated Friday, April 12th. The stock was sold at an average price of $263.63, for a total value of $4,160,345.03. Following the completion of the sale, the executive vice president now owns 20,910 shares of the company’s stock, valued at $5,512,503.30. The sale was disclosed in a legal filing with the SEC, which is available at this link. Also, CEO William A. Newlands sold 4,013 shares of the firm’s stock in a transaction that occurred on Friday, April 19th. The stock was sold at an average price of $263.25, for a total value of $1,056,422.25. Following the sale, the chief executive officer now directly owns 5,395 shares of the company’s stock, valued at approximately $1,420,233.75. The disclosure for this sale can be found here. Insiders own 16.19% of the company’s stock.

Institutional Investors Weigh In On Constellation Brands

Several large investors have recently added to or reduced their stakes in STZ. Norges Bank acquired a new stake in Constellation Brands during the fourth quarter worth approximately $443,844,000. Darsana Capital Partners LP grew its stake in Constellation Brands by 288.9% during the third quarter. Darsana Capital Partners LP now owns 875,000 shares of the company’s stock worth $219,914,000 after purchasing an additional 650,000 shares during the period. Boston Partners acquired a new stake in Constellation Brands during the fourth quarter worth approximately $156,358,000. International Assets Investment Management LLC grew its stake in Constellation Brands by 24,922.5% during the fourth quarter. International Assets Investment Management LLC now owns 567,010 shares of the company’s stock worth $137,075,000 after purchasing an additional 564,744 shares during the period. Finally, Charles Schwab Investment Management Inc. grew its stake in Constellation Brands by 38.3% during the fourth quarter. Charles Schwab Investment Management Inc. now owns 1,403,495 shares of the company’s stock worth $335,402,000 after purchasing an additional 388,390 shares during the period. Institutional investors and hedge funds own 77.34% of the company’s stock.

About Constellation Brands

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.