Constellation Brands (NYSE:STZ) Stock Price Down 6.2% – Time to Sell?

Constellation Brands Inc (NYSE:STZ) traded down 6.2% during trading on Monday . The stock traded as low as $131.35 and last traded at $130.5660. Approximately 635,500 shares changed hands during mid-day trading, a decline of 72% from the average daily volume of 2,231,391 shares. The stock had previously closed at $139.18.

Analyst Upgrades and Downgrades

A number of brokerages have recently commented on STZ. TD Cowen reissued a “buy” rating and set a $174.00 price objective on shares of Constellation Brands in a report on Wednesday, July 1st. Bank of America decreased their price target on shares of Constellation Brands from $152.00 to $145.00 and set an “underperform” rating on the stock in a research report on Thursday, July 2nd. UBS Group lowered their price objective on Constellation Brands from $186.00 to $175.00 and set a “buy” rating on the stock in a research report on Wednesday, June 17th. Piper Sandler reiterated a “neutral” rating and set a $160.00 target price on shares of Constellation Brands in a research report on Wednesday, July 1st. Finally, Weiss Ratings reissued a “hold (c-)” rating on shares of Constellation Brands in a research note on Friday, July 31st. Eleven investment analysts have rated the stock with a Buy rating, nine have assigned a Hold rating and two have issued a Sell rating to the stock. Based on data from MarketBeat, the stock presently has an average rating of “Hold” and a consensus target price of $167.53.

Constellation Brands Price Performance

The stock has a fifty day moving average of $135.81 and a 200-day moving average of $146.55. The firm has a market capitalization of $22.39 billion, a P/E ratio of 12.51, a PEG ratio of 4.33 and a beta of 1.75. The company has a quick ratio of 0.48, a current ratio of 0.91 and a debt-to-equity ratio of 1.06.

Constellation Brands (NYSE:STZ) last posted its quarterly earnings data on Tuesday, June 30th. The company reported $3.43 earnings per share for the quarter, missing the consensus estimate of $3.70 by ($0.27). The company had revenue of $2.43 billion during the quarter, compared to the consensus estimate of $2.39 billion. Constellation Brands had a return on equity of 25.58% and a net margin of 18.87%.The business’s revenue for the quarter was down 3.3% on a year-over-year basis. During the same quarter last year, the firm earned $3.22 EPS. Constellation Brands has set its FY 2027 guidance at 11.200-11.900 EPS. Equities analysts predict that Constellation Brands Inc will post 11.84 EPS for the current fiscal year.

Constellation Brands Announces Dividend

The company also recently declared a quarterly dividend, which was paid on Thursday, August 13th. Investors of record on Thursday, July 30th were given a $1.03 dividend. This represents a $4.12 dividend on an annualized basis and a dividend yield of 3.1%. The ex-dividend date was Thursday, July 30th. Constellation Brands’s dividend payout ratio (DPR) is currently 39.31%.

Institutional Inflows and Outflows

Hedge funds and other institutional investors have recently added to or reduced their stakes in the business. MV Capital Management Inc. bought a new stake in Constellation Brands during the 4th quarter worth about $26,000. Stance Capital LLC bought a new position in shares of Constellation Brands in the 3rd quarter valued at about $26,000. Strive Financial Group LLC acquired a new stake in shares of Constellation Brands in the fourth quarter valued at about $27,000. Elyxium Wealth LLC acquired a new stake in shares of Constellation Brands in the fourth quarter valued at about $33,000. Finally, Root Financial Partners LLC raised its holdings in Constellation Brands by 231.3% during the first quarter. Root Financial Partners LLC now owns 222 shares of the company’s stock worth $33,000 after acquiring an additional 155 shares in the last quarter. 77.34% of the stock is currently owned by institutional investors.

About Constellation Brands

Constellation Brands, Inc is a leading producer and marketer of beer, wine and spirits, with operations spanning production, importation, marketing and distribution. The company’s beverage portfolio includes a range of premium and mainstream wines and spirits alongside major imported beer brands; in the U.S. market Constellation is widely known for its role in bringing Mexican imports such as Corona and Modelo to American consumers. Constellation supplies retail, on‑premise and foodservice channels and supports its brands with national sales and marketing platforms and supply‑chain capabilities.

The company traces its roots to the Canandaigua Wine Company, founded by Marvin Sands in 1945, and evolved through organic growth and acquisition into a diversified beverage company.