Constellation Brands (NYSE:STZ) Cut to “Sell” at StockNews.com

StockNews.com downgraded shares of Constellation Brands (NYSE:STZ) from a hold rating to a sell rating in a research report report published on Friday.

Several other equities analysts have also weighed in on the stock. Morgan Stanley lowered shares of Constellation Brands from an “overweight” rating to an “equal weight” rating and reduced their price objective for the company from $220.00 to $202.00 in a research report on Thursday, February 27th. Royal Bank of Canada reduced their price objective on shares of Constellation Brands from $293.00 to $289.00 and set an “outperform” rating for the company in a research report on Friday, March 7th. JPMorgan Chase & Co. restated a “neutral” rating and set a $203.00 price objective (down previously from $262.00) on shares of Constellation Brands in a research report on Monday, January 13th. Wells Fargo & Company reduced their price objective on shares of Constellation Brands from $295.00 to $275.00 and set an “overweight” rating for the company in a research report on Tuesday, January 7th. Finally, Piper Sandler lowered shares of Constellation Brands from an “overweight” rating to a “neutral” rating and reduced their price objective for the company from $245.00 to $200.00 in a research report on Monday, February 3rd. One analyst has rated the stock with a sell rating, ten have issued a hold rating and eleven have given a buy rating to the company. According to data from MarketBeat, Constellation Brands presently has a consensus rating of “Hold” and a consensus target price of $252.81.

Constellation Brands Stock Performance

Shares of STZ opened at $181.46 on Friday. The firm has a 50-day moving average price of $180.58 and a 200 day moving average price of $219.08. The firm has a market capitalization of $32.79 billion, a PE ratio of 48.78, a P/E/G ratio of 1.52 and a beta of 1.75. The company has a quick ratio of 0.46, a current ratio of 1.10 and a debt-to-equity ratio of 1.26. Constellation Brands has a 52-week low of $160.46 and a 52-week high of $274.87.

Constellation Brands (NYSE:STZ) last announced its earnings results on Friday, January 10th. The company reported $3.25 earnings per share (EPS) for the quarter, missing analysts’ consensus estimates of $3.33 by ($0.08). The company had revenue of $2.46 billion during the quarter, compared to the consensus estimate of $2.53 billion. Constellation Brands had a net margin of 6.27% and a return on equity of 26.55%. The business’s quarterly revenue was down .3% on a year-over-year basis. During the same quarter in the prior year, the company earned $3.19 EPS. On average, sell-side analysts anticipate that Constellation Brands will post 13.5 earnings per share for the current fiscal year.

Constellation Brands Dividend Announcement

The business also recently declared a quarterly dividend, which was paid on Friday, February 21st. Stockholders of record on Friday, February 7th were given a $1.01 dividend. This represents a $4.04 dividend on an annualized basis and a dividend yield of 2.23%. The ex-dividend date was Friday, February 7th. Constellation Brands’s dividend payout ratio (DPR) is 108.60%.

Insider Buying and Selling

In other news, Director William T. Giles acquired 1,000 shares of the company’s stock in a transaction that occurred on Friday, January 17th. The shares were purchased at an average price of $186.39 per share, for a total transaction of $186,390.00. Following the completion of the acquisition, the director now owns 1,463 shares of the company’s stock, valued at approximately $272,688.57. This represents a 215.98 % increase in their position. The purchase was disclosed in a document filed with the SEC, which can be accessed through this hyperlink. 12.19% of the stock is currently owned by corporate insiders.

Hedge Funds Weigh In On Constellation Brands

Hedge funds have recently added to or reduced their stakes in the company. Nations Financial Group Inc. IA ADV grew its holdings in Constellation Brands by 37.1% during the third quarter. Nations Financial Group Inc. IA ADV now owns 1,366 shares of the company’s stock valued at $352,000 after purchasing an additional 370 shares during the last quarter. Empower Advisory Group LLC grew its holdings in Constellation Brands by 8.2% during the third quarter. Empower Advisory Group LLC now owns 1,330 shares of the company’s stock valued at $343,000 after purchasing an additional 101 shares during the last quarter. Oppenheimer & Co. Inc. grew its holdings in Constellation Brands by 35.0% during the third quarter. Oppenheimer & Co. Inc. now owns 12,802 shares of the company’s stock valued at $3,299,000 after purchasing an additional 3,321 shares during the last quarter. Curi RMB Capital LLC grew its holdings in Constellation Brands by 30.5% during the third quarter. Curi RMB Capital LLC now owns 1,674 shares of the company’s stock valued at $431,000 after purchasing an additional 391 shares during the last quarter. Finally, Metis Global Partners LLC grew its holdings in Constellation Brands by 0.8% during the third quarter. Metis Global Partners LLC now owns 5,570 shares of the company’s stock valued at $1,435,000 after purchasing an additional 46 shares during the last quarter. Institutional investors and hedge funds own 77.34% of the company’s stock.

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.