UBS Group Cuts Constellation Brands (NYSE:STZ) Price Target to $145.00

Constellation Brands (NYSE:STZ) had its target price reduced by UBS Group from $168.00 to $145.00 in a research note published on Wednesday morning, MarketBeat Ratings reports. They currently have a buy rating on the stock.

A number of other brokerages have also commented on STZ. Raymond James Financial set a $150.00 price objective on Constellation Brands in a research report on Thursday, September 17th. Roth Capital reiterated a “buy” rating and issued a $209.00 target price on shares of Constellation Brands in a report on Thursday, July 2nd. Evercore set a $160.00 price target on shares of Constellation Brands in a research report on Monday. Morgan Stanley decreased their price target on shares of Constellation Brands from $183.00 to $158.00 and set an “equal weight” rating for the company in a report on Thursday, July 2nd. Finally, Wells Fargo & Company lowered their price objective on shares of Constellation Brands from $185.00 to $170.00 and set an “overweight” rating on the stock in a research report on Monday, June 29th. Twelve analysts have rated the stock with a Buy rating, nine have issued a Hold rating and two have given a Sell rating to the company’s stock. Based on data from MarketBeat, the company has an average rating of “Hold” and a consensus price target of $160.14.

Constellation Brands Price Performance

Shares of NYSE:STZ opened at $113.71 on Wednesday. The company’s fifty day moving average is $128.79 and its two-hundred day moving average is $140.53. The company has a market cap of $19.42 billion, a P/E ratio of 10.85, a price-to-earnings-growth ratio of 2.26 and a beta of 0.41. Constellation Brands has a 12-month low of $113.33 and a 12-month high of $168.60. 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 issued its earnings results on Tuesday, June 30th. The company reported $3.43 EPS for the quarter, missing the consensus estimate of $3.70 by ($0.27). Constellation Brands had a return on equity of 25.58% and a net margin of 18.87%.The business had revenue of $2.43 billion during the quarter, compared to analyst estimates of $2.39 billion. During the same period last year, the business earned $3.22 EPS. The business’s quarterly revenue was down 3.3% on a year-over-year basis. Constellation Brands has set its FY 2027 guidance at 11.200-11.900 EPS. Equities analysts expect that Constellation Brands will post 11.84 earnings per share for the current fiscal year.

Constellation Brands Announces Dividend

The firm also recently declared a quarterly dividend, which was paid on Thursday, August 13th. Stockholders of record on Thursday, July 30th were issued a dividend of $1.03 per share. The ex-dividend date was Thursday, July 30th. This represents a $4.12 dividend on an annualized basis and a dividend yield of 3.6%. Constellation Brands’s dividend payout ratio (DPR) is currently 39.31%.

Institutional Investors Weigh In On Constellation Brands

Large investors have recently bought and sold shares of the business. MV Capital Management Inc. bought a new stake in shares of Constellation Brands during the 4th quarter worth about $26,000. Cedar Mountain Advisors LLC bought a new position in shares of Constellation Brands in the first quarter valued at approximately $33,000. Root Financial Partners LLC lifted its stake in shares of Constellation Brands by 231.3% in the first quarter. Root Financial Partners LLC now owns 222 shares of the company’s stock worth $33,000 after buying an additional 155 shares during the last quarter. Continuum Advisory LLC acquired a new stake in shares of Constellation Brands in the second quarter worth $33,000. Finally, Ascentis Independent Advisors acquired a new stake in shares of Constellation Brands in the first quarter worth $37,000. 77.34% of the stock is currently owned by institutional investors.

Key Headlines Impacting Constellation Brands

Here are the key news stories impacting Constellation Brands this week:

• Neutral Sentiment: JPMorgan lowered its price target from $165 to $133 while maintaining a “neutral” rating. The new target still implies approximately 17% potential upside, but the sizable reduction signals more cautious expectations for Constellation Brands’ growth. JPMorgan lowers Constellation Brands price target
• Neutral Sentiment: Industry commentary from a Barclays conference focused on cost reduction, freight expenses and demand forecasting among food manufacturers. While not specific to STZ, the discussion highlights ongoing supply-chain and consumer-demand challenges facing beverage companies. Food manufacturers discuss supply chain tactics
• Negative Sentiment: BNP Paribas Exane cut its price target from $115 to $110 and downgraded STZ to “underperform,” implying additional downside based on the quoted share price. Analysts lower Constellation Brands expectations
• Negative Sentiment: Analysts expect second-quarter EPS to decline to roughly $3.56, despite projected revenue growth to $2.54 billion. The October 6 earnings report is therefore a key near-term catalyst, particularly after the company recently missed quarterly EPS estimates and reported year-over-year revenue contraction. Constellation Brands second-quarter earnings outlook
• Negative Sentiment: UBS Group and Barclays also lowered their expectations for STZ, adding to a broad wave of analyst caution and reinforcing concerns about slowing demand and limited near-term earnings momentum. UBS cuts Constellation Brands price target

About Constellation Brands

Constellation Brands, Inc (NYSE: STZ) is a beverage alcohol company that produces, markets and distributes beer, wine and spirits. Its portfolio includes well-known beer brands such as Corona Extra, Modelo Especial, Modelo Negra, Pacifico and Victoria, along with wine brands including Robert Mondavi, The Prisoner, Kim Crawford and Meiomi. Its spirits portfolio includes brands such as Casa Noble tequila and High West whiskey.

The company’s beer business is focused primarily on the United States, where Constellation markets and sells Mexican beer brands brewed by its production operations in Mexico.