JPMorgan Chase & Co. Cuts Constellation Brands (NYSE:STZ) Price Target to $133.00

Constellation Brands (NYSE:STZ) had its price target cut by JPMorgan Chase & Co. from $165.00 to $133.00 in a report issued on Friday morning,Benzinga reports. They currently have a neutral rating on the stock.

A number of other research firms have also commented on STZ. Barclays reduced their price objective on shares of Constellation Brands from $132.00 to $122.00 and set an “equal weight” rating on the stock in a research note on Tuesday, September 22nd. Sanford C. Bernstein restated an “outperform” rating and issued a $197.00 target price (down from $305.00) on shares of Constellation Brands in a report on Wednesday, July 1st. Wells Fargo & Company cut their price target 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. Needham & Company LLC reiterated a “buy” rating and set a $185.00 price target on shares of Constellation Brands in a report on Thursday, July 2nd. Finally, Evercore set a $160.00 price target on Constellation Brands in a report on Monday, September 21st. Twelve 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 company’s stock. According to MarketBeat, the stock currently has a consensus rating of “Hold” and an average price target of $160.14.

Constellation Brands Stock Performance

Constellation Brands stock opened at $113.71 on Friday. The business has a 50 day moving average of $128.79 and a 200-day moving average of $140.47. The company has a market capitalization of $19.42 billion, a P/E ratio of 10.85, a P/E/G ratio of 2.25 and a beta of 0.41. Constellation Brands has a 1 year low of $113.33 and a 1 year high of $168.60. The company has a debt-to-equity ratio of 1.06, a current ratio of 0.91 and a quick ratio of 0.48.

Constellation Brands (NYSE:STZ) last posted 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 for the quarter, compared to analyst estimates of $2.39 billion. During the same quarter in the prior year, the business earned $3.22 earnings per share. The firm’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. On average, equities research analysts predict that Constellation Brands will post 11.84 earnings per share for the current year.

Constellation Brands Dividend Announcement

The company also recently declared a quarterly dividend, which was paid on Thursday, August 13th. Shareholders of record on Thursday, July 30th were issued a $1.03 dividend. The ex-dividend date was Thursday, July 30th. This represents a $4.12 annualized dividend and a yield of 3.6%. Constellation Brands’s dividend payout ratio is presently 39.31%.

Institutional Investors Weigh In On Constellation Brands

A number of hedge funds have recently added to or reduced their stakes in STZ. Junto Capital Management LP acquired a new position in shares of Constellation Brands during the second quarter worth approximately $21,683,000. Engineers Gate Manager LP bought a new position in shares of Constellation Brands in the 2nd quarter worth $1,645,000. Cidel Asset Management Inc. grew its position in Constellation Brands by 12.2% in the 2nd quarter. Cidel Asset Management Inc. now owns 1,921 shares of the company’s stock valued at $267,000 after purchasing an additional 209 shares during the period. Integrated Wealth Concepts LLC grew its position in Constellation Brands by 11.4% in the 2nd quarter. Integrated Wealth Concepts LLC now owns 10,631 shares of the company’s stock valued at $1,479,000 after purchasing an additional 1,090 shares during the period. Finally, NewEdge Advisors LLC grew its position in Constellation Brands by 8.4% in the 2nd quarter. NewEdge Advisors LLC now owns 33,106 shares of the company’s stock valued at $4,605,000 after purchasing an additional 2,552 shares during the period. Institutional investors and hedge funds own 77.34% of the company’s stock.

Key Constellation Brands News

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.