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

Shares of Constellation Brands Inc (NYSE:STZ) have received a consensus recommendation of “Moderate Buy” from the twenty-two research firms that are currently covering the company, Marketbeat reports. Two research analysts have rated the stock with a sell recommendation, seven have issued a hold recommendation, twelve have assigned a buy recommendation and one has assigned a strong buy recommendation to the company. The average 1-year price objective among brokerages that have updated their coverage on the stock in the last year is $175.2632.

Several research firms have recently commented on STZ. JPMorgan Chase & Co. boosted their price target on shares of Constellation Brands from $155.00 to $163.00 and gave the company a “neutral” rating in a report on Wednesday, April 1st. Roth Mkm reissued a “buy” rating on shares of Constellation Brands in a report on Thursday, April 9th. Needham & Company LLC boosted their price objective on shares of Constellation Brands from $180.00 to $185.00 and gave the stock a “buy” rating in a research note on Friday, April 10th. Evercore set a $175.00 target price on Constellation Brands and gave the stock an “outperform” rating in a report on Friday, April 10th. Finally, UBS Group increased their target price on Constellation Brands from $176.00 to $186.00 and gave the company a “buy” rating in a research report on Friday, April 10th.

Constellation Brands Price Performance

Shares of STZ stock opened at $142.39 on Wednesday. Constellation Brands has a twelve month low of $126.45 and a twelve month high of $178.13. The stock has a market capitalization of $24.52 billion, a price-to-earnings ratio of 14.85, a P/E/G ratio of 3.48 and a beta of 0.39. The stock has a fifty day simple moving average of $149.71 and a two-hundred day simple moving average of $150.12. The company has a current ratio of 1.08, a quick ratio of 0.55 and a debt-to-equity ratio of 1.16.

Constellation Brands (NYSE:STZ) last announced its quarterly earnings results on Wednesday, April 8th. The company reported $1.90 EPS for the quarter, beating the consensus estimate of $1.71 by $0.19. Constellation Brands had a return on equity of 26.18% and a net margin of 17.29%.The firm had revenue of $1.92 billion for the quarter, compared to analyst estimates of $1.84 billion. During the same quarter last year, the firm posted $2.63 earnings per share. The business’s revenue for the quarter was down 11.3% on a year-over-year basis. On average, analysts predict that Constellation Brands will post 11.87 EPS for the current fiscal year.

Constellation Brands Increases Dividend

The business also recently announced a quarterly dividend, which was paid on Thursday, May 14th. Shareholders of record on Wednesday, April 29th were paid a $1.03 dividend. This represents a $4.12 annualized dividend and a yield of 2.9%. This is a boost from Constellation Brands’s previous quarterly dividend of $1.02. The ex-dividend date was Wednesday, April 29th. Constellation Brands’s payout ratio is presently 42.96%.

Insider Buying and Selling

In other Constellation Brands news, EVP James O. Bourdeau sold 4,407 shares of the business’s stock in a transaction dated Tuesday, May 12th. The shares were sold at an average price of $143.24, for a total value of $631,258.68. Following the completion of the transaction, the executive vice president directly owned 9,109 shares in the company, valued at approximately $1,304,773.16. The trade was a 32.61% decrease in their ownership of the stock. The sale was disclosed in a document filed with the SEC, which can be accessed through the SEC website. Corporate insiders own 12.20% of the company’s stock.

Institutional Inflows and Outflows

Large investors have recently modified their holdings of the company. Vanguard Group Inc. increased its position in shares of Constellation Brands by 3.3% during the third quarter. Vanguard Group Inc. now owns 18,202,611 shares of the company’s stock worth $2,451,346,000 after purchasing an additional 573,766 shares in the last quarter. Capital World Investors grew its stake in Constellation Brands by 8.3% during the 4th quarter. Capital World Investors now owns 7,238,575 shares of the company’s stock worth $998,740,000 after buying an additional 553,974 shares during the last quarter. State Street Corp grew its stake in Constellation Brands by 5.0% during the 4th quarter. State Street Corp now owns 6,911,369 shares of the company’s stock worth $953,492,000 after buying an additional 329,337 shares during the last quarter. Capital International Investors increased its position in Constellation Brands by 48.5% during the 4th quarter. Capital International Investors now owns 6,442,600 shares of the company’s stock valued at $888,930,000 after buying an additional 2,105,546 shares in the last quarter. Finally, Wellington Management Group LLP increased its position in Constellation Brands by 14.0% during the 4th quarter. Wellington Management Group LLP now owns 6,018,653 shares of the company’s stock valued at $830,333,000 after buying an additional 739,393 shares in the last quarter. Institutional investors own 77.34% of the company’s stock.

Constellation Brands Company Profile

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.