Constellation Brands (NYSE:STZ) Stock Price Target Raised at JPMorgan Chase & Co.

Key Points

• JPMorgan raised Constellation Brands’ price target from $133 to $136 while maintaining a “neutral” rating, implying roughly 10% upside from the prior close.
• Analyst sentiment remains mixed: the stock has an average “Hold” rating and an average price target of $153.09, with recent target cuts from several firms despite Buy and Outperform ratings from others.
• Constellation exceeded quarterly expectations with $2.63 billion in revenue and $3.74 adjusted EPS, but investors remain concerned about weaker beer demand, below-consensus full-year guidance and potential margin pressure.

Constellation Brands (NYSE:STZ - Get Free Report) had its price objective raised by equities researchers at JPMorgan Chase & Co. from $133.00 to $136.00 in a report issued on Thursday, Benzinga reports. The firm currently has a "neutral" rating on the stock. JPMorgan Chase & Co.'s price objective points to a potential upside of 10.08% from the stock's previous close.

Several other brokerages have also weighed in on STZ. Morgan Stanley reaffirmed a "negative" rating on shares of Constellation Brands in a research report on Thursday. Needham & Company LLC dropped their price target on shares of Constellation Brands from $185.00 to $150.00 and set a "buy" rating on the stock in a research note on Thursday. Bank of America cut their price target on shares of Constellation Brands from $152.00 to $145.00 and set an "underperform" rating on the stock in a report on Thursday, July 2nd. Wells Fargo & Company decreased their price objective on shares of Constellation Brands from $170.00 to $140.00 and set an "overweight" rating for the company in a report on Monday. Finally, BMO Capital Markets reiterated an "outperform" rating on shares of Constellation Brands in a report on Thursday. Twelve analysts have rated the stock with a Buy rating, eight have assigned a Hold rating and four have issued a Sell rating to the stock. According to data from MarketBeat, the company presently has an average rating of "Hold" and an average price target of $153.09.

Constellation Brands Stock Up 4.4%

NYSE STZ traded up $5.16 on Thursday, reaching $123.55. The stock had a trading volume of 5,259,013 shares, compared to its average volume of 2,279,746. The company has a current ratio of 0.91, a quick ratio of 0.48 and a debt-to-equity ratio of 1.06. Constellation Brands has a 1 year low of $110.60 and a 1 year high of $168.60. The business has a 50 day moving average price of $126.03 and a 200 day moving average price of $138.41. The company has a market capitalization of $21.10 billion, a price-to-earnings ratio of 11.08, a P/E/G ratio of 2.30 and a beta of 0.44.

Constellation Brands (NYSE:STZ - Get Free Report) last posted its quarterly earnings results on Tuesday, October 6th. The company reported $3.74 earnings per share for the quarter, topping analysts' consensus estimates of $3.62 by $0.12. The company had revenue of $2.63 billion during the quarter, compared to the consensus estimate of $2.54 billion. Constellation Brands had a return on equity of 25.17% and a net margin of 19.57%.The business's quarterly revenue was up 6.1% on a year-over-year basis. During the same period last year, the business earned $3.63 EPS. Constellation Brands has set its FY 2027 guidance at 11.200-11.900 EPS. On average, analysts forecast that Constellation Brands will post 11.81 EPS for the current fiscal year.

Institutional Inflows and Outflows

Hedge funds and other institutional investors have recently bought and sold shares of the company. Van ECK Associates Corp grew its position in shares of Constellation Brands by 11.0% in the fourth quarter. Van ECK Associates Corp now owns 2,397,275 shares of the company's stock valued at $330,728,000 after purchasing an additional 237,073 shares during the last quarter. Dimensional Fund Advisors LP raised its stake in shares of Constellation Brands by 5.1% in the 1st quarter. Dimensional Fund Advisors LP now owns 1,826,652 shares of the company's stock valued at $274,029,000 after buying an additional 88,538 shares in the last quarter. Bank of America Corp DE lifted its stake in Constellation Brands by 9.5% during the first quarter. Bank of America Corp DE now owns 1,403,275 shares of the company's stock worth $210,491,000 after purchasing an additional 121,515 shares during the period. Arrowstreet Capital Limited Partnership boosted its holdings in Constellation Brands by 18.8% during the fourth quarter. Arrowstreet Capital Limited Partnership now owns 1,268,672 shares of the company's stock valued at $175,026,000 after purchasing an additional 200,555 shares in the last quarter. Finally, Bank of New York Mellon Corp grew its stake in shares of Constellation Brands by 4.0% in the 1st quarter. Bank of New York Mellon Corp now owns 1,042,651 shares of the company's stock valued at $156,398,000 after purchasing an additional 40,124 shares during the period. 77.34% of the stock is currently owned by institutional investors and hedge funds.

Key Headlines Impacting Constellation Brands

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

• Positive Sentiment: Constellation reported fiscal Q2 revenue of $2.63 billion, up 6.1% year over year and above the $2.54 billion analyst consensus. Comparable EPS of $3.74 also exceeded estimates of $3.62. Beer sales increased 5%, while wine and spirits sales rose 17%. STZ Q3 CY2026 Deep Dive
• Positive Sentiment: Management said September depletion trends improved beyond the Labor Day period, with healthier inventories, stronger marketing and gains from Pacifico, Victoria and Modelo Chelada. This increased investor confidence that fiscal 2027 earnings could approach the high end of the company’s $11.20-$11.90 comparable EPS outlook. September Depletion Improvement
• Positive Sentiment: Constellation agreed to acquire spirit-based ready-to-drink brand SpikedAde for $75 million upfront, with potential additional consideration. The deal expands exposure to faster-growing, convenience-oriented alcohol categories and supports the company’s portfolio diversification. SpikedAde Acquisition
• Positive Sentiment: Cash returns remain supportive: Constellation repurchased approximately $530 million of stock through September and declared a quarterly dividend of $1.03 per share.
• Neutral Sentiment: Analysts remain broadly constructive but lowered targets after the report. Needham cut its target to $150 while retaining a Buy rating, and Morgan Stanley reduced its target to $145 with an Equal Weight rating, reflecting valuation upside but continued execution risks.
• Negative Sentiment: The full-year revenue outlook of roughly $9 billion at the midpoint was below analyst expectations, while management’s comparable EPS guidance remained below the consensus midpoint. Investors also remain concerned about second-half margin pressure from marketing investments and other costs.
• Negative Sentiment: Underlying beer demand is not fully recovered: Modelo Especial depletions declined about 2% and Corona Extra declined about 5%. The durability of the turnaround remains uncertain as consumers seek value in a softer alcohol market.

About Constellation Brands

Constellation Brands, Inc is a beverage alcohol company that develops, markets and distributes beer, wine and spirits. Its portfolio includes well-known beer brands such as Modelo Especial, Corona Extra, Corona Light and Pacifico, along with wine brands including Robert Mondavi, Kim Crawford, Meiomi, The Prisoner Wine Company and Ruffino.

The company also offers spirits through brands such as Casa Noble tequila and High West whiskey. Constellation's products are sold through retailers, distributors, restaurants and other on-premise locations, with a primary focus on the United States.

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