Constellation Brands (NYSE:STZ) Earns "Buy" Rating from TD Cowen

Key Points

• TD Cowen reaffirmed a Buy rating on Constellation Brands and set a $174 price target, implying about 18.6% upside from the prior close.
• Other analysts remain generally constructive: recent updates from firms like Morgan Stanley, JPMorgan, Evercore, and RBC kept ratings around Neutral/Outperform while raising or maintaining price targets. Overall, Wall Street’s consensus is still a Moderate Buy with an average target of $173.
• Constellation Brands traded up 1.6% to $146.71 and reported quarterly earnings of $1.90 per share, beating estimates of $1.71. Revenue also came in above expectations, though sales were down 11.3% year over year.

Constellation Brands (NYSE:STZ - Get Free Report)'s stock had its "buy" rating reaffirmed by equities research analysts at TD Cowen in a research report issued to clients and investors on Friday,Benzinga reports. They currently have a $174.00 target price on the stock. TD Cowen's price target would indicate a potential upside of 18.60% from the stock's previous close.

A number of other analysts have also recently issued reports on STZ. Morgan Stanley increased their price objective on Constellation Brands from $160.00 to $183.00 and gave the stock an "equal weight" rating in a report on Friday, April 10th. JPMorgan Chase & Co. upped their target price on Constellation Brands from $168.00 to $169.00 and gave the company a "neutral" rating in a report on Thursday. Weiss Ratings reiterated a "hold (c-)" rating on shares of Constellation Brands in a research report on Monday, May 4th. Evercore set a $175.00 target price on shares of Constellation Brands and gave the company an "outperform" rating in a report on Friday, April 10th. Finally, Royal Bank Of Canada reissued an "outperform" rating and issued a $185.00 target price on shares of Constellation Brands in a report on Friday, April 10th. One investment analyst has rated the stock with a Strong Buy rating, eleven have assigned a Buy rating, eight have given a Hold rating and two have given a Sell rating to the stock. According to data from MarketBeat, the stock presently has an average rating of "Moderate Buy" and an average target price of $173.00.

Constellation Brands Trading Up 1.6%

NYSE:STZ traded up $2.26 during mid-day trading on Friday, hitting $146.71. 766,060 shares of the company's stock were exchanged, compared to its average volume of 2,253,193. The company has a 50 day simple moving average of $147.23 and a 200-day simple moving average of $150.32. 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 has a fifty-two week low of $126.45 and a fifty-two week high of $178.13. The firm has a market capitalization of $25.26 billion, a P/E ratio of 15.31, a PEG ratio of 4.20 and a beta of 0.39.

Constellation Brands (NYSE:STZ - Get Free Report) last issued its quarterly earnings results on Wednesday, April 8th. The company reported $1.90 earnings per share for the quarter, topping analysts' consensus estimates 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 during the quarter, compared to the consensus estimate of $1.84 billion. During the same period last year, the business posted $2.63 EPS. The business's revenue was down 11.3% compared to the same quarter last year. As a group, research analysts expect that Constellation Brands will post 11.84 earnings per share for the current year.

Insider Buying and Selling

In other Constellation Brands news, EVP James O. Bourdeau sold 4,407 shares of the firm's stock in a transaction that occurred on Tuesday, May 12th. The shares were sold at an average price of $143.24, for a total transaction of $631,258.68. Following the sale, the executive vice president owned 9,109 shares in the company, valued at approximately $1,304,773.16. This trade represents a 32.61% decrease in their position. The transaction was disclosed in a legal filing with the Securities & Exchange Commission, which is accessible through the SEC website. Insiders own 12.20% of the company's stock.

Institutional Inflows and Outflows

Hedge funds have recently bought and sold shares of the company. MV Capital Management Inc. purchased a new position in Constellation Brands in the 4th quarter worth approximately $26,000. Stance Capital LLC bought a new stake in shares of Constellation Brands during the third quarter valued at approximately $26,000. Strive Financial Group LLC purchased a new position in shares of Constellation Brands in the fourth quarter worth $27,000. GoalVest Advisory LLC bought a new position in shares of Constellation Brands during the fourth quarter worth $28,000. Finally, Cedar Mountain Advisors LLC bought a new position in shares of Constellation Brands during the first quarter worth $33,000. Institutional investors own 77.34% of the company's stock.

Constellation Brands News Summary

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

• Positive Sentiment: Needham & Company reaffirmed its Buy rating on Constellation Brands and set a $185 price target, implying meaningful upside from current levels. Needham reaffirms Buy on Constellation Brands with $185 target
• Positive Sentiment: JPMorgan also nudged its price target higher to $169 while keeping a Neutral stance, which adds to the view that Wall Street sees some further upside ahead of earnings. JPMorgan raises price target on Constellation Brands
• Positive Sentiment: Investor attention is building ahead of Constellation Brands’ first-quarter earnings report on June 30, with previews pointing to expected earnings growth and ongoing beer momentum as key positives. Constellation Brands Q1 earnings preview
• Neutral Sentiment: Analyst previews note that cost pressures and broader demand concerns could temper results, so the upcoming earnings release may be a key catalyst depending on whether STZ beats expectations. Analyst preview of Constellation Brands earnings

About Constellation Brands

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.

This instant news alert was generated by narrative science technology and financial data from MarketBeat in order to provide readers with the fastest reporting and unbiased coverage. Please send any questions or comments about this story to contact@marketbeat.com.