Wells Fargo & Company Has Lowered Expectations for Constellation Brands (NYSE:STZ) Stock Price

Key Points

• Wells Fargo & Company has reduced its price target for Constellation Brands from $196.00 to $170.00, maintaining an "overweight" rating which suggests a potential upside of 12.11% from the current stock price.
• Other analysts have mixed recommendations, with Bank of America downgrading the stock to "underperform" with a $150.00 target, while Truist Financial upgraded it to "buy" with a new target of $215.00.
• Constellation Brands reported earnings of $3.22 per share, falling short of analyst expectations, and its revenue decreased by 5.5% compared to the previous year.

Constellation Brands (NYSE:STZ - Get Free Report) had its price target reduced by equities researchers at Wells Fargo & Company from $196.00 to $170.00 in a research report issued to clients and investors on Wednesday, Marketbeat Ratings reports. The brokerage presently has an "overweight" rating on the stock. Wells Fargo & Company's price objective points to a potential upside of 14.57% from the company's current price.

Several other brokerages also recently commented on STZ. Deutsche Bank Aktiengesellschaft reduced their target price on Constellation Brands from $191.00 to $185.00 and set a "hold" rating for the company in a research note on Thursday, June 5th. Wall Street Zen upgraded Constellation Brands from a "sell" rating to a "hold" rating in a research note on Tuesday, May 20th. Piper Sandler lifted their target price on Constellation Brands from $165.00 to $170.00 and gave the stock a "neutral" rating in a research note on Friday, June 6th. Raymond James Financial upgraded Constellation Brands to a "strong-buy" rating in a research note on Monday, July 7th. Finally, CJS Securities cut their price objective on shares of Constellation Brands from $196.00 to $194.00 in a research report on Monday, May 19th. One investment analyst has rated the stock with a Strong Buy rating, fourteen have assigned a Buy rating, eight have given a Hold rating and three have issued a Sell rating to the stock. According to MarketBeat.com, Constellation Brands has an average rating of "Moderate Buy" and an average target price of $194.36.

Constellation Brands Stock Performance

Shares of Constellation Brands stock traded up $2.50 during trading on Wednesday, hitting $148.38. 3,045,709 shares of the stock were exchanged, compared to its average volume of 2,209,589. The company has a current ratio of 1.07, a quick ratio of 0.68 and a debt-to-equity ratio of 1.30. The company has a fifty day moving average price of $167.18 and a 200-day moving average price of $175.24. The stock has a market capitalization of $26.16 billion, a price-to-earnings ratio of -62.08, a price-to-earnings-growth ratio of 0.44 and a beta of 0.67. Constellation Brands has a 1-year low of $144.81 and a 1-year high of $261.06.

Constellation Brands (NYSE:STZ - Get Free Report) last issued its earnings results on Tuesday, July 1st. The company reported $3.22 earnings per share (EPS) for the quarter, missing the consensus estimate of $3.45 by ($0.23). The firm had revenue of $2.52 billion during the quarter, compared to analyst estimates of $2.57 billion. Constellation Brands had a negative net margin of 4.11% and a positive return on equity of 31.41%. The company's revenue for the quarter was down 5.5% on a year-over-year basis. During the same quarter last year, the business posted $3.57 earnings per share. Constellation Brands has set its FY 2026 guidance at 12.600-12.900 EPS. As a group, equities analysts predict that Constellation Brands will post 13.5 EPS for the current fiscal year.

Insider Buying and Selling at Constellation Brands

In other news, EVP James O. Bourdeau sold 821 shares of Constellation Brands stock in a transaction that occurred on Monday, July 21st. The shares were sold at an average price of $169.00, for a total value of $138,749.00. Following the completion of the sale, the executive vice president directly owned 9,438 shares in the company, valued at approximately $1,595,022. The trade was a 8.00% decrease in their ownership of the stock. The transaction was disclosed in a filing with the Securities & Exchange Commission, which is accessible through this link. Insiders own 12.45% of the company's stock.

Institutional Investors Weigh In On Constellation Brands

A number of hedge funds and other institutional investors have recently made changes to their positions in the business. V. M. Manning & CO. Inc. acquired a new stake in shares of Constellation Brands in the second quarter valued at approximately $1,159,000. Osaic Holdings Inc. raised its position in shares of Constellation Brands by 9.3% in the second quarter. Osaic Holdings Inc. now owns 57,047 shares of the company's stock valued at $9,298,000 after buying an additional 4,871 shares in the last quarter. Orion Porfolio Solutions LLC raised its position in shares of Constellation Brands by 10.6% in the second quarter. Orion Porfolio Solutions LLC now owns 6,672 shares of the company's stock valued at $1,085,000 after buying an additional 638 shares in the last quarter. Cim Investment Management Inc. raised its position in shares of Constellation Brands by 99.6% in the second quarter. Cim Investment Management Inc. now owns 11,745 shares of the company's stock valued at $1,911,000 after buying an additional 5,860 shares in the last quarter. Finally, Coppell Advisory Solutions LLC raised its position in shares of Constellation Brands by 14.3% in the second quarter. Coppell Advisory Solutions LLC now owns 1,935 shares of the company's stock valued at $312,000 after buying an additional 242 shares in the last quarter. 77.34% of the stock is currently owned by institutional investors and hedge funds.

About Constellation Brands

Constellation Brands, Inc, together with its subsidiaries, produces, imports, markets, and sells beer, wine, and spirits in the United States, Canada, Mexico, New Zealand, and Italy. The company provides beer primarily under the Corona Extra, Corona Familiar, Corona Hard Seltzer, Corona Light, Corona Non-Alcoholic, Corona Premier, Corona Refresca, Modelo Especial, Modelo Chelada, Modelo Negra, Modelo Oro, Victoria, Vicky Chamoy, and Pacifico brands.