Constellation Brands (NYSE:STZ) Shares Down 5.6% - What's Next?

Key Points

• Shares of Constellation Brands fell about 5.6% on Friday to roughly $153 (intraday low $151.99) from a prior close of $162.36, with volume around 2.06M shares—about 26% below its average daily volume.
• The stock has a MarketBeat consensus rating of Hold and a consensus price target of $176.91, implying notable upside from current levels despite mixed analyst actions.
• Constellation beat quarterly estimates with $3.06 EPS (vs. $2.63 expected) and $2.22B revenue, though revenue was down 9.8% YoY; management set FY2026 guidance of 11.30–11.60 EPS while analysts project ~13.5 EPS for the year.

Constellation Brands Inc (NYSE:STZ - Get Free Report) shares were down 5.6% on Friday . The company traded as low as $151.99 and last traded at $153.3470. Approximately 2,056,887 shares changed hands during mid-day trading, a decline of 26% from the average daily volume of 2,771,521 shares. The stock had previously closed at $162.36.

Analysts Set New Price Targets

A number of equities analysts have commented on STZ shares. Citigroup lifted their price objective on shares of Constellation Brands from $148.00 to $155.00 and gave the stock a "neutral" rating in a research report on Friday, January 9th. Zacks Research raised shares of Constellation Brands from a "strong sell" rating to a "hold" rating in a report on Monday, November 3rd. Barclays upped their target price on Constellation Brands from $147.00 to $148.00 and gave the company an "equal weight" rating in a research report on Monday, January 12th. Needham & Company LLC reaffirmed a "buy" rating and set a $180.00 price target on shares of Constellation Brands in a research report on Tuesday, January 6th. Finally, Piper Sandler dropped their price objective on Constellation Brands from $155.00 to $135.00 and set a "neutral" rating for the company in a report on Friday, November 21st. One analyst has rated the stock with a Strong Buy rating, eleven have given a Buy rating, nine have assigned a Hold rating and two have given a Sell rating to the stock. According to data from MarketBeat, the stock has a consensus rating of "Hold" and a consensus price target of $176.91.

Constellation Brands Price Performance

The business's 50-day simple moving average is $150.54 and its two-hundred day simple moving average is $146.95. The stock has a market cap of $25.92 billion, a price-to-earnings ratio of 23.58, a price-to-earnings-growth ratio of 0.48 and a beta of 0.44. The company has a debt-to-equity ratio of 1.29, a current ratio of 1.34 and a quick ratio of 0.70.

Constellation Brands (NYSE:STZ - Get Free Report) last announced its quarterly earnings results on Wednesday, January 7th. The company reported $3.06 earnings per share (EPS) for the quarter, topping the consensus estimate of $2.63 by $0.43. Constellation Brands had a net margin of 11.08% and a return on equity of 29.15%. The company had revenue of $2.22 billion during the quarter, compared to the consensus estimate of $2.17 billion. During the same period in the prior year, the business earned $3.25 earnings per share. The company's revenue for the quarter was down 9.8% compared to the same quarter last year. Constellation Brands has set its FY 2026 guidance at 11.300-11.600 EPS. Research analysts expect that Constellation Brands Inc will post 13.5 earnings per share for the current year.

Constellation Brands Dividend Announcement

The firm also recently declared a quarterly dividend, which was paid on Thursday, February 12th. Shareholders of record on Thursday, January 29th were given a $1.02 dividend. This represents a $4.08 annualized dividend and a yield of 2.7%. The ex-dividend date was Thursday, January 29th. Constellation Brands's dividend payout ratio is 64.35%.

Institutional Trading of Constellation Brands

Institutional investors have recently modified their holdings of the business. Vanguard Group Inc. grew its position in shares of Constellation Brands by 3.3% during the 3rd quarter. Vanguard Group Inc. now owns 18,202,611 shares of the company's stock worth $2,451,346,000 after buying an additional 573,766 shares during the period. Berkshire Hathaway Inc boosted its stake in Constellation Brands by 11.6% during the second quarter. Berkshire Hathaway Inc now owns 13,400,000 shares of the company's stock worth $2,179,912,000 after acquiring an additional 1,391,000 shares in the last quarter. Capital World Investors grew its holdings in Constellation Brands by 8.3% in the fourth quarter. Capital World Investors now owns 7,238,575 shares of the company's stock worth $998,740,000 after purchasing an additional 553,974 shares during the period. State Street Corp increased its stake in Constellation Brands by 5.0% in the fourth quarter. State Street Corp now owns 6,911,369 shares of the company's stock valued at $953,492,000 after purchasing an additional 329,337 shares in the last quarter. Finally, Capital International Investors increased its stake in Constellation Brands by 48.5% in the fourth quarter. Capital International Investors now owns 6,442,600 shares of the company's stock valued at $888,930,000 after purchasing an additional 2,105,546 shares in the last quarter. Institutional investors own 77.34% of the company's stock.

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.

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