Constellation Brands' (STZ) Outperform Rating Reiterated at BMO Capital Markets

Key Points

• BMO Capital Markets reiterated its outperform rating on Constellation Brands and kept a $190 price target, implying about 38% upside from the current share price.
• Other analysts remain generally positive, with several firms maintaining buy ratings even as some trimmed targets; the stock’s consensus rating is Moderate Buy with an average price target of $167.89.
• Constellation Brands recently missed EPS expectations in its latest quarterly report, though revenue came in slightly above estimates and the company raised its FY2027 EPS guidance.

Constellation Brands (NYSE:STZ - Get Free Report)'s stock had its "outperform" rating restated by stock analysts at BMO Capital Markets in a report issued on Thursday,Benzinga reports. They presently have a $190.00 target price on the stock. BMO Capital Markets' target price would suggest a potential upside of 37.92% from the company's current price.

Several other equities research analysts also recently weighed in on STZ. Weiss Ratings reaffirmed a "hold (c-)" rating on shares of Constellation Brands in a report on Monday, May 4th. Roth Mkm reaffirmed a "buy" rating and issued a $209.00 price objective on shares of Constellation Brands in a research note on Thursday. Needham & Company LLC reiterated a "buy" rating and issued a $185.00 price objective on shares of Constellation Brands in a report on Thursday. UBS Group cut their target price on shares of Constellation Brands from $186.00 to $175.00 and set a "buy" rating on the stock in a research report on Wednesday, June 17th. Finally, Jefferies Financial Group set a $147.00 target price on shares of Constellation Brands in a report on Thursday. One analyst has rated the stock with a Strong Buy rating, eleven have given a Buy rating, eight have assigned a Hold rating and two have given a Sell rating to the stock. According to data from MarketBeat.com, the stock presently has a consensus rating of "Moderate Buy" and a consensus price target of $167.89.

Constellation Brands Price Performance

STZ stock traded up $0.88 during midday trading on Thursday, reaching $137.76. The company had a trading volume of 981,662 shares, compared to its average volume of 2,302,904. The stock has a 50 day moving average price of $145.47 and a 200-day moving average price of $150.16. The company has a market capitalization of $23.72 billion, a price-to-earnings ratio of 13.15, a price-to-earnings-growth ratio of 4.10 and a beta of 0.39. The company has a debt-to-equity ratio of 1.16, a current ratio of 1.08 and a quick ratio of 0.55. Constellation Brands has a 1-year low of $126.45 and a 1-year high of $178.13.

Constellation Brands (NYSE:STZ - Get Free Report) last announced its quarterly earnings data on Tuesday, June 30th. The company reported $3.43 earnings per share for the quarter, missing the consensus estimate of $3.69 by ($0.26). The business had revenue of $2.43 billion for the quarter, compared to the consensus estimate of $2.39 billion. Constellation Brands had a return on equity of 25.97% and a net margin of 18.87%.Constellation Brands's quarterly revenue was down 3.3% compared to the same quarter last year. During the same quarter in the prior year, the company earned $3.22 earnings per share. Constellation Brands has set its FY 2027 guidance at 11.200-11.900 EPS. Equities research analysts expect that Constellation Brands will post 11.78 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 business's stock in a transaction 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 completion of the sale, the executive vice president owned 9,109 shares in the company, valued at approximately $1,304,773.16. The trade was a 32.61% decrease in their position. The sale was disclosed in a document filed with the SEC, which can be accessed through the SEC website. Company insiders own 12.20% of the company's stock.

Hedge Funds Weigh In On Constellation Brands

A number of hedge funds have recently added to or reduced their stakes in STZ. MV Capital Management Inc. bought a new stake in Constellation Brands during the fourth quarter worth $26,000. Stance Capital LLC bought a new stake in shares of Constellation Brands in the 3rd quarter worth $26,000. Strive Financial Group LLC purchased a new stake in shares of Constellation Brands in the fourth quarter valued at about $27,000. GoalVest Advisory LLC bought a new position in shares of Constellation Brands during the fourth quarter valued at about $28,000. Finally, Elyxium Wealth LLC bought a new position in shares of Constellation Brands during the fourth quarter valued at about $33,000. Institutional investors and hedge funds 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: Constellation Brands posted stronger-than-expected Q1 results, with earnings and revenue topping estimates on solid beer demand and pricing power. Constellation Brands (STZ) Q1 Earnings and Revenues Surpass Estimates
• Positive Sentiment: The company raised its EPS outlook for fiscal 2027, signaling management confidence despite a softer consumer backdrop. Constellation Brands Reports Better-Than-Expected Q1: Details
• Positive Sentiment: Needham and RBC reaffirmed bullish views, both keeping a $185 price target, suggesting analysts still see meaningful upside from current levels. Analyst rating updates
• Neutral Sentiment: Several firms trimmed price targets but largely maintained neutral or hold ratings, reflecting a more cautious stance rather than a strong bearish turn. Analyst rating updates
• Negative Sentiment: Management noted softer volume trends and pressure from higher gas prices and inflation, which could weigh on near-term beverage demand. Constellation Brands beats quarterly profit estimates on beer demand
• Negative Sentiment: Deutsche Bank, Barclays and Morgan Stanley all lowered price targets after the quarter, highlighting concerns about sales growth and the durability of recent momentum. Analyst rating updates

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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