Deutsche Bank AG Raises Stake in Constellation Brands Inc (NYSE:STZ)

Key Points

• Deutsche Bank AG increased its holdings in Constellation Brands by 6.9%, owning approximately 863,034 shares worth about $158 million as of its latest SEC filing.
• Constellation Brands reported a miss in its earnings results, with $3.22 EPS for the quarter, falling short of estimates by ($0.23) and showing a 5.5% decline in revenue year-over-year.
• The company announced a quarterly dividend of $1.02 per share, indicating a 2.4% yield, with the ex-dividend date set for July 30th.

Deutsche Bank AG lifted its position in Constellation Brands Inc (NYSE:STZ - Free Report) by 6.9% during the first quarter, according to the company in its most recent filing with the Securities & Exchange Commission. The fund owned 863,034 shares of the company's stock after buying an additional 55,912 shares during the period. Deutsche Bank AG owned approximately 0.48% of Constellation Brands worth $158,384,000 as of its most recent SEC filing.

A number of other institutional investors and hedge funds have also recently modified their holdings of STZ. Vanguard Group Inc. grew its holdings in Constellation Brands by 18.6% in the first quarter. Vanguard Group Inc. now owns 18,417,604 shares of the company's stock worth $3,379,999,000 after purchasing an additional 2,882,817 shares during the last quarter. Capital World Investors boosted its position in shares of Constellation Brands by 3.4% in the 4th quarter. Capital World Investors now owns 9,755,602 shares of the company's stock worth $2,155,946,000 after purchasing an additional 324,690 shares in the last quarter. Berkshire Hathaway Inc purchased a new position in Constellation Brands during the 4th quarter worth $1,242,976,000. Capital Research Global Investors grew its stake in Constellation Brands by 0.6% during the 4th quarter. Capital Research Global Investors now owns 2,901,975 shares of the company's stock worth $641,336,000 after buying an additional 18,557 shares during the last quarter. Finally, Charles Schwab Investment Management Inc. increased its position in Constellation Brands by 7.8% during the 1st quarter. Charles Schwab Investment Management Inc. now owns 1,922,122 shares of the company's stock valued at $352,748,000 after buying an additional 139,158 shares in the last quarter. Hedge funds and other institutional investors own 77.34% of the company's stock.

Constellation Brands Price Performance

NYSE STZ traded down $2.50 on Friday, hitting $170.72. The company had a trading volume of 1,386,497 shares, compared to its average volume of 1,805,695. The company has a debt-to-equity ratio of 1.30, a current ratio of 1.07 and a quick ratio of 0.68. The company's fifty day moving average price is $169.13 and its 200-day moving average price is $176.81. The company has a market capitalization of $30.10 billion, a PE ratio of -71.43, a PEG ratio of 10.33 and a beta of 0.67. Constellation Brands Inc has a 12-month low of $159.35 and a 12-month high of $261.06.

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

Constellation Brands Dividend Announcement

The company also recently declared a quarterly dividend, which will be paid on Thursday, August 14th. Stockholders of record on Wednesday, July 30th will be paid a $1.02 dividend. The ex-dividend date of this dividend is Wednesday, July 30th. This represents a $4.08 dividend on an annualized basis and a dividend yield of 2.4%. Constellation Brands's payout ratio is currently -170.71%.

Insider Buying and Selling

In other news, EVP James O. Bourdeau sold 821 shares of the stock in a transaction dated 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 $1,595,022. This represents a 8.00% decrease in their ownership of the stock. The sale was disclosed in a filing with the Securities & Exchange Commission, which is available at this link. Also, EVP Samuel J. Glaetzer sold 3,150 shares of the firm's stock in a transaction dated Tuesday, May 13th. The stock was sold at an average price of $188.54, for a total transaction of $593,901.00. Following the completion of the transaction, the executive vice president directly owned 3,126 shares in the company, valued at approximately $589,376.04. This represents a 50.19% decrease in their ownership of the stock. The disclosure for this sale can be found here. Insiders own 12.45% of the company's stock.

Wall Street Analysts Forecast Growth

Several equities research analysts have weighed in on the company. Wells Fargo & Company lowered their price target on Constellation Brands from $210.00 to $196.00 and set an "overweight" rating for the company in a report on Wednesday, June 25th. Needham & Company LLC lifted their target price on shares of Constellation Brands from $195.00 to $200.00 and gave the stock a "buy" rating in a research note on Thursday, July 3rd. Royal Bank Of Canada cut their price target on shares of Constellation Brands from $289.00 to $233.00 and set an "outperform" rating on the stock in a research note on Monday, April 14th. The Goldman Sachs Group set a $225.00 price target on shares of Constellation Brands and gave the stock a "buy" rating in a report on Friday, June 27th. Finally, Piper Sandler boosted their price objective on shares of Constellation Brands from $165.00 to $170.00 and gave the company a "neutral" rating in a report on Friday, June 6th. Eleven analysts have rated the stock with a hold rating, thirteen have given a buy rating and one has assigned a strong buy rating to the stock. According to data from MarketBeat.com, the stock presently has a consensus rating of "Moderate Buy" and an average price target of $213.74.

Constellation Brands Profile

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.