Constellation Brands Inc (NYSE:STZ) Holdings Decreased by Pacer Advisors Inc.

Key Points

• Pacer Advisors Inc. significantly cut its stake in Constellation Brands by 60.1%, owning 7,915 shares after selling 11,915 shares in the first quarter.
• Constellation Brands reported a missed earnings per share estimate of $3.22 for the quarter, falling short of the expected $3.45 and experiencing a revenue decline of 5.5% year-over-year.
• The company recently declared a quarterly dividend of $1.02 per share, scheduled for payment on August 14th, maintaining a high dividend payout ratio of -170.71%.

Pacer Advisors Inc. lessened its position in shares of Constellation Brands Inc (NYSE:STZ - Free Report) by 60.1% during the 1st quarter, according to its most recent Form 13F filing with the Securities & Exchange Commission. The firm owned 7,915 shares of the company's stock after selling 11,915 shares during the quarter. Pacer Advisors Inc.'s holdings in Constellation Brands were worth $1,453,000 at the end of the most recent quarter.

A number of other hedge funds and other institutional investors have also recently added to or reduced their stakes in the company. Berkshire Hathaway Inc bought a new position in shares of Constellation Brands during the fourth quarter worth about $1,242,976,000. D1 Capital Partners L.P. grew its position in Constellation Brands by 186.6% during the fourth quarter. D1 Capital Partners L.P. now owns 1,527,689 shares of the company's stock worth $337,619,000 after buying an additional 994,639 shares in the last quarter. Grantham Mayo Van Otterloo & Co. LLC increased its stake in shares of Constellation Brands by 42.9% in the fourth quarter. Grantham Mayo Van Otterloo & Co. LLC now owns 2,454,258 shares of the company's stock valued at $542,391,000 after buying an additional 736,780 shares during the period. GAMMA Investing LLC grew its stake in Constellation Brands by 7,602.6% during the first quarter. GAMMA Investing LLC now owns 396,220 shares of the company's stock worth $72,714,000 after purchasing an additional 391,076 shares during the period. Finally, Kovitz Investment Group Partners LLC lifted its position in Constellation Brands by 840.9% in the 4th quarter. Kovitz Investment Group Partners LLC now owns 378,563 shares of the company's stock valued at $83,662,000 after acquiring an additional 338,330 shares in the last quarter. 77.34% of the stock is currently owned by institutional investors and hedge funds.

Wall Street Analyst Weigh In

STZ has been the topic of a number of research reports. Wall Street Zen upgraded Constellation Brands from a "sell" rating to a "hold" rating in a research note on Tuesday, May 20th. JPMorgan Chase & Co. lifted their price objective on shares of Constellation Brands from $170.00 to $182.00 and gave the stock a "neutral" rating in a report on Thursday, July 3rd. Citigroup boosted their price objective on shares of Constellation Brands from $170.00 to $174.00 and gave the stock a "neutral" rating in a report on Thursday, July 3rd. BMO Capital Markets lowered their price target on shares of Constellation Brands from $260.00 to $215.00 and set an "outperform" rating for the company in a report on Friday, April 11th. Finally, Truist Financial upgraded Constellation Brands from a "hold" rating to a "buy" rating and lifted their price objective for the stock from $190.00 to $215.00 in a research report on Wednesday, May 7th. Eleven equities research 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. Based on data from MarketBeat.com, Constellation Brands has an average rating of "Moderate Buy" and an average price target of $213.74.

Insider Buying and Selling

In related news, EVP James O. Bourdeau sold 821 shares of the company's 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 owned 9,438 shares of the company's stock, valued at $1,595,022. This represents a 8.00% decrease in their ownership of the stock. The transaction was disclosed in a document filed with the SEC, which is available through the SEC website. Also, EVP Samuel J. Glaetzer sold 3,150 shares of the firm's stock in a transaction that occurred on Tuesday, May 13th. The shares were sold at an average price of $188.54, for a total transaction of $593,901.00. Following the transaction, the executive vice president owned 3,126 shares in the company, valued at $589,376.04. This represents a 50.19% decrease in their position. The disclosure for this sale can be found here. 12.45% of the stock is currently owned by corporate insiders.

Constellation Brands Stock Performance

NYSE STZ traded down $0.79 during trading on Friday, reaching $166.25. The company's stock had a trading volume of 1,631,018 shares, compared to its average volume of 1,857,188. The firm has a market cap of $29.31 billion, a price-to-earnings ratio of -69.56, a P/E/G ratio of 10.11 and a beta of 0.67. The company has a debt-to-equity ratio of 1.30, a quick ratio of 0.68 and a current ratio of 1.07. The business's fifty day moving average price is $170.18 and its 200-day moving average price is $177.27. Constellation Brands Inc has a twelve month low of $159.35 and a twelve month high of $261.06.

Constellation Brands (NYSE:STZ - Get Free Report) last posted its quarterly earnings data 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). Constellation Brands had a positive return on equity of 31.41% and a negative net margin of 4.11%. The business had revenue of $2.52 billion for the quarter, compared to analyst estimates of $2.57 billion. During the same quarter last year, the business earned $3.57 EPS. Constellation Brands's revenue for the quarter was down 5.5% compared to the same quarter last year. As a group, analysts anticipate that Constellation Brands Inc will post 13.5 EPS for the current fiscal year.

Constellation Brands Announces Dividend

The business also recently declared a quarterly dividend, which will be paid on Thursday, August 14th. Stockholders of record on Wednesday, July 30th will be given a dividend of $1.02 per share. This represents a $4.08 dividend on an annualized basis and a dividend yield of 2.5%. The ex-dividend date is Wednesday, July 30th. Constellation Brands's dividend payout ratio is presently -170.71%.

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.