Constellation Brands Inc $STZ Shares Acquired by Bank of New York Mellon Corp

Key Points

• Bank of New York Mellon increased its stake in Constellation Brands by 12.4% in the fourth quarter, adding 110,589 shares and bringing its total holding to just over 1.0 million shares worth about $138.3 million.
• Constellation Brands reported better-than-expected quarterly earnings, posting $1.90 per share on revenue of $1.92 billion, both ahead of analyst estimates even though revenue fell 11.3% from a year earlier.
• The company raised its quarterly dividend to $1.03 per share, and Wall Street currently has a consensus rating of Moderate Buy with an average price target of $175.26.

Bank of New York Mellon Corp raised its position in Constellation Brands Inc (NYSE:STZ - Free Report) by 12.4% in the 4th quarter, according to the company in its most recent 13F filing with the Securities and Exchange Commission (SEC). The institutional investor owned 1,002,527 shares of the company's stock after acquiring an additional 110,589 shares during the quarter. Bank of New York Mellon Corp owned approximately 0.58% of Constellation Brands worth $138,309,000 as of its most recent SEC filing.

A number of other institutional investors and hedge funds also recently bought and sold shares of the business. Bruce G. Allen Investments LLC increased its stake in Constellation Brands by 74.9% during the fourth quarter. Bruce G. Allen Investments LLC now owns 306 shares of the company's stock worth $42,000 after purchasing an additional 131 shares during the period. Natixis Advisors LLC increased its stake in Constellation Brands by 107.0% during the fourth quarter. Natixis Advisors LLC now owns 95,727 shares of the company's stock worth $13,206,000 after purchasing an additional 49,491 shares during the period. Easterly Investment Partners LLC increased its stake in Constellation Brands by 77.7% during the fourth quarter. Easterly Investment Partners LLC now owns 9,647 shares of the company's stock worth $1,331,000 after purchasing an additional 4,218 shares during the period. Ellevest Inc. increased its stake in Constellation Brands by 20.6% during the fourth quarter. Ellevest Inc. now owns 2,462 shares of the company's stock worth $340,000 after purchasing an additional 421 shares during the period. Finally, Thompson Siegel & Walmsley LLC increased its stake in Constellation Brands by 12.0% during the fourth quarter. Thompson Siegel & Walmsley LLC now owns 362,808 shares of the company's stock worth $50,053,000 after purchasing an additional 38,959 shares during the period. 77.34% of the stock is currently owned by hedge funds and other institutional investors.

Constellation Brands Trading Up 2.4%

NYSE:STZ opened at $141.11 on Friday. The company has a debt-to-equity ratio of 1.16, a quick ratio of 0.55 and a current ratio of 1.08. The stock has a market capitalization of $24.30 billion, a price-to-earnings ratio of 14.71, a PEG ratio of 3.26 and a beta of 0.39. Constellation Brands Inc has a 1 year low of $126.45 and a 1 year high of $178.13. The stock has a fifty day moving average price of $150.69 and a two-hundred day moving average price of $149.41.

Constellation Brands (NYSE:STZ - Get Free Report) last announced its quarterly earnings results on Wednesday, April 8th. The company reported $1.90 earnings per share for the quarter, beating analysts' consensus estimates of $1.71 by $0.19. The business had revenue of $1.92 billion during the quarter, compared to analysts' expectations of $1.84 billion. Constellation Brands had a return on equity of 26.18% and a net margin of 17.29%.The business's revenue for the quarter was down 11.3% on a year-over-year basis. During the same quarter last year, the business posted $2.63 earnings per share. As a group, sell-side analysts anticipate that Constellation Brands Inc will post 11.87 earnings per share for the current fiscal year.

Constellation Brands Increases Dividend

The business also recently disclosed a quarterly dividend, which was paid on Thursday, May 14th. Investors of record on Wednesday, April 29th were paid a dividend of $1.03 per share. The ex-dividend date of this dividend was Wednesday, April 29th. This is an increase from Constellation Brands's previous quarterly dividend of $1.02. This represents a $4.12 dividend on an annualized basis and a dividend yield of 2.9%. Constellation Brands's dividend payout ratio is 42.96%.

Insider Activity at Constellation Brands

In related news, EVP James O. Bourdeau sold 4,407 shares of the stock in a transaction on Tuesday, May 12th. The stock was sold at an average price of $143.24, for a total transaction of $631,258.68. Following the sale, the executive vice president owned 9,109 shares of the company's stock, valued at $1,304,773.16. This trade represents a 32.61% decrease in their ownership of the stock. The transaction was disclosed in a legal filing with the Securities & Exchange Commission, which is available at the SEC website. 12.45% of the stock is currently owned by insiders.

Wall Street Analysts Forecast Growth

A number of brokerages have recently commented on STZ. Weiss Ratings reissued a "hold (c-)" rating on shares of Constellation Brands in a research report on Monday, May 4th. Piper Sandler boosted their price objective on Constellation Brands from $146.00 to $160.00 and gave the company a "neutral" rating in a research note on Friday, April 10th. Bank of America reduced their price objective on Constellation Brands from $154.00 to $152.00 and set an "underperform" rating for the company in a research note on Thursday, May 28th. UBS Group boosted their price objective on Constellation Brands from $176.00 to $186.00 and gave the company a "buy" rating in a research note on Friday, April 10th. Finally, Roth Mkm reiterated a "buy" rating on shares of Constellation Brands in a research note on Thursday, April 9th. One investment analyst has rated the stock with a Strong Buy rating, twelve have given a Buy rating, seven have issued a Hold rating and two have issued a Sell rating to the stock. According to MarketBeat.com, the stock presently has an average rating of "Moderate Buy" and a consensus price target of $175.26.

Constellation Brands Company Profile

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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