Constellation Brands Inc $STZ Stock Position Boosted by Gotham Asset Management LLC

Key Points

• Gotham Asset Management LLC increased its stake in Constellation Brands by 51.6% in the 1st quarter, totaling 75,418 shares worth approximately $13.84 million.
• Constellation Brands reported a quarterly EPS of $3.22, missing estimates by $0.23, with a 5.5% decline in revenue year-over-year.
• Recent analyst reports led to a series of price target adjustments, with BNP Paribas Exane downgrading the stock to an "underperform" rating and a target of $123, while Goldman Sachs set a new target of $196.

Gotham Asset Management LLC lifted its stake in shares of Constellation Brands Inc (NYSE:STZ - Free Report) by 51.6% in the first quarter, according to its most recent Form 13F filing with the Securities and Exchange Commission. The institutional investor owned 75,418 shares of the company's stock after buying an additional 25,666 shares during the quarter. Gotham Asset Management LLC's holdings in Constellation Brands were worth $13,841,000 as of its most recent filing with the Securities and Exchange Commission.

Several other hedge funds and other institutional investors also recently modified their holdings of STZ. Vanguard Group Inc. grew its holdings in Constellation Brands by 18.6% during the first quarter. Vanguard Group Inc. now owns 18,417,604 shares of the company's stock worth $3,379,999,000 after acquiring an additional 2,882,817 shares during the period. Wellington Management Group LLP increased its position in shares of Constellation Brands by 127.9% during the first quarter. Wellington Management Group LLP now owns 4,480,788 shares of the company's stock valued at $822,314,000 after purchasing an additional 2,514,517 shares during the period. GAMMA Investing LLC grew its position in Constellation Brands by 7,602.6% in the first quarter. GAMMA Investing LLC now owns 396,220 shares of the company's stock valued at $72,714,000 after acquiring an additional 391,076 shares during the period. Nuveen LLC acquired a new position in Constellation Brands in the first quarter worth $63,377,000. Finally, DAVENPORT & Co LLC increased its holdings in Constellation Brands by 1,594.0% in the first quarter. DAVENPORT & Co LLC now owns 207,655 shares of the company's stock valued at $38,132,000 after purchasing an additional 195,397 shares during the last quarter. Institutional investors and hedge funds own 77.34% of the company's stock.

Constellation Brands Price Performance

Shares of STZ stock traded down $0.12 during mid-day trading on Tuesday, hitting $145.98. 3,327,551 shares of the stock were exchanged, compared to its average volume of 2,377,681. Constellation Brands Inc has a 52-week low of $144.58 and a 52-week high of $261.06. The company has a quick ratio of 0.68, a current ratio of 1.07 and a debt-to-equity ratio of 1.30. The firm has a fifty day moving average of $166.44 and a 200 day moving average of $174.87. The company has a market cap of $25.73 billion, a PE ratio of -61.08, a price-to-earnings-growth ratio of 0.44 and a beta of 0.67.

Constellation Brands (NYSE:STZ - Get Free Report) last released its quarterly earnings data on Tuesday, July 1st. The company reported $3.22 EPS for the quarter, missing analysts' consensus estimates of $3.45 by ($0.23). Constellation Brands had a negative net margin of 4.11% and a positive return on equity of 31.41%. The business had revenue of $2.52 billion during the quarter, compared to analyst estimates of $2.57 billion. During the same quarter in the previous year, the company posted $3.57 EPS. The firm's revenue was down 5.5% on a year-over-year basis. Constellation Brands has set its FY 2026 guidance at 12.600-12.900 EPS. Research analysts anticipate that Constellation Brands Inc will post 13.5 earnings per share for the current year.

Constellation Brands Announces Dividend

The business also recently declared a quarterly dividend, which was paid on Thursday, August 14th. Investors of record on Wednesday, July 30th were paid a dividend of $1.02 per share. This represents a $4.08 annualized dividend and a yield of 2.8%. The ex-dividend date was Wednesday, July 30th. Constellation Brands's dividend payout ratio (DPR) is currently -170.71%.

Insider Buying and Selling

In other news, EVP James O. Bourdeau sold 821 shares of Constellation Brands 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 sale, the executive vice president owned 9,438 shares of the company's stock, valued at $1,595,022. The trade was a 8.00% decrease in their ownership of the stock. The sale was disclosed in a legal filing with the Securities & Exchange Commission, which is accessible through this hyperlink. Corporate insiders own 12.45% of the company's stock.

Analyst Upgrades and Downgrades

Several research firms recently issued reports on STZ. Deutsche Bank Aktiengesellschaft reduced their price target on Constellation Brands from $182.00 to $158.00 and set a "hold" rating for the company in a research note on Wednesday, September 3rd. Wall Street Zen upgraded Constellation Brands from a "sell" rating to a "hold" rating in a research note on Tuesday, May 20th. Wells Fargo & Company cut their price objective on Constellation Brands from $196.00 to $170.00 and set an "overweight" rating for the company in a report on Wednesday, September 3rd. Cowen reissued a "hold" rating on shares of Constellation Brands in a research report on Monday, July 7th. Finally, TD Cowen dropped their price target on Constellation Brands from $180.00 to $152.00 and set a "hold" rating on the stock in a research note on Thursday, September 4th. One research analyst has rated the stock with a Strong Buy rating, fourteen have issued a Buy rating, eight have issued a Hold rating and three have assigned a Sell rating to the company. Based on data from MarketBeat, the stock presently has a consensus rating of "Moderate Buy" and an average target price of $194.36.

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.