Constellation Brands Inc $STZ Shares Bought by Dimensional Fund Advisors LP

Key Points

• Dimensional Fund Advisors LP increased its stake in Constellation Brands Inc by 4.7% during the first quarter, acquiring an additional 76,186 shares, bringing its total to approximately 1.69 million shares worth about $310.85 million.
• Constellation Brands reported a quarterly earnings miss, with an EPS of $3.22, falling short of analysts' estimates of $3.45, while revenue declined 5.5% year-over-year.
• The company declared a quarterly dividend of $1.02 paid on August 14, which translates to an annualized dividend of $4.08 and a yield of 2.4%.

Dimensional Fund Advisors LP raised its holdings in Constellation Brands Inc (NYSE:STZ - Free Report) by 4.7% during the first quarter, according to its most recent disclosure with the Securities & Exchange Commission. The firm owned 1,693,827 shares of the company's stock after purchasing an additional 76,186 shares during the quarter. Dimensional Fund Advisors LP owned 0.95% of Constellation Brands worth $310,851,000 as of its most recent SEC filing.

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

Insider Activity

In related news, EVP James O. Bourdeau sold 821 shares of the business's stock in a transaction dated Monday, July 21st. The stock was sold at an average price of $169.00, for a total value of $138,749.00. Following the transaction, the executive vice president owned 9,438 shares in the company, valued at approximately $1,595,022. The trade was a 8.00% decrease in their ownership of the stock. The transaction was disclosed in a legal filing with the SEC, which can be accessed through this link. Insiders own 12.45% of the company's stock.

Analysts Set New Price Targets

A number of research analysts have commented on STZ shares. Cowen restated a "hold" rating on shares of Constellation Brands in a research note on Monday, July 7th. The Goldman Sachs Group set a $225.00 price objective on Constellation Brands and gave the company a "buy" rating in a research note on Friday, June 27th. Truist Financial raised Constellation Brands from a "hold" rating to a "buy" rating and increased their price objective for the stock from $190.00 to $215.00 in a research report on Wednesday, May 7th. Wall Street Zen upgraded shares of Constellation Brands from a "sell" rating to a "hold" rating in a research report on Tuesday, May 20th. Finally, Piper Sandler increased their price target 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. One equities research analyst has rated the stock with a Strong Buy rating, thirteen have assigned a Buy rating and ten have assigned a Hold rating to the company. Based on data from MarketBeat.com, the stock presently has a consensus rating of "Moderate Buy" and a consensus price target of $213.74.

Constellation Brands Stock Down 0.9%

NYSE STZ traded down $1.4730 during trading hours on Thursday, hitting $164.8270. The company had a trading volume of 970,219 shares, compared to its average volume of 2,382,526. The company has a market capitalization of $29.06 billion, a price-to-earnings ratio of -68.94, a P/E/G ratio of 10.04 and a beta of 0.67. Constellation Brands Inc has a fifty-two week low of $159.35 and a fifty-two week high of $261.06. The firm's 50 day moving average is $168.40 and its 200 day moving average is $176.05. The company has a debt-to-equity ratio of 1.30, a current ratio of 1.07 and a quick ratio of 0.68.

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 analysts' consensus estimates of $3.45 by ($0.23). The firm had revenue of $2.52 billion for the quarter, compared to analysts' expectations of $2.57 billion. Constellation Brands had a negative net margin of 4.11% and a positive return on equity of 31.41%. The company's revenue for the quarter was down 5.5% on a year-over-year basis. During the same quarter in the prior year, the business earned $3.57 EPS. Constellation Brands has set its FY 2026 guidance at 12.600-12.900 EPS. Sell-side analysts anticipate that Constellation Brands Inc will post 13.5 earnings per share for the current fiscal year.

Constellation Brands Announces Dividend

The firm also recently announced a quarterly dividend, which was paid on Thursday, August 14th. Stockholders of record on Wednesday, July 30th were 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 of this dividend was Wednesday, July 30th. Constellation Brands's 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.