Kayne Anderson Rudnick Investment Management LLC Has $2.97 Million Stake in Constellation Brands Inc $STZ

Key Points

• Kayne Anderson Rudnick Investment Management LLC increased its stake in Constellation Brands by 12.8%, bringing its total holdings to $2.97 million.
• Vanguard Group significantly raised its position by 18.6%, becoming a major stakeholder with a value of approximately $3.38 billion in shares.
• Analysts have given Constellation Brands a consensus rating of "Moderate Buy" with a price target averaging $213.74.

Kayne Anderson Rudnick Investment Management LLC raised its position in shares of Constellation Brands Inc (NYSE:STZ - Free Report) by 12.8% in the 1st quarter, according to the company in its most recent disclosure with the Securities and Exchange Commission. The institutional investor owned 16,170 shares of the company's stock after buying an additional 1,829 shares during the period. Kayne Anderson Rudnick Investment Management LLC's holdings in Constellation Brands were worth $2,968,000 as of its most recent filing with the Securities and Exchange Commission.

Other hedge funds also recently modified their holdings of the company. Vanguard Group Inc. grew its stake 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 valued at $3,379,999,000 after purchasing an additional 2,882,817 shares during the last quarter. Berkshire Hathaway Inc bought a new stake in shares of Constellation Brands during the fourth quarter valued at approximately $1,242,976,000. Wellington Management Group LLP grew its stake 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 last quarter. Charles Schwab Investment Management Inc. grew its stake 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 valued at $352,748,000 after purchasing an additional 139,158 shares during the last quarter. Finally, Dimensional Fund Advisors LP grew its stake in shares of Constellation Brands by 4.7% during the first quarter. Dimensional Fund Advisors LP now owns 1,693,827 shares of the company's stock valued at $310,851,000 after purchasing an additional 76,186 shares during the last quarter. Institutional investors and hedge funds own 77.34% of the company's stock.

Wall Street Analyst Weigh In

STZ has been the topic of several research analyst reports. Roth Capital decreased their price target on shares of Constellation Brands from $256.00 to $239.00 and set a "buy" rating on the stock in a research note on Tuesday, May 20th. Wells Fargo & Company decreased their price target on shares of Constellation Brands from $210.00 to $196.00 and set an "overweight" rating on the stock in a research note on Wednesday, June 25th. JPMorgan Chase & Co. increased their price target on shares of Constellation Brands from $170.00 to $182.00 and gave the company a "neutral" rating in a research note on Thursday, July 3rd. Jefferies Financial Group raised shares of Constellation Brands from a "hold" rating to a "buy" rating and increased their price target for the company from $194.00 to $205.00 in a research note on Monday, July 7th. Finally, CJS Securities reduced their price objective on shares of Constellation Brands from $196.00 to $194.00 in a research note on Monday, May 19th. One equities research analyst has rated the stock with a Strong Buy rating, thirteen have issued a Buy rating and ten have assigned a Hold rating to the company's stock. According to MarketBeat, the company presently has an average rating of "Moderate Buy" and a consensus price target of $213.74.

Insider Buying and Selling at Constellation Brands

In other news, EVP James O. Bourdeau sold 821 shares of Constellation Brands stock in a transaction on Monday, July 21st. The shares were sold at an average price of $169.00, for a total transaction of $138,749.00. Following the transaction, the executive vice president directly owned 9,438 shares of the company's stock, valued at $1,595,022. This trade represents a 8.00% decrease in their ownership of the stock. The sale was disclosed in a document filed with the SEC, which is available through this hyperlink. 12.45% of the stock is currently owned by corporate insiders.

Constellation Brands Price Performance

Shares of STZ stock opened at $163.97 on Tuesday. Constellation Brands Inc has a 52-week low of $159.35 and a 52-week high of $261.06. The stock has a market cap of $28.91 billion, a PE ratio of -68.61, a PEG ratio of 10.15 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 firm's 50 day moving average price is $168.38 and its two-hundred day moving average price is $175.98.

Constellation Brands (NYSE:STZ - Get Free Report) last announced 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 business had revenue of $2.52 billion during the quarter, compared to the consensus estimate of $2.57 billion. Constellation Brands had a negative net margin of 4.11% and a positive return on equity of 31.41%. Constellation Brands's revenue was down 5.5% compared to the same quarter last year. During the same period in the previous year, the business posted $3.57 earnings per share. Constellation Brands has set its FY 2026 guidance at 12.600-12.900 EPS. As a group, analysts forecast that Constellation Brands Inc will post 13.5 EPS for the current year.

Constellation Brands Announces Dividend

The company also recently declared 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 dividend payout ratio (DPR) is currently -170.71%.

About Constellation Brands

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.

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