JPMorgan Chase & Co. Issues Pessimistic Forecast for Constellation Brands (NYSE:STZ) Stock Price

Key Points

• JPMorgan Chase & Co. has lowered its price target for Constellation Brands stock from $173.00 to $153.00, maintaining a "neutral" rating, indicating a potential upside of 7.10% from the current price.
• Other analysts have also adjusted their price targets for Constellation Brands, with significant downgrades from firms like Sanford C. Bernstein and Citigroup, pointing to a generally pessimistic outlook.
• Constellation Brands recently reported quarterly earnings of $3.63 per share, beating estimates but showed a 15% decline in revenue compared to the previous year.

Constellation Brands (NYSE:STZ - Get Free Report) had its price target dropped by investment analysts at JPMorgan Chase & Co. from $173.00 to $153.00 in a research report issued to clients and investors on Wednesday,Benzinga reports. The brokerage presently has a "neutral" rating on the stock. JPMorgan Chase & Co.'s target price indicates a potential upside of 7.10% from the company's current price.

A number of other equities research analysts have also weighed in on STZ. Sanford C. Bernstein lowered their price objective on shares of Constellation Brands from $225.00 to $195.00 and set an "outperform" rating for the company in a report on Thursday, September 4th. Citigroup lowered their target price on shares of Constellation Brands from $155.00 to $145.00 and set a "neutral" rating on the stock in a research note on Tuesday, September 23rd. UBS Group set a $160.00 target price on shares of Constellation Brands in a research note on Tuesday. Morgan Stanley cut their price objective on shares of Constellation Brands from $176.00 to $160.00 and set an "equal weight" rating for the company in a report on Tuesday. Finally, Deutsche Bank Aktiengesellschaft cut their target price on shares of Constellation Brands from $182.00 to $158.00 and set a "hold" rating for the company in a report on Wednesday, September 3rd. One research analyst has rated the stock with a Strong Buy rating, thirteen have issued a Buy rating, nine have given a Hold rating and five have given a Sell rating to the company. Based on data from MarketBeat, the company currently has an average rating of "Hold" and an average target price of $186.56.

Constellation Brands Stock Performance

NYSE STZ traded up $2.72 during trading hours on Wednesday, reaching $142.86. 2,591,998 shares of the company were exchanged, compared to its average volume of 2,522,094. The stock has a market capitalization of $25.18 billion, a P/E ratio of 20.86, a P/E/G ratio of 0.42 and a beta of 0.66. 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 business's 50 day simple moving average is $152.33 and its 200-day simple moving average is $168.88. Constellation Brands has a 1 year low of $131.20 and a 1 year high of $247.63.

Constellation Brands (NYSE:STZ - Get Free Report) last released its quarterly earnings data on Monday, October 6th. The company reported $3.63 EPS for the quarter, beating analysts' consensus estimates of $3.37 by $0.26. Constellation Brands had a net margin of 11.88% and a return on equity of 30.03%. The company had revenue of $2.48 billion during the quarter, compared to analyst estimates of $2.68 billion. During the same period last year, the business earned $4.32 earnings per share. Constellation Brands's revenue was down 15.0% compared to the same quarter last year. On average, equities research analysts expect that Constellation Brands will post 13.5 earnings per share for the current year.

Insider Buying and Selling at Constellation Brands

In related news, EVP James O. Bourdeau sold 821 shares of the firm's stock in a transaction dated Monday, July 21st. The stock was sold at an average price of $169.00, for a total transaction of $138,749.00. Following the completion of the transaction, the executive vice president directly owned 9,438 shares in the company, valued at $1,595,022. This trade represents a 8.00% decrease in their position. The sale was disclosed in a legal filing with the SEC, which is available through this link. Corporate insiders own 12.45% of the company's stock.

Institutional Inflows and Outflows

Several institutional investors have recently added to or reduced their stakes in STZ. Rise Advisors LLC grew its stake in shares of Constellation Brands by 8.8% in the 3rd quarter. Rise Advisors LLC now owns 937 shares of the company's stock valued at $126,000 after purchasing an additional 76 shares during the last quarter. Canandaigua National Bank & Trust Co. increased its stake in Constellation Brands by 0.8% in the third quarter. Canandaigua National Bank & Trust Co. now owns 43,194 shares of the company's stock valued at $5,817,000 after purchasing an additional 353 shares during the last quarter. Moody National Bank Trust Division increased its stake in Constellation Brands by 6.1% in the third quarter. Moody National Bank Trust Division now owns 6,972 shares of the company's stock valued at $939,000 after purchasing an additional 398 shares during the last quarter. Fragasso Financial Advisors Inc acquired a new position in Constellation Brands in the third quarter valued at $1,349,000. Finally, Ables Iannone Moore & Associates Inc. increased its stake in Constellation Brands by 3.2% in the third quarter. Ables Iannone Moore & Associates Inc. now owns 12,608 shares of the company's stock valued at $1,698,000 after purchasing an additional 389 shares during the last quarter. Institutional investors and hedge funds own 77.34% of the company's stock.

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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