TD Cowen Lowers Constellation Brands (NYSE:STZ) Price Target to $152.00

Key Points

• TD Cowen has reduced its price target for Constellation Brands from $180.00 to $152.00, maintaining a "hold" rating on the stock, which indicates a potential upside of 3.75% from its previous close.
• Despite the downgrade, the company has received mixed analyst ratings with one analyst giving a Strong Buy rating, while others suggest a "neutral" to "sell" stance.
• Constellation Brands reported earnings of $3.22 per share, missing expectations, with revenue down 5.5% year-over-year, highlighting ongoing challenges in financial performance.

Constellation Brands (NYSE:STZ - Free Report) had its price target cut by TD Cowen from $180.00 to $152.00 in a research note published on Thursday,Benzinga reports. They currently have a hold rating on the stock.

STZ has been the topic of several other research reports. Cowen reaffirmed a "hold" rating on shares of Constellation Brands in a research note on Monday, July 7th. Roth Capital reaffirmed a "buy" rating and issued a $209.00 price target (down previously from $239.00) on shares of Constellation Brands in a research note on Wednesday. Wall Street Zen raised Constellation Brands from a "sell" rating to a "hold" rating in a research note on Tuesday, May 20th. UBS Group upped their price target on Constellation Brands from $195.00 to $205.00 and gave the company a "buy" rating in a research note on Thursday, July 3rd. Finally, Raymond James Financial raised Constellation Brands to a "strong-buy" rating in a research note on Monday, July 7th. One investment analyst has rated the stock with a Strong Buy rating, fourteen have issued a Buy rating, eight have assigned a Hold rating and three have issued a Sell rating to the stock. According to MarketBeat, the company has an average rating of "Moderate Buy" and a consensus price target of $194.36.

Constellation Brands Trading Up 1.7%

NYSE STZ traded up $2.50 on Thursday, reaching $148.38. 3,045,709 shares of the company were exchanged, compared to its average volume of 2,209,589. The business's fifty day moving average price is $167.18 and its 200 day moving average price is $175.26. The stock has a market capitalization of $26.16 billion, a P/E ratio of -62.08, a price-to-earnings-growth ratio of 0.45 and a beta of 0.67. The company has a current ratio of 1.07, a quick ratio of 0.68 and a debt-to-equity ratio of 1.30. Constellation Brands has a fifty-two week low of $144.81 and a fifty-two week high of $261.06.

Constellation Brands (NYSE:STZ - Get Free Report) last announced its quarterly earnings results on Tuesday, July 1st. The company reported $3.22 EPS for the quarter, missing the consensus estimate 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 period last year, the company earned $3.57 EPS. The business's revenue for the quarter was down 5.5% on a year-over-year basis. Constellation Brands has set its FY 2026 guidance at 12.600-12.900 EPS. Analysts forecast that Constellation Brands will post 13.5 earnings per share for the current year.

Constellation Brands Dividend Announcement

The company also recently announced 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. The ex-dividend date of this dividend was Wednesday, July 30th. This represents a $4.08 annualized dividend and a yield of 2.7%. Constellation Brands's dividend payout ratio is presently -170.71%.

Insider Transactions at Constellation Brands

In related news, EVP James O. Bourdeau sold 821 shares of the 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 transaction, the executive vice president owned 9,438 shares of the company's stock, valued at approximately $1,595,022. This represents a 8.00% decrease in their position. The transaction was disclosed in a legal filing with the Securities & Exchange Commission, which is accessible through this hyperlink. Insiders own 12.45% of the company's stock.

Hedge Funds Weigh In On Constellation Brands

Several hedge funds have recently bought and sold shares of STZ. Harbor Capital Advisors Inc. raised its position in Constellation Brands by 36.4% in the 1st quarter. Harbor Capital Advisors Inc. now owns 3,051 shares of the company's stock valued at $560,000 after purchasing an additional 815 shares in the last quarter. Golden State Wealth Management LLC raised its position in Constellation Brands by 137.0% in the 1st quarter. Golden State Wealth Management LLC now owns 2,204 shares of the company's stock valued at $405,000 after purchasing an additional 1,274 shares in the last quarter. Oppenheimer Asset Management Inc. raised its position in Constellation Brands by 28.9% in the 1st quarter. Oppenheimer Asset Management Inc. now owns 7,360 shares of the company's stock valued at $1,351,000 after purchasing an additional 1,651 shares in the last quarter. Allspring Global Investments Holdings LLC raised its position in Constellation Brands by 7.4% in the 1st quarter. Allspring Global Investments Holdings LLC now owns 17,206 shares of the company's stock valued at $3,180,000 after purchasing an additional 1,185 shares in the last quarter. Finally, Bessemer Group Inc. raised its position in Constellation Brands by 3.0% in the 1st quarter. Bessemer Group Inc. now owns 2,242 shares of the company's stock valued at $412,000 after purchasing an additional 65 shares in 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.