Wells Fargo & Company Has Lowered Expectations for Constellation Brands (NYSE:STZ) Stock Price

Key Points

• Wells Fargo & Company has reduced its price target for Constellation Brands from $170.00 to $155.00, while maintaining an "overweight" rating on the stock, signaling a potential upside of 16.20% from current levels.
• Multiple brokerages are reassessing their ratings on Constellation Brands, with some lowering their targets significantly, including Citigroup and BNP Paribas.
• Constellation Brands reported earnings of $3.22 per share for the last quarter, missing consensus estimates, and noted a year-over-year revenue decline of 5.5%.

Constellation Brands (NYSE:STZ - Get Free Report) had its price target cut by equities research analysts at Wells Fargo & Company from $170.00 to $155.00 in a research report issued on Thursday,Benzinga reports. The brokerage presently has an "overweight" rating on the stock. Wells Fargo & Company's target price suggests a potential upside of 16.20% from the company's current price.

A number of other brokerages have also issued reports on STZ. Needham & Company LLC decreased their target price on shares of Constellation Brands from $200.00 to $180.00 and set a "buy" rating on the stock in a research report on Wednesday, September 3rd. BNP Paribas downgraded shares of Constellation Brands from a "hold" rating to a "strong sell" rating in a research note on Wednesday, September 3rd. Citigroup decreased their price target on shares of Constellation Brands from $155.00 to $145.00 and set a "neutral" rating for the company in a research note on Tuesday. Barclays reissued an "equal weight" rating and set a $150.00 target price (down from $202.00) on shares of Constellation Brands in a research report on Friday, September 12th. Finally, Raymond James Financial raised shares of Constellation Brands to a "strong-buy" rating in a research report on Monday, July 7th. One analyst has rated the stock with a Strong Buy rating, thirteen have issued a Buy rating, nine have issued a Hold rating and four have issued a Sell rating to the stock. According to MarketBeat.com, the stock presently has an average rating of "Hold" and a consensus target price of $191.28.

Constellation Brands Trading Up 1.2%

Shares of NYSE:STZ opened at $133.39 on Thursday. The company's 50-day moving average price is $158.83 and its two-hundred day moving average price is $171.74. 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 has a one year low of $131.20 and a one year high of $261.06. The stock has a market capitalization of $23.51 billion, a PE ratio of -55.81, a price-to-earnings-growth ratio of 0.40 and a beta of 0.67.

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

Insider Activity at Constellation Brands

In related news, EVP James O. Bourdeau sold 821 shares of the company's stock in a transaction that occurred 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 sale, the executive vice president directly owned 9,438 shares in the company, valued at approximately $1,595,022. This represents a 8.00% decrease in their position. The sale was disclosed in a filing with the SEC, which can be accessed through this hyperlink. Insiders own 12.45% of the company's stock.

Institutional Trading of Constellation Brands

A number of institutional investors have recently modified their holdings of the business. Milestones Private Investment Advisors LLC purchased a new stake in shares of Constellation Brands during the 2nd quarter valued at approximately $544,000. NWF Advisory Services Inc. purchased a new stake in shares of Constellation Brands during the 2nd quarter valued at approximately $270,000. V. M. Manning & CO. Inc. purchased a new stake in shares of Constellation Brands during the 2nd quarter valued at approximately $1,159,000. Osaic Holdings Inc. lifted its stake in shares of Constellation Brands by 9.3% during the 2nd quarter. Osaic Holdings Inc. now owns 57,047 shares of the company's stock valued at $9,298,000 after buying an additional 4,871 shares in the last quarter. Finally, Orion Porfolio Solutions LLC lifted its stake in Constellation Brands by 10.6% in the 2nd quarter. Orion Porfolio Solutions LLC now owns 6,672 shares of the company's stock worth $1,085,000 after purchasing an additional 638 shares in the last quarter. 77.34% of the stock is currently owned by hedge funds and other institutional investors.

Constellation Brands Company 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.

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