Constellation Brands (NYSE:STZ) was downgraded by Zacks Investment Research from a “buy” rating to a “hold” rating in a note issued to investors on Monday.

According to Zacks, “Constellation Brands has surpassed the broader industry year to date, backed by superb surprise history and constant brand-building efforts. The company has been gaining from its efforts to drive consumer demand for its robust brand portfolio. Also, focus on buyouts and continued strength in the beer business has been fuelling its results. Thanks to these endeavours, the company marked its 17th straight quarter of year-over-year earnings growth and 12th straight positive surprise in second-quarter fiscal 2018. The splendid results marked by significant market share gains, solid execution and strong free cash flow keeps management encouraged. Driven by these factors and confidence in its beer segment, management raised its earnings view for fiscal 2018 and operating income target for the beer segment. However, stiff competition and higher taxes remain concerns. Also, the company remains exposed to macroeconomic headwinds.”

STZ has been the subject of several other research reports. SunTrust Banks reiterated a “buy” rating and issued a $230.00 price objective on shares of Constellation Brands in a report on Friday, October 6th. Evercore ISI reiterated an “outperform” rating and issued a $235.00 price objective (up previously from $230.00) on shares of Constellation Brands in a report on Friday, October 6th. Pivotal Research increased their target price on Constellation Brands from $250.00 to $265.00 and gave the stock a “buy” rating in a research report on Thursday, October 5th. Morgan Stanley increased their target price on Constellation Brands from $218.00 to $245.00 and gave the stock an “overweight” rating in a research report on Friday, October 6th. Finally, Citigroup reissued a “neutral” rating and issued a $232.00 target price (up previously from $211.00) on shares of Constellation Brands in a research report on Monday, October 9th. One equities research analyst has rated the stock with a sell rating, seven have assigned a hold rating, thirteen have given a buy rating and one has issued a strong buy rating to the company. The company currently has a consensus rating of “Buy” and a consensus target price of $216.00.

Constellation Brands (NYSE STZ) traded up $1.13 during midday trading on Monday, reaching $217.98. The company’s stock had a trading volume of 1,342,600 shares, compared to its average volume of 1,455,551. Constellation Brands has a 1-year low of $144.00 and a 1-year high of $227.20. The company has a current ratio of 1.61, a quick ratio of 0.69 and a debt-to-equity ratio of 1.01. The stock has a market cap of $42,638.41, a PE ratio of 26.42, a P/E/G ratio of 1.40 and a beta of 0.08.

Constellation Brands (NYSE:STZ) last released its quarterly earnings data on Thursday, October 5th. The company reported $2.47 earnings per share for the quarter, topping the consensus estimate of $2.17 by $0.30. Constellation Brands had a return on equity of 26.16% and a net margin of 24.08%. The business had revenue of $2.08 billion during the quarter, compared to analysts’ expectations of $2.06 billion. During the same quarter last year, the business posted $1.77 EPS. The business’s revenue was up 3.1% on a year-over-year basis. equities analysts forecast that Constellation Brands will post 8.43 EPS for the current year.

In related news, VP Thomas J. Mullin sold 50,000 shares of the firm’s stock in a transaction that occurred on Monday, October 16th. The stock was sold at an average price of $209.45, for a total transaction of $10,472,500.00. The transaction was disclosed in a document filed with the Securities & Exchange Commission, which is accessible through the SEC website. Also, VP Thomas J. Mullin sold 18,227 shares of the firm’s stock in a transaction that occurred on Wednesday, November 8th. The shares were sold at an average price of $217.01, for a total value of $3,955,441.27. Following the transaction, the vice president now directly owns 72,924 shares of the company’s stock, valued at approximately $15,825,237.24. The disclosure for this sale can be found here. In the last ninety days, insiders have sold 73,662 shares of company stock valued at $15,564,585. 15.59% of the stock is owned by corporate insiders.

Several institutional investors have recently bought and sold shares of the business. Nuveen Asset Management LLC boosted its stake in shares of Constellation Brands by 14.3% in the 1st quarter. Nuveen Asset Management LLC now owns 207,493 shares of the company’s stock worth $31,350,000 after buying an additional 25,918 shares during the last quarter. Hillman Co. boosted its stake in shares of Constellation Brands by 27.1% in the 1st quarter. Hillman Co. now owns 183,470 shares of the company’s stock worth $29,735,000 after buying an additional 39,122 shares during the last quarter. Wedbush Securities Inc. boosted its stake in shares of Constellation Brands by 12.9% in the 3rd quarter. Wedbush Securities Inc. now owns 3,179 shares of the company’s stock worth $634,000 after buying an additional 362 shares during the last quarter. Huntington National Bank boosted its stake in shares of Constellation Brands by 3.4% in the 3rd quarter. Huntington National Bank now owns 183,777 shares of the company’s stock worth $30,597,000 after buying an additional 5,957 shares during the last quarter. Finally, First National Trust Co. boosted its stake in shares of Constellation Brands by 18.0% in the 4th quarter. First National Trust Co. now owns 10,480 shares of the company’s stock worth $1,492,000 after buying an additional 1,596 shares during the last quarter. 75.04% of the stock is owned by institutional investors and hedge funds.

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Constellation Brands Company Profile

Constellation Brands, Inc is an international beverage alcohol company. The Company is a producer and marketer of beer, wine and spirits with operations in the United States, Canada, Mexico, New Zealand and Italy. Its segments include Beer, Wine and Spirits, and Corporate Operations and Other. It is a multi-category supplier (beer, wine and spirits) of beverage alcohol in the United States.

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Analyst Recommendations for Constellation Brands (NYSE:STZ)

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