Constellation Brands (NYSE:STZ) Hits New 12-Month Low on Analyst Downgrade

Constellation Brands, Inc. (NYSE:STZ)’s stock price reached a new 52-week low on Tuesday after Truist Financial lowered their price target on the stock from $255.00 to $190.00. Truist Financial currently has a hold rating on the stock. Constellation Brands traded as low as $176.51 and last traded at $185.84, with a volume of 5460613 shares trading hands. The stock had previously closed at $181.81.

A number of other analysts have also commented on the company. Royal Bank of Canada reaffirmed an “outperform” rating and issued a $308.00 price target on shares of Constellation Brands in a research note on Tuesday, January 7th. Jefferies Financial Group reiterated a “hold” rating and issued a $201.00 price objective (down previously from $310.00) on shares of Constellation Brands in a report on Monday. Argus downgraded Constellation Brands from a “buy” rating to a “hold” rating in a report on Tuesday. Needham & Company LLC reiterated a “buy” rating and issued a $280.00 price objective on shares of Constellation Brands in a report on Friday, January 10th. Finally, TD Cowen reduced their price target on Constellation Brands from $270.00 to $260.00 and set a “hold” rating for the company in a report on Wednesday, January 8th. Eight equities research analysts have rated the stock with a hold rating and twelve have given a buy rating to the company. According to MarketBeat.com, the stock presently has an average rating of “Moderate Buy” and a consensus target price of $261.40.

Insiders Place Their Bets

In other Constellation Brands news, EVP James A. Jr. Sabia sold 36,086 shares of the firm’s stock in a transaction dated Thursday, November 14th. The stock was sold at an average price of $242.99, for a total value of $8,768,537.14. Following the transaction, the executive vice president now directly owns 16,042 shares of the company’s stock, valued at approximately $3,898,045.58. This trade represents a 69.23 % decrease in their ownership of the stock. The sale was disclosed in a document filed with the SEC, which is accessible through this hyperlink. Also, CEO William A. Newlands sold 7,426 shares of Constellation Brands stock in a transaction dated Tuesday, October 29th. The shares were sold at an average price of $237.24, for a total value of $1,761,744.24. Following the transaction, the chief executive officer now directly owns 7,274 shares in the company, valued at approximately $1,725,683.76. The trade was a 50.52 % decrease in their ownership of the stock. The disclosure for this sale can be found here. Over the last three months, insiders have sold 69,172 shares of company stock valued at $16,778,841. Insiders own 12.19% of the company’s stock.

Institutional Inflows and Outflows

A number of large investors have recently made changes to their positions in the stock. Oakworth Capital Inc. lifted its holdings in shares of Constellation Brands by 4.4% in the 3rd quarter. Oakworth Capital Inc. now owns 989 shares of the company’s stock worth $255,000 after buying an additional 42 shares during the period. PFG Investments LLC lifted its holdings in shares of Constellation Brands by 3.8% in the 3rd quarter. PFG Investments LLC now owns 1,150 shares of the company’s stock worth $296,000 after buying an additional 42 shares during the period. Brighton Jones LLC lifted its holdings in shares of Constellation Brands by 4.7% in the 2nd quarter. Brighton Jones LLC now owns 950 shares of the company’s stock worth $244,000 after buying an additional 43 shares during the period. Metis Global Partners LLC lifted its holdings in shares of Constellation Brands by 0.8% in the 3rd quarter. Metis Global Partners LLC now owns 5,570 shares of the company’s stock worth $1,435,000 after buying an additional 46 shares during the period. Finally, Rosenberg Matthew Hamilton lifted its stake in shares of Constellation Brands by 6.2% during the 3rd quarter. Rosenberg Matthew Hamilton now owns 858 shares of the company’s stock worth $221,000 after purchasing an additional 50 shares during the last quarter. 77.34% of the stock is owned by hedge funds and other institutional investors.

Constellation Brands Stock Down 0.8 %

The company has a debt-to-equity ratio of 1.31, a quick ratio of 0.53 and a current ratio of 1.25. The stock has a market capitalization of $32.83 billion, a PE ratio of 58.52, a PEG ratio of 1.69 and a beta of 1.75. The business has a 50 day moving average of $229.71 and a two-hundred day moving average of $240.26.

Constellation Brands (NYSE:STZ) last issued its quarterly earnings data on Friday, January 10th. The company reported $3.25 earnings per share for the quarter, missing analysts’ consensus estimates of $3.33 by ($0.08). The company had revenue of $2.46 billion for the quarter, compared to analysts’ expectations of $2.53 billion. Constellation Brands had a return on equity of 25.34% and a net margin of 5.29%. The company’s revenue for the quarter was down .3% compared to the same quarter last year. During the same quarter last year, the company earned $3.19 earnings per share. Analysts predict that Constellation Brands, Inc. will post 13.57 EPS for the current year.

Constellation Brands Dividend Announcement

The business also recently disclosed a quarterly dividend, which will be paid on Friday, February 21st. Investors of record on Friday, February 7th will be paid a dividend of $1.01 per share. This represents a $4.04 dividend on an annualized basis and a dividend yield of 2.23%. The ex-dividend date is Friday, February 7th. Constellation Brands’s dividend payout ratio (DPR) is currently 108.60%.

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.