TD Cowen Reiterates “Buy” Rating for Constellation Brands (NYSE:STZ)

Constellation Brands (NYSE:STZ)‘s stock had its “buy” rating reaffirmed by TD Cowen in a report issued on Friday,Benzinga reports. They presently have a $174.00 target price on the stock. TD Cowen’s target price points to a potential upside of 18.60% from the company’s previous close.

A number of other research analysts have also recently commented on the company. Bank of America cut their target price on Constellation Brands from $154.00 to $152.00 and set an “underperform” rating on the stock in a research note on Thursday, May 28th. Piper Sandler upped their target price on Constellation Brands from $146.00 to $160.00 and gave the stock a “neutral” rating in a report on Friday, April 10th. Barclays raised their target price on shares of Constellation Brands from $151.00 to $170.00 and gave the company an “equal weight” rating in a research note on Friday, April 10th. Royal Bank Of Canada restated an “outperform” rating and set a $185.00 price target on shares of Constellation Brands in a research note on Friday, April 10th. Finally, Jefferies Financial Group dropped their price target on Constellation Brands from $158.00 to $157.00 and set a “hold” rating on the stock in a research note on Tuesday. One analyst has rated the stock with a Strong Buy rating, eleven have assigned a Buy rating, eight have assigned a Hold rating and two have assigned a Sell rating to the stock. According to MarketBeat.com, the company currently has an average rating of “Moderate Buy” and an average price target of $173.00.

Constellation Brands Price Performance

Shares of NYSE STZ traded up $2.26 during midday trading on Friday, reaching $146.71. 766,060 shares of the stock traded hands, compared to its average volume of 2,253,193. Constellation Brands has a one year low of $126.45 and a one year high of $178.13. The stock has a market capitalization of $25.26 billion, a PE ratio of 15.31, a P/E/G ratio of 4.20 and a beta of 0.39. The company’s 50 day moving average is $147.23 and its 200 day moving average is $150.32. The company has a debt-to-equity ratio of 1.16, a current ratio of 1.08 and a quick ratio of 0.55.

Constellation Brands (NYSE:STZ) last announced its earnings results on Wednesday, April 8th. The company reported $1.90 earnings per share (EPS) for the quarter, beating the consensus estimate of $1.71 by $0.19. Constellation Brands had a net margin of 17.29% and a return on equity of 26.18%. The firm had revenue of $1.92 billion for the quarter, compared to analysts’ expectations of $1.84 billion. During the same period in the prior year, the company earned $2.63 EPS. The business’s revenue was down 11.3% compared to the same quarter last year. On average, equities research analysts anticipate that Constellation Brands will post 11.84 earnings per share for the current year.

Insider Activity

In other Constellation Brands news, EVP James O. Bourdeau sold 4,407 shares of Constellation Brands stock in a transaction that occurred on Tuesday, May 12th. The stock was sold at an average price of $143.24, for a total transaction of $631,258.68. Following the transaction, the executive vice president owned 9,109 shares of the company’s stock, valued at $1,304,773.16. The trade was a 32.61% decrease in their ownership of the stock. The transaction was disclosed in a filing with the SEC, which is available at this hyperlink. 12.20% of the stock is currently owned by company insiders.

Institutional Investors Weigh In On Constellation Brands

Large investors have recently modified their holdings of the stock. Capital International Investors boosted its holdings in shares of Constellation Brands by 48.5% in the fourth quarter. Capital International Investors now owns 6,442,600 shares of the company’s stock valued at $888,930,000 after acquiring an additional 2,105,546 shares in the last quarter. Norges Bank acquired a new stake in shares of Constellation Brands in the 4th quarter valued at approximately $267,798,000. Ameriprise Financial Inc. boosted its stake in shares of Constellation Brands by 650.6% in the second quarter. Ameriprise Financial Inc. now owns 1,769,741 shares of the company’s stock valued at $287,889,000 after buying an additional 1,533,961 shares in the last quarter. Wellington Management Group LLP raised its position in Constellation Brands by 14.0% in the fourth quarter. Wellington Management Group LLP now owns 6,018,653 shares of the company’s stock worth $830,333,000 after acquiring an additional 739,393 shares in the last quarter. Finally, Pzena Investment Management LLC acquired a new stake in Constellation Brands in the fourth quarter valued at $81,381,000. Hedge funds and other institutional investors own 77.34% of the company’s stock.

Key Constellation Brands News

Here are the key news stories impacting Constellation Brands this week:

• Positive Sentiment: Needham & Company reaffirmed its Buy rating on Constellation Brands and set a $185 price target, implying meaningful upside from current levels. Needham reaffirms Buy on Constellation Brands with $185 target
• Positive Sentiment: JPMorgan also nudged its price target higher to $169 while keeping a Neutral stance, which adds to the view that Wall Street sees some further upside ahead of earnings. JPMorgan raises price target on Constellation Brands
• Positive Sentiment: Investor attention is building ahead of Constellation Brands’ first-quarter earnings report on June 30, with previews pointing to expected earnings growth and ongoing beer momentum as key positives. Constellation Brands Q1 earnings preview
• Neutral Sentiment: Analyst previews note that cost pressures and broader demand concerns could temper results, so the upcoming earnings release may be a key catalyst depending on whether STZ beats expectations. Analyst preview of Constellation Brands earnings

About Constellation Brands

Constellation Brands, Inc is a leading producer and marketer of beer, wine and spirits, with operations spanning production, importation, marketing and distribution. The company’s beverage portfolio includes a range of premium and mainstream wines and spirits alongside major imported beer brands; in the U.S. market Constellation is widely known for its role in bringing Mexican imports such as Corona and Modelo to American consumers. Constellation supplies retail, on?premise and foodservice channels and supports its brands with national sales and marketing platforms and supply?chain capabilities.

The company traces its roots to the Canandaigua Wine Company, founded by Marvin Sands in 1945, and evolved through organic growth and acquisition into a diversified beverage company.