Constellation Brands (NYSE:STZ) Cut to “Strong Sell” at BNP Paribas

BNP Paribas downgraded shares of Constellation Brands (NYSE:STZ) from a hold rating to a strong sell rating in a research note released on Wednesday,Zacks.com reports.

STZ has been the subject of several other reports. Piper Sandler lifted their target price on shares of Constellation Brands from $165.00 to $170.00 and gave the stock a “neutral” rating in a report on Friday, June 6th. Citigroup reaffirmed a “negative” rating on shares of Constellation Brands in a report on Monday, August 25th. Wall Street Zen raised shares of Constellation Brands from a “sell” rating to a “hold” rating in a report on Tuesday, May 20th. Bank of America decreased their target price on shares of Constellation Brands from $150.00 to $142.00 and set an “underperform” rating for the company in a report on Wednesday. Finally, Raymond James Financial raised shares of Constellation Brands to a “strong-buy” rating in a report 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 assigned a Sell rating to the stock. According to MarketBeat, Constellation Brands has a consensus rating of “Moderate Buy” and a consensus price target of $194.36.

Constellation Brands Trading Up 1.7%

Shares of NYSE STZ opened at $148.38 on Wednesday. The company has a debt-to-equity ratio of 1.30, a current ratio of 1.07 and a quick ratio of 0.68. The stock has a market cap of $26.16 billion, a P/E ratio of -62.08, a price-to-earnings-growth ratio of 0.44 and a beta of 0.67. Constellation Brands has a 1 year low of $144.81 and a 1 year high of $261.06. The firm has a 50-day moving average of $167.18 and a 200 day moving average of $175.24.

Constellation Brands (NYSE:STZ) last issued its earnings results on Tuesday, July 1st. The company reported $3.22 earnings per share (EPS) for the quarter, missing the consensus estimate of $3.45 by ($0.23). The firm had revenue of $2.52 billion during the quarter, compared to analysts’ expectations of $2.57 billion. Constellation Brands had a positive return on equity of 31.41% and a negative net margin of 4.11%.The firm’s quarterly revenue was down 5.5% on a year-over-year basis. During the same period last year, the firm posted $3.57 earnings per share. Constellation Brands has set its FY 2026 guidance at 12.600-12.900 EPS. As a group, sell-side analysts expect that Constellation Brands will post 13.5 EPS for the current fiscal year.

Constellation Brands Dividend Announcement

The firm also recently announced a quarterly dividend, which was paid on Thursday, August 14th. Investors of record on Wednesday, July 30th were given a dividend of $1.02 per share. This represents a $4.08 annualized dividend and a yield of 2.7%. The ex-dividend date was Wednesday, July 30th. Constellation Brands’s payout ratio is -170.71%.

Insider Transactions at Constellation Brands

In related news, EVP James O. Bourdeau sold 821 shares of the business’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 completion of the sale, the executive vice president directly owned 9,438 shares in the company, valued at approximately $1,595,022. The trade was a 8.00% decrease in their ownership of the stock. The sale was disclosed in a filing with the SEC, which can be accessed through the SEC website. Company insiders own 12.45% of the company’s stock.

Institutional Trading of Constellation Brands

Several large investors have recently added to or reduced their stakes in STZ. Minot DeBlois Advisors LLC bought a new stake in Constellation Brands during the fourth quarter valued at approximately $29,000. Laurel Wealth Advisors LLC bought a new stake in Constellation Brands during the first quarter valued at approximately $32,000. Rakuten Securities Inc. grew its position in Constellation Brands by 805.0% during the first quarter. Rakuten Securities Inc. now owns 181 shares of the company’s stock valued at $33,000 after buying an additional 161 shares during the period. Zions Bancorporation National Association UT bought a new stake in Constellation Brands during the first quarter valued at approximately $38,000. Finally, Flaharty Asset Management LLC bought a new stake in Constellation Brands during the first quarter valued at approximately $39,000. 77.34% of the stock is currently owned by institutional investors.

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.