Constellation Brands (NYSE:STZ) Reaches New 1-Year Low – Here’s Why

Constellation Brands, Inc. (NYSE:STZ)’s stock price reached a new 52-week low on Monday . The stock traded as low as $166.14 and last traded at $172.44, with a volume of 151352 shares changing hands. The stock had previously closed at $180.80.

Analyst Ratings Changes

A number of brokerages recently issued reports on STZ. Needham & Company LLC restated a “buy” rating and issued a $240.00 price target on shares of Constellation Brands in a research report on Monday, January 27th. TD Cowen dropped their price target on shares of Constellation Brands from $270.00 to $260.00 and set a “hold” rating for the company in a research note on Wednesday, January 8th. Wells Fargo & Company reduced their price objective on shares of Constellation Brands from $295.00 to $275.00 and set an “overweight” rating on the stock in a research report on Tuesday, January 7th. Morgan Stanley dropped their target price on Constellation Brands from $280.00 to $220.00 and set an “overweight” rating for the company in a research report on Monday, January 13th. Finally, BMO Capital Markets reduced their price target on Constellation Brands from $315.00 to $305.00 and set an “outperform” rating on the stock in a report on Tuesday, October 15th. One research analyst has rated the stock with a sell rating, nine have assigned a hold rating and twelve have issued a buy rating to the company’s stock. Based on data from MarketBeat.com, the company has an average rating of “Moderate Buy” and a consensus target price of $254.29.

Constellation Brands Stock Down 1.0 %

The company’s 50-day moving average is $214.07 and its 200 day moving average is $233.24. The stock has a market capitalization of $31.22 billion, a PE ratio of 46.43, a price-to-earnings-growth ratio of 1.59 and a beta of 0.90. The company has a current ratio of 1.10, a quick ratio of 0.46 and a debt-to-equity ratio of 1.26.

Constellation Brands (NYSE:STZ) last issued its earnings results on Friday, January 10th. The company reported $3.25 earnings per share (EPS) for the quarter, missing analysts’ consensus estimates of $3.33 by ($0.08). The firm had revenue of $2.46 billion during the quarter, compared to analysts’ expectations of $2.53 billion. Constellation Brands had a return on equity of 26.55% and a net margin of 6.27%. The business’s revenue was down .3% on a year-over-year basis. During the same quarter last year, the business earned $3.19 EPS. As a group, analysts anticipate that Constellation Brands, Inc. will post 13.52 EPS for the current year.

Constellation Brands Dividend Announcement

The firm also recently disclosed a quarterly dividend, which will be paid on Friday, February 21st. Stockholders of record on Friday, February 7th will be given a $1.01 dividend. This represents a $4.04 dividend on an annualized basis and a dividend yield of 2.34%. The ex-dividend date of this dividend is Friday, February 7th. Constellation Brands’s dividend payout ratio (DPR) is presently 108.60%.

Insider Buying and Selling at Constellation Brands

In related news, EVP James A. Jr. Sabia sold 36,086 shares of the firm’s stock in a transaction dated Thursday, November 14th. The shares were sold at an average price of $242.99, for a total transaction of $8,768,537.14. Following the completion of the sale, the executive vice president now directly owns 16,042 shares in the company, valued at approximately $3,898,045.58. This trade represents a 69.23 % decrease in their ownership of the stock. The transaction was disclosed in a document filed with the Securities & Exchange Commission, which is accessible through this link. Also, major shareholder Wildstar Partners Llc sold 660 shares of the company’s stock in a transaction that occurred on Wednesday, November 20th. The shares were sold at an average price of $241.00, for a total value of $159,060.00. Following the completion of the transaction, the insider now owns 1,736,884 shares in the company, valued at $418,589,044. This represents a 0.04 % decrease in their ownership of the stock. The disclosure for this sale can be found here. Insiders have sold a total of 61,746 shares of company stock valued at $15,017,097 over the last ninety days. Corporate insiders own 12.19% of the company’s stock.

Institutional Investors Weigh In On Constellation Brands

A number of institutional investors and hedge funds have recently made changes to their positions in the stock. Grimes & Company Inc. acquired a new stake in Constellation Brands in the 4th quarter valued at approximately $6,099,000. Southern Style Financial Inc. acquired a new stake in shares of Constellation Brands in the fourth quarter valued at $3,074,000. Paloma Partners Management Co lifted its stake in Constellation Brands by 568.4% during the 3rd quarter. Paloma Partners Management Co now owns 30,000 shares of the company’s stock worth $7,731,000 after acquiring an additional 25,512 shares in the last quarter. Nomura Asset Management Co. Ltd. boosted its holdings in Constellation Brands by 3.7% during the 3rd quarter. Nomura Asset Management Co. Ltd. now owns 84,204 shares of the company’s stock valued at $21,699,000 after acquiring an additional 2,980 shares during the period. Finally, Empowered Funds LLC grew its position in Constellation Brands by 318.8% in the 3rd quarter. Empowered Funds LLC now owns 10,184 shares of the company’s stock valued at $2,624,000 after acquiring an additional 7,752 shares in the last quarter. 77.34% of the stock is 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.