Constellation Brands (NYSE:STZ) Hits New 1-Year Low – What’s Next?

Constellation Brands, Inc. (NYSE:STZ)’s share price reached a new 52-week low during trading on Monday . The stock traded as low as $224.72 and last traded at $224.72, with a volume of 169137 shares. The stock had previously closed at $227.63.

Analyst Ratings Changes

A number of equities research analysts recently weighed in on the stock. Roth Mkm restated a “buy” rating and set a $298.00 price objective on shares of Constellation Brands in a research note on Friday, October 4th. UBS Group decreased their price target on Constellation Brands from $320.00 to $295.00 and set a “buy” rating for the company in a research report on Monday, September 9th. JPMorgan Chase & Co. lowered their price target on Constellation Brands from $307.00 to $293.00 and set an “overweight” rating on the stock in a report on Friday, October 4th. Wells Fargo & Company lowered their price objective on shares of Constellation Brands from $300.00 to $295.00 and set an “overweight” rating on the stock in a research report on Tuesday, November 26th. Finally, Needham & Company LLC reissued a “buy” rating and set a $280.00 price objective on shares of Constellation Brands in a research report on Friday, December 20th. Five research analysts have rated the stock with a hold rating and fifteen have given a buy rating to the company’s stock. According to data from MarketBeat.com, the company has a consensus rating of “Moderate Buy” and a consensus price target of $288.70.

Constellation Brands Stock Performance

The stock has a market cap of $40.92 billion, a price-to-earnings ratio of 72.94, a PEG ratio of 1.69 and a beta of 0.90. The company has a current ratio of 1.25, a quick ratio of 0.53 and a debt-to-equity ratio of 1.31. The firm has a fifty day simple moving average of $237.11 and a 200 day simple moving average of $244.99.

Constellation Brands (NYSE:STZ) last released its quarterly earnings data on Thursday, October 3rd. The company reported $4.32 earnings per share for the quarter, beating analysts’ consensus estimates of $4.08 by $0.24. Constellation Brands had a return on equity of 25.34% and a net margin of 5.29%. The company had revenue of $2.92 billion for the quarter, compared to the consensus estimate of $2.95 billion. During the same period in the previous year, the business earned $3.70 earnings per share. The company’s quarterly revenue was up 2.9% on a year-over-year basis. As a group, sell-side analysts expect that Constellation Brands, Inc. will post 13.57 earnings per share for the current year.

Constellation Brands Announces Dividend

The company also recently announced a quarterly dividend, which was paid on Thursday, November 21st. Stockholders of record on Tuesday, November 5th were paid a $1.01 dividend. This represents a $4.04 dividend on an annualized basis and a dividend yield of 1.79%. The ex-dividend date was Tuesday, November 5th. Constellation Brands’s dividend payout ratio (DPR) is currently 130.74%.

Insider Buying and Selling at Constellation Brands

In other Constellation Brands news, CEO William A. Newlands sold 7,426 shares of the company’s stock in a transaction on Tuesday, October 29th. The stock was sold at an average price of $237.24, for a total transaction of $1,761,744.24. Following the transaction, the chief executive officer now owns 7,274 shares of the company’s stock, valued at approximately $1,725,683.76. This represents a 50.52 % decrease in their position. The transaction was disclosed in a filing with the Securities & Exchange Commission, which can be accessed through the SEC website. Also, EVP Samuel J. Glaetzer sold 1,510 shares of Constellation Brands stock in a transaction on Monday, October 14th. The shares were sold at an average price of $245.57, for a total value of $370,810.70. Following the completion of the sale, the executive vice president now directly owns 4,970 shares of the company’s stock, valued at $1,220,482.90. This trade represents a 23.30 % decrease in their ownership of the stock. The disclosure for this sale can be found here. In the last quarter, insiders sold 189,956 shares of company stock worth $46,058,091. 12.19% of the stock is currently owned by insiders.

Institutional Inflows and Outflows

A number of large investors have recently added to or reduced their stakes in STZ. Copley Financial Group Inc. acquired a new stake in Constellation Brands during the 3rd quarter worth $455,000. Oddo BHF Asset Management Sas bought a new stake in Constellation Brands during the 3rd quarter worth approximately $223,000. Wilmington Savings Fund Society FSB raised its holdings in Constellation Brands by 260.7% during the 3rd quarter. Wilmington Savings Fund Society FSB now owns 20,495 shares of the company’s stock worth $5,281,000 after buying an additional 14,813 shares during the period. Arvest Bank Trust Division bought a new stake in shares of Constellation Brands in the third quarter valued at about $243,000. Finally, World Investment Advisors LLC raised its holdings in shares of Constellation Brands by 36.6% in the third quarter. World Investment Advisors LLC now owns 2,550 shares of the company’s stock valued at $657,000 after purchasing an additional 683 shares during the last quarter. 77.34% of the stock is currently owned by institutional investors and hedge funds.

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.