Constellation Brands (NYSE:STZ) Stock Gets Price Target Trim from Morgan Stanley

Constellation Brands (NYSE:STZ) had its price objective lowered by Morgan Stanley from $158.00 to $145.00 in a research note published on Thursday morning, MarketBeat Ratings reports. Morgan Stanley currently has an equal weight rating on the stock.

A number of other brokerages have also weighed in on STZ. Barclays reduced their price objective on shares of Constellation Brands from $132.00 to $122.00 and set an “equal weight” rating on the stock in a report on Tuesday, September 22nd. Deutsche Bank Aktiengesellschaft cut their price target on Constellation Brands from $150.00 to $136.00 and set a “hold” rating on the stock in a research note on Friday, September 11th. Jefferies Financial Group decreased their price target on Constellation Brands from $147.00 to $135.00 and set a “hold” rating for the company in a report on Monday, September 14th. Piper Sandler reaffirmed a “neutral” rating and set a $160.00 price target on shares of Constellation Brands in a report on Wednesday, July 1st. Finally, Bank of America lowered their price objective on Constellation Brands from $152.00 to $145.00 and set an “underperform” rating for the company in a research report on Thursday, July 2nd. Twelve equities research analysts have rated the stock with a Buy rating, seven have given a Hold rating and five have issued a Sell rating to the company’s stock. Based on data from MarketBeat.com, the stock presently has an average rating of “Hold” and a consensus target price of $153.09.

Constellation Brands Price Performance

Shares of NYSE STZ opened at $122.42 on Thursday. The company has a debt-to-equity ratio of 1.02, a current ratio of 1.00 and a quick ratio of 0.48. The company has a market cap of $20.91 billion, a price-to-earnings ratio of 10.98, a price-to-earnings-growth ratio of 2.43 and a beta of 0.44. The stock’s 50-day moving average is $125.74 and its two-hundred day moving average is $138.11. Constellation Brands has a 1-year low of $110.60 and a 1-year high of $168.60.

Constellation Brands (NYSE:STZ) last announced its quarterly earnings data on Tuesday, October 6th. The company reported $3.74 EPS for the quarter, topping analysts’ consensus estimates of $3.62 by $0.12. Constellation Brands had a return on equity of 24.75% and a net margin of 19.57%. The business had revenue of $2.63 billion during the quarter, compared to the consensus estimate of $2.54 billion. During the same period in the previous year, the company posted $3.63 earnings per share. The business’s revenue for the quarter was up 6.1% on a year-over-year basis. Constellation Brands has set its FY 2027 guidance at 11.200-11.900 EPS. Analysts forecast that Constellation Brands will post 11.85 EPS for the current fiscal year.

Constellation Brands Dividend Announcement

The business also recently declared a quarterly dividend, which will be paid on Friday, November 13th. Stockholders of record on Friday, October 30th will be paid a dividend of $1.03 per share. This represents a $4.12 annualized dividend and a dividend yield of 3.4%. The ex-dividend date is Friday, October 30th. Constellation Brands’s dividend payout ratio is 36.95%.

Institutional Investors Weigh In On Constellation Brands

Several hedge funds have recently modified their holdings of STZ. MV Capital Management Inc. acquired a new position in Constellation Brands in the 4th quarter valued at $26,000. Cedar Mountain Advisors LLC acquired a new stake in shares of Constellation Brands in the 1st quarter worth $33,000. Root Financial Partners LLC lifted its stake in shares of Constellation Brands by 231.3% in the 1st quarter. Root Financial Partners LLC now owns 222 shares of the company’s stock worth $33,000 after acquiring an additional 155 shares during the period. Continuum Advisory LLC acquired a new stake in shares of Constellation Brands in the 2nd quarter worth $33,000. Finally, Ascentis Independent Advisors purchased a new stake in shares of Constellation Brands in the first quarter valued at about $37,000. 77.34% of the stock is owned by institutional investors and hedge funds.

Trending Headlines about Constellation Brands

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

• Positive Sentiment: Constellation Brands reported fiscal second-quarter revenue of approximately $2.63 billion and comparable EPS of $3.74, exceeding Wall Street estimates of $2.54 billion and $3.62, respectively. Beer net sales increased 5%, while wine and spirits sales rose 17%. STZ Q3 CY2026 Deep Dive
• Positive Sentiment: Management reaffirmed fiscal 2027 comparable EPS guidance of $11.20 to $11.90 and cited improving September depletion trends, healthier inventories, stronger marketing execution and better beer demand. Investors are hopeful earnings could reach the upper end of the range. STZ Q2 Earnings Call Highlights
• Positive Sentiment: The company agreed to acquire ready-to-drink brand SpikedAde for $75 million. The deal expands Constellation’s exposure to flavored, convenience-focused alcoholic beverages and newer drinking occasions. SpikedAde Acquisition
• Neutral Sentiment: Analyst views remain mixed. JPMorgan raised its target to $136 while maintaining a neutral rating, and Freedom Broker upgraded the stock to buy with a $158 target. Needham and Morgan Stanley retained constructive or neutral ratings but reduced their targets.
• Negative Sentiment: Full-year revenue guidance of roughly $9 billion at the midpoint was below analyst expectations, reinforcing concerns that consumer demand for beer remains uneven. Questions persist around the durability of the turnaround, particularly for core brands such as Modelo and Corona, while increased marketing spending could pressure margins. Beer Demand Concerns
• Positive Sentiment: After a roughly 42% three-year decline, STZ appears inexpensive relative to its earnings power, with a low-teens price-to-earnings multiple and substantial analyst upside. That valuation is supporting a contrarian case, although investors may wait for clearer evidence of sustained volume growth.

Constellation Brands Company Profile

Constellation Brands, Inc is a beverage alcohol company that develops, markets and distributes beer, wine and spirits. Its portfolio includes well-known beer brands such as Modelo Especial, Corona Extra, Corona Light and Pacifico, along with wine brands including Robert Mondavi, Kim Crawford, Meiomi, The Prisoner Wine Company and Ruffino.

The company also offers spirits through brands such as Casa Noble tequila and High West whiskey. Constellation’s products are sold through retailers, distributors, restaurants and other on-premise locations, with a primary focus on the United States.