Constellation Brands (NYSE:STZ) Hits New 1-Year Low on Analyst Downgrade

Constellation Brands, Inc. (NYSE:STZ - Get Free Report)'s share price hit a new 52-week low during mid-day trading on Tuesday after Truist Financial lowered their price target on the stock from $255.00 to $190.00. Truist Financial currently has a hold rating on the stock. Constellation Brands traded as low as $176.51 and last traded at $185.84, with a volume of 5460613 shares traded. The stock had previously closed at $181.81.

A number of other analysts have also issued reports on STZ. Bank of America restated a "neutral" rating and issued a $255.00 target price (down previously from $300.00) on shares of Constellation Brands in a report on Monday, October 7th. TD Cowen reduced 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 report on Wednesday, January 8th. BNP Paribas assumed coverage on shares of Constellation Brands in a research note on Monday, November 25th. They issued a "neutral" rating and a $261.00 price objective on the stock. Needham & Company LLC reissued a "buy" rating and set a $280.00 target price on shares of Constellation Brands in a research note on Friday. Finally, Wells Fargo & Company dropped their price target on shares of Constellation Brands from $295.00 to $275.00 and set an "overweight" rating on the stock in a research note on Tuesday, January 7th. Eight investment analysts have rated the stock with a hold rating and twelve have issued a buy rating to the company. According to MarketBeat, the stock presently has a consensus rating of "Moderate Buy" and a consensus target price of $261.40.

Insider Activity

In other Constellation Brands news, major shareholder Wildstar Partners Llc sold 660 shares of the stock in a transaction on Wednesday, November 20th. The stock was sold at an average price of $241.00, for a total transaction of $159,060.00. Following the completion of the transaction, the insider now directly 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 transaction was disclosed in a legal filing with the SEC, which can be accessed through this link. Also, CEO William A. Newlands sold 7,426 shares of the business's stock in a transaction on Tuesday, October 29th. The shares were sold at an average price of $237.24, for a total transaction of $1,761,744.24. Following the completion of the sale, the chief executive officer now owns 7,274 shares in the company, valued at $1,725,683.76. This represents a 50.52 % decrease in their position. The disclosure for this sale can be found here. Over the last 90 days, insiders sold 188,446 shares of company stock valued at $45,687,281. Insiders own 12.19% of the company's stock.

Hedge Funds Weigh In On Constellation Brands

A number of institutional investors and hedge funds have recently added to or reduced their stakes in STZ. Versant Capital Management Inc boosted its holdings in shares of Constellation Brands by 887.5% in the 4th quarter. Versant Capital Management Inc now owns 158 shares of the company's stock worth $35,000 after acquiring an additional 142 shares in the last quarter. Ashton Thomas Private Wealth LLC acquired a new position in Constellation Brands during the 2nd quarter worth about $36,000. Eastern Bank bought a new stake in Constellation Brands during the 3rd quarter worth about $39,000. FSA Wealth Management LLC acquired a new stake in Constellation Brands in the 3rd quarter valued at about $42,000. Finally, Fairfield Financial Advisors LTD acquired a new stake in Constellation Brands in the 2nd quarter valued at about $57,000. 77.34% of the stock is currently owned by institutional investors and hedge funds.

Constellation Brands Price Performance

The company has a quick ratio of 0.53, a current ratio of 1.25 and a debt-to-equity ratio of 1.31. The company has a market capitalization of $33.08 billion, a price-to-earnings ratio of 58.96, a price-to-earnings-growth ratio of 1.69 and a beta of 1.75. The stock's 50-day moving average price is $229.71 and its 200-day moving average price is $240.26.

Constellation Brands (NYSE:STZ - Get Free Report) last issued its quarterly earnings results on Friday, January 10th. The company reported $3.25 earnings per share (EPS) for the quarter, missing the consensus estimate of $3.33 by ($0.08). The firm had revenue of $2.46 billion for the quarter, compared to analyst estimates of $2.53 billion. Constellation Brands had a net margin of 5.29% and a return on equity of 25.34%. The company's revenue was down .3% compared to the same quarter last year. During the same period last year, the company earned $3.19 EPS. Equities research analysts anticipate that Constellation Brands, Inc. will post 13.57 earnings per share for the current year.

Constellation Brands Announces Dividend

The firm also recently announced a quarterly dividend, which will be paid on Friday, February 21st. Shareholders of record on Friday, February 7th will be issued a dividend of $1.01 per share. This represents a $4.04 dividend on an annualized basis and a yield of 2.22%. The ex-dividend date is Friday, February 7th. Constellation Brands's dividend payout ratio is presently 130.74%.

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.