DailyIQ
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Sector:Consumer DefensiveAll sectors
Last updated 2 minutes ago

STZ·Constellation Brands, Inc.

$.
-. (-.%)
After Hours
High
$142.02
Open
$141.00
Market Cap
24.22B
52W High
$180.41
Low
$138.53
P. Close
$138.83
P/E
14.36
52W Low
$126.45
Fwd P/E
11.14
Mean Target
-
Technical Score (1D)
27
SELL
News Sentiment
44
BEARISH
Citi has initiated an "upside 90-day catalyst watch" for Constellation Brands, maintaining a Buy rating and setting a $185 price target, implying a significant upside potential. This optimism stems from expectations of accelerated beer trends in the upcoming Q1 2027 report, aided by easier year-over-year comparisons. Furthermore, Citi anticipates the company will benefit from increased demand during the FIFA World Cup, particularly within the Hispanic community. This positive outlook contrasts with a recent price target adjustment by B of A Securities, which lowered its target to $152 from $154 and reiterated an Underperform rating, signaling a more cautious near-term view. Despite these differing analyst perspectives, Constellation Brands is navigating a challenging alcoholic beverage market. Inflation and market saturation are key headwinds impacting growth prospects, compounded by shifting consumer habits and competition. However, the company's strong beer portfolio mix and solid balance sheet are cited as mitigating factors that may offer some resilience. Investors will be watching for confirmation of these accelerated beer trends and the impact of the World Cup demand in the coming reporting periods.
Earnings Summary
Constellation Brands is a global beverage alcohol company with a diverse portfolio of beer, wine, and spirits brands, including prominent names like Corona, Modelo, Kim Crawford, and SVEDKA. Operating within the Consumer Defensive sector, specifically the Beverages - Brewers industry, the company's business involves the production, import, marketing, and sales of these beverages across key international markets. Its extensive distribution network reaches wholesale distributors, retailers, on-premise establishments, and government agencies. In its most recent reported quarters, Constellation Brands demonstrated a mixed performance against analyst expectations. For Q3 2026, the company reported an Earnings Per Share (EPS) of $3.06, significantly beating the estimate of $1.68, and revenue of $2.22 billion, surpassing the estimate of $1.84 billion. This followed a Q4 2026 performance where EPS was $1.90 against an estimate of $1.71, and revenue was $1.92 billion versus an estimate of $1.88 billion. Looking at the prior year's comparable periods, Q1 2025 saw an actual EPS of $2.63 against an estimate of $2.27, and Q2 2025 reported $3.22 EPS against an estimate of $3.30. The company has shown a pattern of beating EPS estimates in recent quarters, notably in Q3 2026 and Q4 2026, and also exceeded revenue expectations in these same periods. Historically, Constellation Brands has exhibited a generally positive year-over-year growth trajectory, with notable instances of exceeding analyst predictions for both earnings and revenue, particularly in its most recent fiscal reporting periods. Recent news indicates a split in analyst sentiment, with Citi initiating an "upside 90-day catalyst watch" and maintaining a Buy rating, anticipating accelerated beer trends and benefits from the FIFA World Cup. Conversely, Bank of America has lowered its price target, signaling a more cautious near-term outlook. Institutional investor Swedbank AB has increased its stake, suggesting growing confidence. Investors will be watching for confirmation of the anticipated accelerated beer trends and the impact of major sporting events on demand in the upcoming quarters, alongside monitoring the company's ability to navigate market headwinds such as inflation and shifting consumer habits.

EPS

EstBeatMiss
$1.39$2.03$2.66$3.29$3.92Q2'25Q3'25Q4'25Q3'26Q4'26Q1'27
QtrEstActual+/−
Q1'27$3.26 - -
Q4'26$1.71$1.90+10.9%
Q3'26$1.68$3.06+81.6%
Q4'25$2.63$3.06+16.2%
Q3'25$3.41$3.63+6.5%
Q2'25$3.29$3.22-2.3%

Revenue

EstBeatMiss
$1.7B$2.0B$2.2B$2.4B$2.6BQ2'25Q3'25Q4'25Q3'26Q4'26Q1'27
QtrEstActual+/−
Q1'27$2.4B - -
Q4'26$1.9B$1.9B+2.3%
Q3'26$1.8B$2.2B+20.5%
Q4'25 - $2.2B -
Q3'25 - $2.5B -
Q2'25 - $2.5B -
Full Earnings BreakdownEstimates, actuals, guidance, and historical context
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Market Data

STZ Stock Snapshot

STZ is currently trading at $139.05, giving Constellation Brands, Inc. a market cap of 24.22B and a P/E ratio of 14.4. Today's range spans $138.53–$142.02, with shares opening at $141.00 and moving up $0.22 (0.2%) from the prior close. DailyIQ's technical score sits at 27/100 (SELL) with a news sentiment reading of 44/100.

Over the past year STZ has traded between $126.45 and $180.41 - the current price is +10.0% off the 52-week low and -22.9% from the high.

The path of least resistance for Constellation Brands, Inc. (STZ) is currently lower - 27/100 (SELL), neutral sentiment (44/100), price $139.05 (in the lower half of its 52-week range within $126.45–$180.41). The current P/E ratio stands at 14.4. At 24.22B in Consumer Defensive market cap, this large-cap name is in the zone where portfolio risk managers - not just traders - are making decisions. Trimming positions on technical deterioration is standard practice at this size, and the current setup gives them a clear rationale to act.

The current SELL phase for STZ (27/100) at $139.05 (in the lower half of its 52-week range) suggests that the market is discounting either a fundamental deterioration or a sector headwind that hasn't fully appeared in the earnings line yet. Sentiment at 44/100 (neutral) confirms that news flow is not providing a counternarrative. At 24.22B in Consumer Defensive capitalization, STZ has the liquidity for institutional exits to be orderly — but orderly doesn't mean shallow within the $126.45–$180.41 range.