Constellation Brands (NYSE:STZ) Upgraded by Citigroup to Buy Rating

Citigroup upgraded shares of Constellation Brands (NYSE:STZ) from a neutral rating to a buy rating in a research note released on Wednesday, Marketbeat.com reports. Citigroup currently has $175.00 price target on the stock, up from their previous price target of $155.00.

Several other analysts also recently weighed in on the company. Barclays boosted their target price on Constellation Brands from $147.00 to $148.00 and gave the company an “equal weight” rating in a report on Monday, January 12th. Deutsche Bank Aktiengesellschaft restated a “hold” rating and issued a $160.00 target price on shares of Constellation Brands in a research note on Monday, December 15th. UBS Group set a $168.00 price target on Constellation Brands in a report on Friday, January 9th. Needham & Company LLC reissued a “buy” rating and set a $180.00 price objective on shares of Constellation Brands in a report on Tuesday, January 6th. Finally, Wells Fargo & Company set a $165.00 target price on Constellation Brands in a research report on Thursday, January 8th. One equities research analyst has rated the stock with a Strong Buy rating, twelve have assigned a Buy rating, eight have assigned a Hold rating and two have issued a Sell rating to the company. According to MarketBeat, the stock has an average rating of “Moderate Buy” and an average price target of $177.82.

Constellation Brands Price Performance

Constellation Brands stock opened at $152.11 on Wednesday. The stock has a market cap of $26.38 billion, a P/E ratio of 23.99, a price-to-earnings-growth ratio of 0.42 and a beta of 0.44. The company has a current ratio of 1.34, a quick ratio of 0.70 and a debt-to-equity ratio of 1.29. The company has a fifty day simple moving average of $156.03 and a 200-day simple moving average of $144.32. Constellation Brands has a 12-month low of $126.45 and a 12-month high of $196.91.

Constellation Brands (NYSE:STZ) last released its quarterly earnings data on Wednesday, January 7th. The company reported $3.06 earnings per share (EPS) for the quarter, topping the consensus estimate of $2.63 by $0.43. The business had revenue of $2.22 billion during the quarter, compared to analysts’ expectations of $2.17 billion. Constellation Brands had a return on equity of 29.15% and a net margin of 11.08%.The business’s quarterly revenue was down 9.8% compared to the same quarter last year. During the same period in the prior year, the firm posted $3.25 EPS. Constellation Brands has set its FY 2026 guidance at 11.300-11.600 EPS. Equities analysts expect that Constellation Brands will post 13.5 EPS for the current fiscal year.

Constellation Brands Dividend Announcement

The firm also recently declared a quarterly dividend, which was paid on Thursday, February 12th. Shareholders of record on Thursday, January 29th were paid a $1.02 dividend. This represents a $4.08 dividend on an annualized basis and a yield of 2.7%. The ex-dividend date of this dividend was Thursday, January 29th. Constellation Brands’s dividend payout ratio (DPR) is presently 64.35%.

Hedge Funds Weigh In On Constellation Brands

Hedge funds have recently made changes to their positions in the stock. MV Capital Management Inc. acquired a new position in Constellation Brands in the fourth quarter valued at $26,000. Root Financial Partners LLC acquired a new position in Constellation Brands during the 3rd quarter worth approximately $26,000. Stance Capital LLC purchased a new position in shares of Constellation Brands in the third quarter valued at $26,000. Strive Financial Group LLC purchased a new position in Constellation Brands in the 4th quarter valued at about $27,000. Finally, GoalVest Advisory LLC purchased a new position in Constellation Brands in the fourth quarter valued at about $28,000. Institutional investors and hedge funds own 77.34% of the company’s stock.

Constellation Brands Company Profile

Constellation Brands, Inc is a leading producer and marketer of beer, wine and spirits, with operations spanning production, importation, marketing and distribution. The company’s beverage portfolio includes a range of premium and mainstream wines and spirits alongside major imported beer brands; in the U.S. market Constellation is widely known for its role in bringing Mexican imports such as Corona and Modelo to American consumers. Constellation supplies retail, on‑premise and foodservice channels and supports its brands with national sales and marketing platforms and supply‑chain capabilities.

The company traces its roots to the Canandaigua Wine Company, founded by Marvin Sands in 1945, and evolved through organic growth and acquisition into a diversified beverage company.