Constellation Brands (NYSE:STZ) Sets New 52-Week Low – Should You Sell?

Constellation Brands, Inc. (NYSE:STZ)’s share price reached a new 52-week low during trading on Wednesday . The stock traded as low as $224.86 and last traded at $228.23, with a volume of 44416 shares. The stock had previously closed at $237.15.

Wall Street Analyst Weigh In

Several brokerages recently weighed in on STZ. Morgan Stanley cut their price objective on shares of Constellation Brands from $305.00 to $280.00 and set an “overweight” rating on the stock in a research report on Monday, August 26th. BMO Capital Markets reduced their price objective on Constellation Brands from $315.00 to $305.00 and set an “outperform” rating for the company in a research report on Tuesday, October 15th. JPMorgan Chase & Co. lowered their target price on Constellation Brands from $307.00 to $293.00 and set an “overweight” rating on the stock in a research report on Friday, October 4th. Truist Financial reduced their price target on Constellation Brands from $265.00 to $255.00 and set a “hold” rating for the company in a research report on Friday, October 4th. Finally, 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. Four research analysts have rated the stock with a hold rating and thirteen have given a buy rating to the company’s stock. Based on data from MarketBeat, Constellation Brands presently has an average rating of “Moderate Buy” and a consensus target price of $290.47.

Constellation Brands Stock Performance

The firm has a fifty day moving average price of $245.30 and a 200 day moving average price of $249.29. The firm has a market capitalization of $41.70 billion, a PE ratio of 76.70, a P/E/G ratio of 1.64 and a beta of 0.90. The company has a debt-to-equity ratio of 1.31, a current ratio of 1.25 and a quick ratio of 0.53.

Constellation Brands (NYSE:STZ) last announced its earnings results on Thursday, October 3rd. The company reported $4.32 EPS for the quarter, topping the consensus estimate of $4.08 by $0.24. Constellation Brands had a net margin of 5.29% and a return on equity of 25.34%. The company had revenue of $2.92 billion during the quarter, compared to analysts’ expectations of $2.95 billion. During the same period last year, the company posted $3.70 earnings per share. The business’s revenue for the quarter was up 2.9% on a year-over-year basis. Research analysts anticipate that Constellation Brands, Inc. will post 13.57 earnings per share for the current fiscal year.

Constellation Brands Dividend Announcement

The company also recently announced a quarterly dividend, which will be paid on Thursday, November 21st. Shareholders of record on Tuesday, November 5th will be paid a dividend of $1.01 per share. This represents a $4.04 annualized dividend and a yield of 1.76%. The ex-dividend date is Tuesday, November 5th. Constellation Brands’s dividend payout ratio (DPR) is currently 130.74%.

Insider Transactions at Constellation Brands

In related news, CFO Garth Hankinson sold 13,583 shares of the stock in a transaction dated Thursday, August 8th. The stock was sold at an average price of $240.00, for a total value of $3,259,920.00. Following the completion of the sale, the chief financial officer now directly owns 11,702 shares of the company’s stock, valued at approximately $2,808,480. This represents a 0.00 % decrease in their position. The sale was disclosed in a legal filing with the Securities & Exchange Commission, which is accessible through this hyperlink. In related news, EVP Samuel J. Glaetzer sold 1,510 shares of the stock in a transaction on Monday, October 14th. The stock was sold at an average price of $245.57, for a total transaction of $370,810.70. Following the completion of the sale, the executive vice president now directly owns 4,970 shares in the company, valued at approximately $1,220,482.90. This trade represents a 0.00 % decrease in their ownership of the stock. The sale was disclosed in a legal filing with the Securities & Exchange Commission, which is accessible through the SEC website. Also, CFO Garth Hankinson sold 13,583 shares of the business’s stock in a transaction dated Thursday, August 8th. The shares were sold at an average price of $240.00, for a total value of $3,259,920.00. Following the completion of the transaction, the chief financial officer now owns 11,702 shares in the company, valued at $2,808,480. This trade represents a 0.00 % decrease in their position. The disclosure for this sale can be found here. Insiders sold a total of 141,793 shares of company stock valued at $34,300,914 over the last quarter. Company insiders own 12.19% of the company’s stock.

Institutional Investors Weigh In On Constellation Brands

Several institutional investors have recently made changes to their positions in the company. Manning & Napier Advisors LLC acquired a new stake in Constellation Brands in the second quarter valued at approximately $119,394,000. Vanguard Group Inc. lifted its stake in shares of Constellation Brands by 3.5% in the 1st quarter. Vanguard Group Inc. now owns 13,705,793 shares of the company’s stock valued at $3,724,686,000 after purchasing an additional 462,891 shares during the last quarter. Howland Capital Management LLC boosted its holdings in Constellation Brands by 3.0% in the first quarter. Howland Capital Management LLC now owns 141,314 shares of the company’s stock worth $38,403,000 after purchasing an additional 4,051 shares in the last quarter. Capital International Sarl increased its position in Constellation Brands by 35.9% during the first quarter. Capital International Sarl now owns 10,462 shares of the company’s stock worth $2,843,000 after buying an additional 2,764 shares during the last quarter. Finally, Clearbridge Investments LLC raised its holdings in Constellation Brands by 1.1% during the first quarter. Clearbridge Investments LLC now owns 503,058 shares of the company’s stock valued at $136,711,000 after buying an additional 5,302 shares in the last quarter. 77.34% of the stock is currently owned by institutional investors and hedge funds.

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.