Is Constellation Brands Stock a Good Investment?
Constellation Brands Investment Advice | STZ |
- Examine Constellation Brands' financial health by looking at its balance sheet, income statement, and cash flow statement. Analyze key financial ratios, such as Price-to-Earnings (P/E), Price-to-Sales (P/S), and Price-to-Book (P/B), to determine whether the stock is fairly valued or over/undervalued.
- Research Constellation Brands' leadership team and their track record. Good management can help Constellation Brands navigate difficult times and make strategic decisions that benefit shareholders and increases its net worth.
- Consider the overall health of the Distillers & Vintners space and any emerging trends that could impact Constellation Brands' business and its evolving consumer preferences.
- Compare Constellation Brands' performance and market position to its competitors. Analyze how Constellation Brands is positioned in terms of product offerings, innovation, and market share.
- Check if Constellation Brands pays a dividend and its dividend yield and payout ratio.
- Review what financial analysts are saying about Constellation Brands' stock and their price targets. However, remember that analysts' opinions can vary, and their predictions may not always be accurate.
It's important to note that investing in Constellation Brands Class stock, carries risks, and you should carefully consider your investment goals and risk tolerance before making any investment decisions. Also, remember that it's important for investors to have a long-term perspective and a well-diversified portfolio to manage the impact of stock market volatility on their investments. Below is a detailed guide on how to decide if Constellation Brands Class is a good investment.
Sell | Buy |
Sell
Market Performance | Very Weak | Details | |
Volatility | Very steady | Details | |
Hype Condition | Low key | Details | |
Current Valuation | Undervalued | Details | |
Odds Of Distress | Low | Details | |
Economic Sensitivity | Moves indifferently to market moves | Details | |
Investor Sentiment | Alarmed | Details | |
Analyst Consensus | Strong Buy | Details | |
Financial Strenth (F Score) | Healthy | Details | |
Financial Leverage | Not Rated | Details | |
Reporting Quality (M-Score) | Unlikely Manipulator | Details |
Examine Constellation Brands Stock
Researching Constellation Brands' stock involves analyzing various aspects of the company and its industry to make an informed investment decision. The key areas to focus on are fundamentals, business model and competitive advantage. It is also important to analyze trends in revenue, net income, and cash flow, as well as key financial ratios, such as price-to-earnings (P/E), price-to-sales (P/S), and debt-to-equity (D/E). About 82.0% of the company shares are owned by institutional investors. The company has Price/Earnings To Growth (PEG) ratio of 1.26. Constellation Brands last dividend was issued on the 5th of November 2024. The entity had 2:1 split on the 16th of May 2005.
To determine if Constellation Brands is a good investment, evaluating the company's potential for future growth is also very important. This may include expanding into new markets, launching new products or services, or improving operational efficiency. Companies with strong growth prospects can be more attractive investments. This aspect of the research should be conducted in the context of the overall market and industry in which the company operates and should include an analysis of growth potential, competitive landscape, and any regulatory or economic factors that could impact the business. Some of the essential points regarding Constellation Brands' research are outlined below:
| Constellation Brands generated a negative expected return over the last 90 days | |
| Over 82.0% of the company shares are owned by institutional investors | |
| On 21st of November 2024 Constellation Brands paid $ 1.01 per share dividend to its current shareholders | |
| Latest headline from zacks.com: 5 Beverages - Alcohol Stocks Holding Strong Amid Industry Challenges |
Constellation Brands Quarterly Good Will |
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Constellation Brands uses earnings reports to provide investors with an update of all three financial statements, including the income statement, the balance sheet, and the cash flow statement. Therefore, it is also crucial when considering investing in Constellation Brands Class. Every quarterly earnings report provides investors with an overview of sales, expenses, and net income for the most recent period. It also may provide a comparison to Constellation Brands' previous reporting period. The quarterly earnings reports are usually disseminated to the public via Form 10-Q, which is a legal document filed with the Securities and Exchange Commission every quarter.
| 4th of April 2024 Upcoming Quarterly Report | View | |
| 5th of July 2024 Next Financial Report | View | |
| 29th of February 2024 Next Fiscal Quarter End | View | |
| 4th of April 2024 Next Fiscal Year End | View | |
| 30th of November 2023 Last Quarter Report | View | |
| 28th of February 2023 Last Financial Announcement | View |
Earnings surprises can significantly impact Constellation Brands' stock price both in the short term and over time. Negative earnings surprises usually result in a price decline. However, it has been seen that positive earnings surprises lead to an immediate rise in a stock's price and a gradual increase over time. This is why we often hear news about some companies beating earning projections. Financial analysts spend a large amount of time predicting earnings per share (EPS) along with other important future indicators. Many analysts use forecasting models, management guidance, and additional fundamental information to derive an EPS estimate. Below are the table of largest EPS Surprises Constellation Brands' investors have experienced.
| Reported | Fiscal Date | Estimated EPS | Reported EPS | Surprise | |||
|---|---|---|---|---|---|---|---|
2000-04-11 | 2000-02-29 | 0.1 | 0.11 | 0.01 | 10 | ||
1998-06-24 | 1998-05-31 | 0.08 | 0.09 | 0.01 | 12 | ||
1998-04-09 | 1998-02-28 | 0.06 | 0.07 | 0.01 | 16 | ||
1997-01-14 | 1996-11-30 | 0.04 | 0.05 | 0.01 | 25 | ||
1996-07-12 | 1996-05-31 | 0.06 | 0.05 | -0.01 | 16 | ||
1996-01-17 | 1995-11-30 | 0.08 | 0.07 | -0.01 | 12 | ||
2003-04-09 | 2003-02-28 | 0.2 | 0.22 | 0.02 | 10 | ||
2002-06-26 | 2002-05-31 | 0.18 | 0.2 | 0.02 | 11 |
Know Constellation Brands' Top Institutional Investors
Have you ever been surprised when a price of an equity instrument such as Constellation Brands is soaring high without any particular reason? This is usually happening because many institutional investors are aggressively trading Constellation Brands Class backward and forwards among themselves. Constellation Brands' institutional investor refers to the entity that pools money to purchase Constellation Brands' securities or originate loans. Institutional investors include commercial and private banks, credit unions, insurance companies, pension funds, hedge funds, endowments, and mutual funds. Operating companies that invest excess capital in these types of assets may also be included in the term and may influence corporate governance by exercising voting rights in their investments.
| Shares | Capital Research Global Investors | 2024-09-30 | 2.9 M | Amvescap Plc. | 2024-06-30 | 2.4 M | T. Rowe Price Associates, Inc. | 2024-06-30 | 1.9 M | Mitsubishi Ufj Asset Management Co.,ltd | 2024-09-30 | 1.9 M | Norges Bank | 2024-06-30 | 1.9 M | Hhg Plc | 2024-06-30 | 1.8 M | Charles Schwab Investment Management Inc | 2024-09-30 | 1.7 M | Grantham, Mayo, Van Otterloo & Co., Llc | 2024-09-30 | 1.7 M | Bank Of America Corp | 2024-06-30 | 1.7 M | Morgan Stanley - Brokerage Accounts | 2024-06-30 | 16.1 M | Vanguard Group Inc | 2024-09-30 | 13.7 M |
Constellation Brands' market capitalization trends
The company currently falls under 'Large-Cap' category with a total capitalization of 43.66 B.Market Cap |
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Constellation Brands' profitablity analysis
| Last Reported | Projected for Next Year | ||
| Return On Tangible Assets | 0.12 | 0.02 | |
| Return On Capital Employed | 0.14 | 0.06 | |
| Return On Assets | 0.07 | 0.01 | |
| Return On Equity | 0.18 | 0.06 |
Determining Constellation Brands' profitability involves analyzing its financial statements and using various financial metrics to determine if Constellation Brands is a good buy. For example, gross profit margin measures Constellation Brands' profitability after accounting for the cost of goods sold, while net profit margin measures profitability after accounting for all expenses. Other important metrics include return on assets, return on equity, and free cash flow. By reviewing multiple sources and metrics, you can gain a complete picture of Constellation Brands' profitability and make more informed investment decisions.
Please note, the imprecision that can be found in Constellation Brands' accounting process means that the reasonable investor should take a skeptical approach toward the financial statement analysis of Constellation Brands Class. Check Constellation Brands' Beneish M Score to see the likelihood of Constellation Brands' management manipulating its earnings.
Evaluate Constellation Brands' management efficiency
Constellation Brands has Return on Asset of 0.0898 % which means that on every $100 spent on assets, it made $0.0898 of profit. This is way below average. In the same way, it shows a return on shareholders' equity (ROE) of 0.0711 %, implying that it generated $0.0711 on every 100 dollars invested. Constellation Brands' management efficiency ratios could be used to measure how well Constellation Brands manages its routine affairs as well as how well it operates its assets and liabilities. Return On Tangible Assets is likely to drop to 0.02 in 2024. Return On Capital Employed is likely to drop to 0.06 in 2024. At this time, Constellation Brands' Total Assets are fairly stable compared to the past year. Non Current Assets Total is likely to rise to about 23.1 B in 2024, whereas Other Current Assets are likely to drop slightly above 209.5 M in 2024.| Last Reported | Projected for Next Year | ||
| Book Value Per Share | 54.91 | 1.62 | |
| Tangible Book Value Per Share | (3.53) | 0.21 | |
| Enterprise Value Over EBITDA | 18.79 | 16.12 | |
| Price Book Value Ratio | 4.68 | 2.36 | |
| Enterprise Value Multiple | 18.79 | 16.12 | |
| Price Fair Value | 4.68 | 2.36 | |
| Enterprise Value | 736.8 M | 700 M |
Understanding the operational decisions made by Constellation Brands management offers insights into its financial robustness. This evaluation is crucial for assessing the stock's investment potential.
Dividend Yield 0.0168 | Forward Dividend Yield 0.0168 | Forward Dividend Rate 4.04 | Beta 0.893 |
Basic technical analysis of Constellation Stock
As of the 21st of November, Constellation Brands shows the Mean Deviation of 0.8909, standard deviation of 1.23, and Risk Adjusted Performance of (0.0004). In respect to fundamental indicators, the technical analysis model gives you tools to check existing technical drivers of Constellation Brands, as well as the relationship between them.Constellation Brands' insider trading activities
Some recent studies suggest that insider trading raises the cost of capital for securities issuers and decreases overall economic growth. Trading by specific Constellation Brands insiders, such as employees or executives, is commonly permitted as long as it does not rely on Constellation Brands' material information that is not in the public domain. Local jurisdictions usually require such trading to be reported in order to monitor insider transactions. In many U.S. states, trading conducted by corporate officers, key employees, directors, or significant shareholders must be reported to the regulator or publicly disclosed, usually within a few business days of the trade. In these cases Constellation Brands insiders are required to file a Form 4 with the U.S. Securities and Exchange Commission (SEC) when buying or selling shares of their own companies.
Constellation Brands' Outstanding Corporate Bonds
Constellation Brands issues bonds to finance its operations. Corporate bonds make up one of the largest components of the U.S. bond market, which is considered the world's largest securities market. Constellation Brands uses the proceeds from bond sales for a wide variety of purposes, including financing ongoing mergers and acquisitions, buying new equipment, investing in research and development, buying back their own stock, paying dividends to shareholders, and even refinancing existing debt. Most Constellation bonds can be classified according to their maturity, which is the date when Constellation Brands Class has to pay back the principal to investors. Maturities can be short-term, medium-term, or long-term (more than ten years). Longer-term bonds usually offer higher interest rates but may entail additional risks.
| Dana 575 percent Corp BondUS235822AB96 | View | |
| Boeing Co 2196 Corp BondUS097023DG73 | View | |
| CEG 56 01 MAR 28 Corp BondUS210385AB64 | View | |
| CEG 58 01 MAR 33 Corp BondUS210385AC48 | View | |
| MPLX LP 52 Corp BondUS55336VAL45 | View | |
| Constellium 5625 percent Corp BondUS21039CAA27 | View | |
| US21039CAB00 Corp BondUS21039CAB00 | View | |
| CONSTELLATION BRANDS INC Corp BondUS21036PAY43 | View |
Understand Constellation Brands' technical and predictive indicators
Using predictive indicators to make investment decisions involves analyzing Constellation Brands' various financial and market-based factors to help forecast future trends and identify investment opportunities. Select the indicators that are most relevant to your investment strategy. Each indicator has its own strengths and weaknesses, so it's essential to combine multiple indicators to get a more comprehensive view of the market and reduce the risk of making poor decisions based on limited data.
| Risk Adjusted Performance | (0.0004) | |||
| Market Risk Adjusted Performance | 0.1045 | |||
| Mean Deviation | 0.8909 | |||
| Coefficient Of Variation | (17,790) | |||
| Standard Deviation | 1.23 | |||
| Variance | 1.5 | |||
| Information Ratio | (0.08) | |||
| Jensen Alpha | (0) | |||
| Total Risk Alpha | (0.16) | |||
| Treynor Ratio | 0.0945 | |||
| Maximum Drawdown | 7.42 | |||
| Value At Risk | (1.46) | |||
| Potential Upside | 1.93 | |||
| Skewness | (0.60) | |||
| Kurtosis | 3.09 |
| Risk Adjusted Performance | (0.0004) | |||
| Market Risk Adjusted Performance | 0.1045 | |||
| Mean Deviation | 0.8909 | |||
| Coefficient Of Variation | (17,790) | |||
| Standard Deviation | 1.23 | |||
| Variance | 1.5 | |||
| Information Ratio | (0.08) | |||
| Jensen Alpha | (0) | |||
| Total Risk Alpha | (0.16) | |||
| Treynor Ratio | 0.0945 | |||
| Maximum Drawdown | 7.42 | |||
| Value At Risk | (1.46) | |||
| Potential Upside | 1.93 | |||
| Skewness | (0.60) | |||
| Kurtosis | 3.09 |
Consider Constellation Brands' intraday indicators
Constellation Brands intraday indicators are useful technical analysis tools used by many experienced traders. Just like the conventional technical analysis, daily indicators help intraday investors to analyze the price movement with the timing of Constellation Brands stock daily movement. By combining multiple daily indicators into a single trading strategy, you can limit your risk while still earning strong returns on your managed positions.
Constellation Brands Corporate Filings
F4 | 15th of November 2024 The report filed by a party regarding the acquisition or disposition of a company's common stock, as well as derivative securities such as options, warrants, and convertible securities | ViewVerify |
13A | 13th of November 2024 The form used by investors holding more than 5% of a company's stock, to report their beneficial ownership pursuant to Rule 13d-1 or Rule 13d-2 under the Securities Exchange Act of 1934 | ViewVerify |
8K | 8th of October 2024 Report filed with the SEC to announce major events that shareholders should know about | ViewVerify |
| 14th of June 2024 Other Reports | ViewVerify |
Constellation Stock media impact
Far too much social signal, news, headlines, and media speculation about Constellation Brands that are available to investors today. That information is available publicly through Constellation media outlets and privately through word of mouth or via Constellation internal channels. However, regardless of the origin, that massive amount of Constellation data is challenging to quantify into actionable patterns, especially for investors that are not very sophisticated with ever-evolving tools and techniques used in the investment management field.
A primary focus of Constellation Brands news analysis is to determine if its current price reflects all relevant headlines and social signals impacting the current market conditions. A news analyst typically looks at the history of Constellation Brands relative headlines and hype rather than examining external drivers such as technical or fundamental data. It is believed that price action tends to repeat itself due to investors' collective, patterned thinking related to Constellation Brands' headlines and news coverage data. This data is often completely overlooked or insufficiently analyzed for actionable insights to drive Constellation Brands alpha.
Constellation Brands Sentiment by Major News Outlets
Investor sentiment, mood or attitude towards Constellation Brands can have a significant impact on its stock price or the market as a whole. This sentiment can be positive or negative, and various factors, such as economic indicators, news events, or market trends, can influence it. When investor sentiment is positive, investors are more likely to buy stocks, increasing demand and increasing the stock price. Positive investor sentiment can be driven by good news about the company or the broader market, such as solid earnings reports or positive economic data.
Note that negative investor sentiment can cause investors to sell stocks, leading to a decrease in demand and a drop in the stock price. Negative sentiment can be driven by factors such as poor earnings reports, negative news about the company or industry, or broader economic concerns. It's important to note that investor sentiment is just one of many factors that can affect stock prices. Other factors, such as company performance, industry trends, and global economic conditions, can also play a significant role in determining the value of a stock.
Constellation Brands Historical Investor Sentiment
Investor biases related to Constellation Brands' public news can be used to forecast risks associated with an investment in Constellation. The trend in average sentiment can be used to explain how an investor holding Constellation can time the market purely based on public headlines and social activities around Constellation Brands Class. Please note that most equities that are difficult to arbitrage are affected by market sentiment the most.
Constellation Brands' market sentiment shows the aggregated news analyzed to detect positive and negative mentions from the text and comments. The data is normalized to provide daily scores for Constellation Brands and other traded tickers. The bigger the bubble, the more accurate the estimated score. Higher bars for a given day show more participation in the average Constellation Brands news discussions. The higher the estimate score, the more favorable the investor's outlook on Constellation Brands.
Constellation Brands Corporate Directors
| Ernesto Hernandez | Independent Director | Profile | |
| Jennifer Daniels | Independent Director | Profile | |
| Christy Clark | Independent Director | Profile | |
| Judy Schmeling | Independent Director | Profile |
Additional Tools for Constellation Stock Analysis
When running Constellation Brands' price analysis, check to measure Constellation Brands' market volatility, profitability, liquidity, solvency, efficiency, growth potential, financial leverage, and other vital indicators. We have many different tools that can be utilized to determine how healthy Constellation Brands is operating at the current time. Most of Constellation Brands' value examination focuses on studying past and present price action to predict the probability of Constellation Brands' future price movements. You can analyze the entity against its peers and the financial market as a whole to determine factors that move Constellation Brands' price. Additionally, you may evaluate how the addition of Constellation Brands to your portfolios can decrease your overall portfolio volatility.