Constellation Brands Gross Profit vs. Current Valuation
| STZ Stock | USD 235.97 2.37 1.01% |
Gross Profit | First Reported 1985-08-31 | Previous Quarter 1.4 B | Current Value 1.5 B | Quarterly Volatility 412.1 M |
| Current Value | Last Year | Change From Last Year | 10 Year Trend | ||||||
|---|---|---|---|---|---|---|---|---|---|
| Gross Profit Margin | 0.31 | 0.5037 |
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| Operating Profit Margin | 0.0588 | 0.3182 |
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| Pretax Profit Margin | 0.03 | 0.223 |
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For Constellation Brands profitability analysis, we use financial ratios and fundamental drivers that measure the ability of Constellation Brands to generate income relative to revenue, assets, operating costs, and current equity. These fundamental indicators attest to how well Constellation Brands Class utilizes its assets to generate profit and value for its shareholders. The profitability module also shows relationships between Constellation Brands's most relevant fundamental drivers. It provides multiple suggestions of what could affect the performance of Constellation Brands Class over time as well as its relative position and ranking within its peers.
Constellation |
Is Distillers & Vintners space expected to grow? Or is there an opportunity to expand the business' product line in the future? Factors like these will boost the valuation of Constellation Brands. If investors know Constellation will grow in the future, the company's valuation will be higher. The financial industry is built on trying to define current growth potential and future valuation accurately. All the valuation information about Constellation Brands listed above have to be considered, but the key to understanding future value is determining which factors weigh more heavily than others.
Quarterly Earnings Growth 5.459 | Dividend Share 3.8 | Earnings Share 3.14 | Revenue Per Share 55.75 | Quarterly Revenue Growth 0.029 |
The market value of Constellation Brands is measured differently than its book value, which is the value of Constellation that is recorded on the company's balance sheet. Investors also form their own opinion of Constellation Brands' value that differs from its market value or its book value, called intrinsic value, which is Constellation Brands' true underlying value. Investors use various methods to calculate intrinsic value and buy a stock when its market value falls below its intrinsic value. Because Constellation Brands' market value can be influenced by many factors that don't directly affect Constellation Brands' underlying business (such as a pandemic or basic market pessimism), market value can vary widely from intrinsic value.
Please note, there is a significant difference between Constellation Brands' value and its price as these two are different measures arrived at by different means. Investors typically determine if Constellation Brands is a good investment by looking at such factors as earnings, sales, fundamental and technical indicators, competition as well as analyst projections. However, Constellation Brands' price is the amount at which it trades on the open market and represents the number that a seller and buyer find agreeable to each party.
Constellation Brands Current Valuation vs. Gross Profit Fundamental Analysis
Comparative valuation techniques use various fundamental indicators to help in determining Constellation Brands's current stock value. Our valuation model uses many indicators to compare Constellation Brands value to that of its competitors to determine the firm's financial worth. Constellation Brands Class is currently regarded as top stock in gross profit category among its peers. It also is currently regarded number one company in current valuation category among its peers reporting about 11.66 of Current Valuation per Gross Profit. At this time, Constellation Brands' Gross Profit is fairly stable compared to the past year. The reason why the comparable model can be used in almost all circumstances is due to the vast number of multiples that can be utilized, such as the price-to-earnings (P/E), price-to-book (P/B), price-to-sales (P/S), price-to-cash flow (P/CF), and many others. The P/E ratio is the most commonly used of these ratios because it focuses on the Constellation Brands' earnings, one of the primary drivers of an investment's value.Constellation Current Valuation vs. Gross Profit
Gross Profit is the most basic measure of business operational efficiency. It is simply the difference between sales revenue and the cost associated with making a product or providing a service. It is calculated before deducting administrative expenses, taxes, and interest payments.
Constellation Brands |
| = | 4.71 B |
Gross Profit varies significantly from one sector to another and tells an investor how much money a business would have made if it didn't have to pay any overhead expenses such as salary, taxes, or rent.
Enterprise Value is a firm valuation proxy that approximates the current market value of a company. It is typically used to determine the takeover or merger price of a firm. Unlike Market Cap, this measure takes into account the entire liquid asset, outstanding debt, and exotic equity instruments that the company has on its balance sheet. When a takeover occurs, the parent company will have to assume the target company's liabilities but will take possession of all cash and cash equivalents.
Constellation Brands |
| = | 54.94 B |
Enterprise Value can be a useful tool to compare companies with different capital structures. Long term liability and current cash or cash equivalents can have a huge impact on market valuation of a given company.
Constellation Current Valuation vs Competition
Constellation Brands Class is currently regarded number one company in current valuation category among its peers. After adjusting for long-term liabilities, total market size of Consumer Staples industry is at this time estimated at about 257.12 Billion. Constellation Brands totals roughly 54.94 Billion in current valuation claiming about 21% of stocks in Consumer Staples industry.
Constellation Brands Profitability Projections
The most important aspect of a successful company is its ability to generate a profit. For investors in Constellation Brands, profitability is also one of the essential criteria for including it into their portfolios because, without profit, Constellation Brands will eventually generate negative long term returns. The profitability progress is the general direction of Constellation Brands' change in net profit over the period of time. It can combine multiple indicators of Constellation Brands, where stable trends show no significant progress. An accelerating trend is seen as positive, while a decreasing one is unfavorable. A rising trend means that profits are rising, and operational efficiency may be rising as well. A decreasing trend is a sign of poor performance and may indicate upcoming losses.
| Last Reported | Projected for Next Year | ||
| Accumulated Other Comprehensive Income | 376.8 M | 395.6 M | |
| Operating Income | 3.2 B | 3.3 B | |
| Income Before Tax | 2.2 B | 2.3 B | |
| Total Other Income Expense Net | -947.9 M | -900.5 M | |
| Net Income | 1.7 B | 1.8 B | |
| Income Tax Expense | 456.6 M | 479.4 M | |
| Net Loss | -23.6 M | -22.4 M | |
| Net Income From Continuing Ops | 1.8 B | 1.3 B | |
| Non Operating Income Net Other | -2.4 B | -2.3 B | |
| Interest Income | 3.1 B | 3.3 B | |
| Net Interest Income | -435.4 M | -457.2 M | |
| Change To Netincome | 2.5 B | 2.7 B | |
| Net Income Per Share | 9.42 | 0.09 | |
| Income Quality | 1.61 | 1.98 | |
| Net Income Per E B T | 0.78 | 0.62 |
Constellation Profitability Driver Comparison
Profitability drivers are factors that can directly affect your investment outlook on Constellation Brands. Investors often realize that things won't turn out the way they predict. There are maybe way too many unforeseen events and contingencies during the holding period of Constellation Brands position where the market behavior may be hard to predict, tax policy changes, gold or oil price hikes, calamities change, and many others. The question is, are you prepared for these unexpected events? Although some of these situations are obviously beyond your control, you can still follow the important profit indicators to know where you should focus on when things like this occur. Below are some of the Constellation Brands' important profitability drivers and their relationship over time.
Use Constellation Brands in pair-trading
One of the main advantages of trading using pair correlations is that every trade hedges away some risk. Because there are two separate transactions required, even if Constellation Brands position performs unexpectedly, the other equity can make up some of the losses. Pair trading also minimizes risk from directional movements in the market. For example, if an entire industry or sector drops because of unexpected headlines, the short position in Constellation Brands will appreciate offsetting losses from the drop in the long position's value.Constellation Brands Pair Trading
Constellation Brands Class Pair Trading Analysis
The ability to find closely correlated positions to Constellation Brands could be a great tool in your tax-loss harvesting strategies, allowing investors a quick way to find a similar-enough asset to replace Constellation Brands when you sell it. If you don't do this, your portfolio allocation will be skewed against your target asset allocation. So, investors can't just sell and buy back Constellation Brands - that would be a violation of the tax code under the "wash sale" rule, and this is why you need to find a similar enough asset and use the proceeds from selling Constellation Brands Class to buy it.
The correlation of Constellation Brands is a statistical measure of how it moves in relation to other instruments. This measure is expressed in what is known as the correlation coefficient, which ranges between -1 and +1. A perfect positive correlation (i.e., a correlation coefficient of +1) implies that as Constellation Brands moves, either up or down, the other security will move in the same direction. Alternatively, perfect negative correlation means that if Constellation Brands moves in either direction, the perfectly negatively correlated security will move in the opposite direction. If the correlation is 0, the equities are not correlated; they are entirely random. A correlation greater than 0.8 is generally described as strong, whereas a correlation less than 0.5 is generally considered weak.
Correlation analysis and pair trading evaluation for Constellation Brands can also be used as hedging techniques within a particular sector or industry or even over random equities to generate a better risk-adjusted return on your portfolios.Use Investing Themes to Complement your Constellation Brands position
In addition to having Constellation Brands in your portfolios, you can quickly add positions using our predefined set of ideas and optimize them against your very unique investing style. A single investing idea is a collection of funds, stocks, ETFs, or cryptocurrencies that are programmatically selected from a pull of investment themes. After you determine your investment opportunity, you can then find an optimal portfolio that will maximize potential returns on the chosen idea or minimize its exposure to market volatility.Did You Try This Idea?
Run Investor Favorites Thematic Idea Now
Investor Favorites
Macroaxis most traded equities with largest long positions over the last 2 years. The Investor Favorites theme has 21 constituents at this time.
You can either use a buy-and-hold strategy to lock in the entire theme or actively trade it to take advantage of the short-term price volatility of individual constituents. Macroaxis can help you discover thousands of investment opportunities in different asset classes. In addition, you can partner with us for reliable portfolio optimization as you plan to utilize Investor Favorites Theme or any other thematic opportunities.
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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.