Constellation Brands (STZ)

• Market cap: $41.3B
• 1 day: 0.26%
• 5 days: -4.81%
• 1 month: -5.06%
• 3 months: -8.25%
• 6 months: -13.39%
• Year to date: -6.67%
• 1 year: -3.17%
• 5 years: 20.50%
• 10 years: 134.91%
• Sector: Consumer Staples
• Industry: Beverages

About: Constellation Brands is the largest provider of alcoholic beverages across the beer, wine, and spirits categories in the us, generating 82% of revenue from Mexican beer imports under top-selling brands such as Modelo and Corona. The rest of the business includes some remaining wine and spirits brands, categories where the company continue to prune assets in recent years. With its exclusive rights tied to the Mexican beer brands effective only in the us, the firm has little revenue exposure to international markets. Constellation owns a 26% stake in no-moat Canopy Growth, a medicinal and recreational cannabis producer in Canada, and has a 50/50 joint venture with glass manufacturer Owens-Illinois in Mexico.

Employees: 10,600

Fund manager confidence

Based on 2024 Q3 regulatory filings by fund managers ($100M+ AUM)

5% less repeat investments, than reductions

Existing positions increased: 487 | Existing positions reduced: 515

2% less funds holding

Funds holding: 1,317 [Q2] → 1,292 (-25) [Q3]

5.7% less ownership

Funds ownership: 84.43% [Q2] → 78.72% (-5.7%) [Q3]

7% less capital invested

Capital invested by funds: $39.6B [Q2] → $36.8B (-$2.74B) [Q3]

21% less first-time investments, than exits

New positions opened: 94 | Existing positions closed: 119

43% less call options, than puts

Call options by funds: $380M | Put options by funds: $663M

50% less funds holding in top 10

Funds holding in top 10: 12 [Q2] → 6 (-6) [Q3]

Research analyst outlook

12 Wall Street Analysts provided 1 year price targets over the past 3 months

• Low target: $255 12% upside
• Avg. target: $285 25% upside
• High target: $308 35% upside

12 analyst ratings

• positive: 8 67%
• neutral: 4 33%
• negative: 0 0%

Needham Gerald Pascarelli 17% 1-year accuracy 4 / 23 met price target	23% upside $280	Buy Reiterated	20 Dec 2024
Wells Fargo Chris Carey 33% 1-year accuracy 11 / 33 met price target	30% upside $295	Overweight Maintained	26 Nov 2024
Exane BNP Paribas Kevin Grundy 14% 1-year accuracy 1 / 7 met price target	15% upside $261	Neutral Initiated	25 Nov 2024
RBC Capital Nik Modi 31% 1-year accuracy 11 / 36 met price target	35% upside $308	Outperform Reiterated	19 Nov 2024
BMO Capital Andrew Strelzik 38% 1-year accuracy 12 / 32 met price target	34% upside $305	Outperform Maintained	15 Oct 2024