What to Expect from Constellation Brands's Earnings

Constellation Brands STZ is gearing up to announce its quarterly earnings on Wednesday, 2025-04-09. Here's a quick overview of what investors should know before the release.

Analysts are estimating that Constellation Brands will report an earnings per share (EPS) of $2.49.

Investors in Constellation Brands are eagerly awaiting the company's announcement, hoping for news of surpassing estimates and positive guidance for the next quarter.

It's worth noting for new investors that stock prices can be heavily influenced by future projections rather than just past performance.

Historical Earnings Performance

Last quarter the company missed EPS by $0.06, which was followed by a 0.0% drop in the share price the next day.

Here's a look at Constellation Brands's past performance and the resulting price change:

Stock Performance

Shares of Constellation Brands were trading at $172.59 as of April 07. Over the last 52-week period, shares are down 33.06%. Given that these returns are generally negative, long-term shareholders are likely unhappy going into this earnings release.

Insights Shared by Analysts on Constellation Brands

Understanding market sentiments and expectations within the industry is crucial for investors. This analysis delves into the latest insights on Constellation Brands.

With 22 analyst ratings, Constellation Brands has a consensus rating of Outperform. The average one-year price target is $231.73, indicating a potential 34.27% upside.

Comparing Ratings with Competitors

In this analysis, we delve into the analyst ratings and average 1-year price targets of and Constellation Brands, three key industry players, offering insights into their relative performance expectations and market positioning.

Analysis Summary for Peers

In the peer analysis summary, key metrics for and Constellation Brands are highlighted, providing an understanding of their respective standings within the industry and offering insights into their market positions and comparative performance.

Key Takeaway:

Constellation Brands ranks at the bottom for Revenue Growth among its peers. It also ranks at the bottom for Gross Profit. However, it ranks in the middle for Return on Equity. Overall, there is room for improvement in Revenue Growth and Gross Profit compared to its peers.

Delving into Constellation Brands's Background

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.

Constellation Brands: A Financial Overview

Market Capitalization Analysis: The company's market capitalization surpasses industry averages, showcasing a dominant size relative to peers and suggesting a strong market position.

Revenue Challenges: Constellation Brands's revenue growth over 3 months faced difficulties. As of 30 November, 2024, the company experienced a decline of approximately -0.29%. This indicates a decrease in top-line earnings. As compared to its peers, the company achieved a growth rate higher than the average among peers in Consumer Staples sector.

Net Margin: Constellation Brands's net margin excels beyond industry benchmarks, reaching 25.0%. This signifies efficient cost management and strong financial health.

Return on Equity (ROE): Constellation Brands's financial strength is reflected in its exceptional ROE, which exceeds industry averages. With a remarkable ROE of 7.85%, the company showcases efficient use of equity capital and strong financial health.

Return on Assets (ROA): Constellation Brands's financial strength is reflected in its exceptional ROA, which exceeds industry averages. With a remarkable ROA of 2.68%, the company showcases efficient use of assets and strong financial health.

Debt Management: Constellation Brands's debt-to-equity ratio stands notably higher than the industry average, reaching 1.55. This indicates a heavier reliance on borrowed funds, raising concerns about financial leverage.

To track all earnings releases for Constellation Brands visit their earnings calendar on our site.

This article was generated by Benzinga's automated content engine and reviewed by an editor.