(STZ) Constellation Brands - Overview
Sector: Consumer Defensive | Industry: Beverages - Brewers | Exchange: NYSE (USA) | Market Cap: 25.977m USD | Total Return: -18.4% in 12m
Avg Turnover: 260M
EPS Trend: 52.5%
Qual. Beats: 0
Rev. Trend: -35.0%
Qual. Beats: 2
Warnings
Below Avwap Earnings
Tailwinds
Shakeout
Constellation Brands (STZ) is a leading international producer and marketer of beer, wine, and spirits, with a primary operational focus on the North American market. The company manages a high-end portfolio featuring prominent brands such as Modelo, Corona, and Robert Mondavi. Its business model relies on a three-tier distribution system, selling products to wholesale distributors, retailers, and state-controlled agencies.
The company operates within the consumer staples sector, where brand equity and import rights serve as significant competitive moats. In the United States, Constellation Brands holds perpetual brand rights to import and market several major Mexican beer brands, a segment that has consistently outpaced domestic beer growth trends. This positioning allows the firm to capitalize on shifting consumer preferences toward premium imported lagers and craft spirits.
You can further analyze these market dynamics and valuation metrics on ValueRay. Founded in 1945 and headquartered in Rochester, New York, the company maintains a diverse geographic footprint with production facilities in Mexico, New Zealand, and Italy.
- Modelo Especial market share gains drive consistent organic beer revenue growth
- Mexican brewery expansion projects increase capital expenditure and long-term capacity
- Premiumization strategy offsets declining demand for lower-priced wine and spirits brands
- Raw material and logistics inflation impact beer segment operating margins
- Federal excise tax changes and trade relations with Mexico influence profitability
| Net Income: 1.69b TTM > 0 and > 6% of Revenue |
| FCF/TA: 0.08 > 0.02 and ΔFCF/TA -0.76 > 1.0 |
| NWC/Revenue: 2.37% < 20% (prev -3.12%; Δ 5.49% < -1%) |
| CFO/TA 0.12 > 3% & CFO 2.67b > Net Income 1.69b |
| Net Debt (11.7b) to EBITDA (3.22b): 3.64 < 3 |
| Current Ratio: 1.08 > 1.5 & < 3 |
| Outstanding Shares: last quarter (173.7m) vs 12m ago -3.47% < -2% |
| Gross Margin: 51.67% > 18% (prev 0.51%; Δ 5.12k% > 0.5%) |
| Asset Turnover: 41.97% > 50% (prev 47.14%; Δ -5.18% > 0%) |
| Interest Coverage Ratio: 7.80 > 6 (EBITDA TTM 3.22b / Interest Expense TTM 359.1m) |
| A: 0.01 (Total Current Assets 2.91b - Total Current Liabilities 2.69b) / Total Assets 21.9b |
| B: 0.62 (Retained Earnings 13.6b / Total Assets 21.9b) |
| C: 0.13 (EBIT TTM 2.80b / Avg Total Assets 21.8b) |
| D: 1.04 (Book Value of Equity 14.0b / Total Liabilities 13.5b) |
| Altman-Z'' = 4.04 = AA |
| DSRI: 1.07 (Receivables 947.3m/992.7m, Revenue 9.14b/10.2b) |
| GMI: 0.99 (GM 51.67% / 50.96%) |
| AQI: 1.04 (AQ_t 0.48 / AQ_t-1 0.46) |
| SGI: 0.90 (Revenue 9.14b / 10.2b) |
| TATA: -0.04 (NI 1.69b - CFO 2.67b) / TA 21.9b) |
| Beneish M = -3.08 (Cap -4..+1) = AA |
As of May 27, 2026, the stock is trading at USD 147.64 with a total of 2,426,710 shares traded.
Over the past week, the price has changed by +0.04%,
over one month by -4.16%,
over three months by -4.58% and
over the past year by -18.43%.
Constellation Brands has received a consensus analysts rating of 3.96. Therefore, it is recommended to buy STZ.
- StrongBuy: 9
- Buy: 7
- Hold: 10
- Sell: 0
- StrongSell: 0
| Analysts Target Price | 177.6 | 20.3% |
P/E Trailing = 15.6951
P/E Forward = 12.5628
P/S = 2.8424
P/B = 3.2135
P/EG = 2.7931
Revenue TTM = 9.14b USD
EBIT TTM = 2.80b USD
EBITDA TTM = 3.22b USD
Long Term Debt = 9.69b USD (from longTermDebt, last quarter)
Short Term Debt = 977.5m USD (from shortTermDebt, last quarter)
Debt = 11.8b USD (from shortLongTermDebtTotal, last quarter) + Leases 634.1m
Net Debt = 11.7b USD (calculated: Debt 11.8b - CCE 102.4m)
Enterprise Value = 37.7b USD (26.0b + Debt 11.8b - CCE 102.4m)
Interest Coverage Ratio = 7.80 (Ebit TTM 2.80b / Interest Expense TTM 359.1m)
EV/FCF = 21.02x (Enterprise Value 37.7b / FCF TTM 1.79b)
FCF Yield = 4.76% (FCF TTM 1.79b / Enterprise Value 37.7b)
FCF Margin = 19.63% (FCF TTM 1.79b / Revenue TTM 9.14b)
Net Margin = 18.46% (Net Income TTM 1.69b / Revenue TTM 9.14b)
Gross Margin = 51.67% ((Revenue TTM 9.14b - Cost of Revenue TTM 4.42b) / Revenue TTM)
Gross Margin QoQ = 49.56% (prev 53.23%)
Tobins Q-Ratio = 1.72 (Enterprise Value 37.7b / Total Assets 21.9b)
Interest Expense / Debt = 3.03% (Interest Expense 359.1m / Debt 11.8b)
Taxrate = 36.02% (126.5m / 351.2m)
NOPAT = 1.79b (EBIT 2.80b * (1 - 36.02%))
Current Ratio = 1.08 (Total Current Assets 2.91b / Total Current Liabilities 2.69b)
Debt / Equity = 1.46 (Debt 11.8b / totalStockholderEquity, last quarter 8.08b)
Debt / EBITDA = 3.64 (Net Debt 11.7b / EBITDA 3.22b)
Debt / FCF = 6.54 (Net Debt 11.7b / FCF TTM 1.79b)
Total Stockholder Equity = 7.64b (last 4 quarters mean from totalStockholderEquity)
RoA = 7.75% (Net Income 1.69b / Total Assets 21.9b)
RoE = 22.08% (Net Income TTM 1.69b / Total Stockholder Equity 7.64b)
RoCE = 16.16% (EBIT 2.80b / Capital Employed (Equity 7.64b + L.T.Debt 9.69b))
RoIC = 8.92% (NOPAT 1.79b / Invested Capital 20.1b)
WACC = 5.22% (E(26.0b)/V(37.8b) * Re(6.72%) + D(11.8b)/V(37.8b) * Rd(3.03%) * (1-Tc(0.36)))
Discount Rate = 6.72% (= CAPM, Blume Beta Adj.)
Shares (quarterly) Correlation: -100.00 | Cagr: -2.57%
[DCF] Terminal Value 74.37% ; FCFF base≈1.85b ; Y1≈1.74b ; Y5≈1.62b
[DCF] Fair Price = 80.63 (EV 25.6b - Net Debt 11.7b = Equity 13.9b / Shares 172.2m; r=8.35% [WACC [floored]]; 5y FCF grow -7.44% → 2.50% )
EPS Correlation: 52.48 | EPS CAGR: 4.36% | SUE: -0.52 | # QB: 0
Revenue Correlation: -35.05 | Revenue CAGR: -1.38% | SUE: 1.00 | # QB: 2
EPS current Quarter (2026-05-31): EPS=3.28 | Chg30d=-2.16% | Revisions=-33% | Analysts=18
EPS next Quarter (2026-08-31): EPS=3.72 | Chg30d=-4.45% | Revisions=-44% | Analysts=18
EPS current Year (2027-02-28): EPS=11.82 | Chg30d=-4.38% | Revisions=-69% | GrowthEPS=+0.0% | GrowthRev=-0.3%
EPS next Year (2028-02-29): EPS=12.46 | Chg30d=-4.03% | Revisions=-65% | GrowthEPS=+5.4% | GrowthRev=+1.9%
[Analyst] Revisions Ratio: -69%