Constellation Brands, Inc. (NYSE:STZ) Sees Significant Decrease in Short Interest

Constellation Brands, Inc. (NYSE:STZ) saw a significant decline in short interest in November. As of November 30th, there was short interest totalling 2,830,000 shares, a decline of 17.7% from the November 15th total of 3,440,000 shares. Based on an average daily trading volume, of 1,280,000 shares, the short-interest ratio is currently 2.2 days. Currently, 1.8% of the shares of the stock are short sold.

Analysts Set New Price Targets

A number of research firms have weighed in on STZ. Roth Mkm reissued a “buy” rating and set a $298.00 target price on shares of Constellation Brands in a research report on Friday, October 4th. Morgan Stanley decreased their price objective on shares of Constellation Brands from $305.00 to $280.00 and set an “overweight” rating for the company in a research report on Monday, August 26th. Bank of America restated a “neutral” rating and issued a $255.00 target price (down previously from $300.00) on shares of Constellation Brands in a report on Monday, October 7th. TD Cowen downgraded Constellation Brands from a “buy” rating to a “hold” rating and decreased their price target for the stock from $300.00 to $270.00 in a report on Tuesday, October 8th. Finally, Royal Bank of Canada reissued an “outperform” rating and issued a $308.00 price objective on shares of Constellation Brands in a research note on Tuesday, November 19th. Five research analysts have rated the stock with a hold rating and fifteen have given a buy rating to the company. Based on data from MarketBeat.com, the company has a consensus rating of “Moderate Buy” and an average target price of $288.70.

Insider Activity

In other Constellation Brands news, Director Robert Sands sold 119,274 shares of Constellation Brands stock in a transaction dated Wednesday, October 16th. The stock was sold at an average price of $242.37, for a total transaction of $28,908,439.38. Following the transaction, the director now directly owns 431,729 shares of the company’s stock, valued at approximately $104,638,157.73. The trade was a 21.65 % decrease in their position. The sale was disclosed in a filing with the Securities & Exchange Commission, which can be accessed through this link. Also, CEO William A. Newlands sold 7,426 shares of the firm’s stock in a transaction dated Tuesday, October 29th. The stock was sold at an average price of $237.24, for a total value of $1,761,744.24. Following the transaction, the chief executive officer now owns 7,274 shares of the company’s stock, valued at $1,725,683.76. This trade represents a 50.52 % decrease in their ownership of the stock. The disclosure for this sale can be found here. Over the last ninety days, insiders sold 189,956 shares of company stock worth $46,058,091. Corporate insiders own 12.19% of the company’s stock.

Institutional Investors Weigh In On Constellation Brands

Several institutional investors have recently added to or reduced their stakes in the business. New Millennium Group LLC purchased a new stake in shares of Constellation Brands during the 2nd quarter valued at approximately $25,000. Horizon Bancorp Inc. IN purchased a new stake in Constellation Brands during the 2nd quarter worth about $32,000. Ashton Thomas Private Wealth LLC bought a new stake in shares of Constellation Brands during the second quarter valued at about $36,000. Wellington Shields & Co. LLC grew its position in Constellation Brands by 50.0% during the second quarter. Wellington Shields & Co. LLC now owns 150 shares of the company’s stock worth $39,000 after buying an additional 50 shares in the last quarter. Finally, Eastern Bank purchased a new stake in shares of Constellation Brands in the 3rd quarter valued at $39,000. 77.34% of the stock is owned by hedge funds and other institutional investors.

Constellation Brands Stock Performance

STZ stock traded up $0.21 during mid-day trading on Friday, hitting $239.66. The company had a trading volume of 1,077,313 shares, compared to its average volume of 1,209,297. Constellation Brands has a 12 month low of $224.76 and a 12 month high of $274.87. The stock’s fifty day moving average price is $238.99 and its two-hundred day moving average price is $246.02. The firm has a market cap of $43.51 billion, a PE ratio of 77.56, a price-to-earnings-growth ratio of 1.69 and a beta of 1.75. The company has a debt-to-equity ratio of 1.31, a quick ratio of 0.53 and a current ratio of 1.25.

Constellation Brands (NYSE:STZ) last posted its quarterly earnings data on Thursday, October 3rd. The company reported $4.32 EPS for the quarter, beating the consensus estimate of $4.08 by $0.24. Constellation Brands had a return on equity of 25.34% and a net margin of 5.29%. The business had revenue of $2.92 billion for the quarter, compared to the consensus estimate of $2.95 billion. During the same quarter in the prior year, the business earned $3.70 earnings per share. Constellation Brands’s revenue for the quarter was up 2.9% on a year-over-year basis. On average, analysts forecast that Constellation Brands will post 13.57 earnings per share for the current fiscal year.

Constellation Brands Dividend Announcement

The company also recently disclosed a quarterly dividend, which was paid on Thursday, November 21st. Investors of record on Tuesday, November 5th were paid a $1.01 dividend. This represents a $4.04 dividend on an annualized basis and a yield of 1.69%. The ex-dividend date was Tuesday, November 5th. Constellation Brands’s dividend payout ratio is currently 130.74%.

About Constellation Brands

Constellation Brands, Inc, together with its subsidiaries, produces, imports, markets, and sells beer, wine, and spirits in the United States, Canada, Mexico, New Zealand, and Italy. The company provides beer primarily under the Corona Extra, Corona Familiar, Corona Hard Seltzer, Corona Light, Corona Non-Alcoholic, Corona Premier, Corona Refresca, Modelo Especial, Modelo Chelada, Modelo Negra, Modelo Oro, Victoria, Vicky Chamoy, and Pacifico brands.