Constellation Brands Class Stock Buy Hold or Sell Recommendation

STZ Stock  USD 271.76  0.28  0.10%   
Considering the 90-day investment horizon and your above-average risk tolerance, our recommendation regarding Constellation Brands Class is 'Buy'. Macroaxis provides Constellation Brands buy-hold-or-sell recommendation only in the context of selected investment horizon and investor attitude towards risk assumed by holding STZ positions. The advice algorithm takes into account all of Constellation Brands' available fundamental, technical, and predictive indicators you will find on this site. Key drivers impacting Constellation Brands' buy or sell advice are summarized below:
Real Value
282.51
Target Price
292.8
Hype Value
271.76
Market Value
271.76
Naive Value
271.01
A buy or sell recommendation provided by Macroaxis is an automated directive regarding whether to purchase or sell Constellation Brands Class given historical horizon and risk tolerance towards Constellation Brands. When Macroaxis issues a 'buy' or 'sell' recommendation for Constellation Brands Class, the advice is generated through an automated system that utilizes algorithms and statistical models.
  
Check out Constellation Brands Analyst Recommendation to compare Macroaxis Buy or Sell Recommendation with the current analyst consensus. To check ratings for multiple equity instruments, please use the Instant Ratings tool.
In addition, we conduct extensive research on individual companies such as Constellation and provide practical buy, sell, or hold advice based on investors' investing horizon and their risk tolerance towards Constellation Brands Class. Also, note that the market value of any company could be tightly coupled with the direction of predictive economic indicators such as signals in estimate.

Execute Constellation Brands Buy or Sell Advice

The Constellation recommendation should be used to complement the buy-or-sell advice compiled from the current analysts' consensus on Constellation Brands Class. Macroaxis does not own or have any residual interests in Constellation Brands Class or other equities on which the buy-or-sell advice is provided. Please provide your input below to execute Constellation Brands' advice using the current market data and latest reported fundamentals.

Time Horizon

Risk Tolerance

Execute Advice
Sell Constellation BrandsBuy Constellation Brands
Buy

Market Performance

GoodDetails

Volatility

Very steadyDetails

Hype Condition

StaleDetails

Current Valuation

Fairly ValuedDetails

Odds Of Distress

LowDetails

Economic Sensitivity

Follows the market closelyDetails

Investor Sentiment

AlarmedDetails

Analyst Consensus

Strong BuyDetails

Financial Leverage

Not RatedDetails

Reporting Quality (M-Score)

UnavailableDetails
For the selected time horizon Constellation Brands Class has a Risk Adjusted Performance of 0.1206, Jensen Alpha of 0.1106, Total Risk Alpha of (0.03), Sortino Ratio of 0.0854 and Treynor Ratio of 0.2753
Macroaxis provides advice on Constellation Brands to complement and cross-verify current analyst consensus on Constellation Brands Class. Our investment recommendation engine determines the company's potential to grow exclusively from the perspective of an investor's current risk tolerance and investing horizon. To make sure Constellation Brands is not overpriced, please confirm all Constellation Brands fundamentals, including its cash and equivalents, cash flow from operations, and the relationship between the gross profit and debt to equity . Given that Constellation Brands has a price to book of 5.25 X, we suggest you to validate Constellation Brands Class market performance and probability of bankruptcy to ensure the company can sustain itself in the current economic cycle given your prevailing risk tolerance and investing horizon.

Constellation Brands Trading Alerts and Improvement Suggestions

The company reported the last year's revenue of 9.45 B. Reported Net Loss for the year was (38.5 M) with profit before taxes, overhead, and interest of 4.71 B.
Over 79.0% of the company shares are owned by institutional investors
On 22nd of February 2024 Constellation Brands paid $ 0.89 per share dividend to its current shareholders
Latest headline from investorplace.com: Disposition of 955 shares by Glaetzer Samuel J of Constellation Brands subject to Rule 16b-3

Constellation Brands Returns Distribution Density

The distribution of Constellation Brands' historical returns is an attempt to chart the uncertainty of Constellation Brands' future price movements. The chart of the probability distribution of Constellation Brands daily returns describes the distribution of returns around its average expected value. We use Constellation Brands Class price's Value At Risk and its Upside Potential as a relative measure of the distribution. The graph of the distribution of Constellation Brands returns is essential to provide solid investment advice for Constellation Brands.
Mean Return
0.21
Value At Risk
-1.35
Potential Upside
2.15
Standard Deviation
1.02
   Return Density   
       Distribution  
Investment risk management requires an estimate of the probability of extreme price changes. Therefore, the correct representation of the distribution of Constellation Brands historical returns presented in an easy-to-digest graphical form helps investors and money managers understand the risk-reward trade-off of different investement strategies.

Constellation Stock Institutional Investors

Have you ever been surprised when a price of an equity instrument such as Constellation Brands is soaring high without any particular reason? This is usually happening because many institutional investors are aggressively trading Constellation Brands Class backward and forwards among themselves. Constellation Brands' institutional investor refers to the entity that pools money to purchase Constellation Brands' securities or originates loans. Institutional investors include commercial and private banks, credit unions, insurance companies, pension funds, hedge funds, endowments, and mutual funds. Operating companies that invest excess capital in these types of assets may also be included in the term and may influence corporate governance by exercising voting rights in their investments.
Shares
T. Rowe Price Associates, Inc.2023-12-31
2.5 M
Hhg Plc2023-12-31
2.3 M
Capital Research Global Investors2023-12-31
2.2 M
Fmr Inc
1.9 M
Norges Bank2023-12-31
1.8 M
Bank Of America Corp2023-12-31
1.8 M
Wellington Management Company Llp2023-12-31
1.6 M
Royal Bank Of Canada2023-12-31
1.6 M
Northern Trust Corp2023-12-31
1.5 M
Vanguard Group Inc2023-12-31
13.2 M
Blackrock Inc2023-12-31
10.8 M
Note, although Constellation Brands' institutional investors appear to be way more sophisticated than retail investors, it remains unclear if professional active investment managers can reliably enhance risk-adjusted returns by an amount that exceeds fees and expenses.

Constellation Brands Greeks

Most traded equities are subject to two types of risk - systematic (i.e., market) and unsystematic (i.e., nonmarket or company-specific) risk. Unsystematic risk is the risk that events specific to Constellation Brands or Beverages sector will adversely affect the stock's price. This type of risk can be diversified away by owning several different stocks in different industries whose stock prices have shown a small correlation to each other. On the other hand, systematic risk is the risk that Constellation Brands' price will be affected by overall stock market movements and cannot be diversified away. So, no matter how many positions you have, you cannot eliminate market risk. However, you can measure a Constellation stock's historical response to market movements and buy it if you are comfortable with its volatility direction. Beta and standard deviation are two commonly used measures to help you make the right decision.
α
Alpha over NYSE Composite
0.11
β
Beta against NYSE Composite0.74
σ
Overall volatility
1.05
Ir
Information ratio 0.08

Constellation Brands Volatility Alert

Constellation Brands Class has low volatility with Treynor Ratio of 0.28, Maximum Drawdown of 4.51 and kurtosis of 0.81. Understanding different market volatility trends often help investors to time the market. Properly using volatility indicators enable traders to measure Constellation Brands' stock risk against market volatility during both bullish and bearish trends. The higher level of volatility that comes with bear markets can directly impact Constellation Brands' stock price while adding stress to investors as they watch their shares' value plummet. This usually forces investors to rebalance their portfolios by buying different financial instruments as prices fall.

Constellation Brands Implied Volatility

Constellation Brands' implied volatility exposes the market's sentiment of Constellation Brands Class stock's possible movements over time. However, it does not forecast the overall direction of its price. In a nutshell, if Constellation Brands' implied volatility is high, the market thinks the stock has potential for high price swings in either direction. On the other hand, the low implied volatility suggests that Constellation Brands stock will not fluctuate a lot when Constellation Brands' options are near their expiration.

Constellation Brands Fundamentals Vs Peers

Comparing Constellation Brands' fundamentals to the average values of its peers is one of the most widely used and accepted methods of equity analyses. It helps to analyze Constellation Brands' direct or indirect competition across all of the common fundamentals between Constellation Brands and the related equities. This way, we can detect undervalued stocks with similar characteristics as Constellation Brands or determine the stocks which would be an excellent addition to an existing portfolio. Peer analysis of Constellation Brands' fundamental indicators could also be used in its relative valuation, which is a method of valuing Constellation Brands by comparing valuation metrics with those of similar companies.
    
 Better Than Average     
    
 Worse Than Average Compare Constellation Brands to competition
FundamentalsConstellation BrandsPeer Average
Return On Equity0.17-0.31
Return On Asset0.0787-0.14
Profit Margin0.16 %(1.27) %
Operating Margin0.33 %(5.51) %
Current Valuation61.35 B16.62 B
Shares Outstanding182.8 M571.82 M
Shares Owned By Insiders12.03 %10.09 %
Shares Owned By Institutions79.09 %39.21 %
Number Of Shares Shorted1.96 M4.71 M
Price To Earning608.93 X28.72 X
Price To Book5.25 X9.51 X
Price To Sales5.06 X11.42 X
Revenue9.45 B9.43 B
Gross Profit4.71 B27.38 B
EBITDA3.23 B3.9 B
Net Income(38.5 M)570.98 M
Cash And Equivalents133.5 M2.7 B
Cash Per Share0.89 X5.01 X
Total Debt12.46 B5.32 B
Debt To Equity1.13 %48.70 %
Current Ratio1.40 X2.16 X
Book Value Per Share51.81 X1.93 K
Cash Flow From Operations2.76 B971.22 M
Short Ratio1.63 X4.00 X
Earnings Per Share8.62 X3.12 X
Price To Earnings To Growth2.29 X4.89 X
Target Price295.51
Number Of Employees10.7 K18.84 K
Beta0.96-0.15
Market Capitalization49.73 B19.03 B
Total Asset24.66 B29.47 B
Retained Earnings12.34 B9.33 B
Working Capital527.8 M1.48 B
Note: Disposition of 955 shares by Glaetzer Samuel J of Constellation Brands subject to Rule 16b-3 [view details]

Constellation Brands Market Momentum

Traders often use several daily momentume indicators to supplement a more traditional technical analysis when analyzing securities such as Constellation . With many different options, investors must choose the best indicators for them and familiarize themselves with how they work. We suggest combining traditional momentum indicators with more near-term forms of technical analysis such as Accumulation Distribution or Daily Balance Of Power. With their quantitative nature, daily value technical indicators can also be incorporated into your automated trading systems.

About Constellation Brands Buy or Sell Advice

When is the right time to buy or sell Constellation Brands Class? Buying financial instruments such as Constellation Stock isn't very hard. However, what challenging for most investors is doing it at the right time to beat the market. Proper market timing is something most people cannot do without sophisticated tools, which help to isolate the right opportunities. Macroaxis provides hands-on modules to deliver winning trades and diversify your portfolios on a daily basis. Most of our advising modules are very easy to use and apply.
Please read more on our stock advisor page.
 2021 2022 2023 2024 (projected)
Short and Long Term Debt Total10.4B12.5B12.2B12.8B
Total Assets25.9B24.7B27.3B28.7B

Use Investing Ideas to Build Portfolios

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.

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Most Shorted Equities Theme
Dynamically calculated list of top equities currently trending upward via a buy-out by investors. The Most Shorted Equities theme has 219 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 Most Shorted Equities Theme or any other thematic opportunities.
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When determining whether Constellation Brands offers a strong return on investment in its stock, a comprehensive analysis is essential. The process typically begins with a thorough review of Constellation Brands' financial statements, including income statements, balance sheets, and cash flow statements, to assess its financial health. Key financial ratios are used to gauge profitability, efficiency, and growth potential of Constellation Brands Class Stock. Outlined below are crucial reports that will aid in making a well-informed decision on Constellation Brands Class Stock:
Check out Constellation Brands Analyst Recommendation to compare Macroaxis Buy or Sell Recommendation with the current analyst consensus. To check ratings for multiple equity instruments, please use the Instant Ratings tool.
You can also try the Global Correlations module to find global opportunities by holding instruments from different markets.

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Is Constellation Brands' industry 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
0.23
Dividend Share
3.47
Earnings Share
8.62
Revenue Per Share
51.882
Quarterly Revenue Growth
0.014
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.