In the latest trading session, Constellation Brands (STZ) closed at $186.56, marking a +0.38% move from the previous day. The stock outpaced the S&P 500's daily loss of 0.16%. Meanwhile, the Dow lost 0.2%, and the Nasdaq, a tech-heavy index, lost 0.24%.
Prior to today's trading, shares of the wine, liquor and beer company had lost 5.91% over the past month. This has lagged the Consumer Staples sector's gain of 0.22% and the S&P 500's gain of 4.31% in that time.
Wall Street will be looking for positivity from STZ as it approaches its next earnings report date. The company is expected to report EPS of $1.94, down 18.14% from the prior-year quarter. Meanwhile, our latest consensus estimate is calling for revenue of $1.95 billion, down 1.2% from the prior-year quarter.
For the full year, our Zacks Consensus Estimates are projecting earnings of $8.45 per share and revenue of $8.05 billion, which would represent changes of -8.94% and -0.86%, respectively, from the prior year.
Investors might also notice recent changes to analyst estimates for STZ. These revisions typically reflect the latest short-term business trends, which can change frequently. As a result, we can interpret positive estimate revisions as a good sign for the company's business outlook.
Our research shows that these estimate changes are directly correlated with near-term stock prices. Investors can capitalize on this by using the Zacks Rank. This model considers these estimate changes and provides a simple, actionable rating system.
The Zacks Rank system ranges from #1 (Strong Buy) to #5 (Strong Sell). It has a remarkable, outside-audited track record of success, with #1 stocks delivering an average annual return of +25% since 1988. The Zacks Consensus EPS estimate has moved 0.03% lower within the past month. STZ is holding a Zacks Rank of #3 (Hold) right now.
Digging into valuation, STZ currently has a Forward P/E ratio of 21.99. This represents a discount compared to its industry's average Forward P/E of 23.43.
We can also see that STZ currently has a PEG ratio of 2.79. This popular metric is similar to the widely-known P/E ratio, with the difference being that the PEG ratio also takes into account the company's expected earnings growth rate. STZ's industry had an average PEG ratio of 3.17 as of yesterday's close.
The Beverages - Alcohol industry is part of the Consumer Staples sector. This industry currently has a Zacks Industry Rank of 203, which puts it in the bottom 21% of all 250+ industries.
The Zacks Industry Rank gauges the strength of our individual industry groups by measuring the average Zacks Rank of the individual stocks within the groups. Our research shows that the top 50% rated industries outperform the bottom half by a factor of 2 to 1.
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Constellation Brands Inc (STZ) : Free Stock Analysis Report
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