TD Cowen analyst Robert Moskow downgrades $Constellation Brands (STZ.US)$ to a hold rating, and adjusts the target price from $300 to $270.
According to TipRanks data, the analyst has a success rate of 52.3% and a total average return of 4.6% over the past year.
Furthermore, according to the comprehensive report, the opinions of $Constellation Brands (STZ.US)$'s main analysts recently are as follows:
The key focus for Constellation Brands is the emerging equilibrium in the investment case, which encompasses growth in sales, profits, and cash flows.
Concerns have been raised regarding Constellation Brands' modest beer volume expansion, which analysts believe indicates challenges beyond the broader economic conditions. This slower growth trajectory may strain investor tolerance towards growth capital expenditures, the Wine and Spirits division, and corporate governance issues.
Constellation Brands' effective marketing and well-positioned Mexican imports for U.S. demographic trends remain admirable. Nevertheless, the deceleration in the company's growth trajectory into fiscal 2025 reflects its susceptibility to wider challenges within the beer industry, indicating potential risks for fiscal 2026 projections. The triggers for a favorable reassessment of value currently seem ambiguous.
Note:
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Success rate is the number of the analyst's successful ratings, divided by his/her total number of ratings over the past year. A successful rating is one based on if TipRanks' virtual portfolio earned a positive return from the stock. Total average return is the average rate of return that the TipRanks' virtual portfolio has earned over the past year. These portfolios are established based on the analyst's preliminary rating and are adjusted according to the changes in the rating.
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