Constellation Brands (STZ) is set to release its fourth quarter of Fiscal 2026 financials on April 8. STZ stock has gained over 10% year-to-date, supported by stronger demand for its beer portfolio, specifically the continued dominance of the Modelo and Pacifico brands, and improving sales momentum. Wall Street analysts expect the alcohol company to report earnings of $1.71 per share, representing a 35% increase year-over-year. Meanwhile, revenues are expected to decline by 13% from the year-ago quarter to $1.87 billion.
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According to TipRanks’ Options Tool, options traders expect a 5.60% move in either direction in STZ stock in reaction to Q4 FY26 earnings. This implied move is higher than Constellation Brands stock’s average post-earnings move (in absolute terms) of 2.89% over the past four quarters.
Analysts’ Views Ahead of STZ Q4 Earnings
Ahead of the print, UBS analyst Peter Grom raised his price target to $176 from $168 while keeping a Buy rating. Grom expects the company to report Q4 EPS of $1.59, below consensus estimates.
The analyst said Constellation Brands remains an interesting name due to improving sales visibility and its current valuation. However, he noted that expectations going into the results are high, and the stock does not always react positively even when earnings beat estimates.
Still, Grom does not see the upcoming report changing the overall outlook. He believes any weak reaction after earnings could be short-lived, supported by improving category trends, steady market share gains, and potential demand benefits in the months ahead.
Meanwhile, Evercore ISI analyst Robert Ottenstein also reiterated a Buy rating and a $170 price target. The analyst expects stronger beer sales than the Street is forecasting, supported by steady demand and market share gains. He also sees slightly better margins and earnings, with his EPS estimate of $1.73 coming in above consensus.
Looking ahead, Ottenstein noted that recent data points to continued momentum, with beer volumes improving and distributor feedback remaining positive. While margins could face some pressure from costs, he believes the company is well positioned, with steady demand trends and improving performance across key markets.
Is Constellation Brands a Good Stock to Buy?
Turning to Wall Street, Constellation Brands has a Moderate Buy consensus rating based on nine Buys, five Holds, and one Sell assigned in the last three months. At $169.00, the average STZ price target implies 11.77% upside potential.
