Constellation Brands price target lowered to $209 from $239 at Roth Capital

Roth Capital analyst Bill Kirk lowered the firm’s price target on Constellation Brands (STZ) to $209 from $239 and keeps a Buy rating on the shares. The company has dramatically lowered its FY26 outlook just 8 weeks after reaffirming guidance, with Beer volumes revised 450bps lower and EBIT down 900bps, the analyst tells investors in a research note. The dramatic change cannot be fully explained by changes in the category but rather raise credibility issues with Constellation’s communication and planning, Roth notes. With new, modular capacity coming online, the firm is concerned that “demand does not match planned supply spending”, Roth Capital added.