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.
Elevate Your Investing Strategy:
- Take advantage of TipRanks Premium at 50% off! Unlock powerful investing tools, advanced data, and expert analyst insights to help you invest with confidence.
Published first on TheFly – the ultimate source for real-time, market-moving breaking financial news. Try Now>>
Read More on STZ:
- Constellation Brands price target lowered to $176 from $195 at Morgan Stanley
- Constellation Brands price target lowered to $142 from $150 at BofA
- Constellation Brands price target lowered to $158 from $182 at Deutsche Bank
- Constellation Brands price target lowered to $170 from $196 at Wells Fargo
- Constellation Brands Faces Macroeconomic and Structural Challenges Leading to Hold Rating