June 27, 2019

A Play For Earnings On Constellation Brands

Constellation Brands Inc STZ, a leading producer and marketer of alcoholic beverage brands, including Corona, Kim Crawford, and Svedka, is expected to release its Q1 fiscal 2020 earnings results before the bell this Friday, June 28. Our Zacks Consensus Estimate calls for quarterly EPS of $2.07.

Recently, analysts have been adjusting their yearly earnings estimates down, taking STZ from a Zacks Rank #2 (Buy) to a Zacks Rank #3 (Hold) in the last 30 days. This is likely due to a softening in the 2020 outlook in the wine and spirits market, with total U.S alcohol volumes down 0.8% last year and beer sales down 4% over the past three years, according to IWSR.  However, STZ’s stock price is up 15.4% this year, right on par with the market.

Source: Yahoo Finance

Click the video below to see how we are going to approach this upcoming report release.

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about the author:

Scott Bauer

A respected market commentator seen on Bloomberg, Fox Business, CNBC and other major financial networks, Scott Bauer has 25 plus years of professional equity and index options experience at the Chicago Board Options Exchange (CBOE) and Chicago Mercantile Exchange (CME) and as a Vice-President/trader for Goldman Sachs. Scott graduated with Honors from the University of Illinois Business School and has taught classes both at his alma mater and at the CBOE.

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