Constellation Brands (STZ - Free Report) closed the most recent trading day at $209.75, moving -0.71% from the previous trading session. This change lagged the S&P 500's 0.28% loss on the day. At the same time, the Dow added 0.09%, and the tech-heavy Nasdaq lost 1.19%.
Prior to today's trading, shares of the wine, liquor and beer company had lost 2.77% over the past month. This has outpaced the Consumer Staples sector's loss of 3.67% and lagged the S&P 500's gain of 2.24% in that time.
STZ will be looking to display strength as it nears its next earnings release, which is expected to be October 4, 2018. In that report, analysts expect STZ to post earnings of $2.58 per share. This would mark year-over-year growth of 4.45%. Meanwhile, the Zacks Consensus Estimate for revenue is projecting net sales of $2.23 billion, up 7.08% from the year-ago period.
For the full year, our Zacks Consensus Estimates are projecting earnings of $9.40 per share and revenue of $8.13 billion, which would represent changes of +7.8% and +7.24%, respectively, from the prior year.
Investors should also note any recent changes to analyst estimates for STZ. These revisions help to show the ever-changing nature of near-term business trends. With this in mind, we can consider positive estimate revisions a sign of optimism about the company's business outlook.
Our research shows that these estimate changes are directly correlated with near-term stock prices. To benefit from this, we have developed the Zacks Rank, a proprietary model which takes these estimate changes into account and provides an actionable rating system.
The Zacks Rank system, which ranges from #1 (Strong Buy) to #5 (Strong Sell), has an impressive outside-audited track record of outperformance, with #1 stocks generating an average annual return of +25% since 1988. The Zacks Consensus EPS estimate has moved 1.81% lower within the past month. STZ currently has a Zacks Rank of #4 (Sell).
Valuation is also important, so investors should note that STZ has a Forward P/E ratio of 22.46 right now. This valuation marks a discount compared to its industry's average Forward P/E of 22.72.
Meanwhile, STZ's PEG ratio is currently 1.98. The PEG ratio is similar to the widely-used P/E ratio, but this metric also takes the company's expected earnings growth rate into account. STZ's industry had an average PEG ratio of 2.64 as of yesterday's close.
The Beverages - Alcohol industry is part of the Consumer Staples sector. This industry currently has a Zacks Industry Rank of 230, which puts it in the bottom 10% of all 250+ industries.
The Zacks Industry Rank gauges the strength of our industry groups by measuring the average Zacks Rank of the individual stocks within the groups. Our research shows that the top 50% rated industries outperform the bottom half by a factor of 2 to 1.
Be sure to follow all of these stock-moving metrics, and many more, on Zacks.com.