In the latest trading session, Constellation Brands (STZ - Free Report) closed at $189.18, marking a -0.07% move from the previous day. This move lagged the S&P 500's daily gain of 0.41%. Meanwhile, the Dow gained 0.39%, and the Nasdaq, a tech-heavy index, added 0.57%.
Prior to today's trading, shares of the wine, liquor and beer company had lost 7.64% over the past month. This has lagged the Consumer Staples sector's gain of 1.91% and the S&P 500's gain of 0.1% in that time.
Wall Street will be looking for positivity from STZ as it approaches its next earnings report date. This is expected to be June 28, 2019. The company is expected to report EPS of $2.09, down 5% from the prior-year quarter. Meanwhile, our latest consensus estimate is calling for revenue of $2.06 billion, up 0.79% from the prior-year quarter.
Looking at the full year, our Zacks Consensus Estimates suggest analysts are expecting earnings of $8.56 per share and revenue of $7.78 billion. These totals would mark changes of -7.76% and -4.2%, respectively, from last year.
Investors might also notice recent changes to analyst estimates for STZ. These recent revisions tend to reflect the evolving nature of short-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. Within the past 30 days, our consensus EPS projection has moved 0.69% higher. STZ currently has a Zacks Rank of #3 (Hold).
Investors should also note STZ's current valuation metrics, including its Forward P/E ratio of 22.11. For comparison, its industry has an average Forward P/E of 22.15, which means STZ is trading at a discount to the group.
Also, we should mention that STZ has a PEG ratio of 2.57. This popular metric is similar to the widely-known P/E ratio, with the difference being that the PEG ratio also takes into account the company's expected earnings growth rate. The Beverages - Alcohol industry currently had an average PEG ratio of 3.36 as of yesterday's close.
The Beverages - Alcohol industry is part of the Consumer Staples sector. This group has a Zacks Industry Rank of 201, putting it in the bottom 22% 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.