Constellation Brands (STZ - Free Report) closed at $168.90 in the latest trading session, marking a +0.23% move from the prior day. This change outpaced the S&P 500's 1.05% loss on the day. At the same time, the Dow lost 1.59%, and the tech-heavy Nasdaq lost 0.54%.
Wall Street will be looking for positivity from STZ as it approaches its next earnings report date. The company is expected to report EPS of $1.87, down 15.38% from the prior-year quarter. Meanwhile, the Zacks Consensus Estimate for revenue is projecting net sales of $2.07 billion, down 1.28% from the year-ago period.
Looking at the full year, our Zacks Consensus Estimates suggest analysts are expecting earnings of $7.86 per share and revenue of $7.78 billion. These totals would mark changes of -13.82% and -6.71%, respectively, from last year.
Any recent changes to analyst estimates for STZ should also be noted by investors. Recent revisions tend to reflect the latest 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. We developed the Zacks Rank to capitalize on this phenomenon. Our system takes these estimate changes into account and delivers a clear, actionable rating model.
Ranging from #1 (Strong Buy) to #5 (Strong Sell), the Zacks Rank system has a proven, outside-audited track record of outperformance, with #1 stocks returning an average of +25% annually since 1988. Within the past 30 days, our consensus EPS projection has moved 1.13% lower. STZ is currently a Zacks Rank #3 (Hold).
Digging into valuation, STZ currently has a Forward P/E ratio of 21.43. This represents a discount compared to its industry's average Forward P/E of 25.49.
Meanwhile, STZ's PEG ratio is currently 14.1. This metric is used similarly to the famous P/E ratio, but the PEG ratio also takes into account the stock's expected earnings growth rate. STZ's industry had an average PEG ratio of 3.97 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 158, which puts it in the bottom 38% of all 250+ industries.
The Zacks Industry Rank gauges the strength of our individual 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.