What Constellation Brands' Q3 Earnings Mean for Mutual Funds Investors (STZ)

Welcome to MutualFunds.com. Please help us personalize your experience.

Select the one that best describes you

Your personalized experience is almost ready.

Join other Individual Investors receiving FREE personalized market updates and research. Join other Institutional Investors receiving FREE personalized market updates and research. Join other Financial Advisors receiving FREE personalized market updates and research.

Thank you!

Check your email and confirm your subscription to complete your personalized experience.

Thank you for your submission, we hope you enjoy your experience

Channels

Find the latest content and information here about the 2019 Charles Schwab Impact Conference.

Advisors

Receive email updates about fund flows, news, upcoming CE accredited webcasts from industry thought leaders and more.

Content focused on helping financial advisors build successful client relationships and grow their business.

Content geared towards helping financial advisors build better client portfolios.

Get insights on the industry trends and investment news from leading fund managers and experts.

Constellation Brands logo

News

What Constellation Brands' Q3 Earnings Mean for Mutual Funds Investors (STZ)

Shauna O'Brien Jan 08, 2015

Alcoholic beverage maker Constellation Brands (STZ) released its third quarter financial results on Thursday. Here’s what the news means for mutual fund investors.

Inside STZ’s Q3 Results

Earnings

The company reported earnings of $222.2 million, or $1.10 per share, up from $211 million, or $1.07 per share, a year ago. Excluding special items, earnings were $248 million, or $1.23 per share. On average, analysts expected to see adjusted EPS of $1.14.

Revenue
Sales rose 7% to $1.54 billion from $1.44 billion a year ago. Analysts expected to see revenue of $1.52 billion.

Outlook
Looking forward to FY2015, the company expects to see earnings between $3.90 and $4.00 per share and comparable earnings between $4.25 and $4.35 per share. Analysts expect to see $4.24 per share in earnings.


Expensive Shares, but Little Competition

The company had a great year in 2014, as its shares rose 40%. We view this stock as expensive as it is currently trading at 25x 2015 earnings estimates. Although the company benefits from low competition, investors and fund managers would be paying a premium for the stock at current levels. While there is still momentum potential, shares of STZ are still pricey.

Mutual Funds to Watch

For investors seeking exposure to STZ, the mutual funds below may be good alternatives to investing directly in the stock. These funds currently hold the largest stakes in the company.

The Bottom Line

The funds above could be good options for investors seeking exposure to STZ, but would prefer not to purchase the stock. Investors interested in STZ may also be interested in Brown-Forman (BF-B) and Molson Coors (TAP).

Sign up for Advisor Access

Receive email updates about best performers, news, CE accredited webcasts and more.

Please Enter Your Email
Please Select Your Advisor Type

Popular Articles

Download Our Free Report

Why 30 trillion is invested in mutual funds book