📊 STZ Key Takeaways
Is Constellation Brands, Inc.. (STZ) a Good Investment?
Constellation Brands faces material headwinds despite robust operational profitability: revenue contracted 6.8% YoY while net income collapsed 104.7%, signaling either substantial one-time charges or underlying operational stress not reflected in margin stability. Elevated leverage (1.33x D/E) and weak liquidity (0.70x quick ratio) combined with minimal cash reserves ($152.4M) create financial vulnerability amid declining top-line performance.
Constellation Brands, Inc.. Key Strengths (STZ)
- Exceptional profitability margins: 52.1% gross, 31.6% operating, 20.6% net margin
- Strong cash generation with $2.1B operating cash flow and $1.5B free cash flow (20.1% FCF margin)
- Solid return on equity of 19.3% reflecting capital efficiency
STZ Stock Risks: Constellation Brands, Inc.. Investment Risks
- Revenue decline of 6.8% YoY indicates market share loss or demand weakness in beverages category
- Unexplained net income collapse of 104.7% YoY despite maintained operating margins raises material concerns
- Elevated financial leverage (1.33x debt-to-equity ratio) combined with weak liquidity (0.70x quick ratio) and minimal cash position ($152.4M)
Key Metrics to Watch
- Revenue trend stabilization and organic growth rate
- Net income reconciliation and one-time item breakdown in filings
- Debt reduction progress and cash conversion cycle efficiency
Constellation Brands, Inc.. (STZ) Financial Metrics & Key Ratios
💡 AI Analyst Insight
The 20.1% free cash flow margin provides substantial flexibility for dividends, buybacks, and strategic investments.
STZ Profit Margin, ROE & Profitability Analysis
STZ vs Consumer Sector: How Constellation Brands, Inc.. Compares
How Constellation Brands, Inc.. compares to Consumer sector averages
Sector benchmarks are approximate industry averages. Actual sector performance may vary.
Is Constellation Brands, Inc.. Stock Overvalued? STZ Valuation Analysis 2026
Based on fundamental analysis, Constellation Brands, Inc.. has mixed fundamental signals relative to the Consumer sector in 2026.
Note: This is a fundamental analysis based on SEC filings. For P/E ratio, price targets, and market-based valuation, consult financial data providers. This is not investment advice.
Constellation Brands, Inc.. Balance Sheet: STZ Debt, Cash & Liquidity
STZ Revenue & Earnings Growth: 5-Year Financial Trend
5-Year Trend Summary: Constellation Brands, Inc..'s revenue has grown significantly by 16% over the 5-year period, indicating strong business expansion.
STZ Revenue Growth, EPS Growth & YoY Performance
STZ Quarterly Earnings & Performance
| Quarter | Revenue | Net Income | EPS |
|---|---|---|---|
| Q3 2026 | $2.2B | $293.9M | N/A |
| Q2 2026 | $2.5B | -$322.0M | N/A |
| Q1 2026 | $2.5B | $516.1M | N/A |
| Q3 2025 | $2.5B | $293.9M | N/A |
| Q2 2025 | $2.8B | -$322.0M | N/A |
| Q1 2025 | $2.5B | $135.9M | N/A |
| Q3 2024 | $2.4B | -$294.0M | N/A |
| Q2 2024 | $2.7B | $690.0M | N/A |
Data sourced from SEC EDGAR 10-Q quarterly filings. Figures may represent quarterly or cumulative values.
Constellation Brands, Inc.. Dividends, Buybacks & Capital Allocation
STZ SEC Filings: Latest 10-K & 10-Q Analysis
Access official SEC EDGAR filings for Constellation Brands, Inc.. (CIK: 0000016918)
📋 Recent SEC Filings
❓ Frequently Asked Questions about STZ
What is the AI rating for STZ?
Constellation Brands, Inc.. (STZ) has an AI grade of C with 68% confidence, based on fundamental analysis of SEC EDGAR filings.
What are STZ's key strengths?
Claude: Exceptional profitability margins: 52.1% gross, 31.6% operating, 20.6% net margin. Strong cash generation with $2.1B operating cash flow and $1.5B free cash flow (20.1% FCF margin).
What are the risks of investing in STZ?
Claude: Revenue decline of 6.8% YoY indicates market share loss or demand weakness in beverages category. Unexplained net income collapse of 104.7% YoY despite maintained operating margins raises material concerns.
What is STZ's revenue and growth?
Constellation Brands, Inc.. reported revenue of $7.2B.
Does STZ pay dividends?
Constellation Brands, Inc.. pays dividends, with $538.8M distributed to shareholders in the trailing twelve months.
Where can I find STZ SEC filings?
Official SEC filings for Constellation Brands, Inc.. (CIK: 0000016918) including 10-K, 10-Q, and 8-K reports are available on SEC EDGAR.
What is STZ's EPS?
Constellation Brands, Inc.. has a diluted EPS of $0.00.
How is the AI analysis conducted?
Two independent AI systems — Claude (Anthropic) and ChatGPT (OpenAI) — analyze SEC EDGAR filings including 10-K annual reports and 10-Q quarterly reports. Each AI evaluates financial health, profitability ratios, balance sheet strength, and growth metrics. The combined grade reflects both perspectives for balanced insights.
What is STZ's fundamental grade?
Based on our AI fundamental analysis in May 2026, Constellation Brands, Inc.. has a C grade with 68% confidence. Review the strengths and risks sections above for full context. This is not investment advice.
Is STZ stock overvalued or undervalued?
Valuation metrics for STZ: ROE of 19.3% (sector avg: 18%), net margin of 20.6% (sector avg: 8%). Higher ROE suggests strong returns relative to peers.
What is STZ's AI grade for 2026?
Our dual AI analysis gives Constellation Brands, Inc.. a combined C grade for 2026. Revenue is data pending, with profitability above sector average. Always conduct your own research.
What is STZ's free cash flow?
Constellation Brands, Inc..'s operating cash flow is $2.1B, with capital expenditures of $656.1M. FCF margin is 20.1%.
How does STZ compare to other Consumer stocks?
Vs Consumer sector averages: Net margin 20.6% (avg: 8%), ROE 19.3% (avg: 18%), current ratio 1.34 (avg: 1.5).