: Constellation Brands stock falls after revenue falls short of estimates
Constellation Brands Inc.’s stock STZ slid 0.8% in premarket trade Thursday, after the drinks company’s fourth0-quarter revenue fell short of estimates. The company posted net income of $223 million, or $1.21 a share, for the quarter, down from $395.4 million, or $2.07 a share, in the year-earlier period. Adjusted per-share earnings came to $1.98 to beat the $1.83 FactSet consensus. Sales fell 5% to $1.998 billion, below the $2.016 billion FactSet consensus. Excluding the losses from its investment in Canadian cannabis company Canopy Growth Corp. CGC, EPS came to $2.15. CEO Bill Newlands and CFO Garth Hankinson said beer sales beat internal targets, while the wine and spirits business expanded operating margins. The company is now expecting fiscal 2024 adjusted EPS of $11.70 to $12.00, while FactSet is expecting $11.68. The company raised its quarterly cash dividend by 11% to 89 cents a share. The stock has fallen 4.5% in the last 12 months, while the S&P 500 SPX has fallen 9%.
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