CONSTELLATION BRANDS INC-B (STZ.B) Stock Fundamental Analysis
USA - New York Stock Exchange - NYSE:STZ.B - US21036P2074 - Common Stock
310 USD
+0.92 (+0.3%)
STZ.B gets a fundamental rating of 2 out of 10. The analysis compared the fundamentals against 33 industry peers in the Beverages industry. Both the profitability and financial health of STZ.B have multiple concerns. STZ.B is valied quite expensively at the moment, while it does show a decent growth rate.
1. Profitability
1.1 Basic Checks
STZ.B had positive earnings in the past year.
In the past year STZ.B had a positive cash flow from operations.
In multiple years STZ.B reported negative net income over the last 5 years.
Each year in the past 5 years STZ.B had a positive operating cash flow.
1.2 Ratios
| Industry Rank | Sector Rank | ||
|---|---|---|---|
| ROA | 0.43% | ||
| ROE | 1.11% | ||
| ROIC | 11.1% |
ROA(3y)N/A
ROA(5y)N/A
ROE(3y)N/A
ROE(5y)N/A
ROIC(3y)N/A
ROIC(5y)N/A
1.3 Margins
STZ.B's Operating Margin has improved in the last couple of years.
| Industry Rank | Sector Rank | ||
|---|---|---|---|
| OM | 33.39% | ||
| PM (TTM) | 1.11% | ||
| GM | N/A |
OM growth 3Y1.77%
OM growth 5Y2.38%
PM growth 3YN/A
PM growth 5YN/A
GM growth 3YN/A
GM growth 5YN/A
2. Health
2.1 Basic Checks
STZ.B has a Return on Invested Capital (ROIC), which is just above the Cost of Capital (WACC), which means it is creating some value.
STZ.B has less shares outstanding than it did 1 year ago.
The debt/assets ratio for STZ.B is higher compared to a year ago.
2.2 Solvency
An Altman-Z score of 3.92 indicates that STZ.B is not in any danger for bankruptcy at the moment.
The Debt to FCF ratio of STZ.B is 6.35, which is on the high side as it means it would take STZ.B, 6.35 years of fcf income to pay off all of its debts.
A Debt/Equity ratio of 1.09 is on the high side and indicates that STZ.B has dependencies on debt financing.
| Industry Rank | Sector Rank | ||
|---|---|---|---|
| Debt/Equity | 1.09 | ||
| Debt/FCF | 6.35 | ||
| Altman-Z | 3.92 |
ROIC/WACC1.47
WACC7.57%
2.3 Liquidity
STZ.B has a Current Ratio of 1.41. This is a normal value and indicates that STZ.B is financially healthy and should not expect problems in meeting its short term obligations.
STZ.B has a Quick Ratio of 1.41. This is a bad value and indicates that STZ.B is not financially healthy enough and could expect problems in meeting its short term obligations.
| Industry Rank | Sector Rank | ||
|---|---|---|---|
| Current Ratio | 1.41 | ||
| Quick Ratio | 0.75 |
3. Growth
3.1 Past
STZ.B shows a strong growth in Earnings Per Share. In the last year, the EPS has been growing by 17.67%, which is quite good.
The Earnings Per Share has been growing by 8.61% on average over the past years. This is quite good.
Looking at the last year, STZ.B shows a small growth in Revenue. The Revenue has grown by 7.43% in the last year.
Measured over the past years, STZ.B shows a small growth in Revenue. The Revenue has been growing by 3.80% on average per year.
EPS 1Y (TTM)17.67%
EPS 3Y3.2%
EPS 5Y8.61%
EPS Q2Q%33.19%
Revenue 1Y (TTM)7.43%
Revenue growth 3Y2.81%
Revenue growth 5Y3.8%
Sales Q2Q%11.98%
3.2 Future
Based on estimates for the next years, STZ.B will show a quite strong growth in Earnings Per Share. The EPS will grow by 12.90% on average per year.
Based on estimates for the next years, STZ.B will show a small growth in Revenue. The Revenue will grow by 7.21% on average per year.
EPS Next Y8.27%
EPS Next 2Y11.78%
EPS Next 3Y12.3%
EPS Next 5Y12.9%
Revenue Next Year9.1%
Revenue Next 2Y7.87%
Revenue Next 3Y7.7%
Revenue Next 5Y7.21%
3.3 Evolution
The EPS growth rate is accelerating: in the next years the growth will be better than in the last years.
When comparing the Revenue growth rate of the last years to the growth rate of the upcoming years, we see that the growth is accelerating.
4. Valuation
4.1 Price/Earnings Ratio
The Price/Earnings ratio is 27.39, which means the current valuation is very expensive for STZ.B.
STZ.B is valuated at similar levels of the S&P average when we compare the Price/Earnings ratio to 26.39, which is the current average of the S&P500 Index.
A Price/Forward Earnings ratio of 24.32 indicates a rather expensive valuation of STZ.B.
When comparing the Price/Forward Earnings ratio of STZ.B to the average of the S&P500 Index (23.84), we can say STZ.B is valued inline with the index average.
| Industry Rank | Sector Rank | ||
|---|---|---|---|
| PE | 27.39 | ||
| Fwd PE | 24.32 |
4.2 Price Multiples
| Industry Rank | Sector Rank | ||
|---|---|---|---|
| P/FCF | 32.73 | ||
| EV/EBITDA | 18.94 |
4.3 Compensation for Growth
The high PEG Ratio(NY), which compensates the Price/Earnings for growth, indicates an expensive valuation of the company.
A more expensive valuation may be justified as STZ.B's earnings are expected to grow with 12.30% in the coming years.
PEG (NY)3.31
PEG (5Y)3.18
EPS Next 2Y11.78%
EPS Next 3Y12.3%
5. Dividend
5.1 Amount
STZ.B does not give a dividend.
| Industry Rank | Sector Rank | ||
|---|---|---|---|
| Dividend Yield | N/A |
NYSE:STZ.B (11/10/2022, 8:04:01 PM)
310
+0.92 (+0.3%)
Chartmill FA Rating
GICS SectorConsumer Staples
GICS IndustryGroupFood, Beverage & Tobacco
GICS IndustryBeverages
Earnings (Last)
Earnings (Next)
Inst Owners0.01%
Inst Owner Change-54.69%
Ins OwnersN/A
Ins Owner ChangeN/A
Market Cap56.47B
Revenue(TTM)9.44B
Net Income(TTM)104.50M
Analysts80
Price Target359.18 (15.86%)
Short Float %N/A
Short RatioN/A
Dividend
| Industry Rank | Sector Rank | ||
|---|---|---|---|
| Dividend Yield | N/A |
Yearly DividendN/A
Dividend Growth(5Y)N/A
DP554.07%
Div Incr YearsN/A
Div Non Decr YearsN/A
Ex-DateN/A
Surprises & Revisions
EPS beat(2)2
Avg EPS beat(2)9.89%
Min EPS beat(2)0.46%
Max EPS beat(2)19.32%
EPS beat(4)3
Avg EPS beat(4)2.52%
Min EPS beat(4)-19.64%
Max EPS beat(4)19.32%
EPS beat(8)N/A
Avg EPS beat(8)N/A
EPS beat(12)N/A
Avg EPS beat(12)N/A
EPS beat(16)N/A
Avg EPS beat(16)N/A
Revenue beat(2)2
Avg Revenue beat(2)7.64%
Min Revenue beat(2)4.98%
Max Revenue beat(2)10.29%
Revenue beat(4)2
Avg Revenue beat(4)-1.45%
Min Revenue beat(4)-12.67%
Max Revenue beat(4)10.29%
Revenue beat(8)N/A
Avg Revenue beat(8)N/A
Revenue beat(12)N/A
Avg Revenue beat(12)N/A
Revenue beat(16)N/A
Avg Revenue beat(16)N/A
PT rev (1m)N/A
PT rev (3m)N/A
EPS NQ rev (1m)N/A
EPS NQ rev (3m)N/A
EPS NY rev (1m)N/A
EPS NY rev (3m)N/A
Revenue NQ rev (1m)N/A
Revenue NQ rev (3m)N/A
Revenue NY rev (1m)N/A
Revenue NY rev (3m)N/A
Valuation
| Industry Rank | Sector Rank | ||
|---|---|---|---|
| PE | 27.39 | ||
| Fwd PE | 24.32 | ||
| P/S | 5.98 | ||
| P/FCF | 32.73 | ||
| P/OCF | 19.93 | ||
| P/B | 6.01 | ||
| P/tB | N/A | ||
| EV/EBITDA | 18.94 |
EPS(TTM)11.32
EY3.65%
EPS(NY)12.74
Fwd EY4.11%
FCF(TTM)9.47
FCFY3.06%
OCF(TTM)15.56
OCFY5.02%
SpS51.83
BVpS51.54
TBVpS-6.9
PEG (NY)3.31
PEG (5Y)3.18
Graham NumberN/A
Profitability
| Industry Rank | Sector Rank | ||
|---|---|---|---|
| ROA | 0.43% | ||
| ROE | 1.11% | ||
| ROCE | N/A | ||
| ROIC | 11.1% | ||
| ROICexc | 11.18% | ||
| ROICexgc | 21.46% | ||
| OM | 33.39% | ||
| PM (TTM) | 1.11% | ||
| GM | N/A | ||
| FCFM | N/A |
ROA(3y)N/A
ROA(5y)N/A
ROE(3y)N/A
ROE(5y)N/A
ROIC(3y)N/A
ROIC(5y)N/A
ROICexc(3y)N/A
ROICexc(5y)N/A
ROICexgc(3y)N/A
ROICexgc(5y)N/A
ROCE(3y)N/A
ROCE(5y)N/A
ROICexgc growth 3Y11.88%
ROICexgc growth 5Y-11.64%
ROICexc growth 3YN/A
ROICexc growth 5YN/A
OM growth 3Y1.77%
OM growth 5Y2.38%
PM growth 3YN/A
PM growth 5YN/A
GM growth 3YN/A
GM growth 5YN/A
F-Score6
Asset Turnover0.39
Health
| Industry Rank | Sector Rank | ||
|---|---|---|---|
| Debt/Equity | 1.09 | ||
| Debt/FCF | 6.35 | ||
| Debt/EBITDA | N/A | ||
| Cap/Depr | 304.84% | ||
| Cap/Sales | N/A | ||
| Interest Coverage | N/A | ||
| Cash Conversion | N/A | ||
| Profit Quality | 1651.1% | ||
| Current Ratio | 1.41 | ||
| Quick Ratio | 0.75 | ||
| Altman-Z | 3.92 |
F-Score6
WACC7.57%
ROIC/WACC1.47
Cap/Depr(3y)269.21%
Cap/Depr(5y)286.74%
Cap/Sales(3y)N/A
Cap/Sales(5y)N/A
Profit Quality(3y)N/A
Profit Quality(5y)N/A
High Growth Momentum
Growth
EPS 1Y (TTM)17.67%
EPS 3Y3.2%
EPS 5Y8.61%
EPS Q2Q%33.19%
EPS Next Y8.27%
EPS Next 2Y11.78%
EPS Next 3Y12.3%
EPS Next 5Y12.9%
Revenue 1Y (TTM)7.43%
Revenue growth 3Y2.81%
Revenue growth 5Y3.8%
Sales Q2Q%11.98%
Revenue Next Year9.1%
Revenue Next 2Y7.87%
Revenue Next 3Y7.7%
Revenue Next 5Y7.21%
EBIT growth 1Y10.51%
EBIT growth 3Y4.64%
EBIT growth 5Y6.26%
EBIT Next Year20.54%
EBIT Next 3Y13.38%
EBIT Next 5Y11.78%
FCF growth 1Y-10.49%
FCF growth 3Y7.27%
FCF growth 5Y16.31%
OCF growth 1Y9.98%
OCF growth 3Y6.4%
OCF growth 5Y9.79%
CONSTELLATION BRANDS INC-B / STZ.B FAQ
What is the ChartMill fundamental rating of CONSTELLATION BRANDS INC-B (STZ.B) stock?
ChartMill assigns a fundamental rating of 3 / 10 to STZ.B.
What is the valuation status for STZ.B stock?
ChartMill assigns a valuation rating of 0 / 10 to CONSTELLATION BRANDS INC-B (STZ.B). This can be considered as Overvalued.
How profitable is CONSTELLATION BRANDS INC-B (STZ.B) stock?
CONSTELLATION BRANDS INC-B (STZ.B) has a profitability rating of 1 / 10.
What is the financial health of CONSTELLATION BRANDS INC-B (STZ.B) stock?
The financial health rating of CONSTELLATION BRANDS INC-B (STZ.B) is 4 / 10.
How sustainable is the dividend of CONSTELLATION BRANDS INC-B (STZ.B) stock?
The dividend rating of CONSTELLATION BRANDS INC-B (STZ.B) is 0 / 10 and the dividend payout ratio is 554.07%.