Constellation Brands has faced a decline in growth over the past three years, leading to a 40% drop in its stock price. Challenges include rising tariffs, inflation, and changing consumer habits. The company has struggled to maintain revenue growth in its beer, wine, and spirits segments.
In the first half of fiscal 2026, Constellation’s revenue fell by 10%, with beer, wine, and spirits sales all declining. Analysts predict a further revenue drop of 4%-6% for the full year. However, they expect revenue to stabilize in fiscal 2027 and grow by 3% in fiscal 2028.
Constellation’s stock trades at a low valuation of 12 times its forward adjusted earnings estimates with a 2.9% forward dividend yield. While analysts expect profitability to return in fiscal 2026, uncertainties remain regarding the company’s ability to navigate its challenges and implement successful growth strategies over the next three years.
Read more at Yahoo Finance: Where Will Constellation Brands Stock Be in 3 Years?
