Information
Constellation Brands (STZ) shares plunged Friday, after the maker of beer, wine, and spirits cut its...
Original sourceAI Summary
Constellation Brands cut fiscal 2025 EPS outlook due to weak consumer spending. Sales growth forecast reduced from 4%-6% to 2%-5% for fiscal 2025. Beer sales increased 3%, but wine and spirits fell 14% this quarter. Shares plunged nearly 15%, losing over 25% of value in the past year. CEO cites uncertainty about consumer spending return contributing to outlook cut.
Sentiment Rationale
Lower EPS outlook and sales forecasts significantly weaken investor confidence.
Trading Thesis
Immediate investor reactions likely influenced by recent poor performance projections.
Market-Moving
- Constellation Brands cut fiscal 2025 EPS outlook due to weak consumer spending.
- Sales growth forecast reduced from 4%-6% to 2%-5% for fiscal 2025.
- Beer sales increased 3%, but wine and spirits fell 14% this quarter.
Key Facts
- Constellation Brands cut fiscal 2025 EPS outlook due to weak consumer spending.
- Sales growth forecast reduced from 4%-6% to 2%-5% for fiscal 2025.
- Beer sales increased 3%, but wine and spirits fell 14% this quarter.
- Shares plunged nearly 15%, losing over 25% of value in the past year.
- CEO cites uncertainty about consumer spending return contributing to outlook cut.
Companies Mentioned
- STZ (STZ)
- BUD (BUD)
- TAP (TAP)
Corporate Developments
Significant changes in outlook directly affect STZ’s financial performance and investor sentiment.