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Constellation Brands rallies after strong quarter

Published 03/29/2018, 08:23 AM
© Reuters.  Constellation Brands rallies after strong quarter
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  • Constellation Brands (NYSE:STZ) tops estimates, led by strong portfolio depletion performance from both the Modelo (+18%) and Corona (+16%) brand families.
  • The company says operating margin was "steady" at 38%. Benefits from a strong quarterly operating performance and pricing were mostly offset by higher SG&A spending.
  • Looking ahead, Constellation says the beer business is targeting sales and operating income growth to be in the range of 9% to 11%. The company also sees full-year EPS of $9.40 to $9.70 vs. $9.59 consensus and full-year free cash flow of $1.2B to $1.3B. "We expecte to capitalize on this momentum, as we are targeting impressive sales and earnings growth for the coming year," says CEO Rob Sands.
  • Shares of Constellation Brands are up 3.52% premarket to $228.25.
  • Now read: Assessing The Value Of Molson Coors


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