Overview

• Constellation Brands reduced its fiscal 2025 earnings forecast to a range of $13.40 to $13.80 per share, down from the previous $13.60 to $13.80 estimate.
• Projected annual net sales growth was also lowered to 2%-5%, compared to the earlier forecast of 4%-6%.
• CEO Bill Newlands attributed the adjustment to persistent inflation and uncertainty about when consumer spending will normalize.
• The company’s beer segment, led by brands like Modelo and Corona, saw modest growth, but its wine and spirits business continued to struggle with declining demand and retailer inventory reductions.
• Constellation Brands’ stock dropped nearly 15% in intraday trading and has lost over 25% of its value in the past year.