Constellation Brands, Inc.

BIT:1STZ Stock Report

Market Cap: €30.2b

Constellation Brands Valuation

Is 1STZ undervalued compared to its fair value, analyst forecasts and its price relative to the market?

Valuation Score

2/6

Valuation Score 2/6

  • Below Fair Value

  • Significantly Below Fair Value

  • Price-To-Earnings vs Peers

  • Price-To-Earnings vs Industry

  • Price-To-Earnings vs Fair Ratio

  • Analyst Forecast

Share Price vs Fair Value

What is the Fair Price of 1STZ when looking at its future cash flows? For this estimate we use a Discounted Cash Flow model.

Discounted Cash Flow
Simply Wall St
€439.72
Fair Value
62.2% undervalued intrinsic discount
25
Number of Analysts

Below Fair Value: 1STZ (€166.15) is trading below our estimate of fair value (€439.72)

Significantly Below Fair Value: 1STZ is trading below fair value by more than 20%.

Key Valuation Metric

Which metric is best to use when looking at relative valuation for 1STZ?

Key metric: As 1STZ is profitable we use its Price-To-Earnings Ratio for relative valuation analysis.

The above table shows the Price to Earnings ratio for 1STZ. This is calculated by dividing 1STZ's market cap by their current earnings.
What is 1STZ's PE Ratio?
PE Ratio47x
EarningsUS$686.30m
Market CapUS$32.58b

Price to Earnings Ratio vs Peers

How does 1STZ's PE Ratio compare to its peers?

The above table shows the PE ratio for 1STZ vs its peers. Here we also display the market cap and forecasted growth for additional consideration.
CompanyForward PEEstimated GrowthMarket Cap
Peer Average19.5x
CPR Davide Campari-Milano
34x19.6%€6.8b
IWB Italian Wine Brands
9.3x5.6%€207.4m
RI Pernod Ricard
21.4x13.1%€23.5b
000568 Luzhou LaojiaoLtd
13.6x8.5%CN¥193.7b
1STZ Constellation Brands
47x25.4%€32.6b

Price-To-Earnings vs Peers: 1STZ is expensive based on its Price-To-Earnings Ratio (47x) compared to the peer average (19.5x).

Price to Earnings Ratio vs Industry

How does 1STZ's PE Ratio compare vs other companies in the European Beverage Industry?

0 CompaniesPrice / EarningsEstimated GrowthMarket Cap
1STZ 47.0xIndustry Avg. 16.9xNo. of Companies11PE01020304050+
0 CompaniesEstimated GrowthMarket Cap
No more companies

Price-To-Earnings vs Industry: 1STZ is expensive based on its Price-To-Earnings Ratio (47x) compared to the European Beverage industry average (16.9x).

Price to Earnings Ratio vs Fair Ratio

What is 1STZ's PE Ratio compared to its Fair PE Ratio? This is the expected PE Ratio taking into account the company's forecast earnings growth, profit margins and other risk factors.

1STZ PE Ratio vs Fair Ratio.
Fair Ratio
Current PE Ratio47x
Fair PE Ratio21.7x

Price-To-Earnings vs Fair Ratio: 1STZ is expensive based on its Price-To-Earnings Ratio (47x) compared to the estimated Fair Price-To-Earnings Ratio (21.7x).

Analyst Price Targets

What is the analyst 12-month forecast and do we have any statistical confidence in the consensus price target?

The above table shows the analyst 1STZ forecast and predictions for the stock price in 12 month’s time.
DateShare PriceAverage 1Y Price TargetDispersionHighLow1Y Actual priceAnalysts
Current€166.15
€213.87
+28.7%
15.2%€276.45€165.87n/a25
Mar ’26€167.80
€232.02
+38.3%
14.5%€288.39€182.65n/a25
Feb ’26€176.95
€235.27
+33.0%
13.6%€289.41€183.29n/a25
Jan ’26€212.40
€277.17
+30.5%
6.2%€311.48€244.39n/a25
Dec ’25€227.60
€277.25
+21.8%
6.2%€310.21€243.40n/a24
Nov ’25€214.10
€268.17
+25.3%
6.0%€298.51€234.22n/a23
Oct ’25€231.60
€267.10
+15.3%
5.2%€291.88€229.91n/a23
Sep ’25€215.30
€269.90
+25.4%
5.6%€297.96€233.85n/a23
Aug ’25€227.30
€275.92
+21.4%
5.3%€303.37€240.86n/a23
Jul ’25€239.20
€280.59
+17.3%
4.8%€308.98€245.31n/a24
Jun ’25€226.60
€276.95
+22.2%
4.9%€304.72€243.78n/a24
May ’25€238.70
€280.44
+17.5%
4.8%€308.35€246.68n/a25
Apr ’25€250.60
€270.18
+7.8%
5.6%€299.36€230.28n/a25
Mar ’25€228.90
€268.22
+17.2%
5.7%€298.32€229.48€167.8024
Feb ’25€230.10
€268.22
+16.6%
5.7%€298.32€229.48€176.9524
Jan ’25€218.70
€263.19
+20.3%
5.2%€281.70€228.26€212.4023
Dec ’24€221.00
€273.21
+23.6%
5.0%€291.06€233.04€227.6023
Nov ’24€223.50
€274.82
+23.0%
5.4%€293.62€230.36€214.1022
Oct ’24€238.70
€275.91
+15.6%
5.8%€297.96€229.85€231.6022
Sep ’24€240.80
€262.49
+9.0%
7.3%€291.19€221.86€215.3022
Aug ’24€247.10
€253.34
+2.5%
8.0%€285.01€217.15€227.3023
Jul ’24€226.70
€247.75
+9.3%
6.6%€274.92€214.44€239.2023
Jun ’24€226.10
€246.05
+8.8%
7.7%€276.03€203.98€226.6024
May ’24€206.80
€235.80
+14.0%
8.3%€267.71€196.02€238.7024
Apr ’24€207.65
€234.21
+12.8%
9.9%€275.07€183.38€250.6025
Mar ’24€204.45
€238.95
+16.9%
9.5%€280.53€187.02€228.9026
Analyst Price Target
Consensus Narrative from 25 Analysts
€216.20
Fair Value
23.1% undervalued intrinsic discount
25
Number of Analysts

Analyst Forecast: Target price is more than 20% higher than the current share price, but analysts are not within a statistically confident range of agreement.

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Company Analysis and Financial Data Status

DataLast Updated (UTC time)
Company Analysis2025/03/25 23:14
End of Day Share Price 2025/03/25 00:00
Earnings2024/11/30
Annual Earnings2024/02/29

Data Sources

The data used in our company analysis is from S&P Global Market Intelligence LLC. The following data is used in our analysis model to generate this report. Data is normalised which can introduce a delay from the source being available.

PackageDataTimeframeExample US Source *
Company Financials10 years
  • Income statement
  • Cash flow statement
  • Balance sheet
Analyst Consensus Estimates+3 years
  • Forecast financials
  • Analyst price targets
Market Prices30 years
  • Stock prices
  • Dividends, Splits and Actions
Ownership10 years
  • Top shareholders
  • Insider trading
Management10 years
  • Leadership team
  • Board of directors
Key Developments10 years
  • Company announcements

* Example for US securities, for non-US equivalent regulatory forms and sources are used.

Unless specified all financial data is based on a yearly period but updated quarterly. This is known as Trailing Twelve Month (TTM) or Last Twelve Month (LTM) Data. Learn more.

Analysis Model and Snowflake

Details of the analysis model used to generate this report is available on our Github page, we also have guides on how to use our reports and tutorials on Youtube.

Learn about the world class team who designed and built the Simply Wall St analysis model.

Industry and Sector Metrics

Our industry and section metrics are calculated every 6 hours by Simply Wall St, details of our process are available on Github.

Analyst Sources

Constellation Brands, Inc. is covered by 48 analysts. 23 of those analysts submitted the estimates of revenue or earnings used as inputs to our report. Analysts submissions are updated throughout the day.

AnalystInstitution
John StaszakArgus Research Company
Edward LewisAtlantic Equities LLP
Lauren LiebermanBarclays