Constellation Brands (STZ) Traded Lower Due to Slower Growth

In its third-quarter 2025 capitalist letter, Artisan Mid Cap Value Fund highlighted stocks specified arsenic Constellation Brands, Inc. (NYSE:STZ). Constellation Brands, Inc. (NYSE:STZ) is simply a institution that produces and distributes beer, wine, and spirits. The one-month instrumentality of Constellation Brands, Inc. (NYSE:STZ) was -0.58%, and its shares mislaid 36.68% of their worth implicit the past 52 weeks. On January 2, 2026, Constellation Brands, Inc. (NYSE:STZ) banal closed astatine $141.17 per share, with a marketplace capitalization of $24.573 billion.

Artisan Mid Cap Value Fund stated the pursuing regarding Constellation Brands, Inc. (NYSE:STZ) successful its 3rd 4th 2025 capitalist letter:

"Outside of wellness care, our weakest performer was Constellation Brands, Inc. (NYSE:STZ), a US shaper and distributor of beer, vino and spirits, champion known for its Mexican brew brands Modelo Especial and Corona. Constellation Brands is simply a caller caller acquisition that we added to the portfolio successful July. The banal has been nether unit arsenic maturation has slowed markedly implicit the past year. While the commercialized warfare has yet to beryllium a large origin arsenic the institution is USMCA(United States-Mexico Canada Agreement) compliant, determination are important request headwinds for the company’s halfway Hispanic consumer. Elevated ostentation had already been weighing connected demand, but migration raids much precocious person depressed societal enactment successful the Hispanic community. Investors are questioning whether the slowdown is cyclical oregon secular. The US brew marketplace is nary longer a maturation marketplace arsenic integrated colonisation maturation has stagnated, younger demographics are shifting distant from intoxicant and present migration faces challenges. However, Constellation Brands has a loyal halfway lawsuit and has been a dependable stock gainer successful the US brew marketplace implicit the past 20 years, driven by its Modelo Especial brand. We judge this should proceed aft these company-specific headwinds dissipate. While Hispanic colonisation maturation successful the US contributed to these stock gains, the institution besides experienced outsized maturation among non Hispanic consumers. Additionally, Constellation Brands is pursuing the aforesaid diligent playbook to turn its smaller and rapidly increasing Pacifico and Victoria brands, portion adding merchandise extent to its larger, much established brands’ support offerings. Given these maturation concerns, Constellation Brands’ valuation is compelling astatine conscionable 12X adjacent year’s forecast net compared to its five-year mean of 18X."