Why invest in Constellation Brands?
At Constellation Brands (NYSE: STZ and STZ.B), we create products that help people connect and celebrate, elevating good times so they can enjoy life to the fullest. We’re driven to think beyond today and invest in tomorrow with a portfolio of powerhouse products that meet consumer preferences, now, and a strong pipeline for the future.
Can Constellation Brands survive a recession?
These investments should pave the way for faster growth and improving margins for many years down the road. In the meantime, shareholders can continue collecting dividends by simply holding the stock. Sure, Constellation Brands’ business would be sensitive to a recession, should one develop over the next few quarters.
Why is constellation investing $5 billion in Mexico?
Those resources give the management team flexibility to continue investing in high-return projects like its brewery expansion in Mexico. Constellation plans to spend over $5 billion on that project through the next three fiscal years.
Why did constellation report a net loss?
The company reported a big net loss for the period that was mainly driven by noncash adjustments related to its ownership of Canopy Growth stock. In that context, cash flow is a better metric to follow to judge Constellation’s potential returns.