Beverage major Constellation Brands mentioned in a filing with the Securities and Exchange Commission Monday that adjusted losses from its stake in Canopy Growth would amount to -$38.5 million, in its fiscal second quarter ending Aug. 31.
Constellation made a $4 billion investment (i.e. 37% stake) in the Canada-based cannabis company last year. It recognizes equity earnings from its equity-method investment in Canopy on a two-month lag.
For the two quarters ending Aug. 31, its share of Canopy loss will be -$77.3 million on an adjusted basis.
Constellation shares went up +0.6% in premarket trading, and Canopy's U.S.-listed stock climbed +1.6%.
STZ moved above its 50-day moving average on February 20, 2024 date and that indicates a change from a downward trend to an upward trend. In of 41 similar past instances, the stock price increased further within the following month. The odds of a continued upward trend are .
The Stochastic Oscillator suggests the stock price trend may be in a reversal from a downward trend to an upward trend. of 59 cases where STZ's Stochastic Oscillator exited the oversold zone resulted in an increase in price. Tickeron's analysis proposes that the odds of a continued upward trend are .
Following a 3-day Advance, the price is estimated to grow further. Considering data from situations where STZ advanced for three days, in of 342 cases, the price rose further within the following month. The odds of a continued upward trend are .
The Momentum Indicator moved below the 0 level on January 24, 2024. You may want to consider selling the stock, shorting the stock, or exploring put options on STZ as a result. In of 94 cases where the Momentum Indicator fell below 0, the stock fell further within the subsequent month. The odds of a continued downward trend are .
The Moving Average Convergence Divergence Histogram (MACD) for STZ turned negative on January 24, 2024. This could be a sign that the stock is set to turn lower in the coming weeks. Traders may want to sell the stock or buy put options. Tickeron's A.I.dvisor looked at 45 similar instances when the indicator turned negative. In of the 45 cases the stock turned lower in the days that followed. This puts the odds of success at .
The 10-day moving average for STZ crossed bearishly below the 50-day moving average on February 20, 2024. This indicates that the trend has shifted lower and could be considered a sell signal. In of 14 past instances when the 10-day crossed below the 50-day, the stock continued to move higher over the following month. The odds of a continued downward trend are .
Following a 3-day decline, the stock is projected to fall further. Considering past instances where STZ declined for three days, the price rose further in of 62 cases within the following month. The odds of a continued downward trend are .
The Aroon Indicator for STZ entered a downward trend on February 16, 2024. This could indicate a strong downward move is ahead for the stock. Traders may want to consider selling the stock or buying put options.
The Tickeron Profit vs. Risk Rating rating for this company is (best 1 - 100 worst), indicating low risk on high returns. The average Profit vs. Risk Rating rating for the industry is 85, placing this stock better than average.
The Tickeron Valuation Rating of (best 1 - 100 worst) indicates that the company is fair valued in the industry. This rating compares market capitalization estimated by our proprietary formula with the current market capitalization. This rating is based on the following metrics, as compared to industry averages: P/B Ratio (4.739) is normal, around the industry mean (2.823). P/E Ratio (28.493) is within average values for comparable stocks, (28.131). Projected Growth (PEG Ratio) (2.065) is also within normal values, averaging (2.154). Dividend Yield (0.014) settles around the average of (0.024) among similar stocks. P/S Ratio (4.746) is also within normal values, averaging (5.241).
The Tickeron SMR rating for this company is (best 1 - 100 worst), indicating strong sales and a profitable business model. SMR (Sales, Margin, Return on Equity) rating is based on comparative analysis of weighted Sales, Income Margin and Return on Equity values compared against S&P 500 index constituents. The weighted SMR value is a proprietary formula developed by Tickeron and represents an overall profitability measure for a stock.
The Tickeron Price Growth Rating for this company is (best 1 - 100 worst), indicating fairly steady price growth. STZ’s price grows at a lower rate over the last 12 months as compared to S&P 500 index constituents.
The Tickeron PE Growth Rating for this company is (best 1 - 100 worst), pointing to worse than average earnings growth. The PE Growth rating is based on a comparative analysis of stock PE ratio increase over the last 12 months compared against S&P 500 index constituents.
The average fundamental analysis ratings, where 1 is best and 100 is worst, are as follows
an alcoholic beverages distributor
A.I.dvisor indicates that over the last year, STZ has been loosely correlated with TAP. These tickers have moved in lockstep 43% of the time. This A.I.-generated data suggests there is some statistical probability that if STZ jumps, then TAP could also see price increases.