Constellation Brands Inc
) is slated to report its first-quarter fiscal 2014 results on
Jul 2, 2013. In the last quarter, it posted a positive surprise
of 4.4%. Let us see how things are shaping up for this
Constellation Brands has a portfolio of renowned brands and is
the largest wine company in the world. The company's consistent
focus on brand building and its initiatives to include new
products in its wine and spirits business are the key revenue
drivers for the stock.
Owing to its strategic endeavors, the company is witnessing
steady depletion trends and an increasing market share in the
U.S. wine and spirits category. Moreover, the company is
increasing its distribution points in retail and effectively
executing its strategic merchandising initiatives, aimed to
bolster sales. Owing to these factors, Constellation Brands
posted better-than-expected results in the previous quarter.
The Zacks Consensus Estimate for the first quarter currently
stands at 40 cents per share, which rose by a penny in the last
60 days. However, no change was noticed in the last 7 or 30 days.
For fiscal 2014, the Zacks Consensus Estimate is pegged at $2.87
per share, up 5 cents in the last 60 days. It inched up by a
penny in the last 30 days but no movement was noticed in the last
Looking at the earnings surprise history of Constellation
Brands, this Zacks Rank #2 (Buy) stock has outperformed the Zacks
Consensus Estimate in the last 5 quarters by an average of
Our proven model shows that for a stock to beat earnings
estimate this quarter, it needs to have a combination of two key
components - a positive Earnings ESP (Read:
Zacks Earnings ESP: A Better Method
) and a Zacks Rank #1, 2 or 3. Stocks with Zacks Rank #1, 2 and 3
have a significantly higher chance of beating earnings estimates.
The sell-rated stocks (Zacks Rank #4 and 5) should never be
considered going into an earnings announcement.
Other Stocks to Consider
Here are some other companies you may want to consider, as our
model shows that they have the right combination of elements to
post an earnings beat this quarter:
Pacific Sunwear of California Inc
), Earnings ESP of +100.0% and a Zacks Rank #2 (Buy).
), Earnings ESP of +3.45% and a Zacks Rank #2 (Buy).
Boston Beer Co
), Earnings ESP of +1.48% and a Zacks Rank #3 (Hold).
GAP INC (GPS): Free Stock Analysis Report
PAC SUNWEAR CAL (PSUN): Free Stock Analysis
BOSTON BEER INC (SAM): Free Stock Analysis
CONSTELLATN BRD (STZ): Free Stock Analysis
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