
STZ Valuation
Constellation Brands Inc
- Overview
- Forecast
- Valuation
- Earnings
STZ Relative Valuation
STZ's fair value is calculated using relative valuation, based on historical P/E and P/S ranges and their premiums/discounts relative to a competitor average, adjusted by weights. If the market price exceeds this fair value range, STZ is overvalued; if below, it's undervalued.
Historical Valuation
Constellation Brands Inc (STZ) is now in the Undervalued zone, suggesting that its current forward PE ratio of 13.61 is considered Undervalued compared with the five-year average of 19.49. The fair price of Constellation Brands Inc (STZ) is between 209.88 to 265.82 according to relative valuation methord. Compared to the current price of 171.46 USD , Constellation Brands Inc is Undervalued By 18.31%.
Relative Value
Fair Zone
209.88-265.82
Current Price:171.46
18.31%
Undervalued
13.61
PE
1Y
3Y
5Y
Trailing
Forward
11.50
EV/EBITDA
Constellation Brands Inc. (STZ) has a current EV/EBITDA of 11.50. The 5-year average EV/EBITDA is 15.04. The thresholds are as follows: Strongly Undervalued below 11.87, Undervalued between 11.87 and 13.46, Fairly Valued between 16.63 and 13.46, Overvalued between 16.63 and 18.21, and Strongly Overvalued above 18.21. The current Forward EV/EBITDA of 11.50 falls within the Strongly Undervalued range.
13.20
EV/EBIT
Constellation Brands Inc. (STZ) has a current EV/EBIT of 13.20. The 5-year average EV/EBIT is 16.92. The thresholds are as follows: Strongly Undervalued below 13.41, Undervalued between 13.41 and 15.17, Fairly Valued between 18.68 and 15.17, Overvalued between 18.68 and 20.44, and Strongly Overvalued above 20.44. The current Forward EV/EBIT of 13.20 falls within the Strongly Undervalued range.
3.27
PS
Constellation Brands Inc. (STZ) has a current PS of 3.27. The 5-year average PS is 4.41. The thresholds are as follows: Strongly Undervalued below 3.35, Undervalued between 3.35 and 3.88, Fairly Valued between 4.94 and 3.88, Overvalued between 4.94 and 5.47, and Strongly Overvalued above 5.47. The current Forward PS of 3.27 falls within the Strongly Undervalued range.
10.74
P/OCF
Constellation Brands Inc. (STZ) has a current P/OCF of 10.74. The 5-year average P/OCF is 13.85. The thresholds are as follows: Strongly Undervalued below 6.97, Undervalued between 6.97 and 10.41, Fairly Valued between 17.29 and 10.41, Overvalued between 17.29 and 20.72, and Strongly Overvalued above 20.72. The current Forward P/OCF of 10.74 falls within the Historic Trend Line -Fairly Valued range.
16.86
P/FCF
Constellation Brands Inc. (STZ) has a current P/FCF of 16.86. The 5-year average P/FCF is 28.18. The thresholds are as follows: Strongly Undervalued below 16.10, Undervalued between 16.10 and 22.14, Fairly Valued between 34.23 and 22.14, Overvalued between 34.23 and 40.27, and Strongly Overvalued above 40.27. The current Forward P/FCF of 16.86 falls within the Undervalued range.
Constellation Brands Inc (STZ) has a current Price-to-Book (P/B) ratio of 4.28. Compared to its 3-year average P/B ratio of 4.83 , the current P/B ratio is approximately -11.54% higher. Relative to its 5-year average P/B ratio of 4.30, the current P/B ratio is about -0.65% higher. Constellation Brands Inc (STZ) has a Forward Free Cash Flow (FCF) yield of approximately 6.80%. Compared to its 3-year average FCF yield of 3.94%, the current FCF yield is approximately 72.50% lower. Relative to its 5-year average FCF yield of 4.19% , the current FCF yield is about 62.14% lower.
4.28
P/B
Median3y
4.83
Median5y
4.30
6.80
FCF Yield
Median3y
3.94
Median5y
4.19
Competitors Valuation Multiple
The average P/S ratio for STZ's competitors is 1.85, providing a benchmark for relative valuation. Constellation Brands Inc Corp (STZ) exhibits a P/S ratio of 3.27, which is 76.83% above the industry average. Given its robust revenue growth of -5.52%, this premium appears unsustainable.
Performance Decomposition
1Y
3Y
5Y
Market capitalization of STZ decreased by 28.28% over the past 1 year. The primary factor behind the change was an decrease in P/E Change from -62.21 to -71.63.
The secondary factor is the Revenue Growth, contributed -5.52%to the performance.
Overall, the performance of STZ in the past 1 year is driven by P/E Change. Which is more unsustainable.
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FAQ

Is Constellation Brands Inc (STZ) currently overvalued or undervalued?
Constellation Brands Inc (STZ) is now in the Undervalued zone, suggesting that its current forward PE ratio of 13.61 is considered Undervalued compared with the five-year average of 19.49. The fair price of Constellation Brands Inc (STZ) is between 209.88 to 265.82 according to relative valuation methord. Compared to the current price of 171.46 USD , Constellation Brands Inc is Undervalued By 18.31% .

What is Constellation Brands Inc (STZ) fair value?

How does STZ's valuation metrics compare to the industry average?

What is the current P/B ratio for Constellation Brands Inc (STZ) as of Jul 30 2025?

What is the current FCF Yield for Constellation Brands Inc (STZ) as of Jul 30 2025?

What is the current Forward P/E ratio for Constellation Brands Inc (STZ) as of Jul 30 2025?
