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 11.63 is considered Undervalued compared with the five-year average of 18.91. The fair price of Constellation Brands Inc (STZ) is between 171.46 to 234.81 according to relative valuation methord. Compared to the current price of 138.03 USD , Constellation Brands Inc is Undervalued By 19.5%.
Relative Value
Fair Zone
171.46-234.81
Current Price：138.03
19.5%
Undervalued
11.63
PE
1Y
3Y
5Y
Trailing
Forward
10.00
EV/EBITDA
Constellation Brands Inc. (STZ) has a current EV/EBITDA of 10.00. The 5-year average EV/EBITDA is 14.68. The thresholds are as follows: Strongly Undervalued below 10.77, Undervalued between 10.77 and 12.72, Fairly Valued between 16.63 and 12.72, Overvalued between 16.63 and 18.58, and Strongly Overvalued above 18.58. The current Forward EV/EBITDA of 10.00 falls within the Strongly Undervalued range.
11.67
EV/EBIT
Constellation Brands Inc. (STZ) has a current EV/EBIT of 11.67. The 5-year average EV/EBIT is 16.59. The thresholds are as follows: Strongly Undervalued below 12.34, Undervalued between 12.34 and 14.46, Fairly Valued between 18.71 and 14.46, Overvalued between 18.71 and 20.84, and Strongly Overvalued above 20.84. The current Forward EV/EBIT of 11.67 falls within the Strongly Undervalued range.
2.67
PS
Constellation Brands Inc. (STZ) has a current PS of 2.67. The 5-year average PS is 4.31. The thresholds are as follows: Strongly Undervalued below 2.97, Undervalued between 2.97 and 3.64, Fairly Valued between 4.98 and 3.64, Overvalued between 4.98 and 5.65, and Strongly Overvalued above 5.65. The current Forward PS of 2.67 falls within the Strongly Undervalued range.
8.18
P/OCF
Constellation Brands Inc. (STZ) has a current P/OCF of 8.18. The 5-year average P/OCF is 13.37. The thresholds are as follows: Strongly Undervalued below 6.11, Undervalued between 6.11 and 9.74, Fairly Valued between 17.00 and 9.74, Overvalued between 17.00 and 20.62, and Strongly Overvalued above 20.62. The current Forward P/OCF of 8.18 falls within the Undervalued range.
13.54
P/FCF
Constellation Brands Inc. (STZ) has a current P/FCF of 13.54. The 5-year average P/FCF is 27.50. The thresholds are as follows: Strongly Undervalued below 13.65, Undervalued between 13.65 and 20.57, Fairly Valued between 34.42 and 20.57, Overvalued between 34.42 and 41.34, and Strongly Overvalued above 41.34. The current Forward P/FCF of 13.54 falls within the Strongly Undervalued range.
Constellation Brands Inc (STZ) has a current Price-to-Book (P/B) ratio of 3.22. Compared to its 3-year average P/B ratio of 4.69 , the current P/B ratio is approximately -31.37% higher. Relative to its 5-year average P/B ratio of 4.33, the current P/B ratio is about -25.56% higher. Constellation Brands Inc (STZ) has a Forward Free Cash Flow (FCF) yield of approximately 0.00%. Compared to its 3-year average FCF yield of 4.40%, the current FCF yield is approximately -100.00% lower. Relative to its 5-year average FCF yield of 4.34% , the current FCF yield is about -100.00% lower.
3.22
P/B
Median3y
4.69
Median5y
4.33
7.69
FCF Yield
Median3y
4.40
Median5y
4.34
Competitors Valuation Multiple
The average P/S ratio for STZ's competitors is 1.31, providing a benchmark for relative valuation. Constellation Brands Inc Corp (STZ) exhibits a P/S ratio of , which is -100.00% above the industry average. Given its robust revenue growth of -15.00%, this premium appears unsustainable.
P/S
P/E
EV/EBITDA
EV/EBIT
P/S
Revenue Growth
Market Cap
Performance Decomposition
1Y
3Y
5Y
Market capitalization of STZ decreased by 37.54% over the past 1 year. The primary factor behind the change was an increase in P/E Change from 8.93 to 20.17.
The secondary factor is the Revenue Growth, contributed -15.00%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
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