Constellation Brands Inc. (STZ): Today's Featured Food & Beverage Winner

Editor's Note: TheStreet ratings do not represent the views of TheStreet's staff or its contributors. Ratings are established by computer based on metrics for performance (which includes growth, stock performance, efficiency and valuation) and risk (volatility and solvency). Companies with poor cash flow or high debt levels tend to earn lower ratings in our model.

Constellation Brands ( STZ) pushed the Food & Beverage industry higher today making it today's featured food & beverage winner. The industry as a whole closed the day up 0.3%. By the end of trading, Constellation Brands rose 73 cents (1.9%) to $38.50 on average volume. Throughout the day, 2.4 million shares of Constellation Brands exchanged hands as compared to its average daily volume of 1.9 million shares. The stock ranged in a price between $37.72-$38.75 after having opened the day at $37.98 as compared to the previous trading day's close of $37.77. Other companies within the Food & Beverage industry that increased today were: Key Technology ( KTEC), up 9.6%, Reeds ( REED), up 7.2%, Tofutti Brands ( TOF), up 6.6%, and Green Mountain Coffee Roasters ( GMCR), up 5.8%.
  • EXCLUSIVE OFFER: Jim Cramer's Protégé, Dave Peltier, only buys Stocks Under $10 that he thinks could potentially double. See what he's trading today with a 14-day FREE pass.

Constellation Brands, Inc. produces and markets beverage alcohol in the United States and internationally. Constellation Brands has a market cap of $6.07 billion and is part of the consumer goods sector. The company has a P/E ratio of 17.8, equal to the S&P 500 P/E ratio of 17.7. Shares are up 7.1% year to date as of the close of trading on Thursday. Currently there are four analysts that rate Constellation Brands a buy, no analysts rate it a sell, and two rate it a hold.

TheStreet Ratings rates Constellation Brands as a buy. The company's strengths can be seen in multiple areas, such as its revenue growth, reasonable valuation levels, solid stock price performance, growth in earnings per share and increase in net income. We feel these strengths outweigh the fact that the company has had generally high debt management risk by most measures that we evaluated.

On the negative front, Bridgford Foods Corporation ( BRID), down 7%, China New Borun Corporation ( BORN), down 6.4%, Synutra International ( SYUT), down 4.1%, and Seneca Foods Corp. Class A ( SENEA), down 3.5%, were all laggards within the food & beverage industry with Monster Beverage ( MNST) being today's food & beverage industry laggard.

For investors not wanting singular stock exposure, ETFs may be of interest. Investors who are bullish on the food & beverage industry could consider PowerShares Dynamic Food & Beverage ( PBJ) while those bearish on the food & beverage industry could consider PowerShares DB Agriculture Sht ETN ( ADZ).

It's Official: Action Alerts PLUS beats the S&P 500 with Dividends Reinvested! Cramer and Link were up 16.72% in 2012. Were you? See what they are trading for 14-days FREE.

null

More from Markets

The Winners and Losers in Thursday's Market

The Winners and Losers in Thursday's Market

Stocks Tumble as Dow Heads for Eighth Straight Drop

Stocks Tumble as Dow Heads for Eighth Straight Drop

Online Retailers Hit by Supreme Court Ruling Requiring Sales Tax Collection

Online Retailers Hit by Supreme Court Ruling Requiring Sales Tax Collection

U.S. Drillers at Mercy of Iran, Saudi Production Spat as OPEC Meeting Begins

U.S. Drillers at Mercy of Iran, Saudi Production Spat as OPEC Meeting Begins

This Is What's Hot Thursday - Stocks Slide, Intel's CEO Woes & Major Movers

This Is What's Hot Thursday - Stocks Slide, Intel's CEO Woes & Major Movers