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 down 0.3%. By the end of trading, Constellation Brands rose $1.12 (2.2%) to $53.00 on average volume. Throughout the day, 2,181,175 shares of Constellation Brands exchanged hands as compared to its average daily volume of 2,471,900 shares. The stock ranged in a price between $51.43-$53.02 after having opened the day at $51.68 as compared to the previous trading day's close of $51.88. Other companies within the Food & Beverage industry that increased today were: Dean Foods Company ( DF), up 4.3%, WhiteWave Foods ( WWAV), up 4.1%, Crumbs Bake Shop ( CRMB), up 4.0% and Constellation Brands ( STZ.B), up 3.0%.
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Constellation Brands, Inc., together with its subsidiaries, produces and markets beverage alcohol. Constellation Brands has a market cap of $8.4 billion and is part of the consumer goods sector. The company has a P/E ratio of 25.2, above the S&P 500 P/E ratio of 17.7. Shares are up 46.6% year to date as of the close of trading on Thursday. Currently there are 4 analysts that rate Constellation Brands a buy, no analysts rate it a sell, and 2 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, solid stock price performance, good cash flow from operations and expanding profit margins. We feel these strengths outweigh the fact that the company has had sub par growth in net income.

On the negative front, Central European Distribution ( CEDC), down 18.2%, Origin Agritech ( SEED), down 4.8%, Tianli Agritech ( OINK), down 4.3% and Farmer Bros ( FARM), down 4.2% , 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).

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