11 Worst Performing Stocks to Invest in on the Dip

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5. Constellation Brands, Inc. (NYSE:STZ)

Number of Hedge Fund Holders: 42

52-week Low: $126.45

Stock Price: $129.16

Average Upside Potential: ~30.8%

Constellation Brands, Inc. (NYSE:STZ) is one of the Worst Performing Stocks to Invest in on the Dip. On November 13, analyst Robert Moskow from TD Cowen maintained a “Hold” rating on the company’s stock and reduced the price objective to $132.00 from $144.00. The analyst’s rating is influenced by a combination of factors. One of the key reasons is the decline in retail sales, resulting in the reduction in its beer volume growth estimates for FY 2026.

In Q2 2026, Constellation Brands, Inc. (NYSE:STZ)’s Beer Business reported a net sales decline of 7% to $2.34 billion due to the 8.7% fall in shipment volumes demonstrating socio-economic headwinds impacting the consumer demand, together with distributor inventory rebalancing. Its operating margin declined 200 bps to 40.6%, mainly because of unfavorable impacts from increased COGS and higher marketing as a percentage of net sales, partly mitigated by the favorable pricing.

The analyst highlighted Constellation Brands, Inc. (NYSE:STZ)’s management belief that the current socioeconomic challenges, mainly within the Hispanic community, are temporary. That being said, the commitment to expansion amidst falling sales resulted in concerns related to the operating margins and profitability, added Moskow.

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