Evercore ISI Retains Bullish Stance on Constellation Brands (STZ) Considering Brand Loyalty

Constellation Brands, Inc. (NYSE:STZ) is one of Warren Buffett’s 10 Stock Picks with the Strongest Upside Potential. On October 15, Evercore ISI retained its Buy rating on Constellation Brands, Inc. (NYSE:STZ), maintaining the price target at $170.

Robert Ottenstein from Evercose ISI reiterated the rating as the company exceeded earnings estimates and increased brand loyalty during Q2 FY2026. On October 6, Constellation Brands released its Q2 FY2026 earnings, posting $3.63 in adjusted earnings, which surpassed consensus by $0.22 per share. The revenue was around $2.48 billion, slightly lower than expectations. Despite falling short in sales, the company overcame volume challenges in its beer segments amid macroeconomic pressures.

Ottenstein’s focus was on the company’s clarity on brand loyalty metrics and Corona portfolio dynamics. The company reported increased brand loyalty, particularly for Corona and Modelo, with Corona Familiar performing exceptionally well. While interacting with CEO Bill Newlands on a results call about Corona’s strengths, the analyst noted that Corona Familiar is performing exceptionally well and might actually be a larger brand than previously thought. The CEO highlighted that the Corona Familiar is one of the top share gainers in the category.

As of October 21, Constellation Brands, Inc.’s (NYSE:STZ) average price target of $169, based on analysts’ estimates, implies an upside of almost 19.65% from current levels.

Constellation Brands, Inc. (NYSE:STZ) produces beer, wine, and spirits, operating famous brands such as Corona, Modelo, Robert Mondavi Winery, and Kim Crawford, among others. The company segments include Beer, Wine and Spirits, Corporate Operations and Other.

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Disclosure: None. This article is originally published at Insider Monkey.