STZ Stock Could Find Its Footing After Worst Year On Record As Beer Bets Outweigh Consumer Pressures

• Constellation Brands' shares soared over 4% in the first three days till Tuesday’s close.
• The company has further invested in the beer business, deploying $212 million in capital expenditures towards the modular development of its third brewery at Veracruz and expansions at existing breweries.
• Constellation Brands said there was an outsized impact on its beer segment compared to the broader beer category, given higher levels of exposure to Hispanic consumers within the brand portfolio.

After enduring its worst year on record, Constellation Brands (STX) is entering earnings season with renewed momentum. Its shares soared over 4% in the first three days till Tuesday’s close, but some caution prevails about the company’s existing problems mainly tariff pressures and a slowing wine and spirits segment.

Constellation Brands shares are now trading 2.1% higher in premarket early Thursday, likely set to recoup the decline seen in the previous session as its efforts to further invest in the beer business by deploying $212 million in capital expenditures towards the modular development of its third brewery at Veracruz and expansions at existing breweries catch investor attention.

On Wednesday, the stock closed down 2.2% after gaining for three straight days. The company’s shares had recorded their worst drop of 36% in 2025, ever since going public. 

The Core Consumer

For Constellation, a major concern has been the pullback among its Hispanic consumer base, which represents a significant share of beer demand. Even though Constellation’s beer segment has been steadily growing, cautious spending linked to the Trump Administration’s immigration crackdown has weighed on the results.

“The U.S. consumer continued to face ongoing socioeconomic headwinds during the quarter, and we saw continued pronounced weakness amongst the Hispanic consumer cohort specifically,” executives said in the company’s prepared remarks.

They added that it had an outsized impact on its beer segment compared to the broader beer category, given higher levels of exposure to Hispanic consumers within the brand portfolio.

What Is Retail Thinking?

Retail sentiment on Constellation Brands improved to ‘extremely bullish’ territory from ‘bullish’ territory a day ago, with message volumes at ‘extremely high’ levels, according to data from Stocktwits.

The stock saw a 477% increase in retail message volumes on Stocktwits over the past 24 hours and a 20% spike in followers on the platform over the past year.

Shares of Constellation Brands have declined by over 35% in the last 12 months.

For updates and corrections, email newsroom[at]stocktwits[dot]com.

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