Friday, October 8, 2010

Constellation Brands Not Going Nova Yet

People may drink through good times and bad, but that is no guarantee that they will remain loyal to the same brands. Not only have overall economic conditions hurt Constellation Brands (NYSE:STZ) since the beginning of the recession, but ongoing turbulence in consumer preference has made for unstable results.

The Quarter that Was
All things considered, this leading wine maker actually had a pretty solid fiscal second quarter. Reported sales dropped 2%, but this was due in part to the sale of the company's U.K. cider business. On an organic basis, sales were actually up 2%. Going a little further, wine sales grew 4% in the U.S., Europe and Australia, while spirit sales were down 15%. 



Please click below for the complete article:
http://stocks.investopedia.com/stock-analysis/2010/Constellation-Brands-Not-Going-Nova-Yet-STZ-DEO-CEDC-BUD-TGT1008.aspx

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