Constellation Brands(STZ) ZACKS·2024-12-18 15:46Core Insights - The article emphasizes the importance of utilizing Zacks Premium for both new and experienced investors to enhance their stock market strategies and confidence in investing [1][2] Zacks Style Scores - Zacks Style Scores provide a unique rating system for stocks based on value, growth, and momentum characteristics, serving as complementary indicators to the Zacks Rank [3][4] - Each stock is rated from A to F, with A indicating the highest potential for outperforming the market [4] Categories of Style Scores - Value Score: Focuses on identifying undervalued stocks using various financial ratios, appealing to value investors [5] - Growth Score: Targets stocks with strong financial health and growth potential, based on earnings and sales projections [6] - Momentum Score: Aims to capitalize on price trends, using recent price changes and earnings estimate shifts to identify high-momentum stocks [7] - VGM Score: Combines all three Style Scores to highlight stocks with the best value, growth, and momentum characteristics [8] Zacks Rank and Performance - The Zacks Rank is a proprietary model that leverages earnings estimate revisions to guide investors in building successful portfolios [9] - Stocks rated 1 (Strong Buy) have historically produced an average annual return of +25.41% since 1988, significantly outperforming the S&P 500 [10] Stock Recommendation: Constellation Brands (STZ) - Constellation Brands, a leading producer of beer, wine, and spirits, holds a 2 (Buy) rating on the Zacks Rank and has a VGM Score of A [15][16] - The company has a forward P/E ratio of 17.17, indicating attractive valuation metrics for value investors [16] - Recent earnings estimates for fiscal 2025 have been revised upward, with the Zacks Consensus Estimate increasing by 13.58 per share, alongside an average earnings surprise of 5.3% [16] - With strong ratings and favorable Style Scores, Constellation Brands is recommended for investors' consideration [17]