Needham lowered the firm’s price target on Constellation Brands (STZ) to $195 from $215 and keeps a Buy rating on the shares. The firm is expecting a challenged start to the year for the company ahead of its Q1 results next week, forecasting beer revenue and operating margin to be running below the low-end of full year guidance and believes that there is potential downside to current Street estimates for the quarter, the analyst tells investors in a research note. Over the past three months, volumes have worsened sequentially, there has been no meaningful improvement in sentiment for the Hispanic consumer, and the weather has been awful, the firm added.
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