Constellation Brands’ second half unlikely to decelerate, says Roth MKM

Roth MKM keeps a Buy rating and $311 price target on Constellation Brands after its Q2 earnings beat and FY24 guidance raise. The company’s beer performance is unlikely to decelerate in the second half given the benefits of resets, better on-premise trends with kegs shipping, and easing materials inflation, the analyst tells investors in a research note. Constellation Brands’ beer depletions and margins should continue improving, the firm added.