Constellation Brands Expected To Report Q3 Loss

About: Constellation Brands, Inc. (STZ), Includes: CGC
by: James V. Baker
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James V. Baker
Long/Short Equity, Banks

STZ stock is down about 30% from its April 30, 2018 high of $236.62.

Unrealized gains reported on its Canopy Growth (CGC) investment in Q1 and Q2 will be replaced with unrealized losses in Q3.

The decline in the market price of CGC stock will cause Constellation Brands (STZ) to report a net loss for its Q3 ended November 30, 2018.

Constellation Brands (STZ) stock price weakness is a function of the downdraft in the general market, cessation of its buyback program and the devastation taking place in the cannabis sector. STZ’s stock price