Constellation Brands, Inc.

Constellation Brands, Inc. is an American producer and marketer of beer, wine, and spirits whose portfolio is anchored by the exclusive U.S. rights to the Modelo and Corona brand families—Mexican import beers that together account for roughly 90% of company revenue. The company generated $9.14 billion in revenue in its fiscal year ended February 28, 2026, down 10% year-on-year almost entirely because of the divestiture of its mainstream wine business.

This is a story about a business in transition. Constellation spent two decades building the most valuable imported-beer franchise in the United States, acquiring the perpetual U.S. license to Grupo Modelo's brands from Anheuser-Busch InBev in 2013 when AB InBev bought the rest of Modelo. That franchise—Modelo Especial, Corona Extra, Pacifico, and Victoria—has been a compounding machine, growing beer revenue from roughly $2.8 billion in FY2014 to $8.3 billion in FY2026. But the stock sits near $136, roughly half its 2024 highs, as three forces converge: a consumer slowdown in beer, a 50% drop in Wine & Spirits revenue following the divestiture of mainstream brands, and a CEO transition that has the market questioning whether the next chapter looks like the last one. The file turns on a single question: whether the beer franchise's structural advantages are durable enough to re-accelerate growth once the consumer cycle turns, or whether the headwinds—volume softness, Veracruz capacity absorption, and the loss of the diversification the legacy wine business once provided—are more than cyclical.