Piper Jaffray’s opening price target of $40 on the stock is at a 35% upside from Canopy Growth’s last close. The stock is also covered by Beacon and Canaccord Genuity.
Meanwhile, none of this festivity was visible in Constellation Brands (STZ), which holds a 38% stake in the Canadian marijuana firm. In fact, the stock suffered a massive blow the same day, tumbling 12.5% during pre-market trading.
The brewer of Corona beer on Wednesday reported disappointing fiscal 2019 guidance, predicting weakness in spirit and wine business. Constellation Brands said it expects low single-digit fall in operating income and sales in the current quarter. Otherwise, the company’s quarterly results beat analysts’ estimates.
STZ shares have declined 22% in the trailing 52 weeks. CGC shares have declined 12% in the trailing 52 weeks.
Constellation Brands raised its stake in Canopy Growth from 10% to 38% in August 2018, with an additional $4 billion in investment. The agreement, which sent STZ shares up 4% and CGC shares down 8%, was closed in November last year.
Constellation Brands has an average 12-month price target of $229.60, which represents a 33% upside from its last close.