Constellation Brands Raises Quarterly Dividend 1% to $1.03 Per Share
Constellation Brands, Inc. (NYSE: STZ), a leading beer, wine, and spirits producer, declared a quarterly cash dividend of $1.03 per share for Class A Common Stock, up from $1.02 previously. The dividend is payable May 14, 2026.
Constellation Brands, Inc. (NYSE: STZ), a leading beer, wine, and spirits producer, declared a quarterly cash dividend of $1.03 per share for Class A Common Stock, marking a 1% increase from the prior quarter's $1.02 per share. The company's board of directors approved the dividend on April 8, 2026. Read more dividend announcements.
Shareholders of record as of the close of business on April 29, 2026, will receive payment on May 14, 2026. The company also declared a dividend of $0.93 per share for Class 1 Convertible Common Stock, payable on the same schedule.
| Dividend Details | Class A Common Stock |
|---|---|
| Amount | $1.03 per share |
| Record Date | April 29, 2026 |
| Payment Date | May 14, 2026 |
| Previous Dividend | $1.02 per share |
Capital Allocation and Shareholder Returns
The dividend increase comes as Constellation Brands returned over $1.6 billion to shareholders during fiscal 2026, including more than $900 million in share repurchases. The company repurchased $924 million of shares during the fiscal year and an additional $75 million in March.
Constellation generated operating cash flow of $2.7 billion and free cash flow of $1.8 billion in fiscal 2026, exceeding internal expectations. The company maintained its investment-grade credit rating and held comparable net leverage at its target of approximately 3.0 times.
Fiscal 2026 Performance
For the fiscal year ended February 28, 2026, Constellation reported earnings per share of $9.61 on net sales of $9.1 billion, down 10% year-over-year. Comparable EPS reached $11.82. The company's beer business continued to lead the U.S. beer category in dollar share gains across tracked channels, outperforming the total beer category by approximately 2 percentage points in year-over-year dollar sales.
The beer division delivered net sales growth of over 1% in the fourth quarter, while the remaining wine and spirits portfolio outperformed the total wine category in both dollar sales and volume performance during the fiscal year, with over 8% depletion growth in the fourth quarter.
Fiscal 2027 Outlook
Constellation issued fiscal 2027 guidance of $11.10 to $11.80 for reported EPS and $11.20 to $11.90 for comparable EPS. The company expects enterprise organic net sales growth or decline of negative 1% to positive 1%. Operating cash flow is projected at $2.4 billion to $2.5 billion, with free cash flow targeted at $1.6 billion to $1.7 billion.
The company withdrew its previously issued fiscal 2028 outlook, citing a dynamic operating environment and limited near-term visibility given the evolving socioeconomic backdrop. Capital expenditures for fiscal 2027 are expected to total approximately $800 million.