Morgan Stanley Views Constellation Brands Agreement With Elliott As A Strength
Portfolio Pulse from Shivani Kumaresan
Morgan Stanley analyst Dara Mohsenian reiterated an Overweight rating on Constellation Brands Inc (STZ) with a price target of $290. The company has entered into an information-sharing agreement with Elliott Investment Management L.P. and appointed two new independent directors. The analyst believes the collaboration with Elliott could accelerate the re-rating and increase the probability of a short-term bull-case for STZ. The agreement is seen as a step to improve governance and distance the company from its historical poor capital allocation.
July 19, 2023 | 6:13 pm
News sentiment analysis
Sort by:
Ascending
POSITIVE IMPACT
Constellation Brands (STZ) has entered into an information-sharing agreement with Elliott Investment Management, which could accelerate the re-rating and increase the probability of a short-term bull-case. The company's shares are trading higher by 5.64%.
The information-sharing agreement with Elliott Investment Management is seen as a positive move by Morgan Stanley analyst, who believes it could accelerate the re-rating of STZ's stock and increase the probability of a short-term bull-case. This has led to a rise in the company's stock price.
CONFIDENCE 90
IMPORTANCE 80
RELEVANCE 100