Constellation Brands (NYSE:STZ) & LVMH-Moet Hennessy Louis Vuitton (OTC:LVMUY) Financial Comparison

LVMH-Moet Hennessy Louis Vuitton (OTC:LVMUY) and Constellation Brands (NYSE:STZ) are both large-cap consumer discretionary companies, but which is the superior investment? We will contrast the two companies based on the strength of their dividends, risk, valuation, profitability, earnings, analyst recommendations and institutional ownership.

Insider and Institutional Ownership

0.3% of LVMH-Moet Hennessy Louis Vuitton shares are owned by institutional investors. Comparatively, 77.3% of Constellation Brands shares are owned by institutional investors. 12.2% of Constellation Brands shares are owned by company insiders. Strong institutional ownership is an indication that endowments, hedge funds and large money managers believe a stock is poised for long-term growth.

Dividends

LVMH-Moet Hennessy Louis Vuitton pays an annual dividend of $2.29 per share and has a dividend yield of 1.8%. Constellation Brands pays an annual dividend of $4.04 per share and has a dividend yield of 2.2%. Constellation Brands pays out 108.6% of its earnings in the form of a dividend, suggesting it may not have sufficient earnings to cover its dividend payment in the future.

Risk & Volatility

LVMH-Moet Hennessy Louis Vuitton has a beta of 1.11, indicating that its share price is 11% more volatile than the S&P 500. Comparatively, Constellation Brands has a beta of 1.75, indicating that its share price is 75% more volatile than the S&P 500.

Profitability

This table compares LVMH-Moet Hennessy Louis Vuitton and Constellation Brands’ net margins, return on equity and return on assets.

	Net Margins	Return on Equity	Return on Assets
LVMH-Moet Hennessy Louis Vuitton	N/A	N/A	N/A
Constellation Brands	6.27%	26.55%	10.03%

Analyst Recommendations

This is a breakdown of current ratings and price targets for LVMH-Moet Hennessy Louis Vuitton and Constellation Brands, as provided by MarketBeat.com.

	Sell Ratings	Hold Ratings	Buy Ratings	Strong Buy Ratings	Rating Score
LVMH-Moet Hennessy Louis Vuitton	0	0	0	3	4.00
Constellation Brands	0	11	11	0	2.50

Constellation Brands has a consensus price target of $249.18, suggesting a potential upside of 34.71%. Given Constellation Brands’ higher possible upside, analysts plainly believe Constellation Brands is more favorable than LVMH-Moet Hennessy Louis Vuitton.

Valuation & Earnings

This table compares LVMH-Moet Hennessy Louis Vuitton and Constellation Brands”s gross revenue, earnings per share (EPS) and valuation.

	Gross Revenue	Price/Sales Ratio	Net Income	Earnings Per Share	Price/Earnings Ratio
LVMH-Moet Hennessy Louis Vuitton	$91.64 billion	3.38	$13.58 billion	N/A	N/A
Constellation Brands	$10.18 billion	3.28	$1.73 billion	$3.72	49.73

LVMH-Moet Hennessy Louis Vuitton has higher revenue and earnings than Constellation Brands.

Summary

Constellation Brands beats LVMH-Moet Hennessy Louis Vuitton on 9 of the 15 factors compared between the two stocks.

About LVMH-Moet Hennessy Louis Vuitton

LVMH Moët Hennessy – Louis Vuitton, Société Européenne operates as a luxury goods company worldwide. The company offers wines, and spirits under the domaine des Lambrays, Château d’Yquem, Dom Pérignon, Ruinart, Moët & Chandon, Hennessy, Veuve Clicquot, Château Galoupet, Ardbeg, Château Cheval Blanc, Glenmorangie, Krug, Mercier, Chandon, Joseph Phelps, Newton Vineyard, Cloudy Bay, Belvedere, Colgin Cellars,Terrazas de los Andes, Bodega Numanthia, Cheval des Andes, Woodinville, Ao Yun, Clos19, Volcan de mi Tierra, and Eminente brands; and fashion and leather products under the Loewe, Moynat, Louis Vuitton, Berluti, RIMOWA, Patou, Loro Piana, FENDI, Celine, Christian Dior, Emilio Pucci, Givenchy, Kenzo, and Marc Jacobs brands. It also provides perfumes and cosmetics under the Stella by Stella Mccartney, Officine Universelle Buly, Guerlain, Acqua di Parma, Parfums Christian Dior, Givenchy Parfums, Perfumes Loewe, Benefit Cosmetics, Make Up For Ever, Kenzo Parfums, Fresh, KVD Beauty, Maison Francis Kurkdjian, Cha Ling, Fenty Beauty by Rihanna, and Olehenriksen brands; watches and jewelry under the Chaumet, Tiffany & Co., TAG Heuer, Zenith, Bulgari, Fred, Hublot, and Repossi brands; and custom-designed yachts under the Feadship brand and hotels under the Cheval Blanc brand names, as well as designs and builds luxury yachts under the Royal Van Lent brand. In addition, the company offers daily newspapers under the Les Échos brand; Belmond, a luxury tourism service; home other activities under the Cova, Jardin d’Acclimatation, Le Parisien, Connaissance des Arts, Investir, and Radio Classique brands; and selective retailing products under the DFS, La Grande Epicerie de Paris, Le Bon Marché Rive Gauche, Sephora, and Starboard Cruise Services brands, as well as operates Jardin d’Acclimatation, a leisure and theme park. LVMH Moët Hennessy – Louis Vuitton, Société Européenne was founded in 1365 and is headquartered in Paris, France.

About Constellation Brands

Constellation Brands, Inc., together with its subsidiaries, produces, imports, markets, and sells beer, wine, and spirits in the United States, Canada, Mexico, New Zealand, and Italy. The company provides beer primarily under the Corona Extra, Corona Familiar, Corona Hard Seltzer, Corona Light, Corona Non-Alcoholic, Corona Premier, Corona Refresca, Modelo Especial, Modelo Chelada, Modelo Negra, Modelo Oro, Victoria, Vicky Chamoy, and Pacifico brands. It also offers wine under the Cook’s California Champagne, Kim Crawford, Meiomi, Mount Veeder, Ruffino, SIMI, My Favorite Neighbor, Robert Mondavi Winery, Schrader, and The Prisoner Wine Company brands; and spirits under the Casa Noble, Copper & Kings, High West, Mi CAMPO, Nelson’s Green Brier, and SVEDKA brands. The company provides its products to wholesale distributors, retailers, on-premise locations, and state alcohol beverage control agencies. Constellation Brands, Inc. was founded in 1945 and is headquartered in Victor, New York.