Why an Investment From Warren Buffett Might Not Be Enough to Rally Constellation Brands' Stock
Normally, news of Warren Buffett buying a stock sends it rallying, but in the case of beer maker Constellation Brands (NYSE: STZ), the stock is still struggling this year. Investors learned that Buffett's company, Berkshire Hathaway, added Constellation's stock to its portfolio in February. While that did give Constellation a bit of a boost, it hasn't been enough to turn its fortunes around.Here's why investors shouldn't expect the outlook to get better for Constellation's stock, even if Buffett adds to his stockpile.U.S. President Donald Trump has been imposing tariffs on imports from multiple countries, including Mexico, which is where Constellation Brands brews its popular Modelo and Corona beers. A flat 25% tariff on all imports from the country could prove to be devastating for Constellation's operations, especially with people already battling high inflation in recent years. Continue reading

Normally, news of Warren Buffett buying a stock sends it rallying, but in the case of beer maker Constellation Brands (NYSE: STZ), the stock is still struggling this year. Investors learned that Buffett's company, Berkshire Hathaway, added Constellation's stock to its portfolio in February. While that did give Constellation a bit of a boost, it hasn't been enough to turn its fortunes around.
Here's why investors shouldn't expect the outlook to get better for Constellation's stock, even if Buffett adds to his stockpile.
U.S. President Donald Trump has been imposing tariffs on imports from multiple countries, including Mexico, which is where Constellation Brands brews its popular Modelo and Corona beers. A flat 25% tariff on all imports from the country could prove to be devastating for Constellation's operations, especially with people already battling high inflation in recent years.