Constellation Brands CEO says the Modelo-maker is feeling the squeeze from softer economy, fewer drinkers

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Newlands told Yahoo Finance's Opening Bid.Its stock is down nearly 36% year to date. Over the same period, shares of Coors Light maker Molson Coors (TAP) are down 20%, while Bud Light maker Anheuser-Busch's (BUD) is up 19%.Headwinds like consumer caution is a major factor. According to a Constellation Brands survey, 80% of consumers are worried about socioeconomic issues, and 70% are concerned about personal finances. Newlands cited healthcare and rent as areas of concern."The way that has generally played out, particularly with the Hispanic consumer, is they're going out less," Newlands said. "They're going to bars and restaurants less, and they're having less occasions at home when they would consume our products."Regional trends compound the challenge. California, Constellation's largest market, has seen subdued construction jobs — traditionally, those workers' high-intensity day often ends with a beer."When the construction industry is soft, the impact to us is there's less consumption," Newlands said.During the company's Oct. 7 earnings call, he described the state as "the single biggest problem."Rebuilding efforts after last year's LA fires have been slower than expected due to insurance delays, though activity should pick up over time, he added.Macro policy pressures are adding to the stain. Newlands noted that President Trump's immigration policies are affecting demand among Hispanic consumers. Meanwhile, tariffs are increasing production costs."We'll have roughly $90 million in annualized cost this year around tariffs," Newlands said. "So certainly that's a financial challenge."Broader demographic and cultural trends aren't helping. US alcohol consumption hit a near-90-year low, with only 54% of adults reporting drinking, according to Gallup. Younger adults are drinking less, a trend influenced by health-conscious lifestyles and changing social habits.Constellation's second-quarter results showed a 15% year over year drop in sales. Beer volumes slipped across some of its core brands: Modelo Especial sales fell more than 4%, Corona Extra dropped over 7%, and Modelo Chelada declined roughly 3%. Those losses were partially offset by Pacifico (+14%) and Victoria (+19%).Condiciones y Política de privacidadPrivacy & Cookie SettingsMore InfoS&P 5006,752.94 +38.35 (+0.57%)Dow 3046,720.43 +117.45 (+0.25%)Nasdaq23,001.83 +213.47 (+0.94%)Russell 20002,487.18 +28.76 (+1.17%)VIX16.48 -0.76 (-4.41%)Gold4,075.20 +70.80 (+1.77%)Cartera de valoresInicia sesión para acceder a tu cartera de valoresIniciar sesiónPrincipales ganadoresNTLA Intellia Therapeutics, Inc. 26.02 +5.58 (+27.30%)DGNX Diginex Limited 29.50 +5.30 (+21.90%)RXRX Recursion Pharmaceuticals, Inc. 6.12 +0.88 (+16.92%)APGE Apogee Therapeutics, Inc. 45.70 +5.97 (+15.03%)CIFR Cipher Mining Inc. 17.94 +2.19 (+13.91%)Principales perdedoresNNE NANO Nuclear Energy Inc. 50.29 -6.34 (-11.20%)FICO Fair Isaac Corporation 1,725.67 -153.88 (-8.19%)JOBY Joby Aviation, Inc. 17.48 -1.43 (-7.55%)AAP Advance Auto Parts, Inc. 52.96 -3.88 (-6.83%)TMC TMC the metals company Inc. 8.68 -0.60 (-6.47%)Más activosOPEN Opendoor Technologies Inc. 8.92 -0.37 (-3.98%)BULL Webull Corporation 12.15 -0.65 (-5.08%)PLUG Plug Power Inc. 3.6065 -0.2635 (-6.81%)RGTI Rigetti Computing, Inc. 45.32 +1.42 (+3.25%)DNN Denison Mines Corp. 2.8800 +0.0300 (+1.05%)Eventos de beneficiosMis eventos de beneficiosEventos de beneficiosTickers destacadosASTS AST SpaceMobile, Inc. 84.45 +9.70 (+12.98%)MRNA Moderna, Inc. 28.34 +0.99 (+3.64%)CRSP CRISPR Therapeutics AG 77.24 +6.62 (+9.37%)BURU Nuburu, Inc. 0.6639 +0.1889 (+39.77%)NTLA Intellia Therapeutics, Inc. 26.00 +5.56 (+27.20%)Principales eventos económicos