8 Stocks on Jim Cramer’s Radar

4. Constellation Brands, Inc. (NYSE:STZ)

Number of Hedge Fund Holders: 36

Cramer criticized Constellation Brands, Inc. (NYSE:STZ) for its poor performance in wine and spirits, stating the company should have sold that part of the business earlier.

“The wine and spirits from Constellation Brands were so challenged, I wish they’d just sold the business a long time ago. Just a very bad miss. Beer’s holding up okay, but not enough to make Wall Street like the stock. Oh man… My Charitable Trust is stuck with it.”

Constellation (NYSE:STZ) is a major player in the production, import, marketing, and sale of beer, wine, and spirits, with its beer offerings spanning several brands. On January 3, Cramer discussed the company as he said:

“It’s a bedraggled liquor stock we own for my Charitable Trust that’s been up and down and up and now mostly down. It’s a bit of a jobe stock. Right now, alcohol is under siege by everyone from the Surgeon General this morning for link to cancer to the GLP-1 drugs, which blunt the craving to the, in the case of Constellation, potential tariffs on its Mexican beers, Modelo and Corona, plus an endangered population of drinkers of some significance, the Hispanic immigration cohort that could be hassled or deported by the authorities under Trump.”

At that time, Cramer maintained that it was a good investment, citing its strong cash flow and growth prospects. He also suggested that the incoming president could potentially exempt imported beer from tariffs, which would benefit Constellation (NYSE:STZ).