Corona maker Constellation Brands rises after Citigroup upgrades to 'buy'

Shares of Constellation Brands STZ.N, which makes Corona beer, gain ~3% to $156 in premarket trading

Citigroup upgrades stock to "buy" from "neutral" on expectations of faster beer sales growth in Q4 and financial year 2027

Anticipates steady improvement over the following year, helped by easier comparisons and a boost in demand during the FIFA World Cup

"For FY'27, we acknowledge headwinds from higher depreciation, aluminum, and FX, but believe they could be partially offset by positive volumes, price, and cost savings," adds Citigroup

Brokerage raises price target to $175 from $155, representing a 15.38% upside to the stock's last close

Stock rated "buy" by 24 analysts, on average; their median PT is $169, per data compiled by LSEG

As of last close, stock up ~10% YTD