Constellation Brands (LTS:0REP) Operating Income: CHF2,348 Mil (TTM As of May. 2026)


LTS:0REP Constellation Brands Inc LTS:0REP
63 GF Score
Price CHF196.36
GF Value CHF296.89
! 3 Warning Signs
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What is Constellation Brands Operating Income?

Constellation Brands LTS:0REP 63 Operating Income is CHF2,348 Mil as of May. 2026. GuruFocus rates LTS:0REP with a GF Score™ of 63/100 and a GF Value™ of CHF296.89. The stock has 3 warning signs investors should review.

Constellation Brands's Operating Income for the three months ended in May. 2026 was CHF677 Mil. Its Operating Income for the trailing twelve months (TTM) ended in May. 2026 was CHF2,348 Mil.

Operating Margin % is calculated as Operating Income divided by its Revenue. Constellation Brands's Operating Income for the three months ended in May. 2026 was CHF677 Mil. Constellation Brands's Revenue for the three months ended in May. 2026 was CHF1,906 Mil. Therefore, Constellation Brands's Operating Margin % for the quarter that ended in May. 2026 was 35.50%.

Constellation Brands's 5-Year average Growth Rate for Operating Margin % was -0.60% per year.

Operating Income or EBIT is linked to Return on Capital for both regular definition and Joel Greenblatt's definition. Constellation Brands's annualized ROC % for the quarter that ended in May. 2026 was 15.11%. Constellation Brands's annualized ROC (Joel Greenblatt) % for the quarter that ended in May. 2026 was 35.07%.


Constellation Brands  (LTS:0REP) Operating Income Explanation

1. Operating Income or EBIT is linked to Return on Capital for both regular definition and Joel Greenblatt's definition.

Constellation Brands's annualized ROC % for the quarter that ended in May. 2026 is calculated as:

ROC % (Q: May. 2026 )
=NOPAT/Average Invested Capital
=Operating Income * ( 1 - Tax Rate % )/( (Invested Capital (Q: Feb. 2026 ) + Invested Capital (Q: May. 2026 ))/ count )
=2706.176 * ( 1 - 11.59% )/( (15611.729 + 16064.872)/ 2 )
=2392.5302016/15838.3005
=15.11 %

where

Invested Capital(Q: Feb. 2026 )
=Total Assets - Accounts Payable & Accrued Expense - Excess Cash
=Total Assets - Accounts Payable & Accrued Expense - ( Cash, Cash Equivalents, Marketable Securities - max(0, Total Current Liabilities - Total Current Assets+Cash, Cash Equivalents, Marketable Securities))
=16926.896 - 1236.022 - ( 79.145 - max(0, 2078.946 - 2246.279+79.145))
=15611.729

Invested Capital(Q: May. 2026 )
=Total Assets - Accounts Payable & Accrued Expense - Excess Cash
=Total Assets - Accounts Payable & Accrued Expense - ( Cash, Cash Equivalents, Marketable Securities - max(0, Total Current Liabilities - Total Current Assets+Cash, Cash Equivalents, Marketable Securities))
=17319.956 - 1480.704 - ( 75.676 - max(0, 2607.939 - 2382.319+75.676))
=16064.872

Note: The Operating Income data used here is four times the quarterly (May. 2026) data.

2. Joel Greenblatt's definition of Return on Capital:

Constellation Brands's annualized ROC (Joel Greenblatt) % for the quarter that ended in May. 2026 is calculated as:

ROC (Joel Greenblatt) %(Q: May. 2026 )
=EBIT/Average of (Net fixed Assets + Net Working Capital)
=EBIT/Average of (Property, Plant and Equipment+Net Working Capital)
     Q: Feb. 2026  Q: May. 2026
=EBIT/( ( (Property, Plant and Equipment + Net Working Capital) + (Property, Plant and Equipment + Net Working Capital) )/ count )
=2656.352/( ( (7035.941 + max(620.253, 0)) + (6666.891 + max(825.938, 0)) )/ 2 )
=2656.352/( ( 7656.194 + 7492.829 )/ 2 )
=2656.352/7574.5115
=35.07 %

where Working Capital is:

Working Capital(Q: Feb. 2026 )
=(Accounts Receivable + Total Inventories + Other Current Assets) - (Accounts Payable & Accrued Expense + Defer. Rev. + Other Current Liabilities)
=(508.723 + 1108.261 + 326.705) - (1236.022 + 13.758 + 73.656)
=620.253

Working Capital(Q: May. 2026 )
=(Accounts Receivable + Total Inventories + Other Current Assets) - (Accounts Payable & Accrued Expense + Defer. Rev. + Other Current Liabilities)
=(569.297 + 1137.967 + 599.379) - (1480.704 + 0 + 0.00099999999974898)
=825.938

When net working capital is negative, 0 is used.

Note: The EBIT data used here is four times the quarterly (May. 2026) EBIT data.

3. Operating Income is also linked to Operating Margin %:

Constellation Brands's Operating Margin % for the quarter that ended in May. 2026 is calculated as:

Operating Margin %=Operating Income (Q: May. 2026 )/Revenue (Q: May. 2026 )
=676.544/1905.777
=35.50 %

* For Operating Data section: All numbers are indicated by the unit behind each term and all currency related amount are in USD.
* For other sections: All numbers are in millions except for per share data, ratio, and percentage. All currency related amount are indicated in the company's associated stock exchange currency.

4. Please click Growth Rate Calculation Example (GuruFocus) to see how GuruFocus calculates Wal-Mart Stores Inc (WMT)'s revenue growth rate. You can apply the same method to get the Operating Income growth rate using Operating Income per share data.


Be Aware

Compared with a company's EBITDA margin, Operating Margin can be manipulated by adjusting the rate of depreciation, depletion and amortization (DDA).

If a company is facing competition, its Operating Margin may decline. Often the Operating Margin declines well before the company's revenue or even profit decline. Therefore, Operating Margin is a very important indicator of whether the company is facing problems.

For instance, by 2012, Nokia (NOK)'s problems were well known and its stock had lost more than 90% of its market value since 2007. But Nokia's Operating Margin had already been in decline since 2002, although its earnings per share were still rising. Investors who paid attention to Operating Margin would have avoided this huge loss. The same can be said for Research-in-Motion (RIMM).

Therefore, Operating Margin is a very important screening filter for GuruFocus. GuruFocus's Buffett-Munger screener requires that the profit margin is either consistent or expanding. The Model Portfolio of the Buffett-Munger screener has outperformed the market every year since inception in 2009.


Constellation Brands Operating Income Related Terms


Constellation Brands Operating Income Historical Data

* Premium members only.

The historical data trend for Constellation Brands's Operating Income can be seen below:

* For Operating Data section: All numbers are indicated by the unit behind each term and all currency related amount are in USD.
* For other sections: All numbers are in millions except for per share data, ratio, and percentage. All currency related amount are indicated in the company's associated stock exchange currency.

Constellation Brands Operating Income Chart

Constellation Brands Annual Data
Trend Feb17 Feb18 Feb19 Feb20 Feb21 Feb22 Feb23 Feb24 Feb25 Feb26
Operating Income
Get a 7-Day Free Trial Premium Member Only Premium Member Only 2,766.19 2,630.11 2,793.39 3,039.58 2,212.89

Constellation Brands Quarterly Data
Aug21 Nov21 Feb22 May22 Aug22 Nov22 Feb23 May23 Aug23 Nov23 Feb24 May24 Aug24 Nov24 Feb25 May25 Aug25 Nov25 Feb26 May26
Operating Income Get a 7-Day Free Trial Premium Member Only Premium Member Only Premium Member Only Premium Member Only Premium Member Only Premium Member Only Premium Member Only Premium Member Only Premium Member Only Premium Member Only Premium Member Only Premium Member Only 635.62 704.27 556.16 410.56 676.54
LTS:0REP
63GF Score
Constellation Brands Inc LTS:0REP
Operating Income is just one metric. See GF Score™, valuation, warning signs, and more.
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Constellation Brands Operating Income Calculation

Operating Income, is the profit a company earned through operations. All expenses, including cash expenses such as cost of goods sold (COGS), research & development, wages, and non-cash expenses, such as depreciation, depletion and amortization, have been deducted from the sales.

Operating Income for the trailing twelve months (TTM) ended in May. 2026 adds up the quarterly data reported by the company within the most recent 12 months, which was CHF2,348 Mil.

* For Operating Data section: All numbers are indicated by the unit behind each term and all currency related amount are in USD.
* For other sections: All numbers are in millions except for per share data, ratio, and percentage. All currency related amount are indicated in the company's associated stock exchange currency.

Frequently Asked Questions Learn more about Operating Income →
What does a Operating Income of CHF2,348 Mil mean?
Constellation Brands (LTS:0REP) has a Operating Income of CHF2,348 Mil as of May. 2026. Operating Income equals sales less all operating expenses. It is linked to EBIT. View historical data on Constellation Brands and its competitors.
Is Constellation Brands' Operating Income too high?
Constellation Brands' current Operating Income is CHF2,348 Mil. Overall, Constellation Brands has a GF Score™ of 63/100, reflecting its overall financial health beyond just this single metric.
How does Constellation Brands' Operating Income compare to TAP and SAM?
Constellation Brands' Operating Income of CHF2,348 Mil can be compared against companies in the Beverages - Alcoholic industry. See the competitive comparison table and distribution chart on this page for a detailed peer-by-peer breakdown.
What is a good Operating Income for a Beverages - Alcoholic company?
A good Operating Income depends on the Beverages - Alcoholic industry context. However, Operating Income should not be evaluated in isolation — investors should consider it alongside profitability, growth, and financial strength metrics. Use the industry distribution chart on this page to see where any company falls relative to its peers.
What does a high Operating Income mean?
A high Operating Income can signal that a stock is expensive relative to its fundamentals. Operating Income equals sales less all operating expenses. It is linked to EBIT. View historical data on Constellation Brands and its competitors. Constellation Brands's current Operating Income is CHF2,348 Mil. However, context matters — high-growth companies often justify higher valuations. Always evaluate alongside other metrics like GF Score™ and GF Value™.
Is Constellation Brands stock overvalued right now?
Constellation Brands (LTS:0REP) has a current Operating Income of CHF2,348 Mil. The stock's GF Value™ is CHF296.89, compared to a current price of CHF196.36 — trading 33.9% below its estimated fair value. The current Operating Income is CHF2,348 Mil. Constellation Brands' overall GF Score™ is 63/100 with 3 warning signs to review. Investors should evaluate multiple metrics — including profitability, growth, and financial strength — before making a decision.
How is Operating Income calculated?
Operating Income is calculated from a company's financial statements. For Constellation Brands (LTS:0REP), the current Operating Income is CHF2,348 Mil as of May. 2026. GuruFocus calculates this using data sourced from SEC filings and annual reports. See the calculation section and 30-year financial data on this page for the full breakdown.

Is Constellation Brands (LTS:0REP) Overvalued in 2026?

Based on GuruFocus' analysis, Constellation Brands stock appears to be undervalued. The current stock price of CHF196.36 is trading 33.9% below its estimated GF Value™ of CHF296.89.

Key valuation signals for LTS:0REP:

  • Operating Income: CHF2,348 Mil
  • GF Value™: CHF296.89 vs. price of CHF196.36 (33.9% below fair value)
  • GF Score™: 63/100 with 3 warning signs

No single metric tells the full story. See the LTS:0REP stock analysis page for a complete view including 30-year financials, guru trades, and insider activity.


Constellation Brands Business Description

Address 50 East Broad Street, Rochester, NY, USA, 14614
Constellation Brands is the largest provider of alcoholic beverages across the beer, wine, and spirits categories in the US, generating more than 90% of revenue from Mexican beer imports under top-selling brands such as Modelo and Corona. The rest of the business includes some remaining wine and spirits brands, categories where the company has pruned assets in recent years. With its exclusive rights tied to the Mexican beer brands effective only in the US, the firm has limited revenue exposure to international markets. Constellation owns a 10% stake in Canopy Growth, a medicinal and recreational cannabis producer in Canada, and has a 50/50 joint venture with glass manufacturer Owens-Illinois in Mexico.
63GF Score

Get the complete analysis for LTS:0REP

Operating Income is just one metric. See GF Value™, 30-year financials, guru trades, warning signs, and more.

CHF196.36
Price
CHF296.89
GF Value