"Oracle of Omaha" Buffett Bets Big on Constellation Brands Stock. Should You Buy It in March 2025?
Even though investing in publicly traded companies made Warren Buffett the legend that he is, the celebrated investor hasn't been all that enthusiastic about stocks lately. Recently, his Berkshire Hathaway investment vehicle has much preferred buying U.S. Treasury bills and maintaining a large cash pile to load up on equities when the opportunity presents itself. So it was attention-grabbing when Berkshire plowed into liquor stock Constellation Brands (NYSE: STZ). As revealed in a recent regulatory filing, toward the end of 2024, its new position in the company comprised a 5.6 million-plus share stake worth over $1.2 billion at that point. Here's a look at whether I think other investors should follow Buffett's lead and buy Constellation too. By the standards of the alcoholic beverage industry, with its dizzying number of brands and products, Constellation is a behemoth. Its specialty is beer, as it has the exclusive rights to distribute highly popular Mexican brands Corona and Modelo in the U.S. It's been doing a particularly good job hyping the latter, as the Modelo Especial variety became the U.S.'s top-selling beer in mid-2023. Continue reading
Even though investing in publicly traded companies made Warren Buffett the legend that he is, the celebrated investor hasn't been all that enthusiastic about stocks lately. Recently, his Berkshire Hathaway investment vehicle has much preferred buying U.S. Treasury bills and maintaining a large cash pile to load up on equities when the opportunity presents itself.
So it was attention-grabbing when Berkshire plowed into liquor stock Constellation Brands (NYSE: STZ). As revealed in a recent regulatory filing, toward the end of 2024, its new position in the company comprised a 5.6 million-plus share stake worth over $1.2 billion at that point. Here's a look at whether I think other investors should follow Buffett's lead and buy Constellation too.
By the standards of the alcoholic beverage industry, with its dizzying number of brands and products, Constellation is a behemoth. Its specialty is beer, as it has the exclusive rights to distribute highly popular Mexican brands Corona and Modelo in the U.S. It's been doing a particularly good job hyping the latter, as the Modelo Especial variety became the U.S.'s top-selling beer in mid-2023.
