Constellation Brands Inc Class A (STZ)
Return on total capital
| Nov 30, 2024 | Aug 31, 2024 | May 31, 2024 | Feb 29, 2024 | Nov 30, 2023 | Aug 31, 2023 | May 31, 2023 | Feb 28, 2023 | Nov 30, 2022 | Aug 31, 2022 | May 31, 2022 | Feb 28, 2022 | Nov 30, 2021 | Aug 31, 2021 | May 31, 2021 | Feb 28, 2021 | Nov 30, 2020 | Aug 31, 2020 | May 31, 2020 | Feb 29, 2020 | ||
|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|
| Earnings before interest and tax (EBIT) (ttm) | US$ in thousands | 1,165,800 | 1,142,900 | 3,352,200 | 2,677,200 | 2,455,800 | 2,410,000 | 517,200 | 781,500 | 989,300 | 947,800 | 2,100,900 | 664,100 | 657,800 | 1,554,300 | 2,072,700 | 3,531,800 | 3,579,100 | 1,831,500 | 472,800 | -464,300 |
| Long-term debt | US$ in thousands | — | — | — | — | — | — | — | — | — | — | — | — | — | — | — | — | — | — | — | — |
| Total stockholders’ equity | US$ in thousands | 7,817,800 | 7,870,800 | 10,251,800 | 9,743,100 | 9,471,000 | 9,390,800 | 8,585,000 | 8,413,600 | 8,389,500 | 9,389,000 | 11,231,400 | 11,731,900 | 11,238,300 | 11,192,700 | 12,261,600 | 13,598,900 | 13,312,100 | 11,688,000 | 11,066,000 | 12,131,800 |
| Return on total capital | 14.91% | 14.52% | 32.70% | 27.48% | 25.93% | 25.66% | 6.02% | 9.29% | 11.79% | 10.09% | 18.71% | 5.66% | 5.85% | 13.89% | 16.90% | 25.97% | 26.89% | 15.67% | 4.27% | -3.83% |
November 30, 2024 calculation
Return on total capital = EBIT (ttm) ÷ (Long-term debt + Total stockholders’ equity)
= $1,165,800K ÷ ($—K + $7,817,800K)
= 14.91%
The return on total capital for Constellation Brands Inc Class A has shown fluctuations over the period from February 2020 to November 2024. The ratio started at -3.83% in February 2020, indicating a negative return on the deployed capital. Subsequently, the company improved its performance, with the return on total capital increasing to 4.27% in May 2020, and further rising to 26.89% by November 2020.
From February 2021 to May 2023, the return on total capital fluctuated within a range, showing values between 5.66% and 18.71%. Notably, in May 2024, the ratio significantly increased to 32.70%, representing a substantial return on the total capital employed. However, in the subsequent reporting periods, the return on total capital decreased to 14.91% by November 2024.
Overall, it is observed that Constellation Brands Inc Class A has experienced varying levels of return on total capital over the analyzed period, with fluctuations indicating changes in the company's efficiency in generating profits in relation to the total capital invested.
Peer comparison
Nov 30, 2024