Constellation Brands Inc., the alcohol giant betting big on the cannabis industry, plunged the most since 2013 after the company cut its profit outlook and indicated its beer business is slowing down.
The company, which makes Svedka vodka, Robert Mondavi wine and Modelo beer, said it expects a decline in profit and sales from its wine and spirits business for the current fiscal year. It also cited higher interest expenses from its high-profile investment in pot producer Canopy Growth Corp. Higher transportation costs and marketing investment are also hurting its outlook, according to the latest earnings report.
