DAR

Darling Ingredients received an upgrade to Zacks Rank #2 (Buy) based on upward trends in earnings estimates. The company, which produces natural ingredients from bionutrients, has seen its Zacks Consensus Estimate increase 42.1% over the past three months. The upgrade positions the stock in the top 20% of Zacks-covered stocks, suggesting potential for near-term price appreciation driven by improving business fundamentals.

Darling Ingredients (DAR) is expected to report Q3 2026 earnings on Oct. 29 with revenues projected at $1.8B (+14% YoY) and EPS of $1.89. Strong feed demand, collagen sales, and renewable fuel shipments should support results, though weather challenges and sales timing shifts to Q4 may impact the quarter. The stock carries a Zacks Rank #2 with a negative Earnings ESP of -10.05%, suggesting limited odds of an earnings beat.

Darling Ingredients (DAR) completed the sale of its CTH-branded sausage casings business to SARIA as part of its portfolio optimization and debt reduction strategy. The company reduced net debt by $223 million in Q2 and is targeting year-end leverage below 2.0X. DAR's Food Ingredients segment showed strong performance with sales up 5.8% and adjusted EBITDA rising 55.1%, driven by improved collagen demand.

Boston Beer (SAM) reported Q3 adjusted EPS of $4.37, beating consensus estimates, but revenues fell 3.2% to $520.1 million. Despite shipment volume declines of 4.9%, the company expanded gross margins through pricing actions and improved brewery efficiencies. SAM raised its 2026 adjusted EPS guidance to $9-$10.50 while expecting continued mid-single-digit volume declines.

Monster Beverage (MNST) maintains a strong position in the global energy drink market, driven by brand investments, product innovation, and geographic expansion. U.S. Ultra sales surged 19% year-over-year while Juice Monster grew 26%, demonstrating innovation-led growth.

The company is investing in marketing, distribution, and cost-efficiency initiatives. However, MNST trades at a premium valuation of 34.94X forward P/E compared to the industry average of 18.6X and carries a Zacks Rank #3 (Hold) rating.

Constellation Brands (STZ) reported Q2 fiscal 2027 earnings of $3.74 per share, beating consensus estimates, with net sales rising 6% to $2.63 billion. Beer sales grew 5% and wine/spirits jumped 17%, though operating margins contracted 160 basis points.

Despite solid results, the stock fell over 4% after-hours. The company reaffirmed full-year guidance and acquired SpikedAde for $75 million to expand its ready-to-drink portfolio.