Bloody Tariffs! Will Modelo Survive the Trump Tempest?

The Devil's in the Details... and the Tariffs

Right so Constellation Brands the lot that peddles Modelo and that fizzy Corona water are facing a bit of a bother. Seems this Trump fella he's slapped a 25% tariff on imported canned beer. 25%! It's like when Polly nicked a whole bottle of whiskey – you know there's gonna be hell to pay. 'Course they're saying it might drop but don't hold your breath waiting for favours. When have we ever gotten anything easy eh?

By Order of the Boardroom

Now they’re bleating about this tariff saying it's going to sting their fiscal year 2026. Forecasts are down the mood is grim. But hold on a minute before you start feeling sorry for them they did beat Wall Street's expectations this quarter. See even when the world's crumbling there's always a way to make a few quid. We always find a way don't we?

Moving the Pieces on the Board

They're talking about flogging off their 'mainstream' wines. Anything that doesn't fetch at least 15 dollars a bottle is out the door. Like getting rid of that old nag of a horse that just can't win the race anymore eh? They already flogged the Svedka vodka too. Clear as mud what they are planning. Its like when they tried to sell the Horse Fairies to the Italians

Whispers in the Market

The market's twitchy. Shares dipped 3% after hours but they were up 7% earlier. It's all a game this stock market business. A rigged game. You need to know when to hold 'em know when to fold 'em know when to walk away. And know when to run if I am being honest.

Fortune Favors the Bold... and the Brewed

So what does it all mean? They're expecting earnings per share to be less than what those Wall Street fellas predicted. Beer sales might be flat or up a bit but they're not exactly popping champagne corks in celebration are they? The smart money says they need a new angle a new plan. The type of plan that only I can make.

A Change is Gonna Come

They're cutting back on spending too. Less money for new toys. Constellation's saying they'll spend less on capital expenditures in the coming years. 'Course they might just be saying that to keep the wolves at bay. Either way the game changes. We adapt or we die. Like I always say. Now someone get me a whiskey. By order of the Peaky Blinders!