Out of the Gate: Constellation Brands shines

Shares rose 74 cents, or 4.1 percent, to $20.68 early in the session.

Price increases in the U.S. and abroad helped results, while branded wine sales rose 24 percent, Constellation said. Sales rose 3 percent to $932 million, also topping Wall Street expectations.

Deutsche Bank analyst Marc Greenberg noted that branded wine sales in North America improved, rising 35 percent to $530.7 million, but international wine sales remained sluggish.

Greenberg said investors are likely to focus on weakness in Corona beer sales in May and June, after they rose modestly in April.

Greenberg said his "Hold" rating is based on his expectation that consumers are eating out less and drinking lower-priced beer, wine and spirits.

The analyst's $22 price target implies upside of 10.8 percent to Monday's closing price of $19.86.