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A Bullish Stock on US Consumers?

The world's biggest wine maker, Constellation Brands , reported first quarter income surged more than sevenfold. The seller of Svedka and Corona beer raising its forecast and announcing a stock buyback. But as we continue to see weakness in consumer spending, will growth dry-up for this distiller?

For the answer, CEO Rob Sands joined us live on Thursday's Fast Money. He says the wine market is pretty buoyant and is bullish on the spirits industry.

The company has global exposure, but Sands says the US and North America have the most potential because consumption per capita is low compared to other countries. He thinks the US wine market is "relatively immature" and is bullish on its future.

Sands says he is not concerned about operating margins being down. His company had heavy promotional spending in the first quarter, but thinks it will slowdown for the rest of the year.

What's the Trade?

Tim Seymour of EmergingMoney.com says the valuation is good. But because its chart looks a "little broken," he says its a "tough time" to buy it.

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Trader disclosure: On July 1, 2010, the following stocks and commodities mentioned or intended to be mentioned on CNBC’s Fast Money were owned by the Fast Money traders; Seymour owns (AAPL), (BAC), (F), (MON); Adami owns (AGU), (BTU), (NUE), (C), (GS), (INTC), (MSFT); Adami’s wife works at Merck; Terranova owns (MON), (AGU), (KO), (XOM), (TEVA), (RDS.A), (GMCR), (UPL), (GS); Terranova is short gold; Terranova owns (GLD) July 123 puts; Terranova owns (GS) JULY 130 CALLS; Terranova owns (GS) JULY 135 CALLS; Grasso owns (ASTM), (ABK), (BAC), (BGP), (C), (CSCO), (DYN), (JPM), (LPX), (MO), (NDAQ), (PFE), (PRST)

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