Constellation, which makes Corona and Modelo beers, has a 38% stake in the cannabis company, which is the largest medical marijuana producer in Canada.
"If you look at Canada alone, Canada is on a run rate of $5 [billion] to $6 billion in sales, and Canopy is the leading player in that market," Newlands told "Mad Money's" Jim Cramer. "Then you add in new form factors later this year in things like beverage and other edibles, we think the sky's the limit. This is going to be a big business, and Canopy is going to be the leader."
While marijuana remains federally illegal, the substance has been legalized in some form in 33 states across the country and the District of Columbia.
Constellation beat expectations in its latest earnings report with the help of beer sales, which were up about 9.3% from the year prior. Wine sales, however, dropped 7.6%. The company is making adjustments to line up with changing consumer tastes.
While Constellation plans to chase growth opportunities in its higher-end wine brands, Canopy is sticking to its plan, Newlands said.
"Canopy is focused on what they're going to do to build the right form factors and the right markets to win across the globe as necessary and as [marijuana] becomes legal," he said. "We've got a very strong team in beer and we got a very strong team in wine. We think we're pretty good position to win on all three of those fronts."
Shares of Constellation rose more than 6% Thursday.