Bernstein is bullish on beer, says top stocks like Constellation Brands can rise nearly 30%

A case of Constellation Brands Inc. Corona beer sits on a shelf in a cooler during a delivery in Ottawa, Illinois, U.S., on Tuesday, April 2, 2019.
Daniel Acker| Bloomberg | Getty Images

The stock market is underestimating the growth prospects of top beer stocks that are aggressively pushing into new markets with more modern brands, according to investment firm Bernstein.

Analyst Trevor Stirling initiated coverage on Monday night of Constellation Brands, Molson Coors and Boston Beer, giving an outperform rating to all three stocks. Stirling said in a note to clients that the companies are evolving from their legacy products to take advantage of new trends.

More In Street Calls

CNBC ProGoldman Sachs sees oil rallying into the summer. Here are the firm’s top stock picks to play it
CNBC ProHere are Friday's biggest analyst calls of the day: Exxon, Apple, JPMorgan, Bed Bath & Beyond, Tesla & more
CNBC ProBed Bath & Beyond can fall 30% as Reddit frenzy slows, KeyBanc says