Constellation Brands (STZ) is benefiting from increased beer sales during the World Cup despite industry trends toward less consumption, Morgan Stanley said in a note Wednesday.

The company beat fiscal Q1 estimates and reaffirmed its fiscal 2027 guidance despite "secular headwinds to alcohol consumption," the investment firm said.

The company's fiscal Q1 beer shipments increased 1.8%, "reflecting seasonal inventory build and some sell-in ahead of the World Cup," the note said.

Constellation Brands' new chief executive has said the company is looking to "reinvigorate excitement around larger brands" such as Corona Extra and Modelo Especial, while promoting growth in smaller brands, according to the note.

Morgan Stanley reiterated its rating of equal-weight on Constellation Brands, while lowering its price target to $158 from $183 per share.