(BF-B) Brown-Forman - Overview
Sector: Consumer Defensive | Industry: Beverages - Wineries & Distilleries | Exchange: NYSE (USA) | Market Cap: 11.984m USD | Total Return: -22% in 12m
Avg Turnover: 71.0M
EPS Trend: 9.4%
Qual. Beats: 1
Rev. Trend: -96.3%
Qual. Beats: 1
Warnings
Choppy
Tailwinds
No distinct edge detected
Brown-Forman Corporation is a global producer and marketer of premium alcoholic beverages, anchored by its flagship Jack Daniel’s brand family. The company maintains a diverse portfolio spanning American whiskey, tequila, scotch, and ready-to-drink cocktails, operating across more than 170 countries. Its business model relies on a mix of direct-to-retail distribution in mature markets and third-party distributor partnerships in emerging regions.
The company operates within the Distillers & Vintners sub-industry, a sector characterized by high barriers to entry due to the extensive aging processes required for brown spirits. Brown-Forman further integrates its supply chain by manufacturing its own barrels, a critical component for flavor profiles in bourbon and Tennessee whiskey production. This vertical integration provides a distinct competitive advantage in quality control and cost management.
Investors can evaluate the companys long-term valuation trends and dividend history on ValueRay. Founded in 1870, the Kentucky-based firm remains one of the largest American-owned spirits companies, balancing traditional distilling methods with modern product innovations like flavored liqueurs and premium tequilas.
- Jack Daniel’s volume growth in emerging markets dictates organic revenue trajectory
- Rising agave and glass costs pressure gross margins for tequila and whiskey
- Woodford Reserve premiumization strategy drives average selling price and margin expansion
- Global trade tariffs and alcohol excise taxes impact international net sales
- Consumer shift toward ready-to-drink cocktails reshapes traditional spirit market share
| Net Income: 807.0m TTM > 0 and > 6% of Revenue |
| FCF/TA: 0.09 > 0.02 and ΔFCF/TA 2.18 > 1.0 |
| NWC/Revenue: 69.16% < 20% (prev 75.45%; Δ -6.30% < -1%) |
| CFO/TA 0.10 > 3% & CFO 861.0m > Net Income 807.0m |
| Net Debt (2.34b) to EBITDA (1.19b): 1.97 < 3 |
| Current Ratio: 2.77 > 1.5 & < 3 |
| Outstanding Shares: last quarter (472.6m) vs 12m ago -0.06% < -2% |
| Gross Margin: 59.34% > 18% (prev 0.59%; Δ 5.87k% > 0.5%) |
| Asset Turnover: 47.76% > 50% (prev 50.12%; Δ -2.36% > 0%) |
| Interest Coverage Ratio: 10.59 > 6 (EBITDA TTM 1.19b / Interest Expense TTM 104.0m) |
| A: 0.33 (Total Current Assets 4.23b - Total Current Liabilities 1.53b) / Total Assets 8.30b |
| B: 0.61 (Retained Earnings 5.05b / Total Assets 8.30b) |
| C: 0.13 (EBIT TTM 1.10b / Avg Total Assets 8.19b) |
| D: 1.19 (Book Value of Equity 5.03b / Total Liabilities 4.22b) |
| Altman-Z'' = 6.28 = AAA |
| DSRI: 1.19 (Receivables 983.0m/855.0m, Revenue 3.91b/4.04b) |
| GMI: 1.00 (GM 59.34% / 59.31%) |
| AQI: 1.04 (AQ_t 0.36 / AQ_t-1 0.34) |
| SGI: 0.97 (Revenue 3.91b / 4.04b) |
| TATA: -0.01 (NI 807.0m - CFO 861.0m) / TA 8.30b) |
| Beneish M = -2.87 (Cap -4..+1) = A |
As of May 30, 2026, the stock is trading at USD 25.72 with a total of 2,756,195 shares traded.
Over the past week, the price has changed by -1.23%,
over one month by +3.42%,
over three months by -10.06% and
over the past year by -22.03%.
Brown-Forman has received a consensus analysts rating of 3.00. Therefore, it is recommended to hold BF-B.
- StrongBuy: 2
- Buy: 3
- Hold: 10
- Sell: 3
- StrongSell: 2
| Analysts Target Price | 28.2 | 9.5% |
P/E Trailing = 15.189
P/E Forward = 14.8368
P/S = 2.9775
P/B = 2.852
P/EG = 4.1228
Revenue TTM = 3.91b USD
EBIT TTM = 1.10b USD
EBITDA TTM = 1.19b USD
Long Term Debt = 2.09b USD (from longTermDebt, last quarter)
Short Term Debt = 656.0m USD (from shortTermDebt, last quarter)
Debt = 2.75b USD (from shortLongTermDebtTotal, last quarter)
Net Debt = 2.34b USD (calculated: Debt 2.75b - CCE 402.0m)
Enterprise Value = 14.3b USD (12.0b + Debt 2.75b - CCE 402.0m)
Interest Coverage Ratio = 10.59 (Ebit TTM 1.10b / Interest Expense TTM 104.0m)
EV/FCF = 19.63x (Enterprise Value 14.3b / FCF TTM 730.0m)
FCF Yield = 5.10% (FCF TTM 730.0m / Enterprise Value 14.3b)
FCF Margin = 18.67% (FCF TTM 730.0m / Revenue TTM 3.91b)
Net Margin = 20.64% (Net Income TTM 807.0m / Revenue TTM 3.91b)
Gross Margin = 59.34% ((Revenue TTM 3.91b - Cost of Revenue TTM 1.59b) / Revenue TTM)
Gross Margin QoQ = 60.61% (prev 59.36%)
Tobins Q-Ratio = 1.73 (Enterprise Value 14.3b / Total Assets 8.30b)
Interest Expense / Debt = 3.79% (Interest Expense 104.0m / Debt 2.75b)
Taxrate = 15.24% (48.0m / 315.0m)
NOPAT = 933.2m (EBIT 1.10b * (1 - 15.24%))
Current Ratio = 2.77 (Total Current Assets 4.23b / Total Current Liabilities 1.53b)
Debt / Equity = 0.67 (Debt 2.75b / totalStockholderEquity, last quarter 4.08b)
Debt / EBITDA = 1.97 (Net Debt 2.34b / EBITDA 1.19b)
Debt / FCF = 3.21 (Net Debt 2.34b / FCF TTM 730.0m)
Total Stockholder Equity = 4.05b (last 4 quarters mean from totalStockholderEquity)
RoA = 9.86% (Net Income 807.0m / Total Assets 8.30b)
RoE = 19.93% (Net Income TTM 807.0m / Total Stockholder Equity 4.05b)
RoCE = 17.94% (EBIT 1.10b / Capital Employed (Equity 4.05b + L.T.Debt 2.09b))
RoIC = 12.90% (NOPAT 933.2m / Invested Capital 7.23b)
WACC = 6.50% (E(12.0b)/V(14.7b) * Re(7.25%) + D(2.75b)/V(14.7b) * Rd(3.79%) * (1-Tc(0.15)))
Discount Rate = 7.25% (= CAPM, Blume Beta Adj.)
Shares (quarterly) Correlation: -76.41 | Cagr: -0.70%
[DCF] Terminal Value 77.97% ; FCFF base≈651.6m ; Y1≈746.9m ; Y5≈1.10b
[DCF] Fair Price = 48.92 (EV 16.5b - Net Debt 2.34b = Equity 14.2b / Shares 290.3m; r=8.35% [WACC [floored]]; 5y FCF grow 15.0% → 2.50% )
EPS Correlation: 9.41 | EPS CAGR: 1.12% | SUE: 1.59 | # QB: 1
Revenue Correlation: -96.31 | Revenue CAGR: -3.67% | SUE: 1.37 | # QB: 1
EPS current Quarter (2026-07-31): EPS=0.38 | Chg30d=-0.16% | Revisions=+0% | Analysts=11
[Analyst] Revisions Ratio: +0%