Brown-Forman B (BF.B) AI Stock Analysis

• Market Cap: $13.49B
• Dividend Yield: 3.32%
• Average Volume (3M): 3.75M
• Price to Earnings (P/E): 16.0
• Beta (1Y): 0.62
• Revenue Growth: -3.34%
• EPS Growth: -14.19%
• Country: US
• Employees: 5,700
• Sector: Consumer Defensive
• Sector Strength: 42
• Industry: Beverages - Wineries & Distilleries
• EPS (TTM): 0.36
• Shares Outstanding: 303,608,900
• 10 Day Avg. Volume: 3,909,737
• 30 Day Avg. Volume: 3,754,751
• PEG Ratio: N/A
• Price to Book (P/B): N/A
• Price to Sales (P/S): N/A
• P/FCF Ratio: N/A
• Enterprise Value/Market Cap: 1.18
• Enterprise Value/Revenue: 4.02
• Enterprise Value/Gross Profit: 6.81
• Enterprise Value/Ebitda: 12.68
• 1Y Price Target: $30.08
• Price Target Upside: 5.03% Upside
• Rating Consensus: Hold
• Number of Analyst Covering: 7
• EPS Forecast (FY): N/A
• Revenue Forecast (FY): N/A

• Rating: 74 Outperform
• Price Target: $32.00 ▲(11.73% Upside)

Brown-Forman B's overall score is driven by strong financial performance and valuation, with solid profitability and attractive dividend yield. Technical analysis shows mixed signals, with short-term bullish momentum but longer-term caution. The earnings call reflects both opportunities in emerging markets and challenges in developed regions.

Positive Factors

Emerging Markets Growth

Strong growth in emerging markets like Mexico and Brazil indicates expanding market presence and potential for long-term revenue growth.

Cash Flow Generation

Improved cash generation enhances financial flexibility, supporting strategic investments and shareholder returns over the long term.

Super Premium Whiskey Performance

Growth in super premium whiskey brands strengthens Brown-Forman's market position in high-margin segments, boosting profitability.

Negative Factors

Decline in Developed Markets

Declining sales in developed markets like Germany and the UK could impact overall revenue growth and market share in these regions.

Challenges in the United States

Sales decline in the U.S. market, a key revenue source, may affect Brown-Forman's financial performance and growth prospects.

Impact of Trade Disputes

Trade disputes affecting Canadian sales could lead to sustained revenue challenges and necessitate strategic adjustments.

Brown-Forman B Business Overview & Revenue Model

Company Description

Brown-Forman Corporation is a leading American beverage alcohol company, known for its diverse portfolio of premium spirits and wines. Founded in 1870 and headquartered in Louisville, Kentucky, the company operates primarily in the distilled spirits sector, with iconic brands such as Jack Daniel's, Woodford Reserve, and Finlandia vodka. Brown-Forman markets its products globally, catering to a wide range of consumer preferences and occasions across various segments, including whiskey, vodka, tequila, and ready-to-drink cocktails.

How the Company Makes Money

Brown-Forman generates revenue primarily through the sale of its branded spirits and wines across both domestic and international markets. The company's revenue model is driven by several key streams, including wholesale sales to distributors, retail sales, and direct-to-consumer channels. A significant portion of its income comes from the sale of its flagship brand, Jack Daniel's, which is one of the best-selling American whiskey brands worldwide. Additionally, Brown-Forman benefits from premium pricing strategies and brand loyalty, as its products are positioned in the high-end segment of the market. Strategic partnerships with distributors and retailers enhance its market reach and facilitate promotional activities, while international growth, particularly in emerging markets, contributes significantly to overall sales. The company's focus on innovation and product development, including new flavor offerings and packaging, also plays a vital role in attracting new customers and driving additional revenue.

Brown-Forman B Financial Statement Overview

Summary

Brown-Forman B demonstrates strong profitability with stable margins and effective equity utilization. However, declining revenue growth poses a risk to future performance. The company maintains a balanced leverage position, supporting its financial stability.

Income Statement

Brown-Forman B demonstrates strong profitability with a consistent gross profit margin around 59% and a net profit margin over 21% in the TTM. However, the company faces challenges with declining revenue growth, showing a negative trend in recent periods. Despite this, EBIT and EBITDA margins remain robust, indicating efficient operations.

Balance Sheet

The company's balance sheet shows a moderate debt-to-equity ratio of 0.59 in the TTM, reflecting manageable leverage. Return on equity is solid at 22.4%, indicating effective use of equity to generate profits. However, the equity ratio is not explicitly provided, which limits a full assessment of asset financing.

Cash Flow

Cash flow analysis reveals strong free cash flow growth of 35.5% in the TTM, highlighting improved cash generation. The operating cash flow to net income ratio is below 1, suggesting potential areas for improvement in cash conversion. Nonetheless, the free cash flow to net income ratio is healthy at 0.72, indicating good cash flow relative to earnings.

Breakdown	TTM	Dec 2025	Dec 2024	Dec 2023	Dec 2022	Dec 2021
Income Statement
Total Revenue	3.95B	3.98B	4.18B	4.23B	3.93B	3.46B
Gross Profit	2.33B	2.34B	2.53B	2.49B	2.39B	2.09B
EBITDA	1.25B	1.29B	1.51B	1.19B	1.27B	1.24B
Net Income	844.00M	869.00M	1.02B	783.00M	838.00M	903.00M
Balance Sheet
Total Assets	8.17B	8.09B	8.17B	7.78B	6.37B	6.52B
Cash, Cash Equivalents and Short-Term Investments	471.00M	444.00M	446.00M	374.00M	868.00M	1.15B
Total Debt	2.70B	2.73B	3.10B	2.91B	2.27B	2.56B
Total Liabilities	4.18B	4.09B	4.65B	4.51B	3.64B	3.87B
Stockholders Equity	3.99B	3.99B	3.52B	3.27B	2.74B	2.66B
Cash Flow
Free Cash Flow	584.00M	431.00M	419.00M	457.00M	798.00M	755.00M
Operating Cash Flow	741.00M	598.00M	647.00M	640.00M	936.00M	817.00M
Investing Cash Flow	241.00M	249.00M	49.00M	-1.35B	-127.00M	98.00M
Financing Cash Flow	-930.00M	-843.00M	-618.00M	239.00M	-1.04B	-485.00M

Brown-Forman B Technical Analysis

• Technical Analysis Sentiment: Positive
• Last Price: 28.64
• 50DMA: Positive
• 100DMA: Positive
• 200DMA: Negative
• MACD: Negative
• RSI: Neutral
• STOCH: Negative

Evaluating momentum and price trends is crucial in stock analysis to make informed investment decisions. For BF.B, the sentiment is Positive. The current price of 28.64 is above the 20-day moving average (MA) of 27.62, above the 50-day MA of 27.63, and below the 200-day MA of 30.19, indicating a neutral trend. The MACD of 0.23 indicates Negative momentum. The RSI at 58.30 is Neutral, neither overbought nor oversold. The STOCH value of 82.09 is Negative, not indicating any strong overbought or oversold conditions. Overall, these indicators collectively point to a Positive sentiment for BF.B.

Brown-Forman B Peers Comparison

Name	Overall Rating	Market Cap	P/E Ratio	ROE	Dividend Yield	Revenue Growth	EPS Growth
SAM	74 Outperform	$2.08B	23.02	9.58%	―	-1.13%	24.34%
BF.B	74 Outperform	$13.49B	16.05	22.65%	3.32%	-3.34%	-14.19%
CPB	67 Neutral	$9.00B	15.07	15.64%	5.06%	6.40%	6.17%
Sector *	62 Neutral	$20.33B	14.63	-3.31%	3.23%	1.93%	-12.26%
DEO	60 Neutral	$51.33B	21.29	22.33%	4.52%	0.22%	-38.76%
STZ	57 Neutral	$23.48B	19.69	15.91%	3.02%	-5.57%	119.49%
TAP	56 Neutral	$9.22B	―	-17.66%	4.01%	-4.01%	-339.22%

Brown-Forman B Corporate Events

Brown-Forman Corp Reports Q1 Fiscal 2026 Results

Brown-Forman Corporation is a leading global spirits company, known for its premium beverage alcohol brands such as Jack Daniel’s, Woodford Reserve, and Herradura, operating in the spirits industry for over 155 years.