Brown-Forman Corporation, together with its subsidiaries, manufactures, distills, bottles, imports, exports, markets, and sells various alcoholic beverages. More Details
Excellent balance sheet with proven track record and pays a dividend.
Share Price & News
How has Brown-Forman's share price performed over time and what events caused price changes?
Latest Share Price and Events
Stable Share Price: BF.B is less volatile than 75% of US stocks over the past 3 months, typically moving +/- 3% a week.
Volatility Over Time: BF.B's weekly volatility (3%) has been stable over the past year.
7 Day Return
1 Year Return
Return vs Industry: BF.B underperformed the US Beverage industry which returned 18.3% over the past year.
Return vs Market: BF.B underperformed the US Market which returned 37.8% over the past year.
Long-Term Price Volatility Vs. Market
How volatile is Brown-Forman's share price compared to the market and industry in the last 5 years?
Simply Wall St News
2 days ago | Simply Wall StBrown-Forman's (NYSE:BF.B) Dividend Will Be US$0.18
1 week ago | Simply Wall StThis Is Why Brown-Forman Corporation's (NYSE:BF.B) CEO Can Expect A Bump Up In Their Pay Packet
2 weeks ago | Simply Wall StWhat Does Brown-Forman Corporation's (NYSE:BF.B) Share Price Indicate?
Is Brown-Forman undervalued compared to its fair value and its price relative to the market?
Price to Earnings (PE) ratio
Share Price vs. Fair Value
Below Fair Value: BF.B ($72.47) is trading above our estimate of fair value ($63.07)
Significantly Below Fair Value: BF.B is trading above our estimate of fair value.
Price To Earnings Ratio
PE vs Industry: BF.B is poor value based on its PE Ratio (38.4x) compared to the US Beverage industry average (34x).
PE vs Market: BF.B is poor value based on its PE Ratio (38.4x) compared to the US market (18.4x).
Price to Earnings Growth Ratio
PEG Ratio: BF.B is poor value based on its PEG Ratio (5.3x)
Price to Book Ratio
PB vs Industry: BF.B is overvalued based on its PB Ratio (13.1x) compared to the US Beverage industry average (5x).
How is Brown-Forman forecast to perform in the next 1 to 3 years based on estimates from 14 analysts?
Forecasted annual earnings growth
Earnings and Revenue Growth Forecasts
Analyst Future Growth Forecasts
Earnings vs Savings Rate: BF.B's forecast earnings growth (7.2% per year) is above the savings rate (2%).
Earnings vs Market: BF.B's earnings (7.2% per year) are forecast to grow slower than the US market (14.9% per year).
High Growth Earnings: BF.B's earnings are forecast to grow, but not significantly.
Revenue vs Market: BF.B's revenue (5.8% per year) is forecast to grow slower than the US market (9.2% per year).
High Growth Revenue: BF.B's revenue (5.8% per year) is forecast to grow slower than 20% per year.
Earnings per Share Growth Forecasts
Future Return on Equity
Future ROE: BF.B's Return on Equity is forecast to be high in 3 years time (29.6%)
How has Brown-Forman performed over the past 5 years?
Historical annual earnings growth
Earnings and Revenue History
Quality Earnings: BF.B has high quality earnings.
Growing Profit Margin: BF.B's current net profit margins (26.1%) are higher than last year (24.6%).
Past Earnings Growth Analysis
Earnings Trend: BF.B's earnings have declined by 1.1% per year over the past 5 years.
Accelerating Growth: BF.B's earnings growth over the past year (9.2%) exceeds its 5-year average (-1.1% per year).
Earnings vs Industry: BF.B earnings growth over the past year (9.2%) underperformed the Beverage industry 26.6%.
Return on Equity
High ROE: BF.B's Return on Equity (34%) is considered high.
How is Brown-Forman's financial position?
Financial Position Analysis
Short Term Liabilities: BF.B's short term assets ($3.9B) exceed its short term liabilities ($918.0M).
Long Term Liabilities: BF.B's short term assets ($3.9B) exceed its long term liabilities ($2.9B).
Debt to Equity History and Analysis
Debt Level: BF.B's debt to equity ratio (96.3%) is considered high.
Reducing Debt: BF.B's debt to equity ratio has reduced from 96.8% to 96.3% over the past 5 years.
Debt Coverage: BF.B's debt is well covered by operating cash flow (31.9%).
Interest Coverage: BF.B's interest payments on its debt are well covered by EBIT (12.9x coverage).
What is Brown-Forman current dividend yield, its reliability and sustainability?
Current Dividend Yield
Upcoming Dividend Payment
Dividend Yield vs Market
Notable Dividend: BF.B's dividend (0.99%) isn’t notable compared to the bottom 25% of dividend payers in the US market (1.33%).
High Dividend: BF.B's dividend (0.99%) is low compared to the top 25% of dividend payers in the US market (3.53%).
Stability and Growth of Payments
Stable Dividend: BF.B's dividends per share have been stable in the past 10 years.
Growing Dividend: BF.B's dividend payments have increased over the past 10 years.
Current Payout to Shareholders
Dividend Coverage: With its reasonably low payout ratio (37.5%), BF.B's dividend payments are well covered by earnings.
Future Payout to Shareholders
Future Dividend Coverage: BF.B's dividends in 3 years are forecast to be well covered by earnings (39.5% payout ratio).
How experienced are the management team and are they aligned to shareholders interests?
Average management tenure
Lawson Whiting (53 yo)
Mr. Lawson E. Whiting has been Chief Executive Officer of Brown-Forman Corporation since January 1, 2019 and has been its President since March 28, 2019 and served as its President from January 1, 2019 to ...
CEO Compensation Analysis
Compensation vs Market: Lawson's total compensation ($USD9.11M) is about average for companies of similar size in the US market ($USD11.26M).
Compensation vs Earnings: Lawson's compensation has increased by more than 20% in the past year.
Experienced Management: BF.B's management team is considered experienced (4.8 years average tenure).
Experienced Board: BF.B's board of directors are considered experienced (6.2 years average tenure).
Who are the major shareholders and have insiders been buying or selling?
Insider Trading Volume
Insider Buying: Insufficient data to determine if insiders have bought more shares than they have sold in the past 3 months.
Recent Insider Transactions
Dilution of Shares: Shareholders have not been meaningfully diluted in the past year.
Brown-Forman Corporation's company bio, employee growth, exchange listings and data sources
- Name: Brown-Forman Corporation
- Ticker: BF.B
- Exchange: NYSE
- Founded: 1870
- Industry: Distillers and Vintners
- Sector: Food, Beverage & Tobacco
- Market Cap: US$33.956b
- Shares outstanding: 478.83m
- Website: https://www.brown-forman.com
Number of Employees
- Brown-Forman Corporation
- 850 Dixie Highway
- United States
Brown-Forman Corporation, together with its subsidiaries, manufactures, distills, bottles, imports, exports, markets, and sells various alcoholic beverages. It provides spirits, wines, whiskey spirits, whi...
Company Analysis and Financial Data Status
|Data||Last Updated (UTC time)|
|Company Analysis||2021/07/28 02:18|
|End of Day Share Price||2021/07/27 00:00|
Unless specified all financial data is based on a yearly period but updated quarterly. This is known as Trailing Twelve Month (TTM) or Last Twelve Month (LTM) Data. Learn more here.