BF-A:NYE-Brown-Forman Corporation (USD)

COMMON STOCK | Beverages-Wineries & Distilleries | NYE

Last Closing Price

USD 69.23

Change

-1.61 (-2.27)%

Market Cap

USD 35.45B

Volume

0.06M

Average Target Price

N/A
Average Analyst Rating

N/A

Fundamental Analysis

Verdict

About

Brown-Forman Corporation manufactures, bottles, imports, exports, markets, and sells various alcoholic beverages. It provides spirits, wines, whiskey spirits, whiskey-based flavored liqueurs, ready-to-drink and ready-to-pour products, ready-to-drink cocktails, vodkas, tequilas, champagnes, brandy, bourbons, and liqueurs. The company offers its products primarily under the Jack Daniel's, Woodford Reserve, Canadian Mist, GlenDronach, BenRiach, Glenglassaugh, Old Forester, Early Times, Slane Irish Whiskey, Coopers' Craft, el Jimador, Herradura, New Mix, Pepe Lopez, Antiguo, Finlandia, Korbel Champagne, and Sonoma-Cutrer brands. It is also involved in the sale of used barrels, bulk whiskey, and wine; and provision of contract bottling services. The company serves retail customers and consumers through distributors or state governments; and retailers, wholesalers, and provincial governments directly. It has operations in the United States, the United Kingdom, Germany, Australia, Mexico, and internationally. Brown-Forman Corporation was founded in 1870 and is headquartered in Louisville, Kentucky.

Technical Indicators

Unadjusted Closing Price

Adjusted Closing Price

Share Volume

Relative Performance (Total Returns)

Compare
Relative Returns (From:    To: 2021-06-18 )

Largest Industry Peers for Beverages-Wineries & Distilleries

Symbol Name Price(Change) Market Cap Price / Earning Ratio EV/EBITDA
DEO Diageo plc

-3.34 (-1.72%)

USD114.19B 71.80 32.10
STZ-B Constellation Brands, Inc

N/A

USD45.62B 23.06 17.41
STZ Constellation Brands, Inc

-8.49 (-3.70%)

USD44.40B 22.25 17.30
BF-B Brown-Forman Corporation

-1.76 (-2.35%)

USD35.17B 40.00 31.79

ETFs Containing BF-A

Symbol Name Weight Mer Price(Change) Market Cap

N/A

Market Performance

  Market Performance vs.
Industry/Classification (Beverages-Wineries & Distilleries)
Market Performance vs. Exchange
  Value Sector Median Percentile Rank Grade Market Median Percentile Rank Grade
YTD  
Capital Gain -5.77% 40% F 12% F
Dividend Return 0.49% 50% F 21% F
Total Return -5.28% 40% F 12% F
Trailing 12 Months  
Capital Gain 19.57% 40% F 37% F
Dividend Return 1.23% 40% F 18% F
Total Return 20.80% 40% F 34% F
Trailing 5 Years  
Capital Gain 33.57% 20% F 54% F
Dividend Return 4.44% 20% F 11% F
Total Return 38.01% 20% F 45% F
Average Annual (5 Year Horizon)  
Capital Gain 9.98% 80% B- 68% D+
Dividend Return 0.74% 40% F 17% F
Total Return 10.72% 60% D- 64% D
Risk Return Profile  
Volatility (Standard Deviation) 18.25% 80% B- 61% D-
Risk Adjusted Return 58.78% 60% D- 70% C-
Market Capitalization 35.45B 40% F 92% A-
Letter Grade Percentage Letter Grade Percentage Letter Grade Percentage
A+ 97%-100% A 93%-96% A- 90%-92%
B+ 87%-89% B 83%-86% B- 80%-82%
C+ 77%-79% C 73%-76% C- 70%-72%
D+ 67%-69% D 63%-66% D- 60%-62%
F 0%-59%

Key Financial Ratios

  Ratio vs. Industry/Classification
(Beverages-Wineries & Distilleries)
Ratio vs. Market
  Value Sector Median Percentile Rank Grade Market Median Percentile Rank Grade
Market Value  
Price / Earning Ratio 37.69 60% D- 21% F
Price/Book Ratio 12.66 40% F 8% F
Price / Cash Flow Ratio 43.39 40% F 8% F
EV/EBITDA 31.62 60% D- 16% F
Management Effectiveness  
Return on Equity 39.00% 80% B- 83% B
Return on Invested Capital 17.59% 80% B- 90% A-
Return on Assets 10.51% 80% B- 94% A
Debt to Equity Ratio 88.63% 40% F 43% F
Technical Ratios  
Short Ratio 3.57 60% D- 31% F
Short Percent 0.03% 100% A+ 97% A+
Beta 0.83 60% D- 68% D+
Letter Grade Percentage Letter Grade Percentage Letter Grade Percentage
A+ 97%-100% A 93%-96% A- 90%-92%
B+ 97%-89% B 83%-86% B- 80%-82%
C+ 77%-79% C 73%-76% C- 70%-72%
D+ 67%-69% D 63%-66% D- 60%-62%
F 0%-59%

Annual Financials (USD)

Quarterly Financials (USD)

Analyst Rating

Target Price Action Rating Action Analyst Rating Price Date

Fundamental Analysis Breakdown

This is a composite scorecard based on the application of evaluation criteria deemed most important by analysts. This is not a buy or sell recommendation.

What to like:
Low volatility

The stock’s annual returns have been stable and consistent compared to its sector peers(for a hold period of at least 12 months) and is in the top quartile. Although stability is good, also keep in mind it can limit returns.

Superior return on equity

The company management has delivered better return on equity in the most recent 4 quarters then its peers, placing it in the top quartile.

Superior capital utilization

The company management has delivered better return on invested capital in the most recent 4 quarters than its peers, placing it in the top quartile.

Superior return on assets

The company management has delivered better return on assets in the most recent 4 quarters than its peers, placing it in the top quartile.

Positive cash flow

The company had positive total cash flow in the most recent four quarters.

Positive free cash flow

The company had positive total free cash flow in the most recent four quarters.

High Gross Profit to Asset Ratio

This stock is in the top quartile compared to its peers on Gross Profit to Asset Ratio. This is a popular measure among value investors for showing superior returns in the long run.

What to not like:
Low market capitalization

This is among the smaller entities in its sectors with below median market capitalization. That may make it less stable in the long run unless it has a unique technology or market which can help it grow or get acquired in future.

Below median total returns

The company has under performed its peers on annual average total returns in the past 5 years.

Overpriced compared to book value

The stock is trading high compared to its peers median on a price to book value basis.

Overpriced on cashflow basis

The stock is trading high compared to its peers on a price to cash flow basis. It is priced above the median for its sectors. Proceed with caution if you are considering to buy.

Highly leveraged

The company is in the bottom half compared to its sector peers on debt to equity and is highly leveraged. However, do check the news and look at its sector and management statements. Sometimes this is high because the company is trying to grow aggressively.

Overpriced on free cash flow basis

The stock is trading high compared to its peers on a price to free cash flow basis. It is priced above the median for its sectors. Proceed with caution if you are considering to buy.

Low Earnings Growth

This stock has shown below median earnings growth in the previous 5 years compared to its sector

Low Revenue Growth

This stock has shown below median revenue growth in the previous 5 years compared to its sector