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Brown-Forman (BF.A) Stock Analysis

This is a peer-relative look at Brown-Forman (BF.A): its performance, risk, profitability, growth, financial strength, dividend, and valuation are each measured against its Food, Beverage & Tobacco peers, so every number reads in context rather than in isolation.

Company Profile

Company profile fields for Brown-Forman (BF.A)
Profile ItemBF.A
NameBrown-Forman Corporation Class A Common Stock
Country/RegionUnited States
GICS SectorConsumer Staples
GICS Industry GroupFood, Beverage & Tobacco
GICS IndustryBeverages
GICS Sub-IndustryDistillers & Vintners
Market Capitalization14.44 billion USD
CurrencyUSD
ExchangeNYSE
Listing DateMay 3, 1973
Security TypeCommon Stock

Price Performance

Cumulative Growth

BF.A
GSPC
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Brown-Forman (BF.A) vs. S&P 500 (GSPC): Growth of a $10,000 investment over the past five years. Adjusted for dividends and splits.

Trailing Returns

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Trailing total returns for Brown-Forman (BF.A) and S&P 500 (GSPC). Returns over one year are annualized.

Calendar-Year Returns

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Calendar-year total returns for Brown-Forman (BF.A) and S&P 500 (GSPC). Each bar is that year's total return, measured year-end to year-end.

Performance Metrics

Brown-Forman (BF.A) metric values compared with Food, Beverage & Tobacco industry-group medians
MetricCurrent stock: BF.AIndustry group median
Total Return (1Y)21.31%9.07%
Total Return (3Y, Annualized)-17.39%2.06%
Total Return (5Y, Annualized)-12.15%1.14%

Risk Profile

Drawdown History

BF.A
GSPC
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Brown-Forman (BF.A) vs. S&P 500 (GSPC): Drawdown from the running peak over the past five years. Each line shows the decline from its prior peak; 0% marks a new high.

Return Distribution

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Distribution of monthly total returns for Brown-Forman (BF.A) and S&P 500 (GSPC). Each bar is the share of months whose return fell in that 5% bucket.

Risk Metrics

Brown-Forman (BF.A) metric values compared with Food, Beverage & Tobacco industry-group medians
MetricCurrent stock: BF.AIndustry group median
Volatility (1Y, Annualized)38.10%32.65%
Beta (5Y)0.260.43
Max Drawdown (5Y)-67.09%-51.71%

Risk-Adjusted Performance

Risk-Return Positioning

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Each dot is a stock plotted by 1-year volatility (risk) and 1-year return. BF.A is highlighted; the dashed line is the Capital Allocation Line from the risk-free rate through the industry median — dots above it are stronger on a risk-adjusted basis.

Risk-Adjusted Metrics

Brown-Forman (BF.A) metric values compared with Food, Beverage & Tobacco industry-group medians
MetricCurrent stock: BF.AIndustry group median
Sharpe Ratio (1Y)0.450.14
Sortino Ratio (1Y)0.680.20

Profitability

ROE (TTM)

Brown-Forman (BF.A) posts ROE of 18.12%, in the upper peer quartile. That suggests the company earns more from each dollar of shareholders’ equity than most industry peers, a useful capital-efficiency signal.

BF.A

Food, Beverage & Tobacco industry group

18.12%

Group distribution
Max
32.02%
BF.A
18.12%
Q3
16.61%
Median
10.05%
Q1
4.10%
Min
-10.50%
Largest peers
PEP
52.19%
KO
40.59%
BF.A
18.12%
BTI
13.42%
PM
--
BUD
--
MO
--
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Where Brown-Forman (BF.A) stands on ROE within its Food, Beverage & Tobacco peer group — the box is the group’s distribution and the dots its largest members.

Net Margin (TTM)

Brown-Forman (BF.A) keeps 18.42% of revenue as net profit, putting net margin in the upper peer quartile. After operating costs, interest, and taxes, more of each sales dollar reaches shareholders than it does at most industry peers.

BF.A

Food, Beverage & Tobacco industry group

18.42%

Group distribution
Max
24.83%
BF.A
18.42%
Q3
11.22%
Median
5.94%
Q1
2.05%
Min
-11.49%
Largest peers
MO
39.33%
KO
28.65%
BTI
24.99%
PM
24.83%
BF.A
18.42%
BUD
15.42%
PEP
11.09%
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Where Brown-Forman (BF.A) stands on net margin within its Food, Beverage & Tobacco peer group — the box is the group’s distribution and the dots its largest members.

Operating Margin (TTM)

Brown-Forman (BF.A) turns 27.55% of revenue into operating profit, putting operating margin in the upper peer quartile. Before financing and taxes enter the picture, the day-to-day business keeps more of each sales dollar than most industry peers.

BF.A

Food, Beverage & Tobacco industry group

27.55%

Group distribution
Max
34.91%
BF.A
27.55%
Q3
17.57%
Median
11.06%
Q1
4.15%
Min
-15.06%
Largest peers
MO
61.48%
PM
41.94%
BTI
34.91%
KO
33.36%
BF.A
27.55%
BUD
27.48%
PEP
16.88%
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Where Brown-Forman (BF.A) stands on operating margin within its Food, Beverage & Tobacco peer group — the box is the group’s distribution and the dots its largest members.

Profitability Metrics

Brown-Forman (BF.A) metric values compared with Food, Beverage & Tobacco industry-group medians
MetricCurrent stock: BF.AIndustry group median
ROE (TTM)18.12%10.05%
ROA (TTM)8.63%5.25%
Net Margin (TTM)18.42%5.94%
Operating Margin (TTM)27.55%11.06%
Gross Margin (TTM)60.66%34.26%

Growth

Revenue Growth

Brown-Forman (BF.A) grew revenue -1.18%, roughly around the peer group's normal range. Top-line momentum looks broadly typical for the industry.

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Brown-Forman (BF.A): Revenue Growth across different time periods, set against Food, Beverage & Tobacco industry-group medians.

EPS Growth

Brown-Forman (BF.A) grew earnings per share -16.85%, roughly around the peer group's normal range. Bottom-line momentum looks broadly typical for the industry.

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Brown-Forman (BF.A): EPS Growth across different time periods, set against Food, Beverage & Tobacco industry-group medians.

Growth Metrics

Brown-Forman (BF.A) metric values compared with Food, Beverage & Tobacco industry-group medians
MetricCurrent stock: BF.AIndustry group median
Revenue Growth (YoY)-1.18%2.38%
Revenue Growth (3Y CAGR)-2.42%2.51%
EPS Growth (YoY)-16.85%-2.47%
EPS Growth (3Y CAGR)-2.09%4.29%

Financial Strength

Current Ratio (MRQ)

Brown-Forman (BF.A) has current ratio of 3.26, above the industry’s typical middle range. Liquidity looks ample versus peers, though an unusually high cushion can also mean idle current assets or inefficient working capital.

BF.A

Food, Beverage & Tobacco industry group

3.26

Group distribution
Max
4.01
BF.A
3.26
Q3
2.35
Median
1.53
Q1
1.02
Min
0.33
Largest peers
BF.A
3.26
KO
1.38
PM
1.02
PEP
0.94
BTI
0.84
MO
0.58
BUD
--
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Where Brown-Forman (BF.A) stands on current ratio within its Food, Beverage & Tobacco peer group — the box is the group’s distribution and the dots its largest members.

Debt / Equity (MRQ)

Brown-Forman (BF.A) has debt-to-equity ratio of 0.62, roughly in line with the peer group’s normal leverage range. Its mix of debt and equity looks typical for the industry.

BF.A

Food, Beverage & Tobacco industry group

0.62

Group distribution
Max
2.19
Q3
1.11
Median
0.68
BF.A
0.62
Q1
0.33
Min
0.00
Largest peers
PEP
2.31
KO
1.07
BTI
0.72
BUD
0.72
BF.A
0.62
PM
--
MO
--
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Where Brown-Forman (BF.A) stands on debt-to-equity ratio within its Food, Beverage & Tobacco peer group — the box is the group’s distribution and the dots its largest members.

Financial Strength Metrics

Brown-Forman (BF.A) metric values compared with Food, Beverage & Tobacco industry-group medians
MetricCurrent stock: BF.AIndustry group median
Current Ratio (MRQ)3.261.53
Debt / Equity (MRQ)0.620.68
Net Debt / EBITDA1.802.57

Dividends

Dividend Yield (TTM)

Brown-Forman (BF.A) has dividend yield of 2.89%, in the industry’s normal income range. It provides a meaningful dividend without the red flag of an unusually high headline yield.

BF.A

Food, Beverage & Tobacco industry group

2.89%

Group distribution
Max
9.38%
Q3
3.77%
BF.A
2.89%
Median
1.76%
Q1
0.00%
Min
0.00%
Largest peers
MO
5.53%
PEP
4.07%
BTI
3.88%
PM
2.98%
BF.A
2.89%
KO
2.19%
BUD
1.91%
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Where Brown-Forman (BF.A) stands on dividend yield within its Food, Beverage & Tobacco peer group — the box is the group’s distribution and the dots its largest members.

Dividend Payout Ratio (TTM)

Brown-Forman (BF.A) has payout ratio of 59.32%, within the industry’s typical payout band. The dividend shares profits with investors while leaving earnings coverage that looks normal for the peer group.

BF.A

Food, Beverage & Tobacco industry group

59.32%

Group distribution
Max
199.19%
Q3
81.03%
BF.A
59.32%
Median
41.52%
Q1
0.00%
Min
0.00%
Largest peers
MO
88.45%
PM
87.74%
BTI
83.97%
PEP
73.02%
KO
61.95%
BF.A
59.32%
BUD
27.35%
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Where Brown-Forman (BF.A) stands on payout ratio within its Food, Beverage & Tobacco peer group — the box is the group’s distribution and the dots its largest members.

Dividend Metrics

Brown-Forman (BF.A) metric values compared with Food, Beverage & Tobacco industry-group medians
MetricCurrent stock: BF.AIndustry group median
Dividend Yield (TTM)2.89%1.76%
Dividend Payout Ratio (TTM)59.32%41.52%

Valuation

P/E Ratio (TTM)

Brown-Forman (BF.A) trades at P/E ratio of 20.30, near the industry’s usual earnings multiple. The stock is not showing a clear peer discount or premium on trailing earnings.

BF.A

Food, Beverage & Tobacco industry group

20.30

Group distribution
Max
52.52
Q3
30.78
BF.A
20.30
Median
18.76
Q1
12.77
Min
4.72
Largest peers
PM
28.89
KO
28.22
BF.A
20.30
PEP
17.78
BUD
17.07
MO
15.69
BTI
15.61
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Where Brown-Forman (BF.A) stands on P/E ratio within its Food, Beverage & Tobacco peer group — the box is the group’s distribution and the dots its largest members.

P/S Ratio (TTM)

Brown-Forman (BF.A) trades at 3.69 on P/S ratio, in the higher sales-valuation quartile. Investors are paying up for each dollar of revenue, so stronger margins, growth, or revenue quality need to carry that price.

BF.A

Food, Beverage & Tobacco industry group

3.69

Group distribution
Max
4.64
BF.A
3.69
Q3
2.27
Median
1.17
Q1
0.52
Min
0.00
Largest peers
KO
8.06
PM
7.15
MO
6.14
BTI
5.08
BF.A
3.69
BUD
2.58
PEP
1.96
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Where Brown-Forman (BF.A) stands on P/S ratio within its Food, Beverage & Tobacco peer group — the box is the group’s distribution and the dots its largest members.

P/B Ratio (MRQ)

Brown-Forman (BF.A) trades at 3.64 on P/B ratio, in the higher book-value quartile. The market is paying a premium to book, so stronger ROE, cleaner assets, or a better growth profile need to justify it.

BF.A

Food, Beverage & Tobacco industry group

3.64

Group distribution
Max
6.35
BF.A
3.64
Q3
3.07
Median
1.58
Q1
0.82
Min
0.00
Largest peers
KO
11.01
BUD
10.60
BTI
10.59
PEP
8.65
BF.A
3.64
PM
-38.86
MO
-56.93
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Where Brown-Forman (BF.A) stands on P/B ratio within its Food, Beverage & Tobacco peer group — the box is the group’s distribution and the dots its largest members.

Valuation Metrics

Brown-Forman (BF.A) metric values compared with Food, Beverage & Tobacco industry-group medians
MetricCurrent stock: BF.AIndustry group median
P/E Ratio (TTM)20.3018.76
P/S Ratio (TTM)3.691.17
P/B Ratio (MRQ)3.641.58
Free Cash Flow Yield (TTM)4.75%4.66%