Item 1. Business Brown-Forman Corporation (the “Company,” “Brown-Forman,” “we,” “us,” or “our” below) was incorporated under the laws of the State of Delaware in 1933, successor to a business founded in 1870 as a partnership and later incorporated under the laws of the Commonwealth of Kentucky in 1901. We primarily manufacture, distill, bottle, import, export, market, and sell a wide variety of beverage alcohol products under recognized brands. We employ approximately 5,000 people (excluding individuals who work on a part-time or temporary basis) on six continents, including approximately 2,000 people in the United States (approximately 7% of whom are represented by a union) and 800 people in Louisville, Kentucky, USA, home of our world headquarters. According to International Wine & Spirit Research (IWSR), we are the largest American-owned spirits and wine company with global reach.
| Metric | TTM | FY2025 | FY2024 | FY2023 | FY2022 | FY2021 |
|---|---|---|---|---|---|---|
| Revenue | 3.9B | 4.0B | 4.2B | 4.2B | 3.9B | 3.5B |
| Net Income | 807M | 869M | 1.0B | 783M | 838M | 903M |
| EPS | $1.71 | $1.84 | $2.14 | $1.63 | $1.74 | $1.88 |
| Free Cash Flow | 730M | 431M | 419M | 457M | 798M | 755M |
| ROIC | 13.9% | 14.2% | 18.5% | 17.7% | 22.1% | 24.5% |
| Gross Margin | 59.3% | 58.9% | 60.5% | 59.0% | 60.8% | 60.5% |
| Debt/Equity | 0.67 | 0.71 | 0.91 | 0.92 | 0.83 | 0.96 |
| Dividends/Share | $0.91 | $0.89 | $0.85 | $0.79 | $1.74 | $0.71 |
| Operating Income | 1.1B | 1.1B | 1.4B | 1.1B | 1.2B | 1.2B |
| Operating Margin | 28.4% | 27.8% | 33.8% | 26.7% | 30.6% | 33.7% |
| ROE | 19.8% | 23.1% | 30.2% | 26.1% | 31.1% | 39.0% |
| Shares Outstanding | 469M | 472M | 479M | 480M | 482M | 480M |
BROWN FORMAN CORP passes 6 of 9 quality checks, suggesting mixed fundamentals.
BROWN FORMAN CORP trades at 17.1x trailing earnings, compared to its 15-year median P/E of 30.5x, suggesting it is currently Cheap relative to its historical range. On a free-cash-flow basis, the stock trades at 8.1x vs a median of 44.8x. The company's 5-year average ROIC is 19.4% with a gross margin of 59.9%. Total shareholder yield (dividends) is 3.1%. At current prices, the estimated annualized return to fair value is +14.2%.
BROWN FORMAN CORP (BF-B) has a current P/E ratio of 17.1, compared to its historical median P/E of 30.5. The stock is currently considered Cheap based on its historical valuation range.
BROWN FORMAN CORP (BF-B) has a 5-year average return on invested capital (ROIC) of 19.4%. This indicates strong capital allocation and a potential competitive advantage.
BROWN FORMAN CORP (BF-B) has a market capitalization of $13.7B. It is classified as a large-cap stock.
Yes, BROWN FORMAN CORP (BF-B) pays a dividend with a trailing twelve-month yield of 3.12%.
Based on historical P/E analysis, BROWN FORMAN CORP (BF-B) appears cheap. The current P/E of 17.1 is 44% below its historical median of 30.5. The estimated fair value CAGR (P/E method) is 1.6%.
BROWN FORMAN CORP (BF-B) operates in the Beverages industry, within the Consumer Defensive sector.
BROWN FORMAN CORP (BF-B) reported annual revenue of $4.0 billion in its most recent fiscal year, based on SEC EDGAR filings.
BROWN FORMAN CORP (BF-B) has a net profit margin of 21.9%. This is a strong margin indicating high profitability.
BROWN FORMAN CORP (BF-B) generated $431 million in free cash flow in its most recent fiscal year. Positive free cash flow supports dividends, buybacks, and debt reduction.
BROWN FORMAN CORP (BF-B) has a debt-to-equity ratio of 0.71. This indicates moderate leverage.
BROWN FORMAN CORP (BF-B) reported earnings per share (EPS) of $1.84 in its most recent fiscal year.
BROWN FORMAN CORP (BF-B) has a return on equity (ROE) of 23.1%. This indicates the company generates strong returns for shareholders.
BROWN FORMAN CORP (BF-B) has a 5-year average gross margin of 59.9%. This high margin suggests strong pricing power and a potential competitive moat.
The Ledger Terminal provides 17 years of financial data for BROWN FORMAN CORP (BF-B), sourced directly from SEC EDGAR filings. This includes income statements, balance sheets, cash flow statements, and key financial ratios.
BROWN FORMAN CORP (BF-B) has a book value per share of $8.45, based on its most recent annual SEC filing.
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