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BF-BBrown Forman IncSell4.7·$26.61-1.22%
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Brown Forman Inc (BF-B) Stock Analysis

Recovery setup

SellModerate Confidence

Consumer Defensive · Beverages - Wineries & Distilleries

Sell if holding. Analyst target reached at $26.61 — A.R:R is negative (-0.8) — price has exceeded the analyst target. Reward from here is too thin for a buy — the engine flags exit. Additional concerns: Concentration risk — Supplier: external oak barrel supplier.

Brown-Forman manufactures and sells a portfolio of more than 40 spirits and RTD brands in over 170 countries, led by Jack Daniel's Tennessee Whiskey. The United States represented 44% of net sales in fiscal 2025; the company sells through distributors, state governments, and... Read more

$26.61+0.8% A.UpsideScore 4.7/10#2 of 3 Beverages - Wineries & Distilleries
QualityF-score8 / 9FCF yield5.98%
IncomeYield3.41%(5y avg 1.84%)Payout59.80%sustainable
Stop $25.21Target $26.81(resistance)A.R:R -0.8:1
Analyst target$27.77+4.4%16 analysts
$26.81our TP
$26.61price
$27.77mean
$20
$37

Sell if holding. Analyst target reached at $26.61 — A.R:R is negative (-0.8) — price has exceeded the analyst target. Reward from here is too thin for a buy — the engine flags exit. Additional concerns: Concentration risk — Supplier: external oak barrel supplier. Chart setup: Death cross but MACD improving, RSI 61. Score 4.7/10, moderate confidence.

Passes 5/9 gates (clean insider activity, news events none recent, earnings proximity 72d clear, semi cycle peak clear, materials cycle peak clear). Fails on weak momentum and favorable risk/reward ratio and death cross (50MA < 200MA). Suitability: moderate.

10-K grounded · weekly refresh

About Brown Forman Inc

About Brown Forman Inc

Brown-Forman generated 56% of net sales outside the United States in fiscal 2025, with the U.S. at 44%, Mexico at 7%, Germany at 6%, Australia at 5%, and the United Kingdom at 4% of consolidated net sales. The company's Jack Daniel's family of brands is the primary driver of revenue across a portfolio of more than 40 spirits and ready-to-drink products sold in over 170 countries, employing approximately 5,000 people on six continents, including 2,000 in the United States and 800 in Louisville, Kentucky.

Brown-Forman earns revenue from branded spirits volume sold through distributors, state governments in control states, and 17 owned-distribution companies operating in 18 countries as of May 2025. Input costs span agricultural commodities — agave, corn, barley, rye, molasses, and wood — plus glass and aluminum packaging. The company recently closed its last remaining barrel-making operation and now sources all oak barrels for North American whiskeys from a single external supplier. A single glass producer supplies most of the company's glass requirements. Woodford Reserve sold over 1.8 million nine-liter cases in fiscal year ended April 30, 2025. Principal competitors include Diageo PLC, Pernod Ricard SA, and Becle S.A.B. de C.V. at premium-and-above price points, along with national companies and craft spirit brands in the United States.

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Two raw-material dependencies are material: the company now sources all oak barrels from a single external supplier following closure of its own barrel-making operations, and a single glass producer supplies most of its glass requirements. The 10-K notes that if either supplier could not meet capacity, quality, or timing requirements, it would be difficult and more expensive to produce and deliver products. These single-source exposures are compounded by the inherent inventory risk of an aged-spirits portfolio — Jack Daniel's and the company's tequilas are each distilled at single locations, and Scotch whisky brands require an average of 12 years of maturation.

See also: Consumer Defensive · Beverages - Wineries & Distilleries

From Brown Forman Inc's most recent 10-K filing, extracted June 16, 2026.

TrendMatrix Research · upcoming catalyst calendar

Upcoming dated catalysts

Thu, Aug 27, 202672d to earnings· next earnings call

Thesis

Rewards
High-quality business
Risks
Concentration risk — Supplier: external oak barrel supplier
Analyst target reached - limited upside remaining
Consecutive earnings misses (3)

Key Metrics

P/E (TTM)17.6
P/E (Fwd)15.8
Mkt Cap$12.4B
EV/EBITDA12.4
Profit Mgn18.2%
ROE17.8%
Rev Growth2.0%
Beta0.35
Dividend3.41%
Rating analysts21

Quality Signals

Piotroski F8/9MoatNarrow

Options Flow

P/C0.43bullish
Max Pain$15-43.6% vs spot

Concentration Risks(10-K Item 1A)

  • MEDIUMGeographicUnited States44%
    10-K Item 1: 'The United States, our most important market, accounted for 44% of our net sales in fiscal 2025'
  • LOWCustomerlargest customer13%
    10-K Item 1: 'our two largest customers accounted for approximately 13% and 11% of consolidated net sales, respectively'
  • MEDIUMProductJack Daniel's family of brands
    10-K Item 1A: 'The Jack Daniel's family of brands is the primary driver of our revenue'
  • MEDIUMSuppliersingle glass producer
    10-K Item 1A: 'only a few glass producers make bottles on a scale sufficient for our requirements, and a single producer supplies most of our glass requirements'
  • HIGHSupplierexternal oak barrel supplier
    10-K Item 1A: 'we recently closed our last remaining barrel-making operation. As a result, we now source our oak barrels in which we age our North American whiskeys from an external supplier'

Material Events(8-K, last 90d)

  • 2026-03-16Item 5.02MEDIUM
    Brown-Forman elected James W. Peters as EVP and CFO effective March 31, 2026. Peters succeeds Leanne D. Cunningham, who retires May 1, 2026. Peters previously served as EVP at Whirlpool Corporation since January 2026.
    SEC filing →

Model-generated analysis — not investment advice. Not a registered investment advisor. Past performance does not guarantee future results.

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About TrendMatrix. TrendMatrix is a publisher of general securities research and market commentary. We publish on a regular schedule. All content is the same for every subscriber in a tier — we do not provide personalized investment advice and we do not take into account any individual subscriber's financial situation, investment objectives, risk tolerance, tax situation, or holdings.

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Performance. Past performance is not indicative of future results. Performance figures reflect the published model only and do not reflect any individual subscriber's actual results.

Methodology · Editorial policy & full disclaimer

Rating Breakdown

4 floor-breakers

Growth below the gate floor. Component breakdown shows what dragged the score down.static

Earnings Growth
0.0
Revenue Growth
3.0

No near-term catalyst priced in. Thesis progression will come from fundamentals grinding, not event reaction.static

Earnings History
0.0
Surprise Avg
0.0
Erm
3.5
Earnings Timing
5.0
Dividend Safety
6.5
Earnings concerns: 1B/3MDividend: 341.0%

Technicals below the gate floor. Component breakdown shows what dragged the score down.static

Bollinger
2.3
Support Resistance
2.6
52w Position
5.3

Ranks in the bottom of its industry peers on the composite signal. Better names in the same sector exist.static

Quality Rank
1.7
Growth Rank
3.3
Value Rank
5.0
GatesMomentum 4.1<4.5A.R:R -0.8=NEGATIVEDeath cross (50MA < 200MA)Executive change: officer departure/appointmentInsider activity: OKNEWS EVENTS NONE RECENTEARNINGS PROXIMITY 72d clearSEMI CYCLE PEAK CLEARMATERIALS CYCLE PEAK CLEARRecoverySuitability: Moderate
RSI
61 · Neutral
20D MA 50D MA 200D MADEATH CROSSSupport $24.45Resistance $27.36

Price Targets

$25
$27
A.Upside+0.8%
A.R:R-0.8:1

Position Sizing

ConvictionNone
Suggested %0.5%
Max %1%
RegimeSteady

Risk Alerts

! Target reached (-6.1% upside)
! momentum at 4.1 (below the engine's 4.5 threshold)
! Negative risk/reward — downside exceeds upside

Earnings

B
M
M
M
1/4 beats
Next Earnings2026-08-27 (72d)

Verdict History

reverse chrono — latest first
Loading history...
Verdicts are recorded on every nightly pipeline run. Rows capture transitions (verdict flips, score deltas ≥0.3, entry/TP/SL changes). Rows with a ▶ can be expanded to see the change reason. Aggregate cohort performance is tracked in the recommendation ledger.
Frequently Asked Questions
Is BF-B stock a buy right now?

Sell if holding. Analyst target reached at $26.61 — A.R:R is negative (-0.8) — price has exceeded the analyst target. Reward from here is too thin for a buy — the engine flags exit. Additional concerns: Concentration risk — Supplier: external oak barrel supplier. Chart setup: Death cross but MACD improving, RSI 61. Prior stop was $25.21. Score 4.7/10, moderate confidence.

What is the BF-B stock price target?

Take-profit target: $26.81 (+0.8% upside). Prior stop was $25.21. Stop-loss: $25.21.

What are the risks of investing in BF-B?

Concentration risk — Supplier: external oak barrel supplier; Analyst target reached - limited upside remaining; Consecutive earnings misses (3).

Is BF-B overvalued or undervalued?

Brown Forman Inc trades at a P/E of 17.6 (forward 15.8). TrendMatrix value score: 5.6/10. Verdict: Sell.

What do analysts say about BF-B?

21 analysts cover BF-B with a consensus score of 2.7/5. Average price target: $28.

What does Brown Forman Inc do?Brown-Forman manufactures and sells a portfolio of more than 40 spirits and RTD brands in over 170 countries, led by...

Brown-Forman manufactures and sells a portfolio of more than 40 spirits and RTD brands in over 170 countries, led by Jack Daniel's Tennessee Whiskey. The United States represented 44% of net sales in fiscal 2025; the company sells through distributors, state governments, and owned distribution companies in 18 countries. Brown-Forman employs approximately 5,000 people on six continents.

Related stocks: DEO (Diageo plc) · BF-A (Brown Forman Inc) · TAL (TAL Education Group) · EDU (New Oriental Education & Techno) · CELH (Celsius Holdings, Inc.)
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