BROWN FORMAN CORP
$30.65
+0.61 (+2.03%) · delayed · Nov 13, 2026
Five-year price
52w $22.61 to $31.92
- Market cap
- $14.3B
- Enterprise value
- $16.4B
- P/E
- 20.0×
- 16.7× on 3y avg EPS
- EV / EBIT
- 16.4×
- FCF yield
- 6.2%
- ROIC
- 13.2%
- Debt / equity
- 0.61
- Piotroski F
- 7/9
Value scorecard · FY2026
Does it pass the value tests?
Quality
67
- ●ROIC > 12% (5y avg)5y avg ROIC 17.0%
- ●ROE > 15% (5y avg)5y avg ROE 24.6%
- ●Stable operating marginsMargin volatility 3.0% (σ, 5y)
- ○Earnings convert to cashFCF / net income 74% (5y avg)
- ○Growing revenueRevenue CAGR 5y 2.6%
- ●Shrinking share countDiluted shares -2.9% over 5y
Value
20
- ○P/E below 15P/E 20.0
- ○EV/EBIT below 12EV/EBIT 16.4
- ●FCF yield above 6%FCF yield 6.2%
- ○Price below Graham NumberGraham Number $17.22
- ○P/B below 3P/B 3.6
Safety
80
- ○Debt / equity below 0.5D/E 0.61
- ●Debt payable in < 4 yrs of earningsNet debt $2.1B
- ●Interest coverage > 8xCoverage 9.7x
- ●Current ratio > 1.5Current ratio 3.24
- ●Piotroski F-score ≥ 6F-score 7/9
Graham Defensive
57
- ●Adequate size (revenue > $2B)Revenue $3.9B
- ●Strong condition (current ratio ≥ 2)Current ratio 3.24
- ●Earnings stability (no loss, 10y)10 years of data
- ●Uninterrupted dividendsDividends paid every year on record
- ○Earnings growth ≥ 33% (10y, 3y avgs)EPS growth 20%
- ○Moderate P/E (≤ 15 on 3y avg EPS)P/E (3y avg) 16.7
- ○P/E × P/B ≤ 22.5Product 59.4
Valuation lab
What do you have to believe?
At $30.65, the market is pricing in about 4.5% annual free-cash-flow growth for the next decade (9% discount rate, 2.5% terminal growth).
Starting cash flow
Net debt $2.1B · 467M shares · 5y revenue CAGR 2.6%
Intrinsic value
$26.77
Price
$30.65
Premium paid
14%
What the price implies
The market is paying for 4.5% annual cash-flow growth for 10 years at a 9.0% discount rate.
Terminal value share
55% of the value sits beyond year 10.
Financial statements
A decade of the record.
USD millions · fiscal years · source: SEC 10-K XBRL
| Line item | FY17 | FY18 | FY19 | FY20 | FY21 | FY22 | FY23 | FY24 | FY25 | FY26 |
|---|---|---|---|---|---|---|---|---|---|---|
| Revenue | 2,994 | 3,248 | 3,324 | 3,363 | 3,461 | 3,933 | 4,228 | 4,178 | 3,975 | 3,928 |
| Gross profit | 2,021 | 2,202 | 2,166 | 2,127 | 2,094 | 2,391 | 2,494 | 2,526 | 2,343 | 2,378 |
| Operating income | 1,010 | 1,048 | 1,144 | 1,091 | 1,166 | 1,204 | 1,127 | 1,414 | 1,107 | 1,001 |
| Operating margin | 33.7% | 32.3% | 34.4% | 32.4% | 33.7% | 30.6% | 26.7% | 33.8% | 27.8% | 25.5% |
| Pre-tax income | 933 | 977 | 1,042 | 1,009 | 1,081 | 1,114 | 1,017 | 1,298 | 1,081 | 885 |
| Income tax | 264 | 260 | 207 | 182 | 178 | 276 | 234 | 274 | 212 | 170 |
| Net income | 669 | 717 | 835 | 827 | 903 | 838 | 783 | 1,024 | 869 | 715 |
| EPS (diluted) | 1.37 | 1.48 | 1.73 | 1.72 | 1.88 | 1.74 | 1.63 | 2.14 | 1.84 | 1.53 |
| Diluted shares | 488 | 484 | 482 | 480 | 481 | 481 | 480 | 477 | 473 | 467 |
Who owns it