Brown-Forman Corporation, together with its subsidiaries, manufactures, distills, bottles, imports, exports, markets, and sells a variety of alcohol beverages. The company provides spirits, wines, whiskey spirits, whiskey-based flavored liqueurs, ready-to-drink cocktails, ready-to-pour products, vodkas, tequilas, gin, brandy, rum, bourbons, and liqueurs.
Price ÷ Earnings Per Share — how many years of current earnings you're paying for at today's price. Lower P/E may indicate undervaluation. The dashed forward point is the forward P/E — today's price ÷ analyst consensus EPS. Shaded region = analyst consensus for the current and next fiscal year (18 analysts).
| Parameter | BaseValue |
|---|---|
Initial Cash Flow | |
| Growth Rate (Yr 1-5) | % |
| Growth Rate (Yr 6-10) | % |
| Terminal Growth Rate | % |
| Discount Rate | % |
Base Case $19.19 Implied EV: $10.95B |
What growth rate is the market pricing in at $27?
The market implies +7.7% Owner Earnings growth, above historical trends.
Standard FCF implies a demanding +4.7%, reflecting heavy growth investment.
Wide moat with strength across all dimensions. Margin Stability is the standout factor.
"Market is pessimistic — investigate whether fears are temporary or structural"
Price appears to exceed estimated intrinsic value — limited margin of safety at current levels
