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BF-A vs BF-B

BF-A
Brown-Forman Corporation
BEARISH
Price
$27.86
Market Cap
$12.91B
Sector
Consumer Defensive
AI Confidence
68%
BF-B
Brown-Forman Corporation
NEUTRAL
Price
$27.57
Market Cap
$12.77B
Sector
Consumer Defensive
AI Confidence
68%

Valuation

P/E Ratio
BF-A
16.49
BF-B
16.31
Forward P/E
BF-A
--
BF-B
15.94
P/B Ratio
BF-A
3.16
BF-B
3.13
P/S Ratio
BF-A
3.32
BF-B
3.28
EV/EBITDA
BF-A
12.97
BF-B
12.86

Profitability

Gross Margin
BF-A
59.11%
BF-B
59.11%
Operating Margin
BF-A
29.44%
BF-B
29.44%
Profit Margin
BF-A
20.83%
BF-B
20.83%
ROE
BF-A
20.67%
BF-B
20.67%
ROA
BF-A
8.21%
BF-B
8.21%

Growth

Revenue Growth
BF-A
-5.4%
BF-B
-5.4%
Earnings Growth
BF-A
-13.9%
BF-B
-13.9%

Financial Health

Debt/Equity
BF-A
0.64
BF-B
0.64
Current Ratio
BF-A
2.97
BF-B
2.97
Quick Ratio
BF-A
0.96
BF-B
0.96

Dividends

Dividend Yield
BF-A
3.23%
BF-B
3.26%
Payout Ratio
BF-A
52.98%
BF-B
52.98%

AI Verdict

BF-A BEARISH

The Advanced Deterministic Scorecard shows a Piotroski F-Score of 6/9, indicating stable financial health, but the absence of an Altman Z-Score limits distress risk assessment. Despite solid profitability metrics like a 29.44% operating margin and 20.67% ROE, the company faces significant headwinds with negative revenue and earnings growth. Valuation appears stretched relative to intrinsic value models, and insider selling, weak price performance, and declining fundamentals reinforce caution. The stock trades well above the Graham Number of $18.3, suggesting overvaluation absent exceptional growth—contradicted by current contraction trends.

Strengths
Strong operating profitability with 29.44% operating margin
High return on equity (20.67%) indicating efficient use of equity
Healthy current ratio of 2.97, signaling solid short-term liquidity
Risks
Revenue and earnings declining YoY (-5.40% and -13.90% respectively)
Negative insider sentiment with recent executive selling totaling $0.51M
Technical trend is bearish (0/100), aligning with multi-year price underperformance
BF-B NEUTRAL

The Advanced Deterministic Scorecard shows a Piotroski F-Score of 6/9, indicating stable financial health, but the absence of an Altman Z-Score limits distress risk assessment. Despite solid profitability metrics like a 29.44% operating margin and 20.67% ROE, the company faces declining revenue and earnings, with YoY revenue down 5.40% and earnings down 13.90%. The stock trades above the Graham Number of $18.30 at $27.57, supported by a 3.26% dividend yield and analyst target of $30.26, but weak recent earnings surprises and insider selling temper optimism.

Strengths
Strong profitability with operating margin of 29.44% and ROE of 20.67%, well above sector averages
Healthy balance sheet with a current ratio of 2.97 and moderate debt/equity of 0.64
Piotroski F-Score of 6 indicates stable financial condition
Risks
Revenue and earnings declining YoY by 5.40% and 13.90% respectively, signaling operational headwinds
Recent earnings misses: 0 out of last 4 quarters beat estimates, with an average surprise of -4.36%
Insider selling activity: CEO sold $0.15M in shares, indicating bearish sentiment

Compare Another Pair

BF-A vs BF-B: Head-to-Head Comparison

This page compares Brown-Forman Corporation (BF-A) and Brown-Forman Corporation (BF-B) across key fundamental metrics including valuation ratios, profitability margins, growth rates, financial health indicators, and dividend metrics. Each metric highlights the better-performing stock so you can quickly identify relative strengths and weaknesses.

Our AI engine independently analyzes each company's financials, competitive position, and market conditions to produce a verdict (Bullish, Neutral, or Bearish) along with key strengths and risks. Use this comparison alongside your own research to make informed investment decisions.

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