Brown Forman Stock Current Valuation
| BF-A Stock | USD 31.42 0.23 0.74% |
Valuation analysis of Brown Forman helps investors to measure Brown Forman's intrinsic value by examining its available valuation indicators, including the cash flow records, the balance sheet account changes and income statement patterns. The current year's Enterprise Value is expected to grow to about 32 B, whereas Enterprise Value Over EBITDA is forecasted to decline to 11.54. Fundamental drivers impacting Brown Forman's valuation include:
Overvalued
Today
Please note that Brown Forman's price fluctuation is very steady at this time. Calculation of the real value of Brown Forman is based on 3 months time horizon. Increasing Brown Forman's time horizon generally increases the accuracy of value calculation and significantly improves the predictive power of the methodology used.
Since Brown Forman is currently traded on the exchange, buyers and sellers on that exchange determine the market value of Brown Stock. However, Brown Forman's intrinsic value may or may not be the same as its current market price, in which case there is an opportunity to profit from the mispricing, assuming the market price will eventually merge with its intrinsic value. | Historical | Market 31.42 | Real 26.39 | Hype 31.81 | Naive 30.14 |
The real value of Brown Stock, also known as its intrinsic value, is the underlying worth of Brown Forman Company, which is reflected in its stock price. It is based on Brown Forman's financial performance, growth prospects, management team, or industry conditions. The intrinsic value of Brown Forman's stock can be calculated using various methods such as discounted cash flow analysis, price-to-earnings ratio, or price-to-book ratio. That value may differ from its current market price, which is determined by supply and demand factors such as investor sentiment, market trends, or news.
Estimating the potential upside or downside of Brown Forman helps investors to forecast how Brown stock's addition to their portfolios will impact the overall performance. We also use other valuation drivers to help us estimate the true value of Brown Forman more accurately as focusing exclusively on Brown Forman's fundamentals will not take into account other important factors: Brown Forman Company Current Valuation Analysis
Brown Forman's Enterprise Value is a firm valuation proxy that approximates the current market value of a company. It is typically used to determine the takeover or merger price of a firm. Unlike Market Cap, this measure takes into account the entire liquid asset, outstanding debt, and exotic equity instruments that the company has on its balance sheet. When a takeover occurs, the parent company will have to assume the target company's liabilities but will take possession of all cash and cash equivalents.
Current Brown Forman Current Valuation | 17.5 B |
Most of Brown Forman's fundamental indicators, such as Current Valuation, are part of a valuation analysis module that helps investors searching for stocks that are currently trading at higher or lower prices than their real value. If the real value is higher than the market price, Brown Forman is considered to be undervalued, and we provide a buy recommendation. Otherwise, we render a sell signal.
Brown Current Valuation Driver Correlations
Understanding the fundamental principles of building solid financial models for Brown Forman is extremely important. It helps to project a fair market value of Brown Stock properly, considering its historical fundamentals such as Current Valuation. Since Brown Forman's main accounts across its financial reports are all linked and dependent on each other, it is essential to analyze all possible correlations between related accounts. However, instead of reviewing all of Brown Forman's historical financial statements, investors can examine the correlated drivers to determine its overall health. This can be effectively done using a conventional correlation matrix of Brown Forman's interrelated accounts and indicators.
Click cells to compare fundamentals
Enterprise Value can be a useful tool to compare companies with different capital structures. Long term liability and current cash or cash equivalents can have a huge impact on market valuation of a given company.
| Competition |
In accordance with the recently published financial statements, Brown Forman has a Current Valuation of 17.5 B. This is 9.81% lower than that of the Beverages sector and 21.17% lower than that of the Consumer Staples industry. The current valuation for all United States stocks is 5.28% lower than that of the firm.
Brown Current Valuation Peer Comparison
Stock peer comparison is one of the most widely used and accepted methods of equity analyses. It analyses Brown Forman's direct or indirect competition against its Current Valuation to detect undervalued stocks with similar characteristics or determine the stocks which would be a good addition to a portfolio. Peer analysis of Brown Forman could also be used in its relative valuation, which is a method of valuing Brown Forman by comparing valuation metrics of similar companies.Brown Forman is currently under evaluation in current valuation category among its peers.
Brown Fundamentals
| Return On Equity | 0.29 | |||
| Return On Asset | 0.0852 | |||
| Profit Margin | 0.24 % | |||
| Operating Margin | 0.30 % | |||
| Current Valuation | 17.5 B | |||
| Shares Outstanding | 169.12 M | |||
| Shares Owned By Insiders | 74.20 % | |||
| Shares Owned By Institutions | 11.28 % | |||
| Number Of Shares Shorted | 256.64 K | |||
| Price To Earning | 35.39 X | |||
| Price To Book | 3.98 X | |||
| Price To Sales | 3.60 X | |||
| Revenue | 4.18 B | |||
| Gross Profit | 2.44 B | |||
| EBITDA | 1.51 B | |||
| Net Income | 1.02 B | |||
| Cash And Equivalents | 307 M | |||
| Cash Per Share | 0.64 X | |||
| Total Debt | 3.1 B | |||
| Debt To Equity | 152.50 % | |||
| Current Ratio | 3.27 X | |||
| Book Value Per Share | 7.44 X | |||
| Cash Flow From Operations | 647 M | |||
| Short Ratio | 2.83 X | |||
| Earnings Per Share | 2.12 X | |||
| Price To Earnings To Growth | 2.74 X | |||
| Number Of Employees | 5.7 K | |||
| Beta | 0.76 | |||
| Market Capitalization | 14.71 B | |||
| Total Asset | 8.17 B | |||
| Retained Earnings | 4.26 B | |||
| Working Capital | 2.48 B | |||
| Annual Yield | 0.02 % | |||
| Five Year Return | 1.26 % | |||
| Net Asset | 8.17 B |
About Brown Forman Fundamental Analysis
The Macroaxis Fundamental Analysis modules help investors analyze Brown Forman's financials across various querterly and yearly statements, indicators and fundamental ratios. We help investors to determine the real value of Brown Forman using virtually all public information available. We use both quantitative as well as qualitative analysis to arrive at the intrinsic value of Brown Forman based on its fundamental data. In general, a quantitative approach, as applied to this company, focuses on analyzing financial statements comparatively, whereas a qaualitative method uses data that is important to a company's growth but cannot be measured and presented in a numerical way.
Please read more on our fundamental analysis page.
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Brown Forman financial ratios help investors to determine whether Brown Stock is cheap or expensive when compared to a particular measure, such as profits or enterprise value. In other words, they help investors to determine the cost of investment in Brown with respect to the benefits of owning Brown Forman security.