Stock of the Day

Brown-Forman (BF.B)

$27.26

-$5.95 (-17.9%)

Market Cap: $15.69B

About Brown-Forman

Brown-Forman Corporation, together with its subsidiaries, manufactures, distills, bottles, imports, exports, markets, and sells various alcoholic beverages. It provides spirits, wines, whiskey spirits, whiskey-based flavored liqueurs, ready-to-drink and ready-to-pour products, ready-to-drink cocktails, vodkas, tequilas, champagnes, brandy, bourbons, and liqueurs.

The company offers its products primarily under the Jack Daniel's, Woodford Reserve, Old Forester, Coopers' Craft, Herradura, el Jimador, New Mix, Korbel, Sonoma-Cutrer, Finlandia, GlenDronach, Benriach, Glenglassaugh, Chambord, Slane, and Fords Gin brands. It is also involved in the sale of used barrels, bulk whiskey, and wine; and provision of contract bottling services. The company serves retail customers and consumers through distributors or state governments; and retailers, wholesalers, and provincial governments directly. It has operations in the United States, Germany, Australia, the United Kingdom, Mexico, and internationally. The company was founded in 1870 and is headquartered in Louisville, Kentucky.

Brown-Forman Bull Case

Here are some ways that investors could benefit from investing in Brown-Forman Co.:

• The current stock price is around $75, reflecting a stable market position and investor confidence in the company's growth potential.
• Brown-Forman Co. has a diverse portfolio of well-known brands, including Jack Daniel's and Woodford Reserve, which helps mitigate risks associated with market fluctuations.
• The company has shown consistent revenue growth, driven by strong demand for premium spirits and innovative product offerings.
• Brown-Forman Co. has a solid international presence, with operations in key markets such as the United States, Germany, and Australia, allowing for broader market reach and resilience against regional downturns.
• Recent investments in sustainable practices and eco-friendly packaging may enhance brand loyalty and attract environmentally conscious consumers, potentially leading to increased sales.

Brown-Forman Bear Case

Investors should be bearish about investing in Brown-Forman Co. for these reasons:

• Increased competition in the alcoholic beverage industry could pressure profit margins and market share, particularly from emerging brands.
• Economic downturns or changes in consumer spending habits may negatively impact sales of premium products, which are a significant part of Brown-Forman's offerings.
• Regulatory changes in key markets regarding alcohol sales and marketing could pose challenges to the company's operations and growth strategies.
• Fluctuations in raw material costs, such as grains and glass, could affect production expenses and overall profitability.
• Potential supply chain disruptions, particularly in the wake of global events, could impact the availability of products and lead to increased operational costs.

Recent News

• Brown-Forman: GLP-1s, cannabis and Gen Z continue to weigh on demand (msn.com)
• Jack Daniel’s maker Brown-Forman sees sales fall as Trump trade conflicts weigh on spirits producers (msn.com)
• Jack Daniel's maker's stock plummets 17% on bleak forecast due to tariffs (nypost.com)
• Brown-Forman Corporation 2025 Q4 - Results - Earnings Call Presentation (seekingalpha.com)
• Top Stock Movers Now: Dollar Tree, Brown-Forman, Five Below, and More (investopedia.com)
• Brown-Forman shares plummet as whiskey maker warns of tariff uncertainty (cnbc.com)
• Brown-Forman Stock Plunges as Jack Daniel's Maker Warns of Economic Challenges (investopedia.com)
• Jack Daniel's maker Brown-Forman forecasts annual revenue, profit drop on tariff woes (reuters.com)
• Spotting Winners: Brown-Forman (NYSE:BF.B) And Beverages, Alcohol, and Tobacco Stocks In Q4 (msn.com)
• Jim Cramer on Brown-Forman Corporation (BF-B): “Count Me Out of Brown-Forman” (msn.com)