Brown-Forman Corporation (BF-B), headquartered in Louisville, Kentucky, manufactures, distills, bottles, imports, exports, markets, and sells various alcoholic beverages. With a market cap of $16.4 billion, the company provides a range of wines, whiskey spirits, vodkas, tequilas, gin, brandy, rum, bourbons, and liqueurs.
Companies valued at more than $10 billion or more are generally considered “large-cap stocks,” and BF.B fits this criterion perfectly. The leading beverage company benefits from a well-known lineup of its products under the Jack Daniel's, Woodford Reserve, Old Forester, Coopers' Craft, and Gentleman Jack brands.
Active Investor: FREE newsletter going behind the headlines on the hottest stocks to uncover new trade ideas
Despite its strengths, BF.B has faced pressure and has fallen 33.9% from its 52-week high of $52.45, recorded on Mar. 28 last year. BF.B stock has fallen 16.1% over the past three months, lagging behind the broader S&P 500 Index ($SPX), which declined 4.4% during the same period.
Over the past six months, shares of BF.B declined 25.3%, compared to $SPX’s marginal decline. Moreover, BF.B has fallen 32.9% over the past 52 weeks, underperforming SPX's 8.1% return.
BF.B has dipped below its 200-day moving average since the end of Octoberbut has been trading above its 50-day moving average since early-March.
BF.B stock surged 10.1% following its Q3 earnings release on Mar. 5. The company reported a 3% decline in its sales, which amounted to $1 billion. However, the company expects a 2 to 4% increase in its sales and its organic operating income for the fiscal year. Additionally, its EPS came in at $0.57, surpassing the Wall Street estimates by 21.3%.
Its rival, MGP Ingredients, Inc. (MGPI), has also declined over the past year, with its shares falling 64.8% over the past six months and 65% over the past 52 weeks.
BF.B has a consensus rating of “Hold” from 16 analysts in coverage. Its mean price target of $40.78 represents an upside of 17.7% from the current market prices.
On the date of publication, Kritika Sarmah did not have (either directly or indirectly) positions in any of the securities mentioned in this article. All information and data in this article is solely for informational purposes. For more information please view the Barchart Disclosure Policy here.
More news from Barchart
- Should You Buy the Dip in Tesla Stock in March 2025?
- Wells Fargo Says This Unlikely Company Could Be the Next Nvidia Stock. Should You Buy It Now?
- Goldman Sachs Just Slashed Its Rating on Super Micro Computer Stock. How Should You Play SMCI Here?
- 3 Unusual Options Activity Stocks to Trade for High-Stakes Gamblers
The views and opinions expressed herein are the views and opinions of the author and do not necessarily reflect those of Nasdaq, Inc.
