CluenexBrown–Forman (Class A) BF.A
Brown–Forman (Class A) scores average on business quality (5.9 of 10). Here is why, in plain words, and what our sealed record shows.
Why it matters
- What Brown–Forman (Class A) does
Brown-Forman makes money by selling distilled spirits, anchored by Jack Daniel's, to global consumers and distributors. Revenue stands at $3.9 billion with operating margins in the top decile of its sector at 29%.
- What it does best
Brown-Forman builds brand equity that protects a 60.7% gross margin, outperforming peer STZ's 53.0%. This pricing power stems from decades of heritage in American whiskey that rivals cannot easily replicate.
- The main risk
Shares fell 5.6% following recent earnings as top-line contraction persists. Revenue dropped from $4.2 billion in 2024 to $3.9 billion, shrinking volumes as consumers pull back.
Quality, check by check
Scored against its own industry, from company filings.
Operating margin stands at 28.9% and FCF margin at 23.6%, both expanding as cash generation improves even on lower revenue. Scale preserves elite profitability despite volume pressures.
Intangible assets lock in global consumers through century-old recipes and trademark protection, driving gross margins into the 87th sector percentile. Replicating this brand footprint takes decades.
Revenue growth is negative at -1.2%, fading steadily across recent annual history from $4.2 billion down to $3.9 billion as core spirit demand softens globally.
Total debt sits at $2.5 billion against $308 million in cash, supported by an interest coverage ratio of 11x making debt servicing manageable. Free cash flow surged to $925 million, getting stronger.
Insiders
Executives and directors, from SEC Form 4 filings we read ourselves. Open market trades only; grants, option exercises and pre-planned sales left out.
No open market buys or unplanned sales by executives or directors.
Our sealed record on BF.A
Verdicts appear here 30 days after we publish them; members see today's. Each one is in the nightly ledger, fingerprinted the night it was made.
The first sealed verdicts appear here on Oct 11, 2026.
Questions
Brown–Forman (Class A) scores average on the Cluenex quality check (5.9 of 10), measured against its own industry. Profitability is strong, moat strong, growth slow and financial health fair.
In the last 90 days of SEC Form 4 filings: No open market buys or unplanned sales by executives or directors.
Dec 2, 2026.
See BF.A today
- Today's verdict on BF.A, and why
- Fair value with cautious, base and optimistic cases
- The exact price that would change the verdict
- Which stocks each signal names, the night it fires
Cite this page: Cluenex, “Brown–Forman (Class A) (BF.A)”, https://cluenex.com/stocks/bf.a/, data as of Oct 10, 2026.