Brown-Forman Corporation
NYSE: BF-B · CONSUMER DEFENSIVE · BEVERAGES - WINERIES & DISTILLERIES
Updated 2026-04-30
Brown-Forman Corporation (BF-B) Stock Valuation Analysis
Fair value estimate, historical valuation range, and quality signals for BF-B.
Valued
Valuation reasonably reflects current fundamentals. Limited margin of safety at these levels.
BF-B historical valuation range
Where current P/E sits in BF-B's own 5Y range.
BF-B intrinsic value (DCF)
DCF-based fair value estimate vs current market price.
Intrinsic value calculated using discounted cash flow (DCF) model based on projected free cash flows, discount rate, and terminal growth assumptions. A positive margin of safety indicates the current price is below estimated fair value, providing a cushion against estimation error.
BF-B valuation signals
Quick-read green flags, caution flags, and risks based on current metrics.
P/E Ratio — History
Current: 16.46x
P/S Ratio — History
Current: 3.32x
Is BF-B overvalued in 2026?
Brown-Forman Corporation (BF-B) currently trades at $25.77 per share with a market capitalization of $12,985,899,000.00. Based on our multi-factor framework, the stock trades at a fair valuation with a Smart Value Score of 62/100. This score blends growth quality, financial health, and price attractiveness into a single institutional-grade read.
The stock trades at a P/E ratio of 16.5x, below its 5-year median of 21.8x. The PEG ratio of 4.60 indicates the price has run ahead of the underlying growth rate.
Looking at its own history, BF-B is currently trading cheaper than 79% of the last 5Y on P/E. This places it in the 21th percentile of its historical range, a level that has historically coincided with attractive entry points.
Our discounted cash flow model estimates BF-B's intrinsic value at $20.88 per share, against the current market price of $25.77. This implies a premium to fair value of -45.02%. The current price sits well above what projected cash flows justify, implying investors are paying for growth that has not yet materialized.
Financial quality is a concern. The Piotroski F-Score of 3/9 flags weakening fundamentals that deserve closer scrutiny before the valuation case can be fully trusted.
Bottom line: BF-B trades at a fair valuation on our framework, with a Smart Value Score of 62/100. The valuation is defensible but offers no obvious bargain. Patience or a better entry price may reward disciplined buyers.
Frequently asked questions
Is BF-B overvalued in 2026?
Based on a Smart Value Score of 62/100, BF-B is fairly valued. Price reasonably reflects current fundamentals with limited cushion in either direction.
What is BF-B's fair value?
Our DCF model estimates BF-B's intrinsic value at $20.88 per share, versus the current price of $25.77. This produces a margin of safety of -45.02%.
What P/E ratio does BF-B trade at?
BF-B trades at a P/E of 16.5x on trailing twelve-month earnings, compared to its 5-year median of 21.8x.
Is BF-B a buy based on valuation?
WallStSmart does not issue buy or sell recommendations. Our Smart Value Score of 62/100 reflects the combined read on growth, quality, and price. The profile is balanced. Best suited for investors with an existing thesis.
How does BF-B's valuation compare to its history?
On P/E, BF-B currently sits in the 21th percentile of its own 5Y range. That is historically cheap relative to where it has traded over the period.
What is BF-B's Smart Value Score?
BF-B's Smart Value Score is 62/100. The Smart Value Score is a proprietary WallStSmart metric blending growth quality, financial health, and valuation attractiveness into a single 0-100 read. Scores above 75 are rare and indicate strong multi-factor alignment.