Zacks Investment Research Upgrades Brown-Forman (BF.B) to “Hold”
Brown-Forman (NYSE:BF.B) was upgraded by Zacks Investment Research from a “sell” rating to a “hold” rating in a research note issued on Tuesday.
According to Zacks, “Brown-Forman outperformed the industry in the past three months driven by a robust surprise trend. The company delivered fifth straight earnings beat in first-quarter fiscal 2019, with a positive sales surprise in four of the last five quarters. Further, the company is gaining from solid growth in underlying sales, improved margins, continued momentum in focus categories and strength in American whiskey. Management also remains confident of capitalizing on its American Whiskey strategy while benefiting from investments in its brands’ portfolio. However, it trimmed earnings view for fiscal 2019 reflecting the anticipated impacts of Trump’s tariffs on operating income. Trump’s 25% increase in tariffs on imported American whiskey is likely to raise the price of Jack Daniel’s Tennessee in the European Union. This may hurt the demand for Jack Daniel’s whiskey in Europe, which accounts for nearly one-fourth of its revenues.”
Other equities research analysts have also recently issued reports about the stock. Jefferies Financial Group started coverage on shares of Brown-Forman in a research report on Friday, September 7th. They issued a “hold” rating for the company. Deutsche Bank raised their target price on shares of Brown-Forman from $52.00 to $53.00 and gave the stock a “hold” rating in a research report on Thursday, August 30th. Pivotal Research reaffirmed a “buy” rating and issued a $65.00 target price on shares of Brown-Forman in a research report on Wednesday, August 29th. Cowen reaffirmed a “buy” rating and issued a $58.00 target price on shares of Brown-Forman in a research report on Friday, July 20th. Finally, ValuEngine raised shares of Brown-Forman from a “hold” rating to a “buy” rating in a research report on Monday, July 16th. One equities research analyst has rated the stock with a sell rating, eleven have assigned a hold rating and three have given a buy rating to the stock. Brown-Forman has a consensus rating of “Hold” and a consensus price target of $52.92.
Brown-Forman (NYSE:BF.B) last announced its quarterly earnings results on Wednesday, August 29th. The company reported $0.41 earnings per share for the quarter, beating the Thomson Reuters’ consensus estimate of $0.39 by $0.02. The business had revenue of $766.00 million during the quarter, compared to analysts’ expectations of $761.97 million. Brown-Forman had a net margin of 19.34% and a return on equity of 55.19%. The firm’s revenue for the quarter was up 5.9% compared to the same quarter last year. During the same quarter in the prior year, the company posted $0.46 EPS. equities research analysts forecast that Brown-Forman will post 1.68 EPS for the current fiscal year.
Brown-Forman Corporation is a spirit and wine company. The Company manufactures, bottles, imports, exports, markets and sells a range of alcoholic beverages. The Company has a portfolio of approximately 40 spirit, wine and ready-to-drink cocktail (RTD) brands. Its principal brands include Jack Daniel’s Tennessee Whiskey, Jack Daniel’s RTDs, Jack Daniel’s Tennessee Honey, Gentleman Jack Rare Tennessee Whiskey, Jack Daniel’s Tennessee Fire, Jack Daniel’s Single Barrel Collection, Jack Daniel’s Sinatra Select, Jack Daniel’s Winter Jack, Jack Daniel’s No.
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