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Brown-Forman (BSP:B1FC34) Shiller PE Ratio : 27.32 (As of Apr. 26, 2024)


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What is Brown-Forman Shiller PE Ratio?

As of today (2024-04-26), Brown-Forman's current share price is R$274.00. Brown-Forman's E10 for the quarter that ended in Jan. 2024 was R$10.03. Brown-Forman's Shiller PE Ratio for today is 27.32.

The historical rank and industry rank for Brown-Forman's Shiller PE Ratio or its related term are showing as below:

BSP:B1FC34' s Shiller PE Ratio Range Over the Past 10 Years
Min: 24.3   Med: 37.99   Max: 51.69
Current: 24.33

During the past years, Brown-Forman's highest Shiller PE Ratio was 51.69. The lowest was 24.30. And the median was 37.99.

BSP:B1FC34's Shiller PE Ratio is ranked worse than
54.96% of 131 companies
in the Beverages - Alcoholic industry
Industry Median: 23.33 vs BSP:B1FC34: 24.33

E10 is a concept invented by Prof. Robert Shiller, who uses E10 for his Shiller PE Ratio calculation. E10 is the average of the inflation adjusted earnings of a company over the past 10 years.

Brown-Forman's adjusted earnings per share data for the three months ended in Jan. 2024 was R$2.951. Add all the adjusted EPS for the past 10 years together and divide 10 will get our E10, which is R$10.03 for the trailing ten years ended in Jan. 2024.

Shiller PE for Stocks: The True Measure of Stock Valuation


Brown-Forman Shiller PE Ratio Historical Data

The historical data trend for Brown-Forman's Shiller PE Ratio can be seen below:

* For Operating Data section: All numbers are indicated by the unit behind each term and all currency related amount are in USD.
* For other sections: All numbers are in millions except for per share data, ratio, and percentage. All currency related amount are indicated in the company's associated stock exchange currency.

* Premium members only.

Brown-Forman Shiller PE Ratio Chart

Brown-Forman Annual Data
Trend Apr14 Apr15 Apr16 Apr17 Apr18 Apr19 Apr20 Apr21 Apr22 Apr23
Shiller PE Ratio
Get a 7-Day Free Trial Premium Member Only Premium Member Only 37.72 41.63 47.03 37.15 33.80

Brown-Forman Quarterly Data
Apr19 Jul19 Oct19 Jan20 Apr20 Jul20 Oct20 Jan21 Apr21 Jul21 Oct21 Jan22 Apr22 Jul22 Oct22 Jan23 Apr23 Jul23 Oct23 Jan24
Shiller PE Ratio Get a 7-Day Free Trial Premium Member Only Premium Member Only Premium Member Only Premium Member Only Premium Member Only Premium Member Only Premium Member Only Premium Member Only Premium Member Only Premium Member Only Premium Member Only Premium Member Only 35.35 33.80 36.13 28.56 27.76

Competitive Comparison of Brown-Forman's Shiller PE Ratio

For the Beverages - Wineries & Distilleries subindustry, Brown-Forman's Shiller PE Ratio, along with its competitors' market caps and Shiller PE Ratio data, can be viewed below:

* Competitive companies are chosen from companies within the same industry, with headquarter located in same country, with closest market capitalization; x-axis shows the market cap, and y-axis shows the term value; the bigger the dot, the larger the market cap. Note that "N/A" values will not show up in the chart.


Brown-Forman's Shiller PE Ratio Distribution in the Beverages - Alcoholic Industry

For the Beverages - Alcoholic industry and Consumer Defensive sector, Brown-Forman's Shiller PE Ratio distribution charts can be found below:

* The bar in red indicates where Brown-Forman's Shiller PE Ratio falls into.



Brown-Forman Shiller PE Ratio Calculation

For Shiller PE Ratio, the earnings of the past 10 years are inflation-adjusted and averaged. The result is used for P/E calculation. Since it looks at the average over the last 10 years, the Shiller PE Ratio is also called PE10.

The Shiller PE Ratio was first used by professor Robert Shiller to measure the valuation of the overall market. The same calculation is applied here to individual companies.

Brown-Forman's Shiller PE Ratio for today is calculated as

Shiller PE Ratio=Share Price/ E10
=274.00/10.03
=27.32

* For Operating Data section: All numbers are indicated by the unit behind each term and all currency related amount are in USD.
* For other sections: All numbers are in millions except for per share data, ratio, and percentage. All currency related amount are indicated in the company's associated stock exchange currency.

Brown-Forman's E10 for the quarter that ended in Jan. 2024 is calculated as:

For example, Brown-Forman's adjusted earnings per share data for the three months ended in Jan. 2024 was:

Adj_EPS=Earnings per Share (Diluted)/CPI of Jan. 2024 (Change)*Current CPI (Jan. 2024)
=2.951/129.4194*129.4194
=2.951

Current CPI (Jan. 2024) = 129.4194.

Brown-Forman Quarterly Data

Earnings per Share (Diluted) CPI Adj_EPS
201404 0.554 100.023 0.717
201407 0.623 100.520 0.802
201410 0.950 100.176 1.227
201501 0.917 98.604 1.204
201504 0.803 99.824 1.041
201507 0.956 100.691 1.229
201510 1.519 100.346 1.959
201601 1.525 99.957 1.974
201604 3.706 100.947 4.751
201607 0.944 101.524 1.203
201610 1.274 101.988 1.617
201701 1.212 102.456 1.531
201704 0.929 103.167 1.165
201707 1.184 103.278 1.484
201710 1.564 104.070 1.945
201801 1.252 104.578 1.549
201804 0.784 105.708 0.960
201807 1.567 106.324 1.907
201810 1.956 106.695 2.373
201901 1.756 106.200 2.140
201904 1.286 107.818 1.544
201907 1.474 108.250 1.762
201910 2.409 108.577 2.871
202001 1.993 108.841 2.370
202004 1.436 108.173 1.718
202007 3.533 109.318 4.183
202010 2.813 109.861 3.314
202101 2.415 110.364 2.832
202104 1.392 112.673 1.599
202107 2.064 115.183 2.319
202110 2.715 116.696 3.011
202201 2.986 118.619 3.258
202204 1.474 121.978 1.564
202207 2.791 125.002 2.890
202210 2.468 125.734 2.540
202301 1.090 126.223 1.118
202304 2.159 127.992 2.183
202307 2.304 128.974 2.312
202310 2.528 129.810 2.520
202401 2.951 129.419 2.951

Add all the adjusted EPS together and divide 10 will get our E10.

Please note that we use the CPI data of the country/region where the company is headquartered. If the CPI data for that country/region is not available, then we will use the CPI data of the United States as default.


Brown-Forman  (BSP:B1FC34) Shiller PE Ratio Explanation

Compared with the regular PE Ratio, which works poorly for cyclical businesses, the Shiller PE Ratio smoothed out the fluctuations of profit margins during business cycles. Therefore it is more accurate in reflecting the valuation of the company.

If a company has consistent business performance, the Shiller PE Ratio should give similar results to regular PE Ratio.

Compared with the PS Ratio, the Shiller PE Ratio makes the comparison between different industries more meaningful.


Be Aware

Shiller PE Ratio assumes that over the long term, businesses and profitability revert to their means. If a company's business model does not work in the future compared with the past, Shiller PE Ratio and PS Ratio will give false valuations.


Brown-Forman Shiller PE Ratio Related Terms

Thank you for viewing the detailed overview of Brown-Forman's Shiller PE Ratio provided by GuruFocus.com. Please click on the following links to see related term pages.


Brown-Forman (BSP:B1FC34) Business Description

Traded in Other Exchanges
Address
850 Dixie Highway, Louisville, KY, USA, 40210
Brown-Forman is a U.S.-based manufacturer of premium distilled spirits that generates close to 70% of revenues in the whiskey category, under well-known Tennessee whiskey brand Jack Daniel's and bourbon brands Woodford Reserve and Old Forester. It also manufactures and distributes tequila, vodka, rum, gin, and premium wines. The company generates 47% of sales from its home market, while the bulk of international revenues come from Europe, Australia, and Latin America. The Brown family controls over 50% of the economic interests and a 67% voting power of the company.

Brown-Forman (BSP:B1FC34) Headlines

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