Brown-FormanMEX:BFB 65 Interest Coverage is 8.77 as of Apr. 2026, which is 32% below its 10-year median of 12.92. GuruFocus rates MEX:BFB with a GF Score™ of 65/100 and a GF Value™ of MXN697.44. The stock has 2 warning signs investors should review. Among 159 Beverages - Alcoholic companies, Brown-Forman ranks better than 54.09% on this metric.
Interest Coverage is a ratio that determines how easily a company can pay interest expenses on outstanding debt. It is calculated by dividing a company's
Operating Income
by its Interest Expense. Brown-Forman's
Operating Income
for the
three
months ended in Apr. 2026 was MXN3,994 Mil. Brown-Forman's Interest Expense for the
three
months ended in Apr. 2026 was MXN-455 Mil.
Brown-Forman's interest coverage for the quarter that ended in Apr. 2026 was 8.77.
The higher the ratio, the stronger the company's financial strength is.
The historical rank and industry rank for Brown-Forman's Interest Coverage or its related term are showing as below:
MEX:BFB'
s Interest Coverage Range Over the Past 10 Years
Min: 9.09 Med: 12.92 Max: 17.12
Current: 11.18
MEX:BFB's Interest Coverage is ranked better than 54.09% of 159
companies
in the Beverages - Alcoholic industry
Industry Median: 8.63
vs MEX:BFB: 11.18
Ben Graham requires that a company has a minimum interest coverage of 5 with the companies he invested. If the interest coverage is less than 2, the company is burdened by debt. Any business slow or recession may drag the company into a situation where it cannot pay the interest on its debt.
Interest Coverage is an important factor when GuruFocus ranks a company's overage Financial Strength .
Brown-Forman Interest Coverage Related Terms
Brown-Forman Interest Coverage Historical Data
* Premium members only.
The historical data trend for Brown-Forman's Interest Coverage 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.
Note: For Interest Coverage, "No debt" indicates no long-term debt. An indication of "No Debt" does not necessarily mean that the company has no long-term debt obligations; it could be due to missing data in the quarterly or annual report. Use caution when interpreting this information.
MEX:BFB vs MGPI, SNDL, AGCC: Interest Coverage Comparison
For the Beverages - Wineries & Distilleries subindustry, Brown-Forman's Interest Coverage, along with its competitors' market caps and Interest Coverage 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 Interest Coverage vs Beverages - Alcoholic Industry
For the Beverages - Alcoholic industry and Consumer Defensive sector, Brown-Forman's Interest Coverage distribution charts can be found below:
* The bar in red indicates where Brown-Forman's Interest Coverage falls into.
Interest Coverage is a ratio that determines how easily a company can pay interest expenses on outstanding debt. It is calculated by dividing a company's Operating Income (EBIT) by its Interest Expense:
* 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 (MEX:BFB) has a Interest Coverage of 8.77 as of Apr. 2026. Interest Coverage measures a company's capability to pay interest expenses on its debt. View historical data on Brown-Forman and its competitors. This is 32% below median its historical median of 12.92. Over the past decade, Brown-Forman's Interest Coverage has ranged from 9.09 to 17.12. According to the industry distribution chart, Brown-Forman ranks #73 out of 159 companies in the Beverages - Alcoholic industry, placing it in the top 45.9%.
Is Brown-Forman's Interest Coverage too high?
Brown-Forman's current Interest Coverage of 8.77 is 32% below median its 10-year median of 12.92. Over the past 10 years, this metric has ranged from a low of 9.09 to a high of 17.12. The Beverages - Alcoholic industry median Interest Coverage is 8.63. Brown-Forman's value of 8.77 is 1.6% above this industry median. Based on the distribution chart, Brown-Forman ranks #73 out of 159 companies in the Beverages - Alcoholic industry, which is above the industry midpoint. Overall, Brown-Forman has a GF Score™ of 65/100, reflecting its overall financial health beyond just this single metric.
How does Brown-Forman's Interest Coverage compare to MGPI and SNDL?
According to the Beverages - Alcoholic industry distribution chart, Brown-Forman ranks #73 out of 159 companies for Interest Coverage. This puts Brown-Forman in the upper half of its industry. The industry median Interest Coverage is 8.63. Brown-Forman's value of 8.77 is 1.6% above this benchmark. Historically, Brown-Forman's own Interest Coverage has ranged from 9.09 to 17.12 over the past decade. While the company's 10-year median is 12.92 vs. the industry median of 8.63, Brown-Forman has consistently been above the industry average. See the competitive comparison table and distribution chart on this page for a detailed peer-by-peer breakdown.
What is a good Interest Coverage for a Beverages - Alcoholic company?
The median Interest Coverage among Beverages - Alcoholic companies is 8.63, based on 159 companies in the industry. Companies in the top quartile (top 25%) have a Interest Coverage significantly above this median, while those in the bottom quartile fall well below. However, Interest Coverage should not be evaluated in isolation — investors should consider it alongside profitability, growth, and financial strength metrics. Brown-Forman's current Interest Coverage of 8.77 is 1.6% above the industry median. Use the industry distribution chart on this page to see where any company falls relative to its peers.
What does a high Interest Coverage mean?
A high Interest Coverage can signal that a stock is expensive relative to its fundamentals. Interest Coverage measures a company's capability to pay interest expenses on its debt. View historical data on Brown-Forman and its competitors. For the Beverages - Alcoholic industry, the median Interest Coverage is 8.63 — values significantly above this may indicate overvaluation, while values below may suggest a bargain or underlying issues. Brown-Forman's current Interest Coverage is 8.77, which is 32% below median its own 10-year median of 12.92. However, context matters — high-growth companies often justify higher valuations. Always evaluate alongside other metrics like GF Score™ and GF Value™.
Is Brown-Forman stock overvalued right now?
Brown-Forman (MEX:BFB) has a current Interest Coverage of 8.77. The stock's GF Value™ is MXN697.44, compared to a current price of MXN455.44 — trading 34.7% below its estimated fair value. The current Interest Coverage is 8.77, which is 32% below median its 10-year median of 12.92 and 1.6% above the Beverages - Alcoholic industry median of 8.63. Brown-Forman's overall GF Score™ is 65/100 with 2 warning signs to review. Investors should evaluate multiple metrics — including profitability, growth, and financial strength — before making a decision.
How is Interest Coverage calculated?
Interest Coverage is calculated from a company's financial statements. For Brown-Forman (MEX:BFB), the current Interest Coverage is 8.77 as of Apr. 2026. GuruFocus calculates this using data sourced from SEC filings and annual reports. See the calculation section and 30-year financial data on this page for the full breakdown.
Is Brown-Forman (MEX:BFB) Overvalued in 2026?
Based on GuruFocus' analysis, Brown-Forman stock appears to be undervalued.
The current stock price of MXN455.44 is trading 34.7% below its estimated GF Value™ of MXN697.44.
Key valuation signals for MEX:BFB:
Interest Coverage: 8.77 (32% below median its 10-year median of 12.92)
GF Value™: MXN697.44 vs. price of MXN455.44 (34.7% below fair value)
Industry Position: 1.6% above the Beverages - Alcoholic median (#73 of 159)
No single metric tells the full story. See the MEX:BFB stock analysis page for a complete view including 30-year financials, guru trades, and insider activity.
Brown-Forman is a US-based manufacturer of premium distilled spirits. It generates over 70% of its revenue 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 generated 44% of fiscal 2025 sales from the US, while the bulk of international revenue comes from Europe, Australia, and Latin America. The Brown family controls over 50% of the economic interests and 67% of the voting power in the company.
65GF Score
Get the complete analysis for MEX:BFB
Interest Coverage is just one metric. See GF Value™, 30-year financials, guru trades, warning signs, and more.
Quick Browse
Personalize
Premium Gurus 
Create New Portfolio
MEX:BFB has been successfully added to your 
