Brown-FormanBSP:B1FC34 65 Pretax Margin % is 7.79% as of Apr. 2026, which is 74% below its 10-year median of 30.04. GuruFocus rates BSP:B1FC34 with a GF Score™ of 65/100 and a GF Value™ of R$209.29 (Significantly Undervalued). The stock has 2 warning signs investors should review. Among 211 Beverages - Alcoholic companies, Brown-Forman ranks better than 88.15% on this metric.
Pre-Tax margin is calculated as Pre-Tax Income divided by its Revenue. Brown-Forman's Pre-Tax Income for the
three
months ended in Apr. 2026 was R$357 Mil. Brown-Forman's Revenue for the
three
months ended in Apr. 2026 was R$4,591 Mil. Therefore, Brown-Forman's pretax margin for the quarter that ended in Apr. 2026 was 7.79%.
The historical rank and industry rank for Brown-Forman's Pretax Margin % or its related term are showing as below:
BSP:B1FC34'
s Pretax Margin % Range Over the Past 10 Years
Min: 22.53 Med: 30.04 Max: 31.35
Current: 22.53
BSP:B1FC34's Pretax Margin % is ranked better than 88.15% of 211
companies
in the Beverages - Alcoholic industry
Industry Median: 5.99
vs BSP:B1FC34: 22.53
The pretax margin, as know as pretax profit margin, is widely used to measure the operating efficiency of a company before deducting taxes.
The pretax margin is sometimes preferred over the net margin as tax expenditures can make profitability comparisons between companies misleading.
It is a useful tool to compare companies operating in the same sector and less effective when comparing companies from other sectors as each industry generally has different operating expenses and sales patterns.
The long term trend of the pretax margin is a good indicator of the competitiveness and health of the business.
Brown-Forman Pretax Margin % Related Terms
Brown-Forman Pretax Margin % Historical Data
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The historical data trend for Brown-Forman's Pretax Margin % 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.
BSP:B1FC34 vs MGPI, SNDL, AGCC: Pretax Margin % Comparison
For the Beverages - Wineries & Distilleries subindustry, Brown-Forman's Pretax Margin %, along with its competitors' market caps and Pretax Margin % 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 Pretax Margin % vs Beverages - Alcoholic Industry
For the Beverages - Alcoholic industry and Consumer Defensive sector, Brown-Forman's Pretax Margin % distribution charts can be found below:
* The bar in red indicates where Brown-Forman's Pretax Margin % falls into.
* 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 (BSP:B1FC34) has a Pretax Margin % of 7.79% as of Apr. 2026. Pre-Tax margin is the ratio of total pre-tax income to net sales. View historical data on Brown-Forman and its competitors. This is 74% below median its historical median of 30.04. Over the past decade, Brown-Forman's Pretax Margin % has ranged from 22.53 to 31.35. According to the industry distribution chart, Brown-Forman ranks #25 out of 211 companies in the Beverages - Alcoholic industry, placing it in the top 11.8%.
Is Brown-Forman's Pretax Margin % too high?
Brown-Forman's current Pretax Margin % of 7.79% is 74% below median its 10-year median of 30.04. Over the past 10 years, this metric has ranged from a low of 22.53 to a high of 31.35. The Beverages - Alcoholic industry median Pretax Margin % is 5.99. Brown-Forman's value of 7.79% is 30.1% above this industry median. Based on the distribution chart, Brown-Forman ranks #25 out of 211 companies in the Beverages - Alcoholic industry, which is in the top quartile — a strong position relative to peers. Overall, Brown-Forman has a GF Score™ of 65/100 and is considered Significantly Undervalued, reflecting its overall financial health beyond just this single metric.
How does Brown-Forman's Pretax Margin % compare to MGPI and SNDL?
According to the Beverages - Alcoholic industry distribution chart, Brown-Forman ranks #25 out of 211 companies for Pretax Margin %. This places Brown-Forman in the top 12% of its industry — outperforming the majority of peers. The industry median Pretax Margin % is 5.99. Brown-Forman's value of 7.79% is 30.1% above this benchmark. Historically, Brown-Forman's own Pretax Margin % has ranged from 22.53 to 31.35 over the past decade. While the company's 10-year median is 30.04 vs. the industry median of 5.99, 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 Pretax Margin % for a Beverages - Alcoholic company?
The median Pretax Margin % among Beverages - Alcoholic companies is 5.99, based on 211 companies in the industry. Companies in the top quartile (top 25%) have a Pretax Margin % significantly above this median, while those in the bottom quartile fall well below. However, Pretax Margin % should not be evaluated in isolation — investors should consider it alongside profitability, growth, and financial strength metrics. Brown-Forman's current Pretax Margin % of 7.79% is 30.1% 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 Pretax Margin % mean?
A high Pretax Margin % can signal that a stock is expensive relative to its fundamentals. Pre-Tax margin is the ratio of total pre-tax income to net sales. View historical data on Brown-Forman and its competitors. For the Beverages - Alcoholic industry, the median Pretax Margin % is 5.99 — values significantly above this may indicate overvaluation, while values below may suggest a bargain or underlying issues. Brown-Forman's current Pretax Margin % is 7.79%, which is 74% below median its own 10-year median of 30.04. 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?
Based on GuruFocus' analysis, Brown-Forman (BSP:B1FC34) is currently considered Significantly Undervalued. The stock's GF Value™ is R$209.29, compared to a current price of R$136.67 — trading 34.7% below its estimated fair value. The current Pretax Margin % is 7.79%, which is 74% below median its 10-year median of 30.04 and 30.1% above the Beverages - Alcoholic industry median of 5.99. 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 Pretax Margin % calculated?
Pretax Margin % is calculated from a company's financial statements. For Brown-Forman (BSP:B1FC34), the current Pretax Margin % is 7.79% 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 (BSP:B1FC34) Overvalued in 2026?
Based on GuruFocus' analysis, Brown-Forman stock appears to be undervalued.
The current stock price of R$136.67 is trading 34.7% below its estimated GF Value™ of R$209.29.
GuruFocus considers Brown-Forman to be Significantly Undervalued.
Key valuation signals for BSP:B1FC34:
Pretax Margin %: 7.79% (74% below median its 10-year median of 30.04)
GF Value™: R$209.29 vs. price of R$136.67 (34.7% below fair value)
Industry Position: 30.1% above the Beverages - Alcoholic median (#25 of 211)
No single metric tells the full story. See the BSP:B1FC34 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
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