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Return on Retained Earnings (RORE) is an indicator of a company's growth potential, it shows how much a company earns by reinvesting its retained earnings, i.e. profits after dividend payments.
Brown-Forman's 3-Year RORE % for the quarter that ended in Apr. 2026 was -10.79%.
The industry rank for Brown-Forman's 3-Year RORE % or its related term are showing as below:
MEX:BFB's 3-Year RORE % is ranked worse than 67% of 200
companies
in the Beverages - Alcoholic industry
Industry Median: -0.97
vs MEX:BFB: -10.79
Brown-Forman (MEX:BFB) 3-Year RORE % Explanation
Return on Retained Earnings (RORE) is important to investors because it reveals a company's efficiency and growth potential. A higher RORE indicates a higher return. A high RORE indicates that the company should reinvest profits into the business. A lower RORE suggests that the company should distribute profits to shareholders by paying out dividends, since those dollars aren't generating much additional growth for the company.
There are a several different ways to arrive at the Return on Retained Earnings. The simplest way to calculate it is by using published information on Earnings per Share (EPS) and Dividend per Share (DPS) over a selected period. Here, 3-year period is chosen.
Be Aware
Please keep in mind that the RORE is relative to the nature of the business and its competitors. If another company in the same sector is producing a lower return on retained earnings, it doesn’t necessarily mean it’s a bad investment. It may just suggest the company is older and no longer in a high growth stage. At such a stage in the business cycle, it would be expected to see a lower RORE and higher dividend payout.
Brown-Forman 3-Year RORE % Related Terms
Brown-Forman 3-Year RORE % Historical Data
* Premium members only.
The historical data trend for Brown-Forman's 3-Year RORE % 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.
MEX:BFB vs MGPI, SNDL, AGCC: 3-Year RORE % Comparison
For the Beverages - Wineries & Distilleries subindustry, Brown-Forman's 3-Year RORE %, along with its competitors' market caps and 3-Year RORE % 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 3-Year RORE % vs Beverages - Alcoholic Industry
For the Beverages - Alcoholic industry and Consumer Defensive sector, Brown-Forman's 3-Year RORE % distribution charts can be found below:
* The bar in red indicates where Brown-Forman's 3-Year RORE % 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.
In the calculation of 3-Year RORE %, the most recent and first period EPS (Diluted) is the trailing twelve months (TTM) data ended in Apr. 2026 and 3-year before.
Brown-Forman (MEX:BFB) has a 3-Year RORE % of -10.79 as of Apr. 2026. 3-Year RORE % shows how much a company earns by reinvesting its retained earnings in 3-year. View historical data on Brown-Forman and its competitors. According to the industry distribution chart, Brown-Forman ranks #134 out of 200 companies in the Beverages - Alcoholic industry, placing it in the top 67%.
Is Brown-Forman's 3-Year RORE % too high?
Brown-Forman's current 3-Year RORE % is -10.79. Based on the distribution chart, Brown-Forman ranks #134 out of 200 companies in the Beverages - Alcoholic industry, which is below the industry midpoint. Overall, Brown-Forman has a GF Score™ of 69/100, reflecting its overall financial health beyond just this single metric.
How does Brown-Forman's 3-Year RORE % compare to MGPI and SNDL?
According to the Beverages - Alcoholic industry distribution chart, Brown-Forman ranks #134 out of 200 companies for 3-Year RORE %. This places Brown-Forman in the lower half of its industry. See the competitive comparison table and distribution chart on this page for a detailed peer-by-peer breakdown.
What is a good 3-Year RORE % for a Beverages - Alcoholic company?
A good 3-Year RORE % depends on the Beverages - Alcoholic industry context. However, 3-Year RORE % should not be evaluated in isolation — investors should consider it alongside profitability, growth, and financial strength metrics. Use the industry distribution chart on this page to see where any company falls relative to its peers.
What does a high 3-Year RORE % mean?
A high 3-Year RORE % can signal that a stock is expensive relative to its fundamentals. 3-Year RORE % shows how much a company earns by reinvesting its retained earnings in 3-year. View historical data on Brown-Forman and its competitors. Brown-Forman's current 3-Year RORE % is -10.79. 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 3-Year RORE % of -10.79. The stock's GF Value™ is MXN695.22, compared to a current price of MXN455.44 — trading 34.5% below its estimated fair value. The current 3-Year RORE % is -10.79. Brown-Forman's overall GF Score™ is 69/100 with 2 warning signs to review. Investors should evaluate multiple metrics — including profitability, growth, and financial strength — before making a decision.
How is 3-Year RORE % calculated?
3-Year RORE % is calculated from a company's financial statements. For Brown-Forman (MEX:BFB), the current 3-Year RORE % is -10.79 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 (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 34.5% below its estimated GF Value™ of MXN695.22.
Key valuation signals for MEX:BFB:
3-Year RORE %: -10.79
GF Value™: MXN695.22 vs. price of MXN455.44 (34.5% below fair value)
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.
69GF Score
Get the complete analysis for MEX:BFB
3-Year RORE % is just one metric. See GF Value™, 30-year financials, guru trades, warning signs, and more.
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