Brown-Forman Corporation cash flow to debt ratio of 46.49% indicates that the company generates enough cash to cover its debts. This level indicates strong financial health.

Brown-Forman Corporation's free cash flow has increased 107.19% from $431.00M last year to $893.00M, signaling increasing performance

Brown-Forman Corporation's debt to equity ratio is 0.62, which means that the company's assets are unhealthy financed, signaling financial risk.

Brown-Forman Corporation's debt has decreased relative to shareholder equity from 0.68 last year to 0.62 today, signaling strengthened financials

Brown-Forman Corporation has a net debt to EBITDA ratio of 1.66x, which is below the 3.00x threshold, indicating healthy leverage and financial stability

Brown-Forman Corporation's interest coverage ratio of 11.20 indicates that earnings with good margin can cover interest payments on company debt

Brown-Forman Corporation's profit margin was 21.86% last year and is 18.42% this year, signaling decreasing performance

Brown-Forman Corporation's short-term assets of $3.99B exceed its short-term liabilities of $1.23B

Brown-Forman Corporation's return on assets of 9.21% is higher than the 5.00% threshold, indicating efficient asset utilization

Brown-Forman Corporation's return on equity of 17.80%, is higher than 15.00%, indicating good performance

Brown-Forman Corporation's operating cash flow exceeds its net income, indicating high-quality earnings backed by actual cash generation

Brown-Forman Corporation had positive net income in 5 out of 5 years, indicating stable and consistent earnings

Brown-Forman Corporation has positive free cash flow, indicating the company generates cash after capital expenditures

Brown-Forman Corporation has a free cash flow yield of 7.32%, which is above the 2.00% threshold, indicating strong cash generation relative to market value

Brown-Forman Corporation's yearly earnings has decreased 17.72% since last year from $869.00M to $715.00M, signaling decreasing performance

Brown-Forman Corporation's yearly revenue has decreased 1.18% since last year from $3.98B to $3.93B, signaling decreasing performance

ROIC 12.96% (Source: FMP key-metrics). At or above the 10% threshold. Score: 2 of 2. The company is generating returns above the upper end of the typical US weighted-average cost of capital range under this definition of invested capital.

Brown-Forman Corporation's 3-year revenue CAGR of -2.42% is negative, indicating declining revenue over the past 3 years

Brown-Forman Corporation had revenue growth in only 2 out of 5 years, indicating inconsistent revenue performance

Brown-Forman Corporation had positive ROE in 5 out of 5 years, indicating consistent and reliable returns on equity

Brown-Forman Corporation is overvalued relative to its fair value price of 21.95 based on Base Cash Flow Valuation (DCF) model

Brown-Forman Corporation has an earnings yield of 6.01%, which is above the 4.00% threshold, indicating the stock offers reasonable value relative to its earnings

Brown-Forman Corporation is overvalued relative to its fair value price of 12.69 based on Base EBITDA Valuation model

Brown-Forman Corporation has an EV/EBITDA ratio of 12.66x, which is below the 20.00x threshold, indicating reasonable valuation relative to its operating earnings

Brown-Forman Corporation is overvalued relative to its fair value price of 25.66 based on Base Earnings Fair Value model

Brown-Forman Corporation's earnings growth over the measurement period is negative; the PEG ratio is not meaningful and the check fails.

Brown-Forman Corporation has a price-to-book ratio of 3.02x, which is below the 5.00x threshold, indicating reasonable valuation relative to its book value

Brown-Forman Corporation has a price-to-sales ratio of 3.07x, which is below the 8.00x threshold, indicating reasonable valuation relative to its revenue