Brown-Forman http://www.so-l.ru/tags/show/brown_forman Thu, 28 May 2020 01:54:35 +0300 <![CDATA[Will Tariff Woes Hurt Brown-Forman's (BF.B) Q2 Earnings?]]> Brown-Forman Corporation BF.B is set to report second-quarter fiscal 2019 results on Dec 5, before the market opens. In the last reported quarter, the company delivered a positive earnings surprise of 5.1%. Notably, this leading producer and distributor of premium alcoholic beverages delivered earnings and sales beat consecutively for the last five quarters. The company’s average positive earnings surprise for the trailing four quarters stands at 8.5%.

The question lingering in investors’ minds now is whether Brown-Forman will be able to post positive earnings surprise in the quarter to be reported. The Zacks Consensus Estimate for the fiscal second quarter is 51 cents per share, reflecting growth of 2% from the year-ago quarter. We note that the Zacks Consensus Estimate for the fiscal second quarter remained unchanged in the last 30 days. The Zacks Consensus Estimate for revenues is pegged at $931.1 million, up nearly 1.9% from the year-ago quarter.

Brown-Forman Corporation Price and EPS Surprise

 

Brown-Forman Corporation Price and EPS Surprise | Brown-Forman Corporation Quote

The Brown-Forman stock has outperformed the industry in the past month, reflecting a positive sentiment ahead of the earnings release. The company’s shares have increased 4.6% while the industry grew 1.9%.

 

 

Factors at Play

Brown-Forman is favored due to its solid brand portfolio, positive surprise history, expansion plans and shareholder-friendly moves. The company is benefiting from solid growth in underlying sales, improved margins, strength in American whiskey and persistent momentum in focus categories. Further, balanced growth across geographies and its portfolio are aiding the top line.

The company is confident of capitalizing on its strategy for American Whiskey while benefiting from investments in its brands’ portfolio over the years. It believes that the global economic environment has improved in the past year, with favorable conditions in many emerging markets. This should position the company for growth in quarters to come.

Despite a strong start to fiscal 2019, the company believes intensified competition in the developed economies, alongside rising concerns of the recently enacted retaliatory tariffs on American whiskey, is likely to hurt near-term results. Consequently, it trimmed the earnings view for fiscal 2019 to reflect the anticipated impacts of the tariff imposition on its operating income.

It now estimates earnings per share of $1.65-$1.75 for fiscal 2019, reflecting 11-18% increase. Earlier, the company projected earnings per share of $1.75-$1.85, reflecting 18-25% increase. Additionally, underlying operating income is anticipated to increase 4-6% compared with the previous guidance of 7-9% growth.

What the Zacks Model Unveils

Our proven model does not conclusively show that Brown-Forman is going to beat earnings estimates this quarter. This is because a stock needs to have both a positive Earnings ESP and a Zacks Rank #1 (Strong Buy), 2 (Buy) or 3 (Hold) for this to happen. You can uncover the best stocks to buy or sell before they’re reported with our Earnings ESP Filter.

Brown-Forman’s Earnings ESP is 0.00% and it currently has a Zacks Rank #3 (Hold). Although the company has a favorable rank, which increases the predictive power of ESP, we need to have a positive ESP to be confident about an earnings surprise.

Stocks Poised to Beat Earnings Estimates

Here are some companies that you may want to consider as our model shows that these have the right combination of elements to post an earnings beat:

lululemon athletica, inc. LULU has an Earnings ESP of +1.87% and a Zacks Rank #2. You can see the complete list of today’s Zacks #1 Rank stocks here.
 
Caseys General Stores, Inc. CASY has an Earnings ESP of +6.17% and a Zacks Rank of 2.

Dollar General Corp. DG has an Earnings ESP of +1.62% and a Zacks Rank #3.

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Brown-Forman Corporation (BF.B): Free Stock Analysis Report
 
lululemon athletica inc. (LULU): Free Stock Analysis Report
 
Caseys General Stores, Inc. (CASY): Free Stock Analysis Report
 
Dollar General Corporation (DG): Free Stock Analysis Report
 
To read this article on Zacks.com click here.]]>
http://www.so-l.ru/news/y/2018_11_29_will_tariff_woes_hurt_brown_forman_s_bf Thu, 29 Nov 2018 17:04:00 +0300
<![CDATA[Brown-Forman Corporation (BF.B) Reports Next Week: Wall Street Expects Earnings Growth]]> Wall Street expects a year-over-year increase in earnings on higher revenues when Brown-Forman Corporation (BF.B) reports results for the quarter ended October 2018. While this widely-known consensus outlook is important in gauging the company's earnings picture, a powerful factor that could impact its near-term stock price is how the actual results compare to these estimates.

The earnings report, which is expected to be released on December 5, 2018, might help the stock move higher if these key numbers are better than expectations. On the other hand, if they miss, the stock may move lower.

While the sustainability of the immediate price change and future earnings expectations will mostly depend on management's discussion of business conditions on the earnings call, it's worth handicapping the probability of a positive EPS surprise.

Zacks Consensus Estimate

This company is expected to post quarterly earnings of $0.51 per share in its upcoming report, which represents a year-over-year change of +2%.

Revenues are expected to be $931.13 million, up 1.9% from the year-ago quarter.

Estimate Revisions Trend

The consensus EPS estimate for the quarter has remained unchanged over the last 30 days. This is essentially a reflection of how the covering analysts have collectively reassessed their initial estimates over this period.

Investors should keep in mind that the direction of estimate revisions by each of the covering analysts may not always get reflected in the aggregate change.

Price, Consensus and EPS Surprise

Earnings Whisper

Estimate revisions ahead of a company's earnings release offer clues to the business conditions for the period whose results are coming out. Our proprietary surprise prediction model -- the Zacks Earnings ESP (Expected Surprise Prediction) -- has this insight at its core.

The Zacks Earnings ESP compares the Most Accurate Estimate to the Zacks Consensus Estimate for the quarter; the Most Accurate Estimate is a version of the Zacks Consensus whose definition is subject to change. The idea here is that analysts revising their estimates right before an earnings release have the latest information, which could potentially be more accurate than what they and others contributing to the consensus had predicted earlier.

Thus, a positive or negative Earnings ESP reading theoretically indicates the likely deviation of the actual earnings from the consensus estimate. However, the model's predictive power is significant for positive ESP readings only.

A positive Earnings ESP is a strong predictor of an earnings beat, particularly when combined with a Zacks Rank #1 (Strong Buy), 2 (Buy) or 3 (Hold). Our research shows that stocks with this combination produce a positive surprise nearly 70% of the time, and a solid Zacks Rank actually increases the predictive power of Earnings ESP.

Please note that a negative Earnings ESP reading is not indicative of an earnings miss. Our research shows that it is difficult to predict an earnings beat with any degree of confidence for stocks with negative Earnings ESP readings and/or Zacks Rank of 4 (Sell) or 5 (Strong Sell).

How Have the Numbers Shaped Up for Brown-Forman Corporation?

For Brown-Forman Corporation, the Most Accurate Estimate is the same as the Zacks Consensus Estimate, suggesting that there are no recent analyst views which differ from what have been considered to derive the consensus estimate. This has resulted in an Earnings ESP of 0%.

On the other hand, the stock currently carries a Zacks Rank of #3.

So, this combination makes it difficult to conclusively predict that Brown-Forman Corporation will beat the consensus EPS estimate.

Does Earnings Surprise History Hold Any Clue?

While calculating estimates for a company's future earnings, analysts often consider to what extent it has been able to match past consensus estimates. So, it's worth taking a look at the surprise history for gauging its influence on the upcoming number.

For the last reported quarter, it was expected that Brown-Forman Corporation would post earnings of $0.39 per share when it actually produced earnings of $0.41, delivering a surprise of +5.13%.

Over the last four quarters, the company has beaten consensus EPS estimates four times.

Bottom Line

An earnings beat or miss may not be the sole basis for a stock moving higher or lower. Many stocks end up losing ground despite an earnings beat due to other factors that disappoint investors. Similarly, unforeseen catalysts help a number of stocks gain despite an earnings miss.

That said, betting on stocks that are expected to beat earnings expectations does increase the odds of success. This is why it's worth checking a company's Earnings ESP and Zacks Rank ahead of its quarterly release. Make sure to utilize our Earnings ESP Filter to uncover the best stocks to buy or sell before they've reported.

Brown-Forman Corporation doesn't appear a compelling earnings-beat candidate. However, investors should pay attention to other factors too for betting on this stock or staying away from it ahead of its earnings release.


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To read this article on Zacks.com click here.]]>
http://www.so-l.ru/news/y/2018_11_28_brown_forman_corporation_bf_b_reports Wed, 28 Nov 2018 18:30:14 +0300
<![CDATA[Is The Market Pricing Brown-Forman Fairly?]]> http://www.so-l.ru/news/y/2018_03_29_is_the_market_pricing_brown_forman_fairl Thu, 29 Mar 2018 20:18:00 +0300 <![CDATA[Jack Daniel's Warns It Could Become "An Unfortunate And Unintended Victim" Of Trump's Tariffs]]> The maker of Jack Daniel's Tennessee Whiskey is emerging as an unlikely opponent of President Trump's protectionist tilt.

During a phone call with analysts on Wednesday, Paul Varga the chief executive of Brown-Forman Corp. confirmed that the European Union's threats of retaliatory tariffs against "distinctly American products" is rattling leaders of the American business community.

Brown-Forman, the maker of Jack Daniels Tennessee Whiskey, could become "an unfortunate and unintended victim of the policy," Varga warned.

"The overwhelming majority of our products are made here in America and over the last few years, I'd just cite, we've been investing heavily in our American manufacturing expansion."

After Trump surprised markets by announcing his plans to impose the aluminum and steel tariffs late last week, the EU fired back on Monday by threatening to impose tariffs on (a relatively modest) €2.8 billion ($3.5 billion) of American goods, with Brussels aiming to apply a 25% tit-for-tat levy on a range of consumer, agricultural and steel products imported from the US.

EUStrike

The list of targeted US goods includes motorcycles, jeans and bourbon whiskey, and was intended to send a political message to Washington about the potential domestic economic costs of making good on the president’s threat.

As Bloomberg points out, Jack Daniel's anxieties are an example of how the tariffs could impact US industries that don't directly rely on imports of aluminum and steel. And as BBG reminds us, this isn’t the first time that the maker of Jack Daniel’s and Woodford Reserve bourbon has been pulled into the political fray. In 2014, the company found itself in the middle of a spat between the US and Russia.

Varga assured analysts that his company is speaking up about the potential threat to its business.

"It’s not new to Brown-Forman to periodically have things in the macroenvironment arise," Varga said. "We’re going to monitor the potential for retaliatory tariffs closely. And of course, we’re sharing our point of view in Washington, as well."

 In the meantime, Varga can hopefully take some comfort in the fact that, should a "hot" trade war erupt, the US is considerably less exposed than other G-10 economies, as the chart below shows:

Trade

 

]]>
http://www.so-l.ru/news/y/2018_03_09_jack_daniel_s_warns_it_could_become_an Fri, 09 Mar 2018 20:00:58 +0300
<![CDATA[Виски Jack Daniel’s стал жертвой торговой политики Трампа]]> viski-jack-daniel-s

Компания Brown-Forman Corp., производящая виски Jack Daniel’s, резко раскритиковала идею введения президентом США Дональдом Трампом пошлин на импорт стали и алюминия.

Корпорация опасается ответных мер со стороны Евросоюза. Об этом сообщает Лента.ру со ссылкой на Bloomberg.

Как отметил главный исполнительный директор компании Пол Варга, продукты Brown-Forman Corp. могут пасть «невинной жертвой политики», хотя компания делает значительные инвестиии в американскую экономику и производит большинство своих товаров на территории Америки.

В Американском совете по дистиллированным спиртным напиткам уже отметили, что на долю бурбона приходится пятая часть всего экспорта спиртных напитков из США в страны Евросоюза. Таким образом, введение американской администрацией тарифов на ввоз алюминия и стали может иметь глобальные последствия и затронуть широкий круг отраслей.

Ранее американские производители пива заявили, что в случае введения пошлин на импорт стали и алюминия цены на их продукты повысятся, поскольку из-за роста стоимости пивной банки увеличатся издержки производства. Однако министр торговли США Уилбур Росс не согласился с тем, что меры американской администрации окажут негативное влияние на экономику. В частности, по его словам, стоимость банки пива останется на прежнем уровне.

Президент США анонсировал введение пошлин на импорт в Соединенные Штаты стали (в размере 25 процентов) и алюминия (10 процентов) 1 марта. В ответ председатель Еврокомиссии Жан-Клод Юнкер заверил, что в случае такого решения Вашингтона Брюссель установит ответные тарифы на ряд американских товаров, в том числе мотоциклы Harley-Davidson, бурбон и джинсы Levi’s. По подсчетам Евросоюза, потенциальные потери американской экономики от ответных мер могу достигнуть 3,5 миллиарда долларов.

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]]>
http://www.so-l.ru/news/y/2018_03_08_viski_jack_daniel_s_stal_zhertvoy_torgovo Thu, 08 Mar 2018 12:28:19 +0300
<![CDATA[Jack Daniel’s стал жертвой торговой политики Трампа]]> http://www.so-l.ru/news/y/2018_03_08_jack_daniel_s_stal_zhertvoy_torgovoy_poli Thu, 08 Mar 2018 12:04:00 +0300 <![CDATA[Brown-Forman stock price target cut to $56 from $65 at CFRA]]> ]]> http://www.so-l.ru/news/y/2018_03_07_brown_forman_stock_price_target_cut_to Wed, 07 Mar 2018 23:26:59 +0300 <![CDATA[Brown-Forman (BF.B) Q3 Earnings & Sales Beat, Revises View]]> Brown-Forman Corporation BF.B delivered robust third-quarter fiscal 2018, wherein both earnings and sales topped estimates. This marked the company’s third straight quarter of earnings and sales beat. Adjusted earnings of 44 cents jumped nearly 15.8% and surpassed the Zacks Consensus Estimate of 41 cents.

Brown-Forman Corportaion Price, Consensus and EPS Surprise

Brown-Forman Corportaion Price, Consensus and EPS Surprise | Brown-Forman Corportaion Quote

Net sales improved about 9% year over year to $878 million, after deducting excise taxes. However, on an underlying basis (excluding negative currency impact and other adjustments), sales increased 6% that marked the sixth straight quarterly growth. Moreover, the company’s sales, before accounting for excise taxes, were $1,156 million, up 9.2% from the prior-year figure of $1,059 million. The Zacks Consensus Estimate was pegged at $872.3 million.

The company’s robust underlying sales performance can be attributed to the persistent momentum in its focus categories and strength in Jack Daniels led by premium American whiskey portfolio. Further, net sales gained from balanced growth across geographies.

Though the shares reacted little to the earnings release, this Zacks Rank #3 (Hold) company’s shares have gained 29% in the last six months, outperforming the industry’s growth of 0.7%.



Quarter in Detail

Brown-Forman’s gross profit increased nearly 9% to $587 million, while gross margin expanded 60 basis points (bps) to 66.9%.

Selling, general and administrative (SG&A) expenses increased about 7% year over year to $173 million. Additionally, advertising expenses rose 11% year over year to $114 million. The rise in advertising costs can be attributed to the rise in investments for the Jack Daniels family of brands and further growth of the fast-growing bourbon and tequila brands.

Despite the rise in expenses, operating income grew 11% to $304 million, with operating margin expanding 80 bps to 34.6%. On an underlying basis, operating income of the company increased 5%.

Balance Sheet & Cash Flow

Brown-Forman ended the quarter with cash and cash equivalents of $287 million and long-term debt of $1,770 million. The company’s total shareholders’ equity was $1,201 million as of Jan 31, 2018.

In first nine months of fiscal 2018, the company generated $562 million cash from operating activities.

On Jan 23, the company declared a five-for-four stock split, which was paid on Feb 28, 2018. In connection with the stock split, the company also announced a special dividend of $1.00 on split adjusted Class A and Class B stock. This dividend will be paid on Apr 23, to shareholders with record as on Apr 2.

Further, the company declared a quarterly cash dividend of 15.8 cents per share on a split-adjusted basis, which is payable on Apr 2, to shareholders of record as on Mar 5.

Fiscal 2018 Guidance

While the global economic environment has improved modestly in the past year, the company anticipates continued volatility in the emerging markets. Further, the company notes that competition intensified in the developed economies, which can hinder results.

However, the company believes that it is on track to deliver high-quality, top-tier results in fiscal 2018 based on the accelerated growth rates. The company is also confident about delivering solid top-line growth in fiscal 2018 driven by the strength of its premium American whiskey portfolio. Further, the company expects earnings and cash flows to benefit in future due to the new tax reform.

Consequently, the company reiterated its underlying sales and operating income forecasts for fiscal 2018, while it updated the earnings view to account for the new tax reform.

Management continues to project underlying sales growth of 6-7%. In fiscal 2018, the company expects a moderate increase in SG&A expense on an underlying basis driven by compensation related expenses. Further, underlying A&P growth is anticipated to be nearly in line with sales growth.

Despite the higher costs, underlying operating income is anticipated to increase 8-9%. Further, the company now estimates earnings per share of $1.43-$1.48, including 3 cents negative impact from the tax reform, 10 cents impact from expenses related to the creation of charitable foundation and 3 cents from foreign exchange benefit.

Other Stocks to Consider

Better-ranked stocks in the Consumer Staples sector include US Foods Holding Corp. USFD and Post Holdings Inc. POST, both sporting a Zacks Rank #1 (Strong Buy), and Craft Brew Alliance, Inc. BREW, carrying a Zacks Rank #2 (Buy). You can see the complete list of today’s Zacks #1 Rank stocks here.

US Foods Holding jumped nearly 25.8% in the last six months. Further, the company has a long-term earnings growth rate of 18.9%.

Post Holdings gained nearly 10.8% in the past month. Moreover, it has a long-term earnings growth rate of 14%.

Craft Brew Alliance surged 8.5% in the last six months. Further, the company has delivered a positive earnings surprise of 250.2% in the trailing four quarters.

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Brown-Forman Corportaion (BF.B): Free Stock Analysis Report
 
Craft Brew Alliance, Inc. (BREW): Free Stock Analysis Report
 
Post Holdings, Inc. (POST): Free Stock Analysis Report
 
US Foods Holding Corp. (USFD): Free Stock Analysis Report
 
To read this article on Zacks.com click here.
 
Zacks Investment Research]]>
http://www.so-l.ru/news/y/2018_03_07_brown_forman_bf_b_q3_earnings_sales Wed, 07 Mar 2018 22:47:00 +0300
<![CDATA[Brown-Forman warns on retaliatory tariffs]]> http://www.so-l.ru/news/y/2018_03_07_brown_forman_warns_on_retaliatory_tariff Wed, 07 Mar 2018 21:42:26 +0300 <![CDATA[Brown-Forman (BF.B) Q3 Earnings Beat, Implements Stock Split]]> Brown-Forman Corporation BF.B, the world’s leading producer and distributor of premium alcoholic beverages, came out with third-quarter fiscal 2018 results, wherein adjusted earnings of 44 cents rose 15.8% year over year and came ahead of the Zacks Consensus Estimate of 41 cents. Earnings per share for the quarter takes into account the five for four stock split, which was implemented on Feb 28, 2018.

Earnings Estimate Revision: The Zacks Consensus Estimate for fiscal 2018 has been stable in the last 30 days. In the trailing four quarters, excluding quarter under review, the company fell short of the Zacks Consensus Estimate by an average of nearly 7%.

Revenues: Net sales advanced 9% to $878 million, after deducting excise taxes. However, on an underlying basis, sales grew 6%. The company’s sales, before accounting for excise taxes, came in at $1,156 million, up 9% from the prior-year figure of $1,059 million. The Zacks Consensus Estimate was pegged at $872.3 million.

Key Events: On Jan 23, the company declared a five for four stock split, which was paid on Feb 28, 2018. In connection to the stock split, the company also announced a special dividend of $1.00 on split adjusted Class A and Class B stock. This dividend will be paid on Apr 23, to shareholders with record as on Apr 2.

Further, the company declared a quarterly cash dividend of 15.8 cents per share, on a split-adjusted basis, which is payable on Apr 2, to shareholders of record as on Mar 5.

Outlook: For fiscal 2018, management now expects a 6%-7% increase in underlying sales. Further, underlying operating income is anticipated to increase in a range of 8%-9%. The company now projects fiscal 2018 earnings in the range of $1.43-$1.48 per share, including 3 cents expense from tax reform, 10 cents expense due to the establishment of a foundation and 3 cents benefit from foreign exchange.

Zacks Rank: Currently, Brown-Forman carries a Zacks Rank #3 (Hold) which is subject to change following the earnings announcement.

You can see the complete list of today’s Zacks #1 Rank (Strong Buy) stocks here.

Check back later for our full write up on Brown-Forman’s earnings report!

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The total market cap of all cryptos recently surpassed $700 billion – more than a 3,800% increase in the previous 12 months. They’re now bigger than Morgan Stanley, Goldman Sachs and even Visa! The new asset class may expand even more rapidly in 2018 as new investors continue pouring in and Wall Street becomes increasingly involved.

Zacks’ has just named 4 companies that enable investors to take advantage of the explosive growth of cryptocurrencies via the stock market.

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Brown-Forman Corportaion (BF.B): Free Stock Analysis Report
 
To read this article on Zacks.com click here.
 
Zacks Investment Research]]>
http://www.so-l.ru/news/y/2018_03_07_brown_forman_bf_b_q3_earnings_beat_im Wed, 07 Mar 2018 18:17:00 +0300
<![CDATA[Brown-Forman sees 2018 sales growth 6%-7%; FactSet consensus of $3.24 bln implies 8.1% rise]]> ]]> http://www.so-l.ru/news/y/2018_03_07_brown_forman_sees_2018_sales_growth_6_7 Wed, 07 Mar 2018 15:51:46 +0300 <![CDATA[Brown-Forman Q3 net sales $878 mln vs. $808 mln; FactSet consensus $868 mln]]> ]]> http://www.so-l.ru/news/y/2018_03_07_brown_forman_q3_net_sales_878_mln_vs Wed, 07 Mar 2018 15:49:40 +0300 <![CDATA[Brown-Forman Q3 FactSet EPS consensus 41 cents]]> ]]> http://www.so-l.ru/news/y/2018_03_07_brown_forman_q3_factset_eps_consensus_41 Wed, 07 Mar 2018 15:48:58 +0300 <![CDATA[Brown-Forman Q3 EPS reduced by 5 cents by recent tax legislation]]> ]]> http://www.so-l.ru/news/y/2018_03_07_brown_forman_q3_eps_reduced_by_5_cents_b Wed, 07 Mar 2018 15:48:51 +0300 <![CDATA[Brown-Forman beats by $0.03, beats on revenue]]> http://www.so-l.ru/news/y/2018_03_07_brown_forman_beats_by_0_03_beats_on_re Wed, 07 Mar 2018 15:47:47 +0300 <![CDATA[CORRECT: Brown-Forman Q3 EPS 39 cents vs. 38 cents a year ago]]> ]]> http://www.so-l.ru/news/y/2018_03_07_correct_brown_forman_q3_eps_39_cents_vs Wed, 07 Mar 2018 15:46:49 +0300 <![CDATA[Brown-Forman (BF.B) Q3 Earnings: Is Beat in Store Again?]]> Brown-Forman Corporation BF.B is set to report third-quarter fiscal 2018 results on Mar 7, before the market opens. In the last quarter, the company delivered a positive earnings surprise of nearly 17%.

In fact, this leading producer and distributor of premium alcoholic beverages delivered a positive earnings surprise of 7% in the trailing four quarters.

What to Expect?

The question lingering in investors’ minds now is whether Brown-Forman will be able to post positive earnings surprise in the quarter to be reported. The Zacks Consensus Estimate for the quarter under review is 41 cents per share, reflecting a growth of 7.9% from the year-ago quarter. We note that the Zacks Consensus Estimate for the quarter has been stable in the last 30 days. Analysts polled by Zacks anticipate revenues of $872.3 million, up nearly 8% from the year-ago quarter.

 

Brown-Forman Corportaion Price, Consensus and EPS Surprise

 

Brown-Forman Corportaion Price, Consensus and EPS Surprise | Brown-Forman Corportaion Quote

 

Moreover, we note that the stock has outperformed the industry in the last three months. The company’s shares moved up 6.6%, while the industry declined 8.7%.

 



Factors at Play

Brown-Forman’s strong performance can be attributed to its strong brand portfolio, efforts to expand globally, strategic initiatives and a robust outlook. Additionally, the company is poised to gain from the industry growth trends.

The company gains strength from its strong portfolio of premium American whiskey brands along with its Jack Daniel's trademark. Brown-Forman anticipates growing on the back of strong demand for its authentic American whiskey brands worldwide, consumer interest in flavored whiskey and a growing trend in premium spirits. Its consistent focus on pricing, product innovation and expansion reinforce its market position.

Driven by a spectacular second-quarter performance and expectations of continued growth in the second half of 2018, Brown-Forman raised its guidance for fiscal 2018. The company now anticipates 6-7% growth in underlying sales compared with 4-5% projected earlier. Additionally, earnings per share are estimated in the range of $1.90-$1.98 versus the previous guidance of $1.85-$1.95. Furthermore, the company expects to gain from the benefits of the new tax reform.

Additionally, Brown-Forman is confident of growth at its premium American whiskey and tequila brands. It also expects to gain from new product launches including Jack Daniel's Tennessee Rye and Slane Irish Whiskey.

However, the company anticipates a volatile global economic situation, mainly in emerging markets, and intense competition in developed economies to hinder results.

What Does the Zacks Model Unveil

Our proven model does not conclusively show that Brown-Forman is going to beat earnings estimates this quarter. This is because a stock needs to have both a positive Earnings ESP and a Zacks Rank #1 (Strong Buy), 2 (Buy) or 3 (Hold) for this to happen. You can uncover the best stocks to buy or sell before they’re reported with our Earnings ESP Filter.

Brown-Forman has an Earnings ESP of 0.00%. Although the company has a Zacks Rank #3, which increases the predictive power of ESP, we need to have a positive ESP in order to be confident about earnings surprise.

Stocks Poised to Beat Earnings Estimates

Here are some companies that you may want to consider as our model shows that these have the right combination of elements to post an earnings beat:

American Eagle Outfitters Inc. AEO has an Earnings ESP of +0.53% and a Zacks Rank #1. You can see the complete list of today’s Zacks #1 Rank stocks here.

Ross Stores, Inc. ROST has an Earnings ESP of +1.37% and a Zacks Rank #2.

Dollar Tree, Inc. DLTR has an Earnings ESP of +1.41% and a Zacks Rank #2.

The Hottest Tech Mega-Trend of All

Last year, it generated $8 billion in global revenues. By 2020, it's predicted to blast through the roof to $47 billion. Famed investor Mark Cuban says it will produce "the world's first trillionaires," but that should still leave plenty of money for regular investors who make the right trades early.

See Zacks' 3 Best Stocks to Play This Trend >>


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Brown-Forman Corportaion (BF.B): Free Stock Analysis Report
 
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http://www.so-l.ru/news/y/2018_03_05_brown_forman_bf_b_q3_earnings_is_beat Mon, 05 Mar 2018 18:15:00 +0300
<![CDATA[Brown-Forman Looks Bullish: Will the Rally Continue in 2018?]]> Brown-Forman Corporation BF.B is witnessing spectacular growth lately on the back of a robust surprise trend and favorable outlook for fiscal 2018. Moreover, it is confident about growth at its premium American whiskey and tequila brands. The company also expects to gain from new product launches including Jack Daniel's Tennessee Rye and Slane Irish Whiskey. Shares of Brown-Forman have surged 34.3% in the past six months, outperforming the industry’s gain of 1.1%.

Let’s delve deeper into the factors driving this Zacks Rank #2 (Buy) stock.

Robust Surprise Trend

Brown-Forman boasts a solid earnings trend, beating estimates in the last two quarters owing to strength in margins. Further, the company delivered fifth straight quarter of growth in underlying sales in second-quarter fiscal 2018. Underlying sales growth can be attributed to the persistent momentum in its focus categories and strength in Jack Daniel’s, Woodford Reserve, Old Forester and Herradura brand families. Also, net sales gained from improved economies in emerging markets.

Favorable Outlook

Driven by a spectacular second-quarter performance and expectations of continued growth in the second half of 2018, Brown-Forman raised its guidance for fiscal 2018. The company now anticipates 6-7% growth in underlying sales compared with 4-5% projected earlier. Additionally, earnings per share are estimated in the range of $1.90-$1.98 versus the previous guidance of $1.85-$1.95.

Furthermore, the company expects to gain from the benefits of the new tax reform. It aslo revealed that Brown-Forman will provide an updated guidance for fiscal 2018 including the impact of the tax reform along with third-quarter fiscal 2018 results in early March.

Expanding Market Share

Brown-Forman remains committed toward enhancing its market share in the developed markets such as France and the U.S., and in the emerging markets like Russia, Poland, and Mexico where the whiskey category is in the early stages of development. Additionally,  it is on track to expand the sphere of other brands such as Jack Daniel's Tennessee Honey, Jack Daniels Fire, Gentleman Jack and Jack Daniel's Single Barrel within Jack Daniel’s. Meanwhile, the company has entered the fastest-growing spirit category — the Irish Whiskey — with the purchase of all Slane Castle Irish Whiskey Limited’s shares in Ireland. The company expects to gain from new product launches including Jack Daniel's Tennessee Rye and Slane Irish Whiskey as well. In another development, the company acquired two historic properties at West Main Street in Louisville, KY to boost its Old Forester brand.

Shareholders to Benefit – Stock Split & Special Dividend

Brown-Forman has a tradition of returning cash to shareholders through regular dividend payouts and share repurchases. Evidently, it has been consistently paying quarterly cash dividends for the last 72 years in addition to raising dividend for 34 consecutive years.

Reaffirming this commitment, Brown-Forman approved various capital deployment actions that will benefit shareholders, employees and community. As part of these actions, the company proposed a five for four stock-split for its Class A and Class B common stocks and a special dividend, besides bringing additional funds for its defined benefit program and creating a charitable foundation.

Clearly, these initiatives reflect the strength of the company’s balance sheet and healthy business. Also, these positives are bolstered by the expected benefits from the tax reform.

Do Beverages-Alcohol Stocks Grab Your Attention? Check These

Investors interested may consider Boston Beer Company Inc. SAM, Constellation Brands Inc. STZ and Craft Brew Alliance Inc. BREW. While Boston Beer sports a Zacks Rank #1 (Strong Buy), Constellation Brands and Craft Brew carry a Zacks Rank #2 (Buy). You can see the complete list of today’s Zacks #1 Rank stocks here.

Boston Beer Company Sports delivered an average positive earnings surprise of 63.3% in the trailing four quarters. It has a long-term earnings growth rate of 5%.

Constellation Brands pulled off an average positive earnings surprise of 11.8% in the trailing four quarters. In addition, it has a long-term earnings growth rate of 19%.

Craft Brew delivered an average positive earnings surprise of 250.2% in the trailing four quarters. Also, shares of Craft Brew have rallied 34.4% in the past three months.

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http://www.so-l.ru/news/y/2018_02_15_brown_forman_looks_bullish_will_the_ral Thu, 15 Feb 2018 17:56:00 +0300
<![CDATA[Church & Dwight (CHD) Beats on Q4 Earnings, Guides for FY18]]> Church & Dwight Company, Inc. CHD posted mixed fourth-quarter 2017 results, wherein earnings topped estimates while sales lagged. However, both top and bottom lines grew year over year. This marked the company’s fifth consecutive quarter of positive earnings surprise.

Adjusted earnings of 52 cents per share were up 18.2% year over year and topped the Zacks Consensus Estimate of 50 cents.

Church & Dwight Company, Inc. Price, Consensus and EPS Surprise

Church & Dwight Company, Inc. Price, Consensus and EPS Surprise | Church & Dwight Company, Inc. Quote

Quarter in Detail

The company reported sales of $1,033.1 million that advanced 15.3% year over year but lagged the Zacks Consensus Estimate of $1,007 million.

Organic sales rose 3.4%, which was ahead of the company’s guidance of 2.5%. The uptick was driven by better-than-expected sales at all the three segments. Further, organic sales were fueled by volumes growth of 4.3%.

Adjusted gross margin expanded 50 basis points to 46.6% owing to gains from productivity programs, volume growth, and acquisitions and divestitures. Adjusted gross margin for the quarter excluded a prior-year Brazil charge. Adjusted operating margin also increased 90 bps to 20.8% driven by higher gross margin.

Segment Details

Consumer Domestic: Segment net sales were up 13.3% to $787.8 million and organic sales improved 2.7% benefiting from a 4% increase in volume, partly negated by a 1.3% negative impact from price. Volume gains in the quarter can be attributed to key product launches and increased personal care products sales.

VITAFUSION adult gummy vitamins, ARM & HAMMER liquid and unit dose laundry detergent, SPINBRUSH toothbrushes, ORAJEL oral analgesics, BATISTE dry shampoo and ARM & HAMMER baking soda continued to be the main growth drivers.

Consumer International: Segment net sales soared 33.3% to $170.1 million backed by recent acquisitions and broad-based sales growth for household and personal care products. Organic sales increased 5.8% driven by a 6% increase in volumes, partly mitigated by a 0.2% fall in price.

STERIMAR and OXICLEAN in the export business; STERIMAR, ARM & HAMMER toothpaste and OXICLEAN in Mexico; and ARM & HAMMER cat litter and BATISTE in Canada provided a major impetus to sales.

Specialty Products: Sales at this segment improved 3% to $75.2 million. Organic sales advanced 5.1% backed by 2.8% higher volumes and favorable pricing (up 2.3%), mainly in the animal productivity business.

Other Financial Updates

Church & Dwight ended 2017 with cash and cash equivalents of $278.9 million, long-term debt of $2,103.4 million and total shareholders’ equity of $2,218 million.

In 2017, the company generated cash flow from operations of $681.5 million and incurred capital expenditure of $45 million.

Concurrently, management raised quarterly cash dividend to 21.75 cents per share, marking a 14% increase from the previous dividend rate of 19 cents. This brings the annualized dividend to 87 cents per share, raising the dividend payout to nearly $215 million. The increased dividend is payable on Mar 1, 2018 to shareholders of record as on Feb 15. This marks the company’s 22nd straight year of dividend increase. Moreover, the company has regularly paid dividend for 117 years.

Guidance for 2018

Innovations have been a key growth driver for Church & Dwight. As part of its long-term strategy to boost top and bottom lines, the company announced several new product launches in various categories.

The company expects reported sales to grow about 8% and organic sales to rise 3% in 2018. Though recent acquisitions are anticipated to attract lower marketing, the company plans to increase spending to maintain marketing at nearly 12% of sales. Further, the company expects SG&A expenses to increase, as a percentage of sales, owing to lower intangible amortization expenses, integration costs and higher levels of SG&A from recent acquisitions.

As a result of the new tax reform, the company anticipates reduced tax burden. The effective tax rate is expected to be about 24-25% compared with 32% in 2017. Consequently, the company estimates earnings per share of $2.24-$2.28, reflecting adjusted earnings per share growth of 16-18%. However, reported earnings per share are expected to decline 21-23%. The company’s guidance assumes persistent business strength, a lower tax rate and reinvestment to accelerate growth, and other long-term objectives.

Q1 Outlook

For the first quarter of 2018, the company expects reported and organic sales growth of 11% and 2%, respectively. It anticipates adjusted earnings per share of 61 cents in the quarter, reflecting year-over-year growth of 19.6%. Further, the company anticipates adjusted earnings per share for 2018 to 17.3% increase.

Church & Dwight carries a Zacks Rank #3 (Hold). The stock has gained 6.9% in the last three months, outperforming the industry’s 0.2% growth.



Looking for More Promising Bets? Check These Trending Picks

Better-ranked stocks in the consumer staples sector include The Boston Beer Co. Inc. SAM, Service Corporation International SCI and Brown-Forman Corp. BF.B, all sporting a Zacks Rank #1 (Strong Buy). You can see the complete list of today’s Zacks #1 Rank stocks here.

Boston Beer, with long-term EPS growth rate of 5%, has increased 7.2% in the last three months.

Service Corporation has increased 8.1% in the last three months. Moreover, the company has a long-term earnings growth rate of 11.6%.

Brown-Forman has rallied 21.6% in last three months. Moreover, the company has delivered an average positive earnings surprise of nearly 7% in the trailing four quarters.

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http://www.so-l.ru/news/y/2018_02_05_church_dwight_chd_beats_on_q4_earnin Mon, 05 Feb 2018 18:10:00 +0300
<![CDATA[U.S. distilled spirit sales and exports rise to record high in 2017]]> U.S. distilled spirit sales and exports rise to record high in 2017Spirits companies sold 4 percent more liquor in the United States in 2017, hitting a record $26.2 billion, fueled by high-end brown liquor and a big thirst for Tequila and Vodka, an industry group said. The Distilled Spirits Council, which represents companies such as Diageo PLC, Pernod Ricard SA and Brown-Forman Corp, said volumes rose 2.6 percent to 226 million 9-liter cases, reflecting millennials' taste for high-end and super-premium blended scotch and whiskey products. The spirits companies also exported a record $1.63 billion of U.S. spirits, a 14.3 percent rise over the prior year, led by growing taste for American spirits in the UK, Germany and Brazil.


]]> http://www.so-l.ru/news/y/2018_02_01_u_s_distilled_spirit_sales_and_exports Thu, 01 Feb 2018 19:15:01 +0300 <![CDATA[Can Tyson Foods Investment in Memphis Meats Help Aid Growth?]]> Tyson Foods, Inc. TSN took yet another step to expand its portfolio of meat products and address the rising protein demand. The leading chicken, meat and prepared foods producer’s venture capital arm – Tyson Ventures made an investment in Memphis Meats, with the deal terms remaining under covers.

Memphis Meats concentrates on developing ways to produce cultural meat directly from animals’ cells without killing them — a method that is not only safer for animals but is also better for the environment and consumers. This food-tech startup intends to use the funds from Tyson Foods to speed up product development. While Tyson Foods now holds a minority stake in Memphis Foods, the latter has attracted many other investors in the past including Cargill, Bill Gates, DFJ, Atomico and Richard Branson.

Tyson Foods’ latest move underscores its constant efforts to expand its protein-rich offerings, as the demand for such products has been growing and is expected to rise further in the times ahead. Alongside the widening demography of protein-savvy consumers, traditional meat sales face intense pressure due to increasing environmental concerns about intensive animal farming and animal welfare. Given these factors, we believe that the aforementioned investment deems fit.

Focus on Protein-Packed Products: A Major Driver

Well, Tyson Foods has long been making efforts to expand protein-packed brands. In this regard, the company’s AdvancePierre buyout favorably impacted the Prepared Foods segment’s performance in the last two quarters. To further enrich the Prepared Foods category, the company announced the buyout of Original Philly Holdings in November 2017. Management continues to expect positive synergies from the acquisitions.

Additionally, the company made investments of $84 million (in August 2017) and $300 million (in November 2017) to expand poultry production capacity in Tennessee.  Other than this, the company has also undertaken divesture of non-protein businesses (such as Sara Lee Frozen Bakery, Kettle and Van’s) to focus more on the growing protein-packed food arena.

All said, Tyson Foods seems to be well equipped with the categories that are currently in high demand at the national foodservice chains. Further, the company is set to make significant investments to improve the supply network within the food-service channel.

Notably, Tyson Foods’ top- and bottom-line results have been gaining from such efforts, which have also boosted investors’ confidence in the stock. Markedly, the company’s shares have rallied nearly 28% in a year, surpassing the industry’s upside of 20.5%. We believe that efforts like the aforementioned investment in Memphis Meats, is likely to spur further growth for this Zacks Rank #3 (Hold) company.

 



 

Looking for More Promising Stocks? Check These

The Boston Beer Company, Inc. (SAM) with a splendid earnings surprise history sports a Zacks Rank #1 (Strong Buy). You can see the complete list of today’s Zacks #1 Rank stocks here.

Brown-Forman Corporation BF.B, flaunting a Zacks Rank #2 (Buy), delivered back-to-back earnings surprises in the last two quarters.

Constellation Brands, Inc. STZ, with a spectacular earnings surprise history and a long-term earnings growth rate of 19% also carries a Zacks Rank #2.

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http://www.so-l.ru/news/y/2018_01_30_can_tyson_foods_investment_in_memphis_me Tue, 30 Jan 2018 17:47:00 +0300