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Stock impact report

Brown-Forman (BF-B) Faces U.S. Demand Weakness Despite Product Gains, RBC Capital Maintains Neutral Rating [Yahoo! Finance]

Brown Forman Inc Class A (BF.A) 
Company Research Source: Yahoo! Finance
Brown-Forman Corporation (NYSE:BF-B), reiterating its Sector Perform rating and $30 price target. Although the firm admitted that Brown Forman's Blackberry product line was performing better, it stated that these improvements were not enough to affect its overall investment thesis. Brown Forman's most recent quarter was deemed “mixed” by RBC Capital, which said that although the company made headway in some areas as compared to the months prior, underlying weakness in the U.S. and other developed countries continues to pose difficulties. Brown Forman's recent financial results, released on December 4, highlighted the continued constraints on the global spirits industry. The company reported that net sales for the quarter fell 5% to $1.0 billion. This reduction was mostly due to distributor inventory adjustments and lower consumer demand in the key U.S. market, in addition to trends in other developed countries. On the bottom line, diluted earnings per share plummeted 14% to $0.4 Show less Read more
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