Brown-Forman (BF.A) Competitors

Diageo (NYSE:DEO) and Brown-Forman (NYSE:BF.A) are both large-cap consumer staples companies, but which is the better investment? We will compare the two businesses based on the strength of their valuation, risk, earnings, profitability, community ranking, analyst recommendations, institutional ownership, media sentiment and dividends.

Does the media prefer DEO or BF.A?

In the previous week, Diageo had 20 more articles in the media than Brown-Forman. MarketBeat recorded 20 mentions for Diageo and 0 mentions for Brown-Forman. Diageo's average media sentiment score of 1.05 beat Brown-Forman's score of 0.00 indicating that Diageo is being referred to more favorably in the media.

Company	Overall Sentiment
Diageo	Positive
Brown-Forman	Neutral

Do analysts rate DEO or BF.A?

Company	Sell Ratings	Hold Ratings	Buy Ratings	Strong Buy Ratings	Rating Score
Diageo	3 Sell rating(s)	3 Hold rating(s)	2 Buy rating(s)	0 Strong Buy rating(s)	1.88
Brown-Forman	0 Sell rating(s)	0 Hold rating(s)	0 Buy rating(s)	0 Strong Buy rating(s)	0.00

Is DEO or BF.A more profitable?

Brown-Forman has a net margin of 24.15% compared to Diageo's net margin of 0.00%. Brown-Forman's return on equity of 28.89% beat Diageo's return on equity.

Company	Net Margins	Return on Equity	Return on Assets
Diageo	N/A	N/A	N/A
Brown-Forman	24.15%	28.89%	12.08%

Do institutionals & insiders have more ownership in DEO or BF.A?

9.0% of Diageo shares are held by institutional investors. Comparatively, 3.8% of Brown-Forman shares are held by institutional investors. 4.0% of Brown-Forman shares are held by insiders. Strong institutional ownership is an indication that hedge funds, large money managers and endowments believe a stock will outperform the market over the long term.

Does the MarketBeat Community favor DEO or BF.A?

Diageo received 153 more outperform votes than Brown-Forman when rated by MarketBeat users. Likewise, 59.12% of users gave Diageo an outperform vote while only 55.69% of users gave Brown-Forman an outperform vote.

Company	Underperform	Outperform
Diageo	Outperform Votes 295 59.12%	Underperform Votes 204 40.88%
Brown-Forman	Outperform Votes 142 55.69%	Underperform Votes 113 44.31%

Which has higher valuation & earnings, DEO or BF.A?

Diageo has higher revenue and earnings than Brown-Forman.

Company	Gross Revenue	Price/Sales Ratio	Net Income	Earnings Per Share	Price/Earnings Ratio
Diageo	$20.27B	3.28	$3.87B	N/A	N/A
Brown-Forman	$4.18B	4.50	$1.02B	$2.07	19.22

Which has more volatility & risk, DEO or BF.A?

Diageo has a beta of 0.71, meaning that its stock price is 29% less volatile than the S&P 500. Comparatively, Brown-Forman has a beta of 0.75, meaning that its stock price is 25% less volatile than the S&P 500.

Is DEO or BF.A a better dividend stock?

Diageo pays an annual dividend of $5.02 per share and has a dividend yield of 4.2%. Brown-Forman pays an annual dividend of $0.87 per share and has a dividend yield of 2.2%. Brown-Forman pays out 42.0% of its earnings in the form of a dividend.

Summary

Diageo beats Brown-Forman on 11 of the 17 factors compared between the two stocks.