Brown Forman shares: Great turnaround potential despite record year - is it worth investing?

Brown Forman shares: Great turnaround potential despite record year - is it worth investing?

According to a report by www.aktienwelt360.de,

Despite a promising record year, the shares of the US company Brown-Forman are trading well below their previous high. The company is well positioned and was able to impress with an increase in sales and profits in the second quarter of the 2024 financial year. Nevertheless, it did not meet the expectations of market participants and revised the forecast for the full year downwards slightly. Due to this development, the share price is 14% below its price at the beginning of January and 32% below its previous high.

Brown-Forman shares currently have a P/E ratio of 27 and the dividend yield is 1.57%. Despite promising prospects for the company, the stock is currently valued lower than expected. However, market analysis suggests that a net profit of over $1 billion could be achieved as early as 2025, which would make the stock more attractive again.

Despite the positive outlook for Brown-Forman, the stock's current valuation is considered low. A possible stock recovery and upward movement is likely once market expectations are met. Demand for the company's products continues to increase, and the outlook for the coming year is promising.

It remains to be seen whether Brown-Forman can meet expectations and the stock will move upwards again. Investors will follow further developments with interest.