Brown-Forman Corporation (BF-B): Enough With The Jack Daniel's, Says Jim Cramer

We recently published 11 Fresh Stocks Jim Cramer Talked About While Discussing AI-Led “American Renaissance”. Brown-Forman Corporation (NYSE:BF-B) is one of the stocks Jim Cramer recently discussed.

Brown-Forman Corporation (NYSE:BF-B) is one of the largest alcoholic beverage companies in the world. Cramer used to discuss the stock frequently in his morning show during the year’s first quarter. Back then, the CNBC TV host held the opinion that Brown-Forman Corporation (NYSE:BF-B) had dropped the ball on its iconic Jack Daniel’s whiskey. The firm’s shares have lost 25% year-to-date on the back of a disastrous 17.9% drop in June after the firm’s latest quarterly report missed analyst revenue and EPS estimates. Brown-Forman Corporation (NYSE:BF-B)’s $894 million in revenue missed $967 million in analyst estimates, while its $0.31 EPS also fell short of the $0.34 in estimates. Crucially, the firm also indicated that its revenue and income would fall during fiscal year 2026. This time, Cramer discussed potential European action against Brown-Forman Corporation (NYSE:BF-B):

“In the meantime, Europe is tough. What do they want to go after? They want to go after Jack Daniel’s. I mean enough already with the Jack Daniel’s.”

The CNBC host analyzed Brown-Forman Corporation (NYSE:BF-B) in detail after the firm’s earnings report. Here’s what he said:

“But the worst one, Brown-Forman, the maker of Jack Daniel’s, which reported a truly terrible quarter. Although if you read the press release propaganda, you might have thought everything’s fabulous. Of course, when you look at the stock, which plummeted nearly 18% today, you’ll notice that it finished even worse than Tesla stock, which is saying something given the war of words between Elon Musk and President Trump, one of the worst spitball competitions I have ever seen.

The conference call for Brown-Forman, which used to be a terrific investment, was surreal. They took whatever they could find that was at all good, and there wasn’t much, and that’s all they really wanted to talk about. You think this whole company is Woodford Reserve, which was the best-performing liquor. Of course, the analysts weren’t buying it, not one bit…

There’s the brand issue. Somehow, Jack Daniel’s just isn’t selling as, the way as it used to. Hey, by the way, same goes for their biggest tequilas, like el Jimador and Herradura, two mainstays that both declined 13% in the fiscal year that just ended in April.

It’s not their forte or a needle mover, but those are horrendous numbers. After all, one of the few bright spots in the entire liquor business is the agave spirit, and yes, think margarita, but it’s not so bright for Brown-Forman. Amazing. As badly as they’re doing in whiskey, they’re actually doing worse in tequila. Wait, there’s a silver lining: Whiting points out in the call that spirits continue to take share from beer and wine.”

While we acknowledge the potential of BF-B as an investment, our conviction lies in the belief that some AI stocks hold greater promise for delivering higher returns and have limited downside risk. If you are looking for an extremely cheap AI stock that is also a major beneficiary of Trump tariffs and onshoring, see our free report on the best short-term AI stock.

READ NEXT: 30 Stocks That Should Double in 3 Years and 11 Hidden AI Stocks to Buy Right Now.

Disclosure: None. This article is originally published at Insider Monkey.