5 Best Alcohol Stocks To Buy Heading Into 2023

3. Brown-Forman Corporation (NYSE:BF-B)

Number of Hedge Fund Holders: 28

Brown-Forman Corporation (NYSE:BF-B) is a Kentucky-based company that manufactures, distills, bottles, and sells various alcoholic beverages. It provides spirits, wines, whiskey spirits, ready-to-drink and ready-to-pour products, vodkas, tequilas, champagnes, brandy, bourbons, and liqueurs. Brown-Forman Corporation (NYSE:BF-B) on October 6 announced an agreement to purchase the Diplomático Rum brand from Spain’s Destillers United Group S.L. The new brand will be added to Brown-Forman Corporation (NYSE:BF-B)’s spirits portfolio. 

On October 10, Wedbush analyst Gerald Pascarelli initiated coverage of Brown-Forman Corporation (NYSE:BF-B) with a Neutral rating and a $70 price target as part of a broader research note on Alcoholic Beverages. The company is well positioned to capitalize on long-term industry dynamics, including spirits share gains and relative outperformance for bourbon, but he is cautious on the short-term setup, the analyst wrote in a research note.

According to Insider Monkey’s data, 28 hedge funds were bullish on Brown-Forman Corporation (NYSE:BF-B) at the end of June 2022, compared to 33 funds in the earlier quarter. Terry Smith’s Fundsmith LLP is the largest position holder in the company, with 12.2 million shares worth nearly $857 million.