Broadridge Financial Solutions, Inc. (NYSE:BR) Given Consensus Recommendation of "Moderate Buy" by Brokerages

Key Points

• Analysts maintain a “Moderate Buy” consensus on Broadridge, split evenly between four buy and four hold ratings, with an average 12-month price target of $213.71.
• Broadridge beat quarterly expectations, reporting $3.82 in adjusted EPS versus the $3.76 consensus and $2.22 billion in revenue, up 7.5% year over year.
• The company increased its quarterly dividend to $1.09 per share, equivalent to a $4.36 annualized payout and a 2.5% yield; institutional investors own about 90% of outstanding shares.

Broadridge Financial Solutions, Inc. (NYSE:BR - Get Free Report) has been assigned a consensus recommendation of "Moderate Buy" from the eight ratings firms that are covering the stock, MarketBeat.com reports. Four research analysts have rated the stock with a hold recommendation and four have assigned a buy recommendation to the company. The average 12 month target price among brokerages that have issued a report on the stock in the last year is $213.7143.

Several equities analysts have recently issued reports on BR shares. Royal Bank Of Canada lifted their price target on Broadridge Financial Solutions from $200.00 to $225.00 and gave the company an "outperform" rating in a research report on Wednesday, August 5th. Morgan Stanley upped their price objective on Broadridge Financial Solutions from $169.00 to $176.00 and gave the company an "equal weight" rating in a report on Thursday, August 6th. DA Davidson decreased their target price on Broadridge Financial Solutions from $228.00 to $214.00 and set a "buy" rating for the company in a research note on Tuesday, May 5th. UBS Group dropped their price target on shares of Broadridge Financial Solutions from $250.00 to $165.00 and set a "neutral" rating on the stock in a research report on Monday, May 4th. Finally, Weiss Ratings reissued a "hold (c-)" rating on shares of Broadridge Financial Solutions in a report on Friday, August 7th.

Insider Buying and Selling

In related news, insider Hope M. Jarkowski sold 1,966 shares of the firm's stock in a transaction that occurred on Thursday, June 4th. The shares were sold at an average price of $155.00, for a total transaction of $304,730.00. Following the completion of the sale, the insider directly owned 1 shares in the company, valued at approximately $155. This trade represents a 99.95% decrease in their ownership of the stock. The sale was disclosed in a filing with the SEC, which is available at the SEC website. 1.10% of the stock is currently owned by corporate insiders.

Institutional Investors Weigh In On Broadridge Financial Solutions

A number of institutional investors and hedge funds have recently modified their holdings of the stock. BlackRock Inc. purchased a new position in Broadridge Financial Solutions in the 2nd quarter worth about $1,473,918,000. State Street Corp lifted its stake in Broadridge Financial Solutions by 6.7% during the fourth quarter. State Street Corp now owns 5,994,841 shares of the business services provider's stock valued at $1,343,572,000 after buying an additional 375,699 shares in the last quarter. Geode Capital Management LLC boosted its holdings in shares of Broadridge Financial Solutions by 0.4% in the fourth quarter. Geode Capital Management LLC now owns 3,354,869 shares of the business services provider's stock worth $746,062,000 after buying an additional 12,524 shares during the period. Barclays PLC boosted its holdings in shares of Broadridge Financial Solutions by 1.8% in the fourth quarter. Barclays PLC now owns 2,007,968 shares of the business services provider's stock worth $448,118,000 after buying an additional 35,169 shares during the period. Finally, Northern Trust Corp increased its position in shares of Broadridge Financial Solutions by 6.6% in the third quarter. Northern Trust Corp now owns 1,711,824 shares of the business services provider's stock worth $407,705,000 after acquiring an additional 105,696 shares in the last quarter. 90.03% of the stock is owned by institutional investors and hedge funds.

Broadridge Financial Solutions Trading Up 1.7%

Shares of NYSE:BR opened at $172.17 on Friday. The company has a 50 day moving average of $149.54 and a 200-day moving average of $161.45. The company has a current ratio of 1.24, a quick ratio of 1.24 and a debt-to-equity ratio of 1.15. The firm has a market cap of $19.63 billion, a P/E ratio of 17.90 and a beta of 0.87. Broadridge Financial Solutions has a twelve month low of $133.83 and a twelve month high of $265.37.

Broadridge Financial Solutions (NYSE:BR - Get Free Report) last posted its quarterly earnings data on Tuesday, August 4th. The business services provider reported $3.82 EPS for the quarter, beating analysts' consensus estimates of $3.76 by $0.06. The business had revenue of $2.22 billion for the quarter, compared to analyst estimates of $2.17 billion. Broadridge Financial Solutions had a net margin of 15.04% and a return on equity of 40.25%. The business's revenue for the quarter was up 7.5% on a year-over-year basis. During the same quarter last year, the business earned $3.55 earnings per share. Broadridge Financial Solutions has set its FY 2027 guidance at 10.370-10.750 EPS. As a group, analysts anticipate that Broadridge Financial Solutions will post 10.54 earnings per share for the current fiscal year.

Broadridge Financial Solutions Increases Dividend

The firm also recently announced a quarterly dividend, which will be paid on Monday, October 5th. Investors of record on Thursday, September 3rd will be issued a $1.09 dividend. This represents a $4.36 dividend on an annualized basis and a dividend yield of 2.5%. The ex-dividend date is Thursday, September 3rd. This is an increase from Broadridge Financial Solutions's previous quarterly dividend of $0.97. Broadridge Financial Solutions's payout ratio is presently 40.54%.

About Broadridge Financial Solutions

Broadridge Financial Solutions is a global fintech company that provides technology-driven solutions and outsourcing services to the financial services industry. The firm's core offerings center on investor communications, securities processing and post-trade services, and technology platforms that support capital markets and wealth management operations. Broadridge positions itself as a provider of mission-critical infrastructure that helps financial institutions manage regulatory requirements, investor engagement and operational complexity.

Products and services include proxy and shareholder communications, investor disclosure and digital communications, proxy voting and tabulation, clearing and settlement support, trade processing and reconciliation, and a range of software-as-a-service platforms for wealth and asset managers.

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