Brown & Brown, Inc. (NYSE:BRO) Receives Consensus Recommendation of "Hold" from Brokerages

Key Points

• Brown & Brown, Inc. has received a consensus rating of "Hold" from analysts, with one sell recommendation, seven holds, and seven buys among the fifteen analysts covering the stock.
• The company announced a $0.15 quarterly dividend, representing a 0.6% yield, with a payout ratio of 17.29% and a recent dividend paid on August 20th.
• In the latest quarterly earnings report, Brown & Brown reported $1.03 earnings per share, exceeding estimates, with a 9.1% year-over-year revenue increase to $1.29 billion.

Brown & Brown, Inc. (NYSE:BRO - Get Free Report) has been assigned a consensus rating of "Hold" from the fifteen analysts that are presently covering the stock, Marketbeat reports. One analyst has rated the stock with a sell recommendation, seven have given a hold recommendation and seven have assigned a buy recommendation to the company. The average 1 year price target among brokerages that have issued a report on the stock in the last year is $112.6429.

A number of brokerages have weighed in on BRO. Truist Financial set a $120.00 price objective on Brown & Brown in a research note on Wednesday, July 30th. Wall Street Zen cut Brown & Brown from a "hold" rating to a "sell" rating in a research note on Saturday, August 16th. Barclays reduced their price objective on Brown & Brown from $111.00 to $108.00 and set an "equal weight" rating for the company in a research note on Tuesday, July 29th. Raymond James Financial reiterated an "outperform" rating and issued a $120.00 price objective (down previously from $125.00) on shares of Brown & Brown in a research note on Monday, August 4th. Finally, Bank of America upgraded Brown & Brown from a "neutral" rating to a "buy" rating and boosted their price objective for the company from $126.00 to $130.00 in a research note on Wednesday, July 30th.

Brown & Brown Price Performance

BRO stock opened at $96.3590 on Friday. The business has a 50 day moving average price of $102.29 and a 200 day moving average price of $110.14. The stock has a market cap of $31.78 billion, a price-to-earnings ratio of 27.77, a PEG ratio of 2.20 and a beta of 0.78. Brown & Brown has a fifty-two week low of $90.38 and a fifty-two week high of $125.68. The company has a quick ratio of 6.72, a current ratio of 6.72 and a debt-to-equity ratio of 0.64.

Brown & Brown (NYSE:BRO - Get Free Report) last posted its earnings results on Monday, July 28th. The financial services provider reported $1.03 earnings per share for the quarter, topping the consensus estimate of $0.99 by $0.04. The firm had revenue of $1.29 billion during the quarter, compared to analysts' expectations of $1.28 billion. Brown & Brown had a return on equity of 15.10% and a net margin of 19.89%.The firm's revenue was up 9.1% compared to the same quarter last year. During the same quarter in the previous year, the business earned $0.93 earnings per share. Equities research analysts anticipate that Brown & Brown will post 4.18 earnings per share for the current fiscal year.

Brown & Brown Announces Dividend

The business also recently announced a quarterly dividend, which was paid on Wednesday, August 20th. Stockholders of record on Wednesday, August 13th were issued a $0.15 dividend. The ex-dividend date of this dividend was Wednesday, August 13th. This represents a $0.60 dividend on an annualized basis and a dividend yield of 0.6%. Brown & Brown's payout ratio is presently 17.29%.

Insider Buying and Selling

In related news, Director Paul J. Krump bought 2,678 shares of the company's stock in a transaction dated Friday, August 8th. The shares were acquired at an average price of $93.31 per share, with a total value of $249,884.18. Following the completion of the acquisition, the director owned 5,353 shares in the company, valued at approximately $499,488.43. This trade represents a 100.11% increase in their position. The transaction was disclosed in a filing with the Securities & Exchange Commission, which is accessible through this hyperlink. Also, Director Bronislaw Edmund Masojada bought 1,000 shares of the company's stock in a transaction dated Wednesday, August 6th. The stock was bought at an average cost of $91.44 per share, for a total transaction of $91,440.00. Following the acquisition, the director owned 5,000 shares of the company's stock, valued at approximately $457,200. This trade represents a 25.00% increase in their position. The disclosure for this purchase can be found here. Insiders own 17.02% of the company's stock.

Institutional Inflows and Outflows

A number of institutional investors have recently modified their holdings of BRO. Cim LLC raised its position in Brown & Brown by 6.8% in the second quarter. Cim LLC now owns 27,225 shares of the financial services provider's stock worth $3,018,000 after acquiring an additional 1,730 shares in the last quarter. Hudson Bay Capital Management LP purchased a new position in Brown & Brown in the second quarter worth $325,000. Nomura Holdings Inc. raised its position in Brown & Brown by 80.7% in the second quarter. Nomura Holdings Inc. now owns 13,554 shares of the financial services provider's stock worth $1,503,000 after acquiring an additional 6,052 shares in the last quarter. CYBER HORNET ETFs LLC purchased a new position in Brown & Brown in the second quarter worth $68,000. Finally, Headlands Technologies LLC purchased a new position in Brown & Brown in the second quarter worth $100,000. Institutional investors and hedge funds own 71.01% of the company's stock.

Brown & Brown Company Profile

Brown & Brown, Inc is an insurance agency, wholesale brokerage, insurance program and service organization. It engages in the provision of insurance brokerage services and casualty insurance underwriting services. It operates through the following segments: Retail, National Programs, Wholesale Brokerage, and Services.

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