Brown & Brown (NYSE:BRO) Price Target Cut to $72.00 by Analysts at Wells Fargo & Company

Key Points

• Wells Fargo cut its price target on Brown & Brown from $78 to $72 and kept an "equal weight" rating, one of several recent downgrades by brokers; the consensus analyst target remains higher at $84.87 and the stock's consensus rating is "Hold."
• Brown & Brown shares traded at $67.38 mid-day (near its one‑year low of $63.29) with a market cap of $22.94B and a P/E of 21.04, trading below its 200‑day moving average of $78.15.
• Q1 results showed EPS of $0.93 beating estimates of $0.91 while revenue of $1.61B slightly missed the $1.65B forecast, with revenue up 35.7% year‑over‑year and analysts projecting ~4.18 EPS for the fiscal year.

Brown & Brown (NYSE:BRO - Get Free Report) had its price target dropped by investment analysts at Wells Fargo & Company from $78.00 to $72.00 in a research note issued on Thursday,Benzinga reports. The firm presently has an "equal weight" rating on the financial services provider's stock. Wells Fargo & Company's target price indicates a potential upside of 6.86% from the stock's previous close.

Several other brokerages have also issued reports on BRO. The Goldman Sachs Group dropped their target price on shares of Brown & Brown from $82.00 to $73.00 and set a "neutral" rating for the company in a research report on Wednesday. Bank of America dropped their target price on shares of Brown & Brown from $94.00 to $90.00 and set a "neutral" rating for the company in a research report on Tuesday, January 27th. UBS Group reiterated a "neutral" rating and set a $81.00 target price (down from $90.00) on shares of Brown & Brown in a research report on Thursday, January 29th. Argus upgraded shares of Brown & Brown to a "hold" rating in a research report on Tuesday, January 27th. Finally, Weiss Ratings reissued a "hold (c)" rating on shares of Brown & Brown in a research note on Monday, December 29th. Four analysts have rated the stock with a Buy rating and fifteen have given a Hold rating to the company's stock. According to MarketBeat, the company currently has an average rating of "Hold" and a consensus price target of $84.87.

Brown & Brown Price Performance

Brown & Brown stock traded down $0.38 during mid-day trading on Thursday, hitting $67.38. 162,239 shares of the company traded hands, compared to its average volume of 3,410,903. Brown & Brown has a one year low of $63.29 and a one year high of $121.70. The stock has a market cap of $22.94 billion, a price-to-earnings ratio of 21.04, a price-to-earnings-growth ratio of 1.66 and a beta of 0.83. The company has a debt-to-equity ratio of 0.55, a quick ratio of 1.66 and a current ratio of 1.66. The stock has a fifty day moving average price of $68.92 and a 200-day moving average price of $78.15.

Brown & Brown (NYSE:BRO - Get Free Report) last announced its earnings results on Monday, January 26th. The financial services provider reported $0.93 earnings per share (EPS) for the quarter, beating the consensus estimate of $0.91 by $0.02. Brown & Brown had a net margin of 17.84% and a return on equity of 12.93%. The business had revenue of $1.61 billion during the quarter, compared to analyst estimates of $1.65 billion. During the same period in the previous year, the business posted $0.86 earnings per share. Brown & Brown's revenue for the quarter was up 35.7% on a year-over-year basis. On average, equities analysts predict that Brown & Brown will post 4.18 earnings per share for the current fiscal year.

Institutional Inflows and Outflows

Large investors have recently made changes to their positions in the business. Darwin Wealth Management LLC purchased a new position in shares of Brown & Brown during the second quarter worth approximately $30,000. Cornerstone Planning Group LLC increased its stake in shares of Brown & Brown by 423.1% in the third quarter. Cornerstone Planning Group LLC now owns 272 shares of the financial services provider's stock worth $26,000 after buying an additional 220 shares during the period. Basepoint Wealth LLC purchased a new position in shares of Brown & Brown in the fourth quarter worth $27,000. DV Equities LLC purchased a new position in shares of Brown & Brown in the fourth quarter worth $33,000. Finally, Migdal Insurance & Financial Holdings Ltd. purchased a new position in shares of Brown & Brown in the second quarter worth $49,000. 71.01% of the stock is owned by hedge funds and other institutional investors.

About Brown & Brown

Brown & Brown, Inc NYSE: BRO is a professional insurance brokerage and risk advisory firm that provides a broad range of property and casualty, employee benefits, personal risk, and specialty insurance products. The company works with commercial, public sector and individual clients to design and place insurance programs, manage claims and loss control, and deliver risk management consulting. Its services also include wholesale brokerage, program administration and other specialty distribution solutions that connect carriers and intermediaries to niche markets.

Brown & Brown operates through a decentralized model of operating units and subsidiaries, enabling local client service with the scale to access national and specialty markets.

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