Baird Financial Group Inc. Trims Position in Broadridge Financial Solutions, Inc. $BR

Key Points

• Baird Financial Group cut its Broadridge Financial Solutions stake by 8.6% in the second quarter, selling 28,342 shares and retaining 302,218 shares worth about $41.4 million. Institutional investors collectively own approximately 90.03% of the company.
• Broadridge exceeded quarterly expectations, reporting $3.82 in EPS and $2.22 billion in revenue, with revenue up 7.5% year over year. Analysts expect approximately $10.54 in EPS for the current year.
• The company increased its quarterly dividend to $1.09 per share, or $4.36 annually, representing a 2.6% yield. Analysts maintain a “Moderate Buy” consensus rating with an average price target of $216.

Baird Financial Group Inc. decreased its holdings in shares of Broadridge Financial Solutions, Inc. (NYSE:BR - Free Report) by 8.6% during the 2nd quarter, according to its most recent disclosure with the Securities & Exchange Commission. The fund owned 302,218 shares of the business services provider's stock after selling 28,342 shares during the quarter. Baird Financial Group Inc. owned about 0.27% of Broadridge Financial Solutions worth $41,389,000 as of its most recent SEC filing.

Other hedge funds and other institutional investors have also made changes to their positions in the company. California State Teachers Retirement System lifted its holdings in shares of Broadridge Financial Solutions by 13,091.8% during the 2nd quarter. California State Teachers Retirement System now owns 26,629,243 shares of the business services provider's stock worth $3,646,875,000 after acquiring an additional 26,427,381 shares during the period. BlackRock Inc. acquired a new stake in shares of Broadridge Financial Solutions in the second quarter worth approximately $1,473,918,000. Jupiter Topco LLC purchased a new stake in Broadridge Financial Solutions in the second quarter valued at approximately $261,852,000. Norges Bank purchased a new stake in Broadridge Financial Solutions in the fourth quarter valued at approximately $346,304,000. Finally, The Manufacturers Life Insurance Company acquired a new position in Broadridge Financial Solutions during the second quarter worth approximately $197,921,000. Hedge funds and other institutional investors own 90.03% of the company's stock.

Broadridge Financial Solutions Stock Down 0.4%

Shares of NYSE:BR opened at $167.96 on Thursday. The company has a debt-to-equity ratio of 1.15, a quick ratio of 1.24 and a current ratio of 1.24. Broadridge Financial Solutions, Inc. has a 1 year low of $133.83 and a 1 year high of $255.74. The stock has a market capitalization of $19.15 billion, a P/E ratio of 17.46 and a beta of 0.90. The stock has a 50-day simple moving average of $163.06 and a 200-day simple moving average of $160.29.

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

Broadridge Financial Solutions Increases Dividend

The business also recently disclosed a quarterly dividend, which will be paid on Monday, October 5th. Shareholders of record on Thursday, September 3rd will be given a $1.09 dividend. This represents a $4.36 annualized dividend and a yield of 2.6%. This is a boost from Broadridge Financial Solutions's previous quarterly dividend of $0.97. The ex-dividend date of this dividend is Thursday, September 3rd. Broadridge Financial Solutions's dividend payout ratio is 45.32%.

Analyst Upgrades and Downgrades

A number of equities analysts have weighed in on BR shares. Weiss Ratings reaffirmed a "hold (c-)" rating on shares of Broadridge Financial Solutions in a research note on Friday, August 7th. Royal Bank Of Canada boosted their price objective on shares of Broadridge Financial Solutions from $225.00 to $226.00 and gave the company an "outperform" rating in a research note on Monday, August 31st. UBS Group restated a "neutral" rating and set a $180.00 price objective on shares of Broadridge Financial Solutions in a report on Monday, August 17th. Finally, Morgan Stanley increased their target price on Broadridge Financial Solutions from $169.00 to $176.00 and gave the stock an "equal weight" rating in a research report on Thursday, August 6th. Four equities research analysts have rated the stock with a Buy rating and four have given a Hold rating to the stock. According to MarketBeat.com, the company currently has a consensus rating of "Moderate Buy" and a consensus price target of $216.00.

Broadridge Financial Solutions Company Profile

Broadridge Financial Solutions, Inc NYSE: BR is a global financial technology company that provides technology, communications and data solutions to financial services firms, public companies and other organizations. Its services support critical business processes across the financial markets, including investor communications, securities processing, capital markets operations and wealth management.

The company's offerings include proxy and regulatory communications, shareholder communications, trading and operations platforms, portfolio and order management tools, and technology for banks, broker-dealers, asset managers and wealth managers.

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