Brown & Brown, Inc. $BRO Stock: Kestra Advisory Services LLC Increases Position

Key Points

• Kestra Advisory Services increased its Brown & Brown stake by 5,724.4% in the third quarter, ending the period with 383,594 shares valued at about $23.4 million. Institutional investors collectively owned 71.01% of the company.
• Brown & Brown’s latest quarterly results slightly missed estimates: EPS was $1.07 versus $1.08 expected, and revenue was $1.70 billion versus $1.76 billion expected, though revenue rose 7.4% year over year. The company raised its quarterly dividend from $0.165 to $0.18 per share.
• Analysts’ consensus rating was Hold, with an average price target of $75.47; views ranged from a Sell to a Strong Buy.

Kestra Advisory Services LLC lifted its stake in Brown & Brown, Inc. (NYSE:BRO - Free Report) by 5,724.4% in the 3rd quarter, according to the company in its most recent filing with the Securities and Exchange Commission. The institutional investor owned 383,594 shares of the financial services provider's stock after acquiring an additional 377,008 shares during the period. Kestra Advisory Services LLC owned 0.12% of Brown & Brown worth $23,361,000 at the end of the most recent quarter.

Several other large investors have also recently made changes to their positions in BRO. Commonwealth Equity Services LLC grew its position in shares of Brown & Brown by 190.7% in the 3rd quarter. Commonwealth Equity Services LLC now owns 387,291 shares of the financial services provider's stock worth $25,938,000 after buying an additional 254,065 shares during the last quarter. Chicago Partners Investment Group LLC bought a new position in shares of Brown & Brown during the 3rd quarter worth approximately $236,000. Rakuten Investment Management Inc. lifted its position in Brown & Brown by 8.8% during the third quarter. Rakuten Investment Management Inc. now owns 51,673 shares of the financial services provider's stock valued at $3,131,000 after acquiring an additional 4,161 shares during the last quarter. Provenance Wealth Advisors LLC purchased a new stake in Brown & Brown during the third quarter valued at approximately $58,000. Finally, Cortland Associates Inc. MO lifted its position in Brown & Brown by 98.1% during the third quarter. Cortland Associates Inc. MO now owns 353,820 shares of the financial services provider's stock valued at $21,548,000 after acquiring an additional 175,188 shares during the last quarter. 71.01% of the stock is owned by institutional investors.

Brown & Brown Price Performance

Shares of NYSE:BRO opened at $71.99 on Friday. Brown & Brown, Inc. has a twelve month low of $53.81 and a twelve month high of $82.57. The company's 50 day moving average is $66.99 and its 200 day moving average is $66.67. The company has a current ratio of 1.96, a quick ratio of 1.96 and a debt-to-equity ratio of 0.58. The company has a market cap of $23.88 billion, a PE ratio of 22.78, a price-to-earnings-growth ratio of 2.37 and a beta of 0.52.

Brown & Brown (NYSE:BRO - Get Free Report) last announced its quarterly earnings data on Monday, October 26th. The financial services provider reported $1.07 EPS for the quarter, missing the consensus estimate of $1.08 by ($0.01). The business had revenue of $1.70 billion for the quarter, compared to analyst estimates of $1.76 billion. Brown & Brown had a net margin of 17.63% and a return on equity of 13.29%. The business's revenue was up 7.4% on a year-over-year basis. During the same quarter in the previous year, the firm posted $1.05 earnings per share. On average, sell-side analysts forecast that Brown & Brown, Inc. will post 4.44 EPS for the current year.

Brown & Brown Increases Dividend

The business also recently disclosed a quarterly dividend, which will be paid on Wednesday, November 11th. Shareholders of record on Wednesday, November 4th will be given a $0.18 dividend. The ex-dividend date is Wednesday, November 4th. This represents a $0.72 annualized dividend and a yield of 1.0%. This is a boost from Brown & Brown's previous quarterly dividend of $0.1650. Brown & Brown's payout ratio is currently 22.78%.

Analyst Ratings Changes

Several equities analysts have issued reports on the stock. Citigroup cut their price target on shares of Brown & Brown from $79.00 to $76.00 and set a "neutral" rating on the stock in a report on Wednesday, October 28th. Truist Financial decreased their price objective on Brown & Brown from $90.00 to $85.00 and set a "buy" rating for the company in a report on Wednesday, October 28th. BMO Capital Markets raised their price objective on Brown & Brown from $73.00 to $74.00 and gave the stock a "market perform" rating in a research report on Wednesday, July 29th. Oppenheimer assumed coverage on Brown & Brown in a research note on Wednesday, October 7th. They set an "outperform" rating and a $73.00 target price on the stock. Finally, UBS Group reduced their target price on Brown & Brown from $73.00 to $72.00 and set a "neutral" rating on the stock in a research report on Monday, November 2nd. One equities research analyst has rated the stock with a Strong Buy rating, six have given a Buy rating, thirteen have issued a Hold rating and one has issued a Sell rating to the stock. According to MarketBeat, the company currently has an average rating of "Hold" and an average price target of $75.47.

Brown & Brown Profile

Brown & Brown, Inc is an insurance brokerage and risk management company that helps businesses, public entities and individuals assess and manage risk. Its services include arranging property and casualty insurance, employee benefits and personal insurance, as well as providing risk management and related services.

The company serves clients through retail insurance operations, national insurance programs, wholesale brokerage and insurance-related services. It operates primarily in the United States and also serves clients in international markets.

Founded in 1939 in Daytona Beach, Florida, Brown & Brown has grown through organic expansion and acquisitions.

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