Capital International Investors Buys Shares of 4,663,165 Brown & Brown, Inc. $BRO

Key Points

• Capital International Investors disclosed a new stake in Brown & Brown, buying 4,663,165 shares in the fourth quarter worth about $371.7 million. The position represented roughly 1.37% of the company.
• Brown & Brown reported better-than-expected quarterly earnings, with EPS of $1.39 versus the $1.36 estimate and revenue of $1.90 billion versus $1.89 billion expected. Revenue rose 35.4% year over year.
• The company also paid a quarterly dividend of $0.165, or $0.66 annualized, yielding about 1.1%. Analysts currently have a consensus rating of Hold with a price target of $79.44.

Capital International Investors bought a new stake in Brown & Brown, Inc. (NYSE:BRO - Free Report) in the 4th quarter, according to its most recent filing with the Securities and Exchange Commission (SEC). The firm bought 4,663,165 shares of the financial services provider's stock, valued at approximately $371,654,000. Capital International Investors owned about 1.37% of Brown & Brown at the end of the most recent quarter.

Several other large investors have also recently bought and sold shares of BRO. Basepoint Wealth LLC bought a new position in Brown & Brown in the fourth quarter valued at about $27,000. Darwin Wealth Management LLC bought a new position in Brown & Brown in the second quarter valued at about $30,000. Board of the Pension Protection Fund bought a new position in Brown & Brown in the fourth quarter valued at about $40,000. Maseco LLP bought a new position in Brown & Brown in the fourth quarter valued at about $60,000. Finally, eCIO Inc. bought a new position in Brown & Brown in the fourth quarter valued at about $67,000. 71.01% of the stock is currently owned by institutional investors.

Insider Buying and Selling at Brown & Brown

In other Brown & Brown news, Director H Palmer Proctor, Jr. acquired 2,000 shares of the stock in a transaction dated Tuesday, May 5th. The stock was purchased at an average cost of $57.10 per share, with a total value of $114,200.00. Following the transaction, the director owned 47,621 shares in the company, valued at approximately $2,719,159.10. The trade was a 4.38% increase in their position. The acquisition was disclosed in a filing with the SEC, which is available at this hyperlink. Company insiders own 13.13% of the company's stock.

Brown & Brown Stock Down 0.0%

Shares of BRO opened at $58.85 on Monday. The company has a market capitalization of $19.95 billion, a PE ratio of 18.92, a PEG ratio of 2.71 and a beta of 0.63. Brown & Brown, Inc. has a 12 month low of $53.81 and a 12 month high of $111.51. The stock's 50-day moving average price is $61.63 and its two-hundred day moving average price is $70.50. The company has a current ratio of 1.64, a quick ratio of 1.64 and a debt-to-equity ratio of 0.52.

Brown & Brown (NYSE:BRO - Get Free Report) last announced its earnings results on Monday, April 27th. The financial services provider reported $1.39 EPS for the quarter, topping the consensus estimate of $1.36 by $0.03. The firm had revenue of $1.90 billion for the quarter, compared to the consensus estimate of $1.89 billion. Brown & Brown had a return on equity of 12.94% and a net margin of 17.94%.The business's quarterly revenue was up 35.4% compared to the same quarter last year. During the same period in the previous year, the business earned $1.29 EPS. On average, analysts anticipate that Brown & Brown, Inc. will post 4.51 EPS for the current year.

Brown & Brown Announces Dividend

The firm also recently disclosed a quarterly dividend, which was paid on Wednesday, May 20th. Stockholders of record on Monday, May 11th were given a $0.165 dividend. The ex-dividend date of this dividend was Monday, May 11th. This represents a $0.66 annualized dividend and a dividend yield of 1.1%. Brown & Brown's dividend payout ratio (DPR) is 21.22%.

Analysts Set New Price Targets

BRO has been the subject of several research reports. Citizens Jmp initiated coverage on Brown & Brown in a research report on Thursday, May 21st. They issued a "market outperform" rating and a $70.00 target price for the company. Truist Financial dropped their target price on Brown & Brown from $100.00 to $90.00 and set a "buy" rating for the company in a research report on Wednesday, April 29th. Wells Fargo & Company cut their target price on Brown & Brown from $72.00 to $69.00 and set an "equal weight" rating on the stock in a report on Wednesday, April 29th. Royal Bank Of Canada cut their target price on Brown & Brown from $76.00 to $72.00 and set a "sector perform" rating on the stock in a report on Wednesday, April 29th. Finally, Morgan Stanley cut their target price on Brown & Brown from $65.00 to $60.00 and set an "equal weight" rating on the stock in a report on Thursday, May 21st. Five investment analysts have rated the stock with a Buy rating and fourteen have assigned a Hold rating to the stock. Based on data from MarketBeat, Brown & Brown has a consensus rating of "Hold" and a consensus price target of $79.44.

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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