Brown & Brown, Inc. (NYSE:BRO) Stock Has Consensus Target Price of $76.00

Shares of Brown & Brown, Inc. (NYSE:BRO) have earned an average rating of “Hold” from the twenty-one research firms that are currently covering the company, Marketbeat reports. One equities research analyst has rated the stock with a sell recommendation, twelve have issued a hold recommendation, seven have given a buy recommendation and one has assigned a strong buy recommendation to the company. The average 12 month price objective among brokers that have issued ratings on the stock in the last year is $76.00.

BRO has been the subject of several recent analyst reports. JPMorgan Chase & Co. raised their target price on Brown & Brown from $80.00 to $83.00 and gave the stock a “neutral” rating in a research report on Thursday, October 1st. The Goldman Sachs Group lifted their price target on Brown & Brown from $62.00 to $70.00 and gave the company a “neutral” rating in a report on Wednesday, July 1st. Royal Bank Of Canada reiterated a “sector perform” rating on shares of Brown & Brown in a report on Wednesday, July 29th. Citizens Jmp decreased their target price on shares of Brown & Brown from $78.00 to $75.00 and set a “market outperform” rating for the company in a research report on Monday, October 12th. Finally, Truist Financial set a $90.00 price target on shares of Brown & Brown in a research note on Wednesday, July 29th.

Brown & Brown News Summary

Here are the key news stories impacting Brown & Brown this week:

• Positive Sentiment: Third-quarter revenue increased 7.4% year over year to $1.725 billion, while net income rose 5.7% to $240 million. Adjusted EPS reached $1.07, up from $1.05, and nine-month revenue grew 23.4% to $5.3 billion. Brown & Brown third-quarter results
• Positive Sentiment: Management is targeting $175 million of annualized net EBITDAC synergies by the end of 2028 from the Accession acquisition, potentially supporting future profitability if integration proceeds as planned. Brown & Brown synergy and growth outlook
• Neutral Sentiment: The company said it expects 2027 retail organic growth of 2% to 4%. That would represent improvement from the latest quarter but still indicates a relatively moderate outlook for core growth. Brown & Brown 2027 outlook
• Negative Sentiment: Adjusted EPS of $1.07 fell short of the $1.08 consensus estimate, while revenue of $1.70 billion missed expectations of $1.76 billion. Organic revenue growth was only 1.2%, suggesting acquisitions accounted for much of the reported expansion. Why Brown & Brown stock is trading lower
• Negative Sentiment: Profitability weakened: adjusted EBITDAC margin declined to 34.6% from 36.6%, and pretax margin fell to 18.6% from 19.4%. Acquisition and integration expenses, softer specialty markets, and pressure from moderating insurance pricing contributed to investor concerns. BRO earnings miss and margin pressure

Brown & Brown Trading Down 4.9%

Brown & Brown stock opened at $67.57 on Wednesday. The firm has a 50 day simple moving average of $67.22 and a 200-day simple moving average of $67.03. Brown & Brown has a 12-month low of $53.81 and a 12-month high of $86.75.

Brown & Brown (NYSE:BRO) last issued its quarterly earnings results on Monday, October 26th. The financial services provider reported $1.07 earnings per share (EPS) for the quarter, missing the consensus estimate of $1.08 by ($0.01). The firm had revenue of $1.70 billion during the quarter, compared to the consensus estimate of $1.76 billion. During the same quarter in the previous year, the business posted $1.05 EPS. The business’s revenue for the quarter was up 7.4% compared to the same quarter last year. As a group, equities analysts predict that Brown & Brown will post 4.49 EPS for the current year.

Brown & Brown Increases Dividend

The company also recently declared 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. This represents a $0.72 dividend on an annualized basis and a yield of 1.1%. This is a boost from Brown & Brown’s previous quarterly dividend of $0.1650. The ex-dividend date is Wednesday, November 4th.

Institutional Inflows and Outflows

Several institutional investors and hedge funds have recently modified their holdings of BRO. Equitable Trust Co. grew its holdings in shares of Brown & Brown by 1.7% during the first quarter. Equitable Trust Co. now owns 10,901 shares of the financial services provider’s stock worth $711,000 after purchasing an additional 182 shares during the last quarter. CX Institutional raised its holdings in shares of Brown & Brown by 3.1% in the third quarter. CX Institutional now owns 6,242 shares of the financial services provider’s stock valued at $380,000 after buying an additional 189 shares during the last quarter. Financial Enhancement Group LLC raised its holdings in shares of Brown & Brown by 3.0% in the first quarter. Financial Enhancement Group LLC now owns 8,969 shares of the financial services provider’s stock valued at $607,000 after buying an additional 261 shares during the last quarter. Patton Fund Management Inc. lifted its position in Brown & Brown by 10.6% during the 1st quarter. Patton Fund Management Inc. now owns 3,123 shares of the financial services provider’s stock worth $204,000 after buying an additional 299 shares in the last quarter. Finally, Cetera Investment Advisers lifted its position in Brown & Brown by 0.9% during the 1st quarter. Cetera Investment Advisers now owns 36,804 shares of the financial services provider’s stock worth $2,400,000 after buying an additional 311 shares in the last quarter. 71.01% of the stock is owned by institutional investors and hedge funds.

About Brown & Brown

Brown & Brown, Inc is an insurance brokerage and risk management company headquartered in Daytona Beach, Florida. The company helps businesses, public entities, individuals and other organizations identify, manage and transfer risk by arranging insurance coverage and providing related advisory services.

Its operations include retail insurance brokerage, national programs, wholesale brokerage and services. Brown & Brown offers property and casualty insurance, employee benefits, personal insurance, surety and other specialized coverage.