Bank of New York Mellon Corp Acquires 51,959 Shares of Brown & Brown, Inc. $BRO

Bank of New York Mellon Corp lifted its holdings in shares of Brown & Brown, Inc. (NYSE:BRO) by 3.8% during the 3rd quarter, according to its most recent disclosure with the Securities and Exchange Commission. The firm owned 1,420,814 shares of the financial services provider’s stock after purchasing an additional 51,959 shares during the quarter. Bank of New York Mellon Corp owned 0.42% of Brown & Brown worth $133,258,000 as of its most recent SEC filing.

Other hedge funds and other institutional investors also recently made changes to their positions in the company. Access Investment Management LLC bought a new position in Brown & Brown in the 2nd quarter valued at approximately $1,109,000. Invesco Ltd. grew its stake in shares of Brown & Brown by 1.1% during the second quarter. Invesco Ltd. now owns 4,166,370 shares of the financial services provider’s stock worth $461,925,000 after buying an additional 46,235 shares during the last quarter. Sumitomo Mitsui Trust Group Inc. increased its holdings in shares of Brown & Brown by 30.6% during the second quarter. Sumitomo Mitsui Trust Group Inc. now owns 760,893 shares of the financial services provider’s stock worth $84,360,000 after buying an additional 178,082 shares in the last quarter. Quadrature Capital Ltd bought a new position in shares of Brown & Brown in the 2nd quarter valued at $1,635,000. Finally, AMF Tjanstepension AB bought a new position in shares of Brown & Brown in the 2nd quarter valued at $6,798,000. 71.01% of the stock is currently owned by institutional investors and hedge funds.

Key Brown & Brown News

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

• Positive Sentiment: Keefe, Bruyette & Woods upgraded BRO from “underperform” to “market perform” (price target lowered to $73), a sign some analysts view downside as limited after recent weakness. Article Title
• Positive Sentiment: Argus upgraded the stock to a “hold,” which could provide modest support as some investors interpret upgrades as a floor for further selling. Article Title
• Neutral Sentiment: Q4 results were mixed: EPS $0.93 beat consensus $0.91, while revenue of $1.61B missed estimates (~$1.65B). EPS growth was solid year-over-year, but the revenue miss and management commentary appear to have prompted downward revisions from some analysts.
• Negative Sentiment: Bank of America lowered its long-term earnings outlook and cut its price target to $90 (from $94), citing Q4 results as the catalyst for lower forward assumptions—this reduces analyst confidence in near-term growth. Article Title
• Negative Sentiment: Mizuho lowered its expectations for BRO, further signaling analyst skepticism about upside following Q4. Article Title
• Negative Sentiment: Morgan Stanley cut its price target to $78 (now equal weight), reducing the consensus view of upside and suggesting more limited near-term appreciation. Article Title
• Negative Sentiment: BMO Capital Markets lowered its price target to $81 and placed a “market perform” rating, another downward revision tightening analyst price expectations. Article Title
• Negative Sentiment: Pomerantz LLP announced an investor investigation into Brown & Brown, which raises legal/settlement risk and can pressure the stock while the probe proceeds. Article Title
• Negative Sentiment: Coverage noted BRO reached a new 12-month low after recent analyst downgrades, reflecting the cumulative impact of cuts and the investigation on investor sentiment. Article Title

Analyst Upgrades and Downgrades

BRO has been the topic of a number of research reports. Keefe, Bruyette & Woods upgraded Brown & Brown from an “underperform” rating to a “market perform” rating and reduced their price objective for the stock from $80.00 to $73.00 in a research report on Thursday. Jefferies Financial Group reduced their price target on Brown & Brown from $89.00 to $84.00 and set a “hold” rating on the stock in a report on Wednesday. Mizuho lowered their price objective on Brown & Brown from $90.00 to $84.00 and set a “neutral” rating for the company in a research note on Wednesday. Wells Fargo & Company cut their target price on shares of Brown & Brown from $84.00 to $82.00 and set an “equal weight” rating on the stock in a research report on Wednesday. Finally, Truist Financial decreased their price target on shares of Brown & Brown from $105.00 to $100.00 and set a “buy” rating for the company in a research report on Wednesday. Three investment analysts have rated the stock with a Buy rating and fifteen have issued a Hold rating to the stock. According to data from MarketBeat, the company has a consensus rating of “Hold” and a consensus price target of $90.64.

Brown & Brown Stock Down 0.0%

Brown & Brown stock opened at $72.09 on Friday. The firm has a market cap of $24.61 billion, a price-to-earnings ratio of 22.53, a PEG ratio of 2.17 and a beta of 0.81. Brown & Brown, Inc. has a 52-week low of $71.32 and a 52-week high of $125.68. The company has a debt-to-equity ratio of 0.55, a quick ratio of 2.10 and a current ratio of 1.67. The firm has a 50 day moving average price of $79.29 and a two-hundred day moving average price of $87.28.

Brown & Brown (NYSE:BRO) last posted its quarterly earnings data on Monday, January 26th. The financial services provider reported $0.93 earnings per share for the quarter, topping 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 company had revenue of $1.61 billion during the quarter, compared to analysts’ expectations of $1.65 billion. During the same period in the prior year, the company posted $0.86 earnings per share. Brown & Brown’s revenue for the quarter was up 35.7% compared to the same quarter last year. Equities analysts predict that Brown & Brown, Inc. will post 4.18 EPS for the current year.

Brown & Brown Dividend Announcement

The firm also recently disclosed a quarterly dividend, which will be paid on Wednesday, February 11th. Stockholders of record on Wednesday, February 4th will be given a $0.165 dividend. The ex-dividend date of this dividend is Wednesday, February 4th. This represents a $0.66 annualized dividend and a dividend yield of 0.9%. Brown & Brown’s dividend payout ratio (DPR) is 20.63%.

Brown & Brown Profile

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.