Brown & Brown (NYSE:BRO) Price Target Cut to $82.00 by Analysts at Barclays

Brown & Brown (NYSE:BRO) had its price objective trimmed by Barclays from $83.00 to $82.00 in a report published on Tuesday morning,Benzinga reports. The brokerage currently has an equal weight rating on the financial services provider’s stock.

A number of other research firms also recently commented on BRO. JPMorgan Chase & Co. assumed coverage on Brown & Brown in a research report on Thursday, December 18th. They set a “neutral” rating and a $91.00 target price on the stock. UBS Group decreased their price objective on shares of Brown & Brown from $120.00 to $106.00 and set a “neutral” rating on the stock in a research report on Wednesday, October 8th. BMO Capital Markets restated a “market perform” rating on shares of Brown & Brown in a report on Tuesday, December 30th. Morgan Stanley cut their target price on shares of Brown & Brown from $95.00 to $85.00 and set an “equal weight” rating for the company in a research report on Monday, November 17th. Finally, Truist Financial lowered their price target on shares of Brown & Brown from $114.00 to $105.00 and set a “buy” rating on the stock in a research report on Thursday, January 15th. Four investment analysts have rated the stock with a Buy rating, fourteen have given a Hold rating and one has issued a Sell rating to the company’s stock. According to data from MarketBeat.com, the stock presently has an average rating of “Hold” and a consensus target price of $98.13.

Brown & Brown Stock Down 6.9%

BRO stock opened at $74.09 on Tuesday. The company has a current ratio of 2.10, a quick ratio of 2.10 and a debt-to-equity ratio of 0.62. The company’s 50-day moving average price is $79.74 and its 200 day moving average price is $87.88. Brown & Brown has a 52 week low of $73.10 and a 52 week high of $125.68. The company has a market cap of $25.30 billion, a P/E ratio of 23.15, a P/E/G ratio of 1.86 and a beta of 0.81.

Brown & Brown (NYSE:BRO) last posted its quarterly earnings results on Monday, January 26th. The financial services provider reported $0.93 earnings per share (EPS) for the quarter, beating analysts’ consensus estimates of $0.91 by $0.02. The company had revenue of $1.61 billion during the quarter, compared to the consensus estimate of $1.65 billion. Brown & Brown had a net margin of 17.84% and a return on equity of 13.65%. The company’s revenue for the quarter was up 35.7% on a year-over-year basis. During the same period last year, the firm earned $0.86 EPS. On average, research analysts expect that Brown & Brown will post 4.18 earnings per share for the current fiscal year.

Brown & Brown Dividend Announcement

The firm also recently declared a quarterly dividend, which will be paid on Wednesday, February 11th. Shareholders of record on Wednesday, February 4th will be paid a $0.165 dividend. This represents a $0.66 dividend on an annualized basis and a yield of 0.9%. The ex-dividend date of this dividend is Wednesday, February 4th. Brown & Brown’s dividend payout ratio (DPR) is presently 19.76%.

Institutional Inflows and Outflows

A number of institutional investors and hedge funds have recently modified their holdings of the stock. Ticino Wealth purchased a new stake in Brown & Brown in the fourth quarter valued at approximately $644,000. Evergreen Capital Management LLC purchased a new stake in shares of Brown & Brown during the 4th quarter valued at $244,000. Revisor Wealth Management LLC increased its holdings in shares of Brown & Brown by 6.1% during the 4th quarter. Revisor Wealth Management LLC now owns 4,764 shares of the financial services provider’s stock worth $383,000 after buying an additional 274 shares during the last quarter. Zurcher Kantonalbank Zurich Cantonalbank increased its holdings in shares of Brown & Brown by 0.8% during the 4th quarter. Zurcher Kantonalbank Zurich Cantonalbank now owns 72,951 shares of the financial services provider’s stock worth $5,814,000 after buying an additional 591 shares during the last quarter. Finally, Tokio Marine Asset Management Co. Ltd. boosted its holdings in Brown & Brown by 7.6% in the fourth quarter. Tokio Marine Asset Management Co. Ltd. now owns 11,721 shares of the financial services provider’s stock valued at $934,000 after acquiring an additional 826 shares during the last quarter. Institutional investors and hedge funds own 71.01% of the company’s stock.

Key Stories Impacting Brown & Brown

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

• Positive Sentiment: Adjusted earnings and operating performance: Brown & Brown reported Diluted Net Income Per Share — Adjusted of $0.93 (up YoY) and higher EBITDAC / adjusted margins, which beat some expectations and supports the company’s operating story. Zacks: Q4 Earnings Beat
• Positive Sentiment: Strong top‑line (acquisition‑driven) growth: Total revenues rose ~35.7% YoY to about $1.6B, driven largely by acquisitions (Accession/RSC) which materially increased scale and fee income. Press Release
• Neutral Sentiment: Earnings call/transcript available — management reiterated growth from acquisitions but signaled margin pressure and integration items; read the call highlights and transcript for management tone and any forward comments. TipRanks: Call Highlights
• Neutral Sentiment: Investor commentary/valuation views: Some value‑oriented writeups see a deeper discount after the pullback, noting long‑term strengths in the brokerage model. Seeking Alpha
• Neutral Sentiment: Company news: the firm announced the passing of its Chief Legal Officer — a human resources / governance item investors will note but is not a primary driver of the price move. Press Release
• Negative Sentiment: Revenue shortfall vs. Street: Reported revenue (~$1.61B) came in below several consensus estimates (~$1.65–1.67B), prompting the immediate market reaction and headlines that shares fell on a revenue miss. MarketWatch
• Negative Sentiment: Weak organic growth and GAAP EPS compression: Organic revenue declined ~2.8% in Q4 and GAAP diluted EPS fell to $0.59 (year‑over‑year decline), which raises concern about core‑business momentum absent acquisitions. Quiver / Press Summary
• Negative Sentiment: Higher leverage and integration costs: The Accession acquisition added goodwill, intangibles and long‑term debt; investors are weighing integration costs, acquisition earn‑outs and higher interest expense. Reuters
• Negative Sentiment: Analyst reactions: Banks trimmed targets/ratings (Barclays lowered to $82 / equal‑weight; Bank of America cut target to $90 / neutral), which adds near‑term selling pressure. Benzinga: Analyst Moves

Brown & Brown Company 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.