Zacks Research Predicts Reduced Earnings for Brown & Brown

Brown & Brown, Inc. (NYSE:BRO) – Equities research analysts at Zacks Research lowered their Q4 2026 earnings per share (EPS) estimates for shares of Brown & Brown in a report released on Thursday, October 16th. Zacks Research analyst Team now expects that the financial services provider will post earnings of $1.08 per share for the quarter, down from their prior forecast of $1.11. The consensus estimate for Brown & Brown’s current full-year earnings is $4.18 per share.

Brown & Brown (NYSE:BRO) last released its earnings results on Monday, July 28th. The financial services provider reported $1.03 EPS for the quarter, topping analysts’ consensus estimates of $0.99 by $0.04. Brown & Brown had a return on equity of 15.10% and a net margin of 19.89%.The company had revenue of $1.29 billion for the quarter, compared to analysts’ expectations of $1.28 billion. During the same period in the previous year, the business posted $0.93 EPS. The business’s revenue for the quarter was up 9.1% compared to the same quarter last year.

A number of other research analysts have also weighed in on the company. Keefe, Bruyette & Woods reduced their target price on Brown & Brown from $104.00 to $87.00 and set an “underperform” rating for the company in a report on Thursday, July 31st. Weiss Ratings lowered Brown & Brown from a “buy (b-)” rating to a “hold (c+)” rating in a research note on Wednesday, October 8th. Wall Street Zen raised Brown & Brown from a “sell” rating to a “hold” rating in a research note on Saturday, September 20th. Truist Financial set a $120.00 price target on Brown & Brown in a research note on Wednesday, July 30th. Finally, Bank of America raised Brown & Brown from a “neutral” rating to a “buy” rating and raised their price objective for the company from $126.00 to $130.00 in a research report on Wednesday, July 30th. Seven equities research analysts have rated the stock with a Buy rating, eight have issued a Hold rating and one has assigned a Sell rating to the company. Based on data from MarketBeat.com, the stock has a consensus rating of “Hold” and an average target price of $109.92.

Brown & Brown Trading Up 0.4%

Shares of Brown & Brown stock opened at $87.79 on Friday. The company has a debt-to-equity ratio of 0.64, a quick ratio of 6.72 and a current ratio of 6.72. The stock has a market capitalization of $28.96 billion, a P/E ratio of 25.30, a P/E/G ratio of 1.97 and a beta of 0.79. Brown & Brown has a 52-week low of $87.26 and a 52-week high of $125.68. The stock’s 50-day simple moving average is $94.26 and its 200 day simple moving average is $103.92.

Brown & Brown Dividend Announcement

The business also recently disclosed a quarterly dividend, which was paid on Wednesday, August 20th. Stockholders of record on Wednesday, August 13th were given a dividend of $0.15 per share. This represents a $0.60 dividend on an annualized basis and a dividend yield of 0.7%. The ex-dividend date of this dividend was Wednesday, August 13th. Brown & Brown’s payout ratio is presently 17.29%.

Insider Transactions at Brown & Brown

In other Brown & Brown news, Director Paul J. Krump purchased 2,678 shares of the stock in a transaction that occurred on Friday, August 8th. The shares were bought at an average cost of $93.31 per share, with a total value of $249,884.18. Following the acquisition, the director owned 5,353 shares in the company, valued at approximately $499,488.43. This trade represents a 100.11% increase in their ownership of the stock. The purchase was disclosed in a document filed with the Securities & Exchange Commission, which is available through this link. Also, Director Bronislaw Edmund Masojada purchased 1,000 shares of the stock in a transaction that occurred on Wednesday, August 6th. The stock was acquired at an average cost of $91.44 per share, for a total transaction of $91,440.00. Following the completion of the acquisition, the director owned 5,000 shares in the company, valued at $457,200. This represents a 25.00% increase in their position. The disclosure for this purchase can be found here. 17.02% of the stock is owned by insiders.

Hedge Funds Weigh In On Brown & Brown

Several large investors have recently modified their holdings of BRO. Bares Capital Management Inc. bought a new position in Brown & Brown in the 1st quarter valued at $26,000. ST Germain D J Co. Inc. lifted its stake in shares of Brown & Brown by 298.5% during the 2nd quarter. ST Germain D J Co. Inc. now owns 267 shares of the financial services provider’s stock worth $30,000 after purchasing an additional 200 shares during the last quarter. Darwin Wealth Management LLC purchased a new stake in shares of Brown & Brown during the 2nd quarter worth $30,000. Optimum Investment Advisors purchased a new stake in Brown & Brown in the first quarter valued at about $31,000. Finally, SouthState Corp raised its stake in Brown & Brown by 188.6% in the first quarter. SouthState Corp now owns 254 shares of the financial services provider’s stock valued at $32,000 after buying an additional 166 shares during the last quarter. Institutional investors own 71.01% of the company’s stock.

About Brown & Brown

Brown & Brown, Inc is an insurance agency, wholesale brokerage, insurance program and service organization. It engages in the provision of insurance brokerage services and casualty insurance underwriting services. It operates through the following segments: Retail, National Programs, Wholesale Brokerage, and Services.