Brown & Brown (NYSE:BRO) Stock Rating Upgraded by TD Cowen

Brown & Brown (NYSE:BRO) was upgraded by research analysts at TD Cowen to a “strong-buy” rating in a research report issued on Monday, Zacks reports.

A number of other brokerages have also recently issued reports on BRO. Weiss Ratings raised Brown & Brown from a “sell (d+)” rating to a “hold (c-)” rating in a report on Wednesday, August 19th. Jefferies Financial Group reaffirmed a “hold” rating on shares of Brown & Brown in a report on Wednesday, July 29th. Keefe, Bruyette & Woods raised shares of Brown & Brown from an “underperform” rating to an “outperform” rating and set a $77.00 target price on the stock in a report on Monday. Citizens Jmp dropped 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. Finally, UBS Group reissued a “neutral” rating and set a $73.00 price target (up from $65.00) on shares of Brown & Brown in a report on Wednesday, July 8th. One investment analyst has rated the stock with a Strong Buy rating, seven have issued a Buy rating, twelve have assigned a Hold rating and one has issued a Sell rating to the company. Based on data from MarketBeat.com, Brown & Brown currently has a consensus rating of “Hold” and an average price target of $76.00.

Brown & Brown Trading Up 0.8%

Shares of BRO opened at $64.15 on Monday. Brown & Brown has a 1 year low of $53.81 and a 1 year high of $95.25. The company has a current ratio of 2.11, a quick ratio of 2.11 and a debt-to-equity ratio of 0.58. The stock has a 50 day simple moving average of $67.43 and a 200-day simple moving average of $64.85. The stock has a market cap of $21.46 billion, a PE ratio of 20.24, a PEG ratio of 1.89 and a beta of 0.60.

Brown & Brown (NYSE:BRO) last announced its quarterly earnings results on Monday, July 27th. The financial services provider reported $1.07 EPS for the quarter, missing the consensus estimate of $1.08 by ($0.01). Brown & Brown had a net margin of 17.75% and a return on equity of 13.17%. The company had revenue of $1.65 billion during the quarter, compared to analyst estimates of $1.71 billion. During the same period in the prior year, the firm earned $1.03 EPS. Brown & Brown’s quarterly revenue was up 30.4% compared to the same quarter last year. On average, sell-side analysts predict that Brown & Brown will post 4.49 EPS for the current fiscal year.

Hedge Funds Weigh In On Brown & Brown

A number of institutional investors and hedge funds have recently bought and sold shares of the business. BlackRock Inc. bought a new position in Brown & Brown during the 2nd quarter worth approximately $1,418,571,000. Deutsche Bank AG acquired a new position in Brown & Brown during the second quarter valued at approximately $266,941,000. Bank of America Corp DE bought a new stake in Brown & Brown in the second quarter valued at approximately $228,051,000. Madison Asset Management LLC bought a new stake in Brown & Brown in the second quarter valued at approximately $138,630,000. Finally, Bank of New York Mellon Corp bought a new stake in Brown & Brown in the second quarter valued at approximately $88,589,000. Institutional investors and hedge funds own 71.01% of the company’s stock.

Key Headlines Impacting Brown & Brown

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

• Positive Sentiment: TD Cowen initiated coverage of Brown & Brown with a Buy rating, arguing the insurance broker could be positioned for an upward re-rating. The new bullish view is the clearest positive catalyst in the latest coverage. TD Cowen initiates coverage of Brown & Brown with buy
• Positive Sentiment: Citizens JMP lowered its price target to $75 from $78 but retained a Market Outperform rating, implying meaningful potential upside from the recent trading level. Brown & Brown given new $75 price target at Citizens JMP
• Neutral Sentiment: Wells Fargo reduced its price target to $68 from $69 and maintained an Equal Weight rating. The target remains above the recent price, but the cut indicates limited analyst conviction. Brown & Brown given new $68 price target at Wells Fargo
• Neutral Sentiment: Brown & Brown is expanding its talent pipeline by placing 16 graduates across six regional offices in a three-year professional insurance training program. The initiative supports longer-term growth but is unlikely to materially affect near-term earnings. Brown & Brown graduate training program
• Negative Sentiment: BofA cut its price target to $81 from $87 while keeping a Neutral rating, reflecting a more cautious view of valuation or near-term performance. BofA adjusts Brown & Brown price target
• Negative Sentiment: Recent commentary questions whether insurer payments and other items may be masking weakness in Brown & Brown’s core brokerage operations. That raises concerns about the durability of underlying business performance despite the company’s long-term insurance-sector positioning. Brown & Brown core business analysis

About Brown & Brown

Brown & Brown, Inc is an independent insurance brokerage, risk management and employee benefits firm headquartered in Daytona Beach, Florida. The company helps businesses, public entities and individuals identify, manage and transfer risk through insurance placement, risk consulting and related services.

Its offerings include property and casualty insurance, employee benefits, personal insurance, surety products, risk management services and specialized insurance programs. Brown & Brown also operates wholesale brokerage businesses that provide coverage solutions and access to insurance markets for retail agents and brokers, including products designed for specialty and hard-to-place risks.

Founded in 1939 by J.