Brown & Brown, Inc. markets and sells insurance products and services in the United States, Bermuda, Canada, Cayman Islands, Ireland, and the United Kingdom. More Details
Solid track record with adequate balance sheet and pays a dividend.
Share Price & News
How has Brown & Brown's share price performed over time and what events caused price changes?
Latest Share Price and Events
Stable Share Price: BRO is less volatile than 75% of US stocks over the past 3 months, typically moving +/- 3% a week.
Volatility Over Time: BRO's weekly volatility (3%) has been stable over the past year.
7 Day Return
1 Year Return
Return vs Industry: BRO underperformed the US Insurance industry which returned 43.2% over the past year.
Return vs Market: BRO underperformed the US Market which returned 53.8% over the past year.
Long-Term Price Volatility Vs. Market
How volatile is Brown & Brown's share price compared to the market and industry in the last 5 years?
Simply Wall St News
2 weeks ago | Simply Wall StHow Much Are Brown & Brown, Inc. (NYSE:BRO) Insiders Taking Off The Table?
1 month ago | Simply Wall StAre Strong Financial Prospects The Force That Is Driving The Momentum In Brown & Brown, Inc.'s NYSE:BRO) Stock?
1 month ago | Simply Wall StInvestors Who Bought Brown & Brown (NYSE:BRO) Shares Five Years Ago Are Now Up 173%
Is Brown & Brown undervalued compared to its fair value and its price relative to the market?
Price to Earnings (PE) ratio
Share Price vs. Fair Value
Below Fair Value: BRO ($49.55) is trading above our estimate of fair value ($27.29)
Significantly Below Fair Value: BRO is trading above our estimate of fair value.
Price To Earnings Ratio
PE vs Industry: BRO is poor value based on its PE Ratio (29.2x) compared to the US Insurance industry average (14.8x).
PE vs Market: BRO is poor value based on its PE Ratio (29.2x) compared to the US market (22.4x).
Price to Earnings Growth Ratio
PEG Ratio: BRO is poor value based on its PEG Ratio (4.3x)
Price to Book Ratio
PB vs Industry: BRO is overvalued based on its PB Ratio (3.7x) compared to the US Insurance industry average (1.1x).
How is Brown & Brown forecast to perform in the next 1 to 3 years based on estimates from 8 analysts?
Forecasted annual earnings growth
Earnings and Revenue Growth Forecasts
Analyst Future Growth Forecasts
Earnings vs Savings Rate: BRO's forecast earnings growth (6.7% per year) is above the savings rate (2%).
Earnings vs Market: BRO's earnings (6.7% per year) are forecast to grow slower than the US market (17.9% per year).
High Growth Earnings: BRO's earnings are forecast to grow, but not significantly.
Revenue vs Market: BRO's revenue (7.6% per year) is forecast to grow slower than the US market (9.3% per year).
High Growth Revenue: BRO's revenue (7.6% per year) is forecast to grow slower than 20% per year.
Earnings per Share Growth Forecasts
Future Return on Equity
Future ROE: BRO's Return on Equity is forecast to be low in 3 years time (12%).
How has Brown & Brown performed over the past 5 years?
Historical annual earnings growth
Earnings and Revenue History
Quality Earnings: BRO has high quality earnings.
Growing Profit Margin: BRO's current net profit margins (18.4%) are higher than last year (16.7%).
Past Earnings Growth Analysis
Earnings Trend: BRO's earnings have grown by 13.4% per year over the past 5 years.
Accelerating Growth: BRO's earnings growth over the past year (20.4%) exceeds its 5-year average (13.4% per year).
Earnings vs Industry: BRO earnings growth over the past year (20.4%) exceeded the Insurance industry -9.8%.
Return on Equity
High ROE: BRO's Return on Equity (12.8%) is considered low.
How is Brown & Brown's financial position?
Financial Position Analysis
Short Term Liabilities: BRO's short term assets ($3.0B) exceed its short term liabilities ($2.4B).
Long Term Liabilities: BRO's short term assets ($3.0B) exceed its long term liabilities ($2.9B).
Debt to Equity History and Analysis
Debt Level: BRO's debt to equity ratio (55.8%) is considered high.
Reducing Debt: BRO's debt to equity ratio has increased from 53.2% to 55.8% over the past 5 years.
Debt Coverage: BRO's debt is well covered by operating cash flow (34.4%).
Interest Coverage: BRO's interest payments on its debt are well covered by EBIT (12x coverage).
What is Brown & Brown current dividend yield, its reliability and sustainability?
Current Dividend Yield
Dividend Yield vs Market
Notable Dividend: BRO's dividend (0.75%) isn’t notable compared to the bottom 25% of dividend payers in the US market (1.24%).
High Dividend: BRO's dividend (0.75%) is low compared to the top 25% of dividend payers in the US market (3.46%).
Stability and Growth of Payments
Stable Dividend: BRO's dividends per share have been stable in the past 10 years.
Growing Dividend: BRO's dividend payments have increased over the past 10 years.
Current Payout to Shareholders
Dividend Coverage: With its low payout ratio (20.5%), BRO's dividend payments are well covered by earnings.
Future Payout to Shareholders
Future Dividend Coverage: BRO's dividends in 3 years are forecast to be well covered by earnings (20.2% payout ratio).
How experienced are the management team and are they aligned to shareholders interests?
Average management tenure
J. Brown (52 yo)
Mr. J. Powell Brown, CPCU, has been the Chief Executive Officer of Brown & Brown Inc. since July 1, 2009 and has been its President since January 2007. Mr. Brown is responsible for all the operations of Br...
CEO Compensation Analysis
Compensation vs Market: J.'s total compensation ($USD7.25M) is below average for companies of similar size in the US market ($USD11.16M).
Compensation vs Earnings: J.'s compensation has increased by more than 20% in the past year.
Experienced Management: BRO's management team is seasoned and experienced (7.3 years average tenure).
Experienced Board: BRO's board of directors are seasoned and experienced ( 14.3 years average tenure).
Who are the major shareholders and have insiders been buying or selling?
Insider Trading Volume
Insider Buying: BRO insiders have bought more shares than they have sold in the past 3 months.
Recent Insider Transactions
Dilution of Shares: Shareholders have not been meaningfully diluted in the past year.
Brown & Brown, Inc.'s company bio, employee growth, exchange listings and data sources
- Name: Brown & Brown, Inc.
- Ticker: BRO
- Exchange: NYSE
- Founded: 1939
- Industry: Insurance Brokers
- Sector: Insurance
- Market Cap: US$14.037b
- Shares outstanding: 283.49m
- Website: https://www.bbinsurance.com
Number of Employees
- Brown & Brown, Inc.
- 300 North Beach Street
- Daytona Beach
- United States
Brown & Brown, Inc. markets and sells insurance products and services in the United States, Bermuda, Canada, Cayman Islands, Ireland, and the United Kingdom. It operates through four segments: Retail, Nati...
Company Analysis and Financial Data Status
|Data||Last Updated (UTC time)|
|Company Analysis||2021/04/18 23:38|
|End of Day Share Price||2021/04/16 00:00|
Unless specified all financial data is based on a yearly period but updated quarterly. This is known as Trailing Twelve Month (TTM) or Last Twelve Month (LTM) Data. Learn more here.