BRO Stock Analysis: Brown & Brown | NYSE
Insurance Brokers | NYSE, USA | Market Cap: 21.767m USD | 12M Return: -35% | Charts, Fundamentals & Technical Analysis
Avg Turnover: 186M
EPS Trend: 97.7%
Qual. Beats: 0
Rev. Trend: 95.7%
Qual. Beats: 0
Warnings
Tailwinds
Seasonality 10.5 years of data
How good or bad each month usually is (without trend). The score below shows how much you can trust it: 0 = pure chance, >40 gets interesting and >55 is strong.
Brown & Brown, Inc. (NYSE: BRO) is a U.S.-headquartered insurance brokerage founded in 1939 and based in Daytona Beach, Florida, that markets and sells insurance products and services across the United States, the United Kingdom, and other international markets. The company operates through two reportable segments: Retail and Specialty Distribution, generating revenue primarily through commissions and fees paid by insurance carriers for policies placed on behalf of clients.
The Retail segment delivers property and casualty, employee benefits, and personal insurance products, alongside risk management, loss control, consultancy, and claims processing services, and also extends into non-insurance offerings via automobile and recreational vehicle dealer services. It serves commercial, public and quasi-public entities, professional, and individual customers.
The Specialty Distribution segment combines wholesale brokerage with specialty businesses, placing professional liability and package insurance for professions such as dentistry, legal, eyecare, physicians, and real estate title, as well as wedding, event, medical facility, and cyber coverages. This segment also provides public entity and specialty programs through independent agents, program management services for carrier partners, and excess and surplus lines underwriting under the Arrowhead Programs brand.
- Specialty Distribution organic growth outpaces Retail segment
- Bolt-on M&A activity accelerates with insurance broker consolidation
- Commercial P&C rate softening pressures commission revenue growth
| Net Income: 1.15b TTM > 0 and > 6% of Revenue |
| FCF/TA: 0.05 > 0.02 and ΔFCF/TA -2.72 > 1.0 |
| NWC/Revenue: 2.16% < 20% (prev 20.50%; Δ -18.34% < -1%) |
| CFO/TA 0.05 > 3% & CFO 1.50b > Net Income 1.15b |
| Net Debt (7.29b) to EBITDA (2.16b): 3.38 < 3 |
| Current Ratio: 1.02 > 1.5 & < 3 |
| Outstanding Shares: last quarter (339.0m) vs 12m ago 18.95% < -2% |
| Gross Margin: 59.38% > 18% (prev 48.94%; Δ 10.44% > 0.5%) |
| Asset Turnover: 27.66% > 50% (prev 28.72%; Δ -1.06% > 0%) |
| Interest Coverage Ratio: 4.83 > 6 (EBIT TTM 1.73b / Interest Expense TTM 358.0m) |
| A: 0.00 (Total Current Assets 8.46b - Total Current Liabilities 8.32b) / Total Assets 29.7b |
| B: 0.25 (Retained Earnings 7.36b / Total Assets 29.7b) |
| C: 0.07 (EBIT TTM 1.73b / Avg Total Assets 23.2b) |
| D: 0.74 (Book Value of Equity 12.6b / Total Liabilities 17.1b) |
| Altman-Z'' = 2.11 = BBB |
| DSRI: 0.89 (Receivables 3.15b/2.67b, Revenue 6.42b/4.81b) |
| GMI: 0.82 (GM 48.94% / 59.38%) |
| AQI: 1.14 (AQ_t 0.70 / AQ_t-1 0.62) |
| SGI: 1.33 (Revenue 6.42b / 4.81b) |
| TATA: -0.01 (NI 1.15b - CFO 1.50b) / TA 29.7b) |
| Beneish M = -2.96 (Cap -4..+1) = A |
As of July 04, 2026, the stock is trading at USD 70.00 with a total of 2,383,200 shares traded. Over the past week, the price has changed by +15.07%, over one month by +26.95%, over three months by +5.54% and over the past year by -35.03%.
Current recommended Stop Loss: 67.00 (which is 4.3% or 1.5 ATR below the current price).
Brown & Brown has received a consensus analysts rating of 3.58. Therefore, it is recommended to hold BRO.
- StrongBuy: 3
- Buy: 2
- Hold: 6
- Sell: 1
- StrongSell: 0
| Analysts Target Price | 71.5 | 2.1% |
P/E Trailing = 20.9186
P/E Forward = 13.2626
P/S = 3.4783
P/B = 1.6378
P/EG = 1.5098
Revenue TTM = 6.42b USD
EBIT TTM = 1.73b USD
EBITDA TTM = 2.16b USD
Long Term Debt = 6.58b USD (from longTermDebt, last quarter)
Short Term Debt = 1.24b USD (from shortTermDebt, last quarter)
Debt = 8.30b USD (from shortLongTermDebtTotal, last quarter) + Leases 238.0m
Net Debt = 7.29b USD (calculated: Debt 8.30b - CCE 1.00b)
Enterprise Value = 29.1b USD (21.8b + Debt 8.30b - CCE 1.00b)
Interest Coverage Ratio = 4.83 (Ebit TTM 1.73b / Interest Expense TTM 358.0m)
EV/FCF = 19.70x (Enterprise Value 29.1b / FCF TTM 1.48b)
FCF Yield = 5.08% (FCF TTM 1.48b / Enterprise Value 29.1b)
FCF Margin = 22.96% (FCF TTM 1.48b / Revenue TTM 6.42b)
Net Margin = 17.87% (Net Income TTM 1.15b / Revenue TTM 6.42b)
Gross Margin = 59.38% ((Revenue TTM 6.42b - Cost of Revenue TTM 2.61b) / Revenue TTM)
Gross Margin QoQ = 52.29% (prev 83.82%)
Tobins Q-Ratio = 0.98 (Enterprise Value 29.1b / Total Assets 29.7b)
Interest Expense / Debt = 4.31% (Interest Expense 358.0m / Debt 8.30b)
Taxrate = 21.61% (319.0m / 1.48b)
NOPAT = 1.36b (EBIT 1.73b * (1 - 21.61%))
Current Ratio = 1.02 (Total Current Assets 8.46b / Total Current Liabilities 8.32b)
Debt / Equity = 0.66 (Debt 8.30b / totalStockholderEquity, last quarter 12.6b)
Debt / EBITDA = 3.38 (Net Debt 7.29b / EBITDA 2.16b)
Debt / FCF = 4.95 (Net Debt 7.29b / FCF TTM 1.48b)
Total Stockholder Equity = 12.3b (last 4 quarters mean from totalStockholderEquity)
RoA = 4.94% (Net Income 1.15b / Total Assets 29.7b)
RoE = 9.35% (Net Income TTM 1.15b / Total Stockholder Equity 12.3b)
RoCE = 9.17% (EBIT 1.73b / Capital Employed (Equity 12.3b + L.T.Debt 6.58b))
RoIC = 6.08% (NOPAT 1.36b / Invested Capital 22.3b)
WACC = 4.89% (E(21.8b)/V(30.1b) * Re(5.47%) + D(8.30b)/V(30.1b) * Rd(4.31%) * (1-Tc(0.22)))
Discount Rate = 5.47% (= CAPM, Blume Beta Adj.)
Shares (quarterly) Correlation: 95.45 | Cagr: 8.54%
[DCF] Terminal Value 77.90% ; FCFF base≈1.40b ; Y1≈1.60b ; Y5≈2.33b
[DCF] Fair Price = 81.94 (EV 35.1b - Net Debt 7.29b = Equity 27.8b / Shares 338.9m; r=8.35% [WACC [floored]]; 5y FCF grow 14.52% → 2.50% )
EPS Correlation: 97.75 | EPS CAGR: 23.42% | SUE: 0.75 | # QB: 0
Revenue Correlation: 95.68 | Revenue CAGR: 16.98% | SUE: 0.35 | # QB: 0
EPS current Quarter (2026-09-30): EPS=1.08 | Chg30d=-0.18% | Revisions=-38% | Analysts=17
EPS current Year (2026-12-31): EPS=4.50 | Chg30d=-0.03% | Revisions=-33% | GrowthEPS=+5.6% | GrowthRev=+19.5%
EPS next Year (2027-12-31): EPS=4.87 | Chg30d=-0.17% | Revisions=-56% | GrowthEPS=+8.2% | GrowthRev=+5.2%
[Analyst] Revisions Ratio: -56%