In the first quarter of 2023, Brown Brothers Harriman & Co. significantly increased its holdings in Brown & Brown, Inc. (NYSE:BRO), a financial services provider. According to its 13F filing with the Securities and Exchange Commission, Brown Brothers Harriman & Co. acquired an additional 74,872 shares, resulting in a growth of their stock ownership by a staggering 398.6%. As of the most recent SEC filing, the firm’s holdings in Brown & Brown amounted to 93,656 shares valued at $5,378,000.
Recently on August 26th, it was announced that Brown & Brown released its quarterly earnings data for the period ending July 25th. The financial services provider reported earnings per share (EPS) of $0.68 for the quarter, surpassing the consensus estimate of $0.60 by $0.08. Furthermore, they generated revenue of $1.05 billion during this time frame, exceeding analyst expectations set at $997.51 million.
The company’s net margin stood at an impressive 18.34%, and it showcased a return on equity of 15.19%. In comparison to the same quarter in the previous year when they posted an EPS of $0.51, Brown & Brown experienced a remarkable increase in revenue, with a year-over-year growth rate of 24.9%.
A variety of research firms have conducted analysis on BRO stock and provided reports outlining their findings and recommendations for potential investors. Raymond James raised their price objective from $70 to $76 and assigned an “outperform” rating to the stock in their research report dated July 26th; likewise, Citigroup increased their price objective from $72 to $81 and labeled it as a “buy” rating on August 9th.
Another firm called Wells Fargo & Company upgraded their price objective from $62 to $70 on July 26th, while Truist Financial elevated their price objective from $82 to $85 on the same day. Additionally, StockNews.com initiated coverage of Brown & Brown on August 17th and issued a “buy” rating for the stock.
Overall, four research analysts have suggested holding onto the stock, while six researchers have recommended buying it. Despite varying recommendations, data from Bloomberg.com indicates that Brown & Brown currently holds an average rating of “Moderate Buy,” with a consensus price target of $72.70.
Staying informed about investment opportunities is crucial in navigating the dynamic world of finance. The recent increase in holdings by Brown Brothers Harriman & Co., combined with Brown & Brown’s impressive quarterly earnings report, suggests potential growth and profitability for individuals considering investing in this financial services provider. However, it is essential to conduct thorough due diligence and make informed decisions regarding investments based on one’s financial goals and risk tolerance.
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Growing Interest in Brown & Brown Inc. among Institutional Investors and Insider Confidence Shown through Additional Investment
August 26, 2023 – In recent months, Brown & Brown, Inc. has attracted the attention of several prominent investors who have been buying and selling shares of the company. One such investor is Global Wealth Management Investment Advisory Inc., which acquired a new stake in Brown & Brown during the first quarter of this year. The value of their investment amounted to approximately $52,000.
Similarly, U.S. Capital Wealth Advisors LLC also bought a new position in Brown & Brown during the fourth quarter of the previous year, spending around $42,000. Joining these investors is Nelson Van Denburg & Campbell Wealth Management Group LLC, which made an investment worth approximately $45,000 in the first quarter.
Additionally, Orion Capital Management LLC purchased shares worth about $46,000 during the first quarter of this year. Lastly, Atlas Capital Advisors LLC invested roughly $52,000 into Brown & Brown during the second quarter. Currently, institutional investors and hedge funds collectively own 69.90% of the company’s stock.
In another development concerning Brown & Brown’s leadership team, Director Bronislaw Edmund Masojada recently acquired 4,000 shares in a transaction on June 21st at an average price of $65.78 per share. This brought his total investment to $263,120. Following this purchase, Masojada now holds 4,000 shares with an approximate value of $263,120. The Securities and Exchange Commission (SEC) website contains further details regarding this transaction as it was disclosed by Masojada according to regulatory requirements that pertain to company insiders’ ownership.
The latest trading update reveals that on Friday August 26th on NYSE (New York Stock Exchange), one share of Brown & Brown traded at $72.75 after experiencing an increase of $0.45 compared to its previous closing price. The trading volume for that day amounted to 303,103 shares. On average, the stock has a trading volume of around 1,189,842 shares. Currently, Brown & Brown, Inc. holds a market capitalization of $20.63 billion.
The company’s financial indicators show a debt-to-equity ratio of 0.74, indicating a moderate level of debt compared to equity. In terms of liquidity, the firm has a quick ratio and current ratio of 2.78 each, suggesting that it is well-positioned to meet its short-term obligations.
With regards to valuation metrics, Brown & Brown maintains a price-to-earnings (P/E) ratio of 28.02 and a beta value of 0.76. These figures imply that investors are willing to pay approximately 28 times the company’s earnings for its stock while also reflecting a lower volatility compared to the broader market.
Over the past year, the company’s stock has fluctuated between a low of $52.82 and a high of $73.43. At present, its fifty-day simple moving average stands at $69.47, whereas its two-hundred-day simple moving average is recorded at $63.39.
In conclusion, recent actions by institutional investors and hedge funds indicate growing interest in Brown & Brown as an investment opportunity. Moreover, Director Bronislaw Edmund Masojada’s additional investment further highlights confidence in the company’s prospects among insiders.
Disclaimer: This article should not be considered as financial advice and readers are encouraged to consult with their own financial advisors before making any investment decisions based on this information.
