Brown & Brown (NYSE:BRO) Upgraded to Strong-Buy at TD Cowen

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

Several other brokerages also recently issued reports on BRO. Jefferies Financial Group reissued a “hold” rating on shares of Brown & Brown in a research note on Wednesday, July 29th. Citizens Jmp decreased their target price on shares of Brown & Brown from $78.00 to $75.00 and set a “market outperform” rating on the stock in a research report on Monday. Morgan Stanley lowered their target price on shares of Brown & Brown from $60.00 to $55.00 and set an “underweight” rating for the company in a research note on Tuesday, October 6th. Wells Fargo & Company cut their price target on Brown & Brown from $69.00 to $68.00 and set an “equal weight” rating for the company in a report on Monday. Finally, Keefe, Bruyette & Woods upgraded Brown & Brown from an “underperform” rating to an “outperform” rating and set a $77.00 price target for the company in a report on Monday. One research 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. According to MarketBeat, Brown & Brown presently has an average rating of “Hold” and a consensus price target of $76.00.

Brown & Brown Price Performance

Brown & Brown stock opened at $64.15 on Monday. Brown & Brown has a 12-month low of $53.81 and a 12-month high of $95.25. The stock has a market capitalization of $21.46 billion, a P/E ratio of 14.34, a P/E/G ratio of 1.89 and a beta of 0.60. The firm’s 50-day moving average is $67.43 and its two-hundred day moving average is $64.85. The company has a debt-to-equity ratio of 0.58, a current ratio of 2.11 and a quick ratio of 2.11.

Brown & Brown (NYSE:BRO) last issued its quarterly earnings results on Monday, July 27th. The financial services provider reported $1.07 EPS for the quarter, missing analysts’ consensus estimates of $1.08 by ($0.01). The firm had revenue of $1.65 billion for the quarter, compared to analysts’ expectations of $1.71 billion. Brown & Brown had a return on equity of 13.17% and a net margin of 17.75%. The business’s quarterly revenue was up 30.4% compared to the same quarter last year. During the same quarter last year, the firm earned $1.03 earnings per share. Equities analysts predict that Brown & Brown will post 4.49 earnings per share for the current year.

Institutional Investors Weigh In On Brown & Brown

Several institutional investors and hedge funds have recently added to or reduced their stakes in the company. BlackRock Inc. acquired a new position in shares of Brown & Brown in the 2nd quarter valued at about $1,418,571,000. Principal Financial Group Inc. grew its holdings in shares of Brown & Brown by 1.6% during the 1st quarter. Principal Financial Group Inc. now owns 15,608,720 shares of the financial services provider’s stock worth $1,017,847,000 after purchasing an additional 246,172 shares during the period. Deutsche Bank AG acquired a new stake in Brown & Brown during the 2nd quarter worth approximately $266,941,000. Bank of America Corp DE increased its position in Brown & Brown by 45.2% during the 1st quarter. Bank of America Corp DE now owns 3,623,179 shares of the financial services provider’s stock worth $236,268,000 after purchasing an additional 1,128,417 shares in the last quarter. Finally, Royal Bank of Canada increased its position in Brown & Brown by 5.1% during the 1st quarter. Royal Bank of Canada now owns 3,569,784 shares of the financial services provider’s stock worth $232,786,000 after purchasing an additional 173,320 shares in the last quarter. 71.01% of the stock is currently owned by institutional investors and hedge funds.

Trending Headlines about 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

Brown & Brown Company Profile

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.