BRO Stock Fair Value – BROWN & BROWN Reports Record Q4 Revenue and Net Income Growth of 42.8% and 22.2%, Respectively.
January 28, 2023
Earnings report
BRO Stock Fair Value – BROWN & BROWN ($NYSE:BRO), Inc. is a publicly traded insurance brokerage firm based in Daytona Beach, Florida. On January 24 2023, BROWN & BROWN reported its earnings results for FY2022 Q4 as of December 31 2022. The results showed total revenue of USD 145.2 million, a 42.8% increase compared to the same period last year. Net income was USD 901.4 million, a 22.2% increase year over year. This marks a record high for both revenue and net income for BROWN & BROWN. Our continued focus on diversification and capital management has enabled us to achieve these results and put us in a strong position to continue delivering value to our shareholders.” The strong results for the fourth quarter demonstrate BROWN & BROWN’s ability to respond to market conditions and capitalize on opportunities for growth. The company’s strategic investments in technology, talent and innovation have enabled it to remain competitive and deliver value to its customers.
In addition, the company’s focus on cost-efficiency has been instrumental in driving profitability. BROWN & BROWN’s performance in the fourth quarter reflects its commitment to providing quality services and products to its customers. The company is well-positioned to continue to deliver value to shareholders as it continues to focus on growth initiatives and operational efficiencies.
Stock Price
On Tuesday, BROWN & BROWN, Inc., a publicly traded insurance intermediary, reported record fourth-quarter revenues and net income growth of 42.8% and 22.2%, respectively. As a result, the company’s stock opened on Tuesday at $61.8 and closed at $58.7, a drop of 5.2% from its last closing price of $62.0. BROWN & BROWN’s strong financial performance was primarily driven by the company’s consistent focus on organic growth and acquisition activity. During the quarter, the company acquired existing businesses and branches in their respective markets, which bolstered their revenue figures.
In addition to its impressive performance, BROWN & BROWN continues to invest in its strategic initiatives, such as enhancing digital capabilities, building brand awareness, and investing in talent development. These investments are expected to help the company continue its strong performance in the future. The company’s strong financial performance has further strengthened the confidence of its shareholders and investors, who are now expecting more growth and profitability in the future. Live Quote…
About the Company
Income Snapshot
Below shows the total revenue, net income and net margin for BRO. More…
| Total Revenues | Net Income | Net Margin |
| 3.57k | 671.8 | 17.9% |
Cash Flow Snapshot
Below shows the cash from operations, investing and financing for BRO. More…
| Operations | Investing | Financing |
| 881.4 | -1.91k | 1.73k |
Balance Sheet Snapshot
Below shows the total assets, liabilities and book value per share for BRO. More…
| Total Assets | Total Liabilities | Book Value Per Share |
| 13.97k | 9.37k | 15.22 |
Key Ratios Snapshot
Some of the financial key ratios for BRO are shown below. More…
| 3Y Rev Growth | 3Y Operating Profit Growth | Operating Margin |
| 14.4% | 19.5% | 28.5% |
| FCF Margin | ROE | ROA |
| 23.2% | 14.3% | 4.6% |
VI Analysis – BRO Stock Fair Value
BROWN & BROWN’s long term potential is simplified with the help of the Value Insight (VI) app, a tool designed to assess the intrinsic value of stocks by analyzing their fundamentals. The VI app has found that the intrinsic value of BROWN & BROWN is around $62.1, which is calculated with the company’s proprietary VI Line. The VI app suggests that investors should consider investing in BROWN & BROWN if they are looking for a good long term investment opportunity. Although the stock may be undervalued right now, it is important to remember that the intrinsic value calculated by the VI app is an estimate and may not be accurate in the future. Investors should also be aware of any potential risks associated with investing in any company and do their own research before making any investments. Additionally, investors should take into account other factors such as macroeconomic conditions, political risks, and any other external factors that may affect their decision. Ultimately, investors should weigh all their options carefully and make an informed decision. More…
VI Peers
Brown & Brown, Inc. is an American insurance brokerage firm. Its competitors in the insurance brokerage industry are Tian Ruixiang Holdings Ltd, Fanhua Inc, and China United Insurance Service Inc.
– Tian Ruixiang Holdings Ltd ($NASDAQ:TIRX)
Tian Ruixiang Holdings Ltd is a Chinese holding company with investments in a range of businesses, including real estate, education, and healthcare. The company has a market cap of 6.97M as of 2022 and a Return on Equity of -5.01%. Tian Ruixiang’s real estate business is its largest segment, accounting for around half of its revenue. The company’s education business includes a range of schools and colleges, while its healthcare business comprises a hospital and a number of clinics.
– Fanhua Inc ($NASDAQ:FANH)
Fanhua Inc. is a provider of financial services in China. The Company offers property and casualty insurance, life insurance, and reinsurance products. It also provides auto financing, rural financing, and other services. The Company operates through four segments: Insurance Agency, Reinsurance, Auto Finance and Rural Finance.
– China United Insurance Service Inc ($OTCPK:CUII)
54.82M
China United Insurance Service Inc is an insurance company that focuses on providing insurance services to businesses and individuals in China. The company has a market cap of $54.82M and a ROE of 29.69%. The company offers a variety of insurance products, including life, health, and property insurance.
Summary
BROWN & BROWN is a publicly traded company focused on providing insurance and risk management services. The company recently reported its earnings results for the fourth quarter of FY2022, revealing impressive growth in revenue and net income. Total revenue was up 42.8% year over year to USD 145.2 million, while net income increased 22.2% to USD 901.4 million. Investors may find this news promising, as the company’s strong performance could signal a bright future ahead. In the short term, however, the stock price of BROWN & BROWN dropped on the day of the earnings report, likely due to the uncertainty of how the market will respond to the news. Nevertheless, investors should continue to monitor the company’s performance and consider buying shares if the price continues to remain low. In terms of risk management, BROWN & BROWN has a track record of success that could provide investors with some degree of confidence. The company has a long history of providing high-quality services and has an impressive portfolio of clients.
Additionally, BROWN & BROWN is well-positioned to take advantage of the growing demand for insurance and risk management services in the current climate. Overall, BROWN & BROWN offers investors an opportunity to invest in a high-quality company with a strong track record and promising growth prospects. Investors should take note of the company’s impressive earnings results and use this information to inform their investment decisions.
