BRO Stock Fair Value Calculation – Raymond James Boosts Confidence in Brown & Brown with Increased Price Target of $95
April 2, 2024
☀️Trending News
Brown & Brown ($NYSE:BRO), Inc. is a well-known insurance brokerage firm that provides a wide range of insurance products and services to clients across the United States. The company has a strong reputation in the industry for its exceptional customer service and extensive expertise in risk management. This move highlights the firm’s unwavering confidence in the company’s potential for growth and success. With this increased price target, Raymond James is essentially indicating that it believes Brown & Brown’s stock has the potential to reach $95 within the near future. This news is significant as it further solidifies Brown & Brown’s position as a strong investment option for shareholders.
Furthermore, Raymond James believes that Brown & Brown is well-positioned to take advantage of market opportunities and continue generating strong returns for its shareholders. The firm points to the company’s diverse portfolio of products and services, as well as its strategic acquisitions and partnerships, as key factors for its positive outlook. With strong financial performance and a solid track record of success, Brown & Brown continues to be a top choice for investors looking to capitalize on the insurance industry’s growth.
Stock Price
On Wednesday, the stock for BROWN & BROWN, a leading insurance brokerage firm, opened and closed at $86.9 and $87.3 respectively. This marked a 1.0% increase from the previous day’s closing price of $86.4. The positive movement in the stock was driven by an announcement from Raymond James, a global financial services firm, that they had increased their price target for BROWN & BROWN to $95. This news has boosted confidence in BROWN & BROWN among investors and analysts, as it indicates a strong outlook for the company’s performance. The increased price target of $95 suggests that Raymond James believes the stock has more room to grow and is undervalued at its current price. This is good news for shareholders, who can expect to see a potential increase in their investment’s value. The decision to raise BROWN & BROWN’s price target comes after the company’s recent quarterly earnings report, which showed a strong performance.
This solid financial performance has likely contributed to Raymond James’ decision to increase their price target for the stock. In addition to the positive earnings report, BROWN & BROWN has also been making strategic moves to expand its business and strengthen its position in the insurance industry. In September, the company announced the acquisition of CoverHound, a digital insurance marketplace, which will allow them to offer a wider range of insurance options to their clients. This acquisition is expected to further drive growth for BROWN & BROWN in the future. With this news, investors and shareholders can feel optimistic about the company’s prospects and may potentially see an increase in the stock’s value in the near 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 |
| 4.2k | 870.5 | 17.6% |
Cash Flow Snapshot
Below shows the cash from operations, investing and financing for BRO. More…
| Operations | Investing | Financing |
| 1.01k | -587 | -186.7 |
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 |
| 14.92k | 9.34k | 19.6 |
Key Ratios Snapshot
Some of the financial key ratios for BRO are shown below. More…
| 3Y Rev Growth | 3Y Operating Profit Growth | Operating Margin |
| 17.3% | 20.2% | 31.8% |
| FCF Margin | ROE | ROA |
| 22.4% | 15.5% | 5.6% |
Analysis – BRO Stock Fair Value Calculation
As a company dedicated to analyzing and evaluating the well-being of businesses, GoodWhale has recently conducted a thorough assessment of BROWN & BROWN. Through our rigorous analysis, we have determined that the fair value of BROWN & BROWN’s share is approximately $75.2. This value has been calculated using our proprietary Valuation Line methodology, which takes into account various financial factors and market trends. Currently, the stock price of BROWN & BROWN is trading at $87.3, which suggests that the stock is overvalued by 16.0%. While this may be seen as a positive for investors who currently hold shares in the company, it is important to note that an overvalued stock can also pose potential risks in the long run. As a result, it is crucial for investors to carefully consider the fair value of a stock before making any investment decisions. In conclusion, our assessment of BROWN & BROWN’s well-being and fair value indicates that the stock is currently overvalued. While this may provide short-term benefits for investors, it is important to remain cautious and consider potential risks in the long term. As always, we recommend conducting thorough research and analysis before making any investment decisions. More…
Peers
Brown & Brown, Inc. is an American insurance brokerage firm. Its competitors in the insurance brokerage industry are Tian Ruixiang Holdings Ltd, Fanhua Inc, and China United Insurance Service Inc.
– Tian Ruixiang Holdings Ltd ($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
On Tuesday, Raymond James raised its price target on Brown & Brown, Inc. to $95, showing strong confidence in the company’s stock. This suggests that the firm believes the company has potential for growth and is a good investment opportunity. This analysis may be based on the company’s financial performance and future projections, as well as industry trends and market conditions. Investors may view this as a positive sign and consider buying or holding onto Brown & Brown stock.
However, it is important for investors to conduct their own research and analysis before making any investment decisions.
