In this article we will dive into BROWN & BROWN INC (NYSE:BRO) as a possible candidate for quality investing. Investors should always do their own research, but we noticed BROWN & BROWN INC showing up in our Caviar Cruise quality screen, which makes it worth to investigate a bit more.
What matters for quality investors.
BROWN & BROWN INC has achieved substantial revenue growth over the past 5 years, with a 16.15% increase. This signifies the company's ability to successfully capture market opportunities and generate sustained revenue growth.
BROWN & BROWN INC exhibits a strong ROIC excluding cash and goodwill, indicating efficient capital utilization and profitable operations. The 277.0% reflects the company's ability to generate returns on invested capital and underscores its commitment to delivering value to shareholders.
BROWN & BROWN INC demonstrates a well-balanced Debt/Free Cash Flow Ratio of 4.35, indicating effective debt management and strong cash flow generation. This ratio suggests the company has a sustainable financial position and the capacity to allocate capital efficiently.
With a robust Profit Quality (5-year) ratio of 133.0%, BROWN & BROWN INC highlights its ability to consistently generate high-quality profits. This metric reflects the company's effective management and operational excellence in delivering reliable earnings over the long term.
With a robust 5-year EBIT growth of 19.24%, BROWN & BROWN INC showcases its ability to consistently expand its operating profitability. This trend indicates the company's effective cost management and revenue generation strategies.
The EBIT 5-year growth of BROWN & BROWN INC has outpaced its Revenue 5-year growth, reflecting the company's focus on optimizing its profitability and generating sustainable earnings. This trend underscores its strong financial management.
What is the full fundamental picture of NYSE:BRO telling us.
ChartMill assigns a Fundamental Rating to every stock. This score, ranging from 0 to 10, is updated daily and is determined by evaluating multiple fundamental indicators and properties.
Taking everything into account, BRO scores 5 out of 10 in our fundamental rating. BRO was compared to 140 industry peers in the Insurance industry. While BRO has a great profitability rating, there are some minor concerns on its financial health. BRO is valied quite expensively at the moment, while it does show a decent growth rate.
Important Note: The content of this article is not intended as trading advice. It is essential to perform your own analysis and exercise caution when making trading decisions. The article presents observations created by automated analysis but does not guarantee any trading or investment outcomes. Always trade responsibly and make independent judgments.