Is BROWN & BROWN INC (NYSE:BRO) suited for quality investing?

Quality investors are looking for the best of the best. Companies which are growing steadily and consistently, but are also in excellent financial condition. We will have a look here to see if BROWN & BROWN INC (NYSE:BRO) is suited for quality investing. Investors should of course do their own research, but we spotted BROWN & BROWN INC showing up in our Caviar Cruise quality screen, so it may be worth spending some more time on it.

Highlighting Notable Quality Metrics of NYSE:BRO.

• Over the past 5 years, BROWN & BROWN INC has experienced impressive revenue growth, with 16.15% increase. This demonstrates the company's ability to effectively expand its top line and suggests a positive outlook for future revenue generation.
• The ROIC excluding cash and goodwill of BROWN & BROWN INC stands at 234.0%, reflecting the company's strong financial management and profitability. This metric underscores its ability to generate favorable returns on the capital invested in its core operations.
• With a Debt/Free Cash Flow Ratio of 4.52, BROWN & BROWN INC exhibits solid financial health and responsible debt management practices. This ratio indicates the company's ability to generate ample free cash flow to meet its debt obligations and pursue growth opportunities.
• The Profit Quality (5-year) of BROWN & BROWN INC stands at 133.0%, highlighting its ability to consistently generate reliable profits. This metric underscores the company's strong business fundamentals and reinforces its position as a financially stable entity.
• The 5-year EBIT growth of BROWN & BROWN INC has been remarkable, with 19.24% increase. This demonstrates the company's ability to improve its operational efficiency and indicates its competitiveness within the market.
• BROWN & BROWN INC has achieved impressive EBIT 5-year growth, surpassing its Revenue 5-year growth. This indicates the company's ability to improve its profitability and operational efficiency, highlighting its strong financial performance.

How does the complete fundamental picture look for NYSE:BRO?

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.

BRO gets a fundamental rating of 6 out of 10. The analysis compared the fundamentals against 141 industry peers in the Insurance industry. While BRO belongs to the best of the industry regarding profitability, there are some minor concerns on its financial health. BRO is quite expensive at the moment. It does show a decent growth rate.

For an up to date full fundamental analysis you can check the fundamental report of BRO

Our Caviar Cruise screen will find you more ideas suited for quality investing.

Disclaimer

This is not investing advice! The article highlights some of the observations at the time of writing, but you should always make your own analysis and invest based on your own insights.