BROADRIDGE FINANCIAL SOLUTIO (BR) Stock Fundamental Analysis
USA - New York Stock Exchange - NYSE:BR - US11133T1034 - Common Stock
218.64 USD
-0.72 (-0.33%)
218.64 USD
0 (0%)
Overall BR gets a fundamental rating of 5 out of 10. We evaluated BR against 88 industry peers in the IT Services industry. While BR belongs to the best of the industry regarding profitability, there are concerns on its financial health. BR is not valued too expensively and it also shows a decent growth rate. Finally BR also has an excellent dividend rating.
1. Profitability
1.1 Basic Checks
- BR had positive earnings in the past year.
- BR had a positive operating cash flow in the past year.
- In the past 5 years BR has always been profitable.
- In the past 5 years BR always reported a positive cash flow from operatings.
1.2 Ratios
- BR has a Return On Assets of 11.14%. This is amongst the best in the industry. BR outperforms 87.50% of its industry peers.
- BR has a Return On Equity of 35.11%. This is amongst the best in the industry. BR outperforms 95.45% of its industry peers.
- The Return On Invested Capital of BR (14.67%) is better than 88.64% of its industry peers.
- The Average Return On Invested Capital over the past 3 years for BR is significantly below the industry average of 29.09%.
- The 3 year average ROIC (12.91%) for BR is below the current ROIC(14.67%), indicating increased profibility in the last year.
| Industry Rank | Sector Rank | ||
|---|---|---|---|
| ROA | 11.14% | ||
| ROE | 35.11% | ||
| ROIC | 14.67% |
ROA(3y)8.65%
ROA(5y)7.86%
ROE(3y)30.65%
ROE(5y)30.06%
ROIC(3y)12.91%
ROIC(5y)11.08%
1.3 Margins
- The Profit Margin of BR (13.11%) is better than 86.36% of its industry peers.
- In the last couple of years the Profit Margin of BR has grown nicely.
- With an excellent Operating Margin value of 17.62%, BR belongs to the best of the industry, outperforming 90.91% of the companies in the same industry.
- In the last couple of years the Operating Margin of BR has grown nicely.
- With a Gross Margin value of 31.34%, BR perfoms like the industry average, outperforming 44.32% of the companies in the same industry.
- BR's Gross Margin has improved in the last couple of years.
| Industry Rank | Sector Rank | ||
|---|---|---|---|
| OM | 17.62% | ||
| PM (TTM) | 13.11% | ||
| GM | 31.34% |
OM growth 3Y9.03%
OM growth 5Y4.57%
PM growth 3Y8.87%
PM growth 5Y3.6%
GM growth 3Y3.61%
GM growth 5Y2.14%
2. Health
2.1 Basic Checks
- BR has a Return on Invested Capital (ROIC), which is just above the Cost of Capital (WACC), which means it is creating some value.
- Compared to 1 year ago, BR has more shares outstanding
- The number of shares outstanding for BR has been increased compared to 5 years ago.
- Compared to 1 year ago, BR has an improved debt to assets ratio.
2.2 Solvency
- An Altman-Z score of 4.69 indicates that BR is not in any danger for bankruptcy at the moment.
- Looking at the Altman-Z score, with a value of 4.69, BR is in the better half of the industry, outperforming 75.00% of the companies in the same industry.
- The Debt to FCF ratio of BR is 2.68, which is a good value as it means it would take BR, 2.68 years of fcf income to pay off all of its debts.
- The Debt to FCF ratio of BR (2.68) is better than 63.64% of its industry peers.
- BR has a Debt/Equity ratio of 1.06. This is a high value indicating a heavy dependency on external financing.
- Looking at the Debt to Equity ratio, with a value of 1.06, BR is doing worse than 64.77% of the companies in the same industry.
| Industry Rank | Sector Rank | ||
|---|---|---|---|
| Debt/Equity | 1.06 | ||
| Debt/FCF | 2.68 | ||
| Altman-Z | 4.69 |
ROIC/WACC1.65
WACC8.87%
2.3 Liquidity
- A Current Ratio of 0.93 indicates that BR may have some problems paying its short term obligations.
- With a Current ratio value of 0.93, BR is not doing good in the industry: 81.82% of the companies in the same industry are doing better.
- BR has a Quick Ratio of 0.93. This is a bad value and indicates that BR is not financially healthy enough and could expect problems in meeting its short term obligations.
- BR's Quick ratio of 0.93 is on the low side compared to the rest of the industry. BR is outperformed by 79.55% of its industry peers.
| Industry Rank | Sector Rank | ||
|---|---|---|---|
| Current Ratio | 0.93 | ||
| Quick Ratio | 0.93 |
3. Growth
3.1 Past
- The Earnings Per Share has grown by an nice 18.43% over the past year.
- BR shows quite a strong growth in Earnings Per Share. Measured over the last years, the EPS has been growing by 11.19% yearly.
- Looking at the last year, BR shows a quite strong growth in Revenue. The Revenue has grown by 8.57% in the last year.
- Measured over the past years, BR shows a quite strong growth in Revenue. The Revenue has been growing by 8.75% on average per year.
EPS 1Y (TTM)18.43%
EPS 3Y9.74%
EPS 5Y11.19%
EPS Q2Q%51%
Revenue 1Y (TTM)8.57%
Revenue growth 3Y6.46%
Revenue growth 5Y8.75%
Sales Q2Q%11.7%
3.2 Future
- Based on estimates for the next years, BR will show a quite strong growth in Earnings Per Share. The EPS will grow by 10.60% on average per year.
- Based on estimates for the next years, BR will show a small growth in Revenue. The Revenue will grow by 5.35% on average per year.
EPS Next Y13.97%
EPS Next 2Y11.09%
EPS Next 3Y10.83%
EPS Next 5Y10.6%
Revenue Next Year5.48%
Revenue Next 2Y5.33%
Revenue Next 3Y5.3%
Revenue Next 5Y5.35%
3.3 Evolution
- The EPS growth rate is stable: in the next years the growth will be about the same than in the last years.
- The Revenue growth rate is decreasing: in the next years the growth will be less than in the last years.
4. Valuation
4.1 Price/Earnings Ratio
- Based on the Price/Earnings ratio of 24.13, the valuation of BR can be described as rather expensive.
- Compared to the rest of the industry, the Price/Earnings ratio of BR indicates a somewhat cheap valuation: BR is cheaper than 61.36% of the companies listed in the same industry.
- The average S&P500 Price/Earnings ratio is at 27.38. BR is around the same levels.
- With a Price/Forward Earnings ratio of 20.72, BR is valued on the expensive side.
- Based on the Price/Forward Earnings ratio, BR is valued a bit cheaper than 60.23% of the companies in the same industry.
- The average S&P500 Price/Forward Earnings ratio is at 24.29. BR is around the same levels.
| Industry Rank | Sector Rank | ||
|---|---|---|---|
| PE | 24.13 | ||
| Fwd PE | 20.72 |
4.2 Price Multiples
- 62.50% of the companies in the same industry are more expensive than BR, based on the Enterprise Value to EBITDA ratio.
- Compared to the rest of the industry, the Price/Free Cash Flow ratio of BR indicates a somewhat cheap valuation: BR is cheaper than 63.64% of the companies listed in the same industry.
| Industry Rank | Sector Rank | ||
|---|---|---|---|
| P/FCF | 20.81 | ||
| EV/EBITDA | 18.12 |
4.3 Compensation for Growth
- The PEG Ratio(NY), which compensates the Price/Earnings for growth, indicates a correct valuation of the company.
- BR has an outstanding profitability rating, which may justify a higher PE ratio.
PEG (NY)1.73
PEG (5Y)2.16
EPS Next 2Y11.09%
EPS Next 3Y10.83%
5. Dividend
5.1 Amount
- BR has a Yearly Dividend Yield of 1.78%. Purely for dividend investing, there may be better candidates out there.
- BR's Dividend Yield is rather good when compared to the industry average which is at 0.43. BR pays more dividend than 90.91% of the companies in the same industry.
- Compared to an average S&P500 Dividend Yield of 1.85, BR has a dividend comparable with the average S&P500 company.
| Industry Rank | Sector Rank | ||
|---|---|---|---|
| Dividend Yield | 1.78% |
5.2 History
- On average, the dividend of BR grows each year by 10.38%, which is quite nice.
- BR has paid a dividend for at least 10 years, which is a reliable track record.
- BR has not decreased its dividend for at least 10 years, so it has a reliable track record of non decreasing dividend.
Dividend Growth(5Y)10.38%
Div Incr Years17
Div Non Decr Years17
5.3 Sustainability
- 44.54% of the earnings are spent on dividend by BR. This is a bit on the high side, but may be sustainable.
- The dividend of BR is growing around the same rate as the earnings are growing. If this keeps up the dividend growth is sustainable.
DP44.54%
EPS Next 2Y11.09%
EPS Next 3Y10.83%
218.64
-0.72 (-0.33%)
Chartmill FA Rating
GICS SectorInformation Technology
GICS IndustryGroupSoftware & Services
GICS IndustryIT Services
Earnings (Last)11-04 2025-11-04/bmo
Earnings (Next)01-29 2026-01-29/bmo
Inst Owners94.61%
Inst Owner Change0.15%
Ins Owners0.41%
Ins Owner Change-0.34%
Market Cap25.52B
Revenue(TTM)7.06B
Net Income(TTM)925.10M
Analysts76.67
Price Target275.2 (25.87%)
Short Float %2.08%
Short Ratio3.38
Dividend
| Industry Rank | Sector Rank | ||
|---|---|---|---|
| Dividend Yield | 1.78% |
Yearly Dividend3.44
Dividend Growth(5Y)10.38%
DP44.54%
Div Incr Years17
Div Non Decr Years17
Ex-DateN/A
Surprises & Revisions
EPS beat(2)1
Avg EPS beat(2)8.43%
Min EPS beat(2)-1.49%
Max EPS beat(2)18.35%
EPS beat(4)2
Avg EPS beat(4)4.34%
Min EPS beat(4)-2.34%
Max EPS beat(4)18.35%
EPS beat(8)4
Avg EPS beat(8)1.47%
EPS beat(12)6
Avg EPS beat(12)1.49%
EPS beat(16)7
Avg EPS beat(16)0.67%
Revenue beat(2)1
Avg Revenue beat(2)-1.1%
Min Revenue beat(2)-2.55%
Max Revenue beat(2)0.34%
Revenue beat(4)1
Avg Revenue beat(4)-2.17%
Min Revenue beat(4)-5.62%
Max Revenue beat(4)0.34%
Revenue beat(8)1
Avg Revenue beat(8)-3.4%
Revenue beat(12)2
Avg Revenue beat(12)-3.48%
Revenue beat(16)4
Avg Revenue beat(16)-2.7%
PT rev (1m)0.05%
PT rev (3m)-2.81%
EPS NQ rev (1m)0.46%
EPS NQ rev (3m)-7.72%
EPS NY rev (1m)0.04%
EPS NY rev (3m)1.11%
Revenue NQ rev (1m)0.12%
Revenue NQ rev (3m)1.15%
Revenue NY rev (1m)0.01%
Revenue NY rev (3m)0.52%
Valuation
| Industry Rank | Sector Rank | ||
|---|---|---|---|
| PE | 24.13 | ||
| Fwd PE | 20.72 | ||
| P/S | 3.62 | ||
| P/FCF | 20.81 | ||
| P/OCF | 19.06 | ||
| P/B | 9.69 | ||
| P/tB | N/A | ||
| EV/EBITDA | 18.12 |
EPS(TTM)9.06
EY4.14%
EPS(NY)10.55
Fwd EY4.83%
FCF(TTM)10.51
FCFY4.81%
OCF(TTM)11.47
OCFY5.25%
SpS60.44
BVpS22.57
TBVpS-19.73
PEG (NY)1.73
PEG (5Y)2.16
Graham Number67.84
Profitability
| Industry Rank | Sector Rank | ||
|---|---|---|---|
| ROA | 11.14% | ||
| ROE | 35.11% | ||
| ROCE | 18.47% | ||
| ROIC | 14.67% | ||
| ROICexc | 15.34% | ||
| ROICexgc | 65.82% | ||
| OM | 17.62% | ||
| PM (TTM) | 13.11% | ||
| GM | 31.34% | ||
| FCFM | 17.38% |
ROA(3y)8.65%
ROA(5y)7.86%
ROE(3y)30.65%
ROE(5y)30.06%
ROIC(3y)12.91%
ROIC(5y)11.08%
ROICexc(3y)13.71%
ROICexc(5y)11.69%
ROICexgc(3y)78.85%
ROICexgc(5y)60.78%
ROCE(3y)16.25%
ROCE(5y)13.95%
ROICexgc growth 3Y37.85%
ROICexgc growth 5Y4.62%
ROICexc growth 3Y19.21%
ROICexc growth 5Y-0.93%
OM growth 3Y9.03%
OM growth 5Y4.57%
PM growth 3Y8.87%
PM growth 5Y3.6%
GM growth 3Y3.61%
GM growth 5Y2.14%
F-Score8
Asset Turnover0.85
Health
| Industry Rank | Sector Rank | ||
|---|---|---|---|
| Debt/Equity | 1.06 | ||
| Debt/FCF | 2.68 | ||
| Debt/EBITDA | 1.77 | ||
| Cap/Depr | 34.03% | ||
| Cap/Sales | 1.59% | ||
| Interest Coverage | 10.08 | ||
| Cash Conversion | 85.1% | ||
| Profit Quality | 132.59% | ||
| Current Ratio | 0.93 | ||
| Quick Ratio | 0.93 | ||
| Altman-Z | 4.69 |
F-Score8
WACC8.87%
ROIC/WACC1.65
Cap/Depr(3y)31.86%
Cap/Depr(5y)32.62%
Cap/Sales(3y)1.55%
Cap/Sales(5y)1.59%
Profit Quality(3y)126.53%
Profit Quality(5y)109.36%
High Growth Momentum
Growth
EPS 1Y (TTM)18.43%
EPS 3Y9.74%
EPS 5Y11.19%
EPS Q2Q%51%
EPS Next Y13.97%
EPS Next 2Y11.09%
EPS Next 3Y10.83%
EPS Next 5Y10.6%
Revenue 1Y (TTM)8.57%
Revenue growth 3Y6.46%
Revenue growth 5Y8.75%
Sales Q2Q%11.7%
Revenue Next Year5.48%
Revenue Next 2Y5.33%
Revenue Next 3Y5.3%
Revenue Next 5Y5.35%
EBIT growth 1Y23.93%
EBIT growth 3Y16.08%
EBIT growth 5Y13.72%
EBIT Next Year28.58%
EBIT Next 3Y10.91%
EBIT Next 5Y11.58%
FCF growth 1Y37.85%
FCF growth 3Y41.81%
FCF growth 5Y16.16%
OCF growth 1Y38.64%
OCF growth 3Y38.23%
OCF growth 5Y14.38%
BROADRIDGE FINANCIAL SOLUTIO / BR FAQ
What is the ChartMill fundamental rating of BROADRIDGE FINANCIAL SOLUTIO (BR) stock?
ChartMill assigns a fundamental rating of 5 / 10 to BR.
What is the valuation status for BR stock?
ChartMill assigns a valuation rating of 4 / 10 to BROADRIDGE FINANCIAL SOLUTIO (BR). This can be considered as Fairly Valued.
What is the profitability of BR stock?
BROADRIDGE FINANCIAL SOLUTIO (BR) has a profitability rating of 8 / 10.
Can you provide the financial health for BR stock?
The financial health rating of BROADRIDGE FINANCIAL SOLUTIO (BR) is 3 / 10.
Can you provide the expected EPS growth for BR stock?
The Earnings per Share (EPS) of BROADRIDGE FINANCIAL SOLUTIO (BR) is expected to grow by 13.97% in the next year.