BROADRIDGE FINANCIAL SOLUTIO (BR) Stock Fundamental Analysis
USA - New York Stock Exchange - NYSE:BR - US11133T1034 - Common Stock
219.36 USD
-1.6 (-0.72%)
219.36 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 has a decent growth rate and is not valued too expensively. Finally BR also has an excellent dividend rating.
1. Profitability
1.1 Basic Checks
- BR had positive earnings in the past year.
- In the past year BR had a positive cash flow from operations.
- Each year in the past 5 years BR has been profitable.
- Each year in the past 5 years BR had a positive operating cash flow.
1.2 Ratios
- The Return On Assets of BR (11.14%) is better than 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.
- BR has a better Return On Invested Capital (14.67%) 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 28.99%.
- The last Return On Invested Capital (14.67%) for BR is above the 3 year average (12.91%), which is a sign of increasing profitability.
| 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
- Looking at the Profit Margin, with a value of 13.11%, BR belongs to the top of the industry, outperforming 86.36% of the companies in the same industry.
- In the last couple of years the Profit Margin of BR has grown nicely.
- BR's Operating Margin of 17.62% is amongst the best of the industry. BR outperforms 90.91% of its industry peers.
- BR's Operating Margin has improved in the last couple of years.
- BR's Gross Margin of 31.34% is in line compared to the rest of the industry. BR outperforms 44.32% of its industry peers.
- In the last couple of years the Gross Margin of BR has grown nicely.
| 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
- The Return on Invested Capital (ROIC) is just above the Cost of Capital (WACC), so BR is still creating some value.
- The number of shares outstanding for BR has been increased compared to 1 year ago.
- Compared to 5 years ago, BR has more shares outstanding
- Compared to 1 year ago, BR has an improved debt to assets ratio.
2.2 Solvency
- An Altman-Z score of 4.70 indicates that BR is not in any danger for bankruptcy at the moment.
- With a decent Altman-Z score value of 4.70, BR is doing good in the industry, outperforming 73.86% of the companies in the same industry.
- BR has a debt to FCF ratio of 2.68. This is a good value and a sign of high solvency as BR would need 2.68 years to pay back of all of its debts.
- BR has a better Debt to FCF ratio (2.68) 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 | 4.7 |
ROIC/WACC1.7
WACC8.65%
2.3 Liquidity
- A Current Ratio of 0.93 indicates that BR may have some problems paying its short term obligations.
- The Current ratio of BR (0.93) is worse than 81.82% of its industry peers.
- 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.
- With a Quick ratio value of 0.93, BR is not doing good in the industry: 79.55% of the companies in the same industry are doing better.
| 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.
- BR shows quite a strong growth in Revenue. In the last year, the Revenue has grown by 8.57%.
- 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
- BR is expected to show quite a strong growth in Earnings Per Share. In the coming years, the EPS will grow by 10.60% yearly.
- The Revenue is expected to grow by 5.35% on average over the next years.
EPS Next Y13.92%
EPS Next 2Y11.08%
EPS Next 3Y10.81%
EPS Next 5Y10.6%
Revenue Next Year5.46%
Revenue Next 2Y5.11%
Revenue Next 3Y5.27%
Revenue Next 5Y5.35%
3.3 Evolution
- When comparing the EPS growth rate of the last years to the growth rate of the upcoming years, we see that the growth is stable.
- 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
- With a Price/Earnings ratio of 24.21, BR is valued on the expensive side.
- 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.
- Compared to an average S&P500 Price/Earnings ratio of 27.54, BR is valued at the same level.
- BR is valuated rather expensively with a Price/Forward Earnings ratio of 20.79.
- Compared to the rest of the industry, the Price/Forward Earnings ratio of BR indicates a somewhat cheap valuation: BR is cheaper than 60.23% of the companies listed in the same industry.
- BR's Price/Forward Earnings ratio indicates a similar valuation than the S&P500 average which is at 24.31.
| Industry Rank | Sector Rank | ||
|---|---|---|---|
| PE | 24.21 | ||
| Fwd PE | 20.79 |
4.2 Price Multiples
- BR's Enterprise Value to EBITDA ratio is a bit cheaper when compared to the industry. BR is cheaper than 63.64% of the companies in the same industry.
- Based on the Price/Free Cash Flow ratio, BR is valued a bit cheaper than the industry average as 62.50% of the companies are valued more expensively.
| Industry Rank | Sector Rank | ||
|---|---|---|---|
| P/FCF | 20.88 | ||
| EV/EBITDA | 18.17 |
4.3 Compensation for Growth
- BR's PEG Ratio(NY), which compensates the Price/Earnings for growth, indicates a correct valuation of the company.
- The excellent profitability rating of BR may justify a higher PE ratio.
PEG (NY)1.74
PEG (5Y)2.16
EPS Next 2Y11.08%
EPS Next 3Y10.81%
5. Dividend
5.1 Amount
- With a Yearly Dividend Yield of 1.75%, BR has a reasonable but not impressive dividend return.
- Compared to an average industry Dividend Yield of 0.43, BR pays a better dividend. On top of this BR pays more dividend than 89.77% of the companies listed in the same industry.
- BR's Dividend Yield is comparable with the S&P500 average which is at 1.92.
| Industry Rank | Sector Rank | ||
|---|---|---|---|
| Dividend Yield | 1.75% |
5.2 History
- On average, the dividend of BR grows each year by 10.38%, which is quite nice.
- BR has been paying a dividend for at least 10 years, so it has a reliable track record.
- BR has not decreased their dividend for at least 10 years, which is a reliable track record.
Dividend Growth(5Y)10.38%
Div Incr Years17
Div Non Decr Years17
5.3 Sustainability
- BR pays out 44.54% of its income as dividend. This is a bit on the high side, but may be sustainable.
- BR's earnings are growing around the same pace than its dividend. As long as the earnings growth is kept the dividend growth is sustainable.
DP44.54%
EPS Next 2Y11.08%
EPS Next 3Y10.81%
219.36
-1.6 (-0.72%)
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 Cap25.61B
Revenue(TTM)7.06B
Net Income(TTM)925.10M
Analysts76.67
Price Target275.06 (25.39%)
Short Float %2.08%
Short Ratio3.38
Dividend
| Industry Rank | Sector Rank | ||
|---|---|---|---|
| Dividend Yield | 1.75% |
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%
PT rev (3m)-2.86%
EPS NQ rev (1m)0%
EPS NQ rev (3m)-8.14%
EPS NY rev (1m)0%
EPS NY rev (3m)1.07%
Revenue NQ rev (1m)0%
Revenue NQ rev (3m)1.03%
Revenue NY rev (1m)0%
Revenue NY rev (3m)0.51%
Valuation
| Industry Rank | Sector Rank | ||
|---|---|---|---|
| PE | 24.21 | ||
| Fwd PE | 20.79 | ||
| P/S | 3.63 | ||
| P/FCF | 20.88 | ||
| P/OCF | 19.12 | ||
| P/B | 9.72 | ||
| P/tB | N/A | ||
| EV/EBITDA | 18.17 |
EPS(TTM)9.06
EY4.13%
EPS(NY)10.55
Fwd EY4.81%
FCF(TTM)10.51
FCFY4.79%
OCF(TTM)11.47
OCFY5.23%
SpS60.44
BVpS22.57
TBVpS-19.73
PEG (NY)1.74
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 | 4.7 |
F-Score8
WACC8.65%
ROIC/WACC1.7
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 Y13.92%
EPS Next 2Y11.08%
EPS Next 3Y10.81%
EPS Next 5Y10.6%
Revenue 1Y (TTM)8.57%
Revenue growth 3Y6.46%
Revenue growth 5Y8.75%
Sales Q2Q%11.7%
Revenue Next Year5.46%
Revenue Next 2Y5.11%
Revenue Next 3Y5.27%
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 13.92% in the next year.