BROADRIDGE FINANCIAL SOLUTIO (BR) Stock Fundamental Analysis
USA - New York Stock Exchange - NYSE:BR - US11133T1034 - Common Stock
209.28 USD
-9.36 (-4.28%)
209.28 USD
0 (0%)
Taking everything into account, BR scores 5 out of 10 in our fundamental rating. BR was compared to 88 industry peers in the IT Services industry. BR scores excellent on profitability, but there are concerns on its financial health. BR is not valued too expensively and it also shows a decent growth rate. BR also has an excellent dividend rating.
1. Profitability
1.1 Basic Checks
- In the past year BR was profitable.
- BR had a positive operating cash flow in the past year.
- BR had positive earnings in each of the past 5 years.
- Each year in the past 5 years BR had a positive operating cash flow.
1.2 Ratios
- With an excellent Return On Assets value of 11.14%, BR belongs to the best of the industry, outperforming 87.50% of the companies in the same industry.
- 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.
- With an excellent Return On Invested Capital value of 14.67%, BR belongs to the best of the industry, outperforming 88.64% of the companies in the same industry.
- The Average Return On Invested Capital over the past 3 years for BR is significantly below the industry average of 29.06%.
- 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.
- 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.
- BR has a Gross Margin (31.34%) which is comparable to the rest of the industry.
- 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.
- Compared to 1 year ago, BR has more shares outstanding
- BR has more shares outstanding than it did 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.
- BR has a better Altman-Z score (4.69) than 75.00% of its industry peers.
- 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.
- The Debt to FCF ratio of BR (2.68) is better than 63.64% of its industry peers.
- A Debt/Equity ratio of 1.06 is on the high side and indicates that BR has dependencies on debt financing.
- The Debt to Equity ratio of BR (1.06) is worse than 64.77% of its industry peers.
| Industry Rank | Sector Rank | ||
|---|---|---|---|
| Debt/Equity | 1.06 | ||
| Debt/FCF | 2.68 | ||
| Altman-Z | 4.69 |
ROIC/WACC1.66
WACC8.85%
2.3 Liquidity
- BR has a Current 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.
- 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.
- 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
- BR shows a strong growth in Earnings Per Share. In the last year, the EPS has been growing by 18.43%, which is quite good.
- Measured over the past years, BR shows a quite strong growth in Earnings Per Share. The EPS has been growing by 11.19% on average per year.
- Looking at the last year, BR shows a quite strong growth in Revenue. The Revenue has grown by 8.57% in the last year.
- The Revenue has been growing by 8.75% on average over the past years. This is quite good.
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
- The Earnings Per Share is expected to grow by 10.60% on average over the next years. This is quite good.
- 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
- 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.
- When comparing the Revenue growth rate of the last years to the growth rate of the upcoming years, we see that the growth is decreasing.
4. Valuation
4.1 Price/Earnings Ratio
- Based on the Price/Earnings ratio of 23.10, the valuation of BR can be described as rather expensive.
- 61.36% of the companies in the same industry are more expensive than BR, based on the Price/Earnings ratio.
- Compared to an average S&P500 Price/Earnings ratio of 26.94, BR is valued at the same level.
- BR is valuated rather expensively with a Price/Forward Earnings ratio of 19.83.
- Based on the Price/Forward Earnings ratio, BR is valued a bit cheaper than the industry average as 60.23% of the companies are valued more expensively.
- BR is valuated at similar levels of the S&P average when we compare the Price/Forward Earnings ratio to 23.94, which is the current average of the S&P500 Index.
| Industry Rank | Sector Rank | ||
|---|---|---|---|
| PE | 23.1 | ||
| Fwd PE | 19.83 |
4.2 Price Multiples
- BR's Enterprise Value to EBITDA ratio is a bit cheaper when compared to the industry. BR is cheaper than 62.50% of the companies in the same industry.
- 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 | 19.92 | ||
| 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)1.65
PEG (5Y)2.06
EPS Next 2Y11.09%
EPS Next 3Y10.83%
5. Dividend
5.1 Amount
- With a Yearly Dividend Yield of 1.78%, BR has a reasonable but not impressive dividend return.
- 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.
- BR's Dividend Yield is comparable with the S&P500 average which is at 1.83.
| Industry Rank | Sector Rank | ||
|---|---|---|---|
| Dividend Yield | 1.78% |
5.2 History
- The dividend of BR is nicely growing with an annual growth rate of 10.38%!
- 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
- BR pays out 44.54% of its income as dividend. 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%
209.28
-9.36 (-4.28%)
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 Cap24.43B
Revenue(TTM)7.06B
Net Income(TTM)925.10M
Analysts76.67
Price Target275.2 (31.5%)
Short Float %1.8%
Short Ratio2.97
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 | 23.1 | ||
| Fwd PE | 19.83 | ||
| P/S | 3.46 | ||
| P/FCF | 19.92 | ||
| P/OCF | 18.24 | ||
| P/B | 9.27 | ||
| P/tB | N/A | ||
| EV/EBITDA | 18.12 |
EPS(TTM)9.06
EY4.33%
EPS(NY)10.55
Fwd EY5.04%
FCF(TTM)10.51
FCFY5.02%
OCF(TTM)11.47
OCFY5.48%
SpS60.44
BVpS22.57
TBVpS-19.73
PEG (NY)1.65
PEG (5Y)2.06
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
WACC8.85%
ROIC/WACC1.66
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.