BROWN & BROWN INC (BRO) Stock Fundamental Analysis
NYSE:BRO • US1152361010
69.84 USD
+0.68 (+0.98%)
At close: Feb 24, 2026
69.85 USD
+0.01 (+0.01%)
After Hours: 2/24/2026, 8:11:49 PM
BRO gets a fundamental rating of 5 out of 10. The analysis compared the fundamentals against 150 industry peers in the Insurance industry. Both the profitability and the financial health of BRO get a neutral evaluation. Nothing too spectacular is happening here. While showing a medium growth rate, BRO is valued expensive at the moment.
1. Profitability
1.1 Basic Checks
- In the past year BRO was profitable.
- BRO had a positive operating cash flow in the past year.
- BRO had positive earnings in each of the past 5 years.
- BRO had a positive operating cash flow in each of the past 5 years.
1.2 Ratios
- Looking at the Return On Assets, with a value of 3.47%, BRO is in the better half of the industry, outperforming 70.00% of the companies in the same industry.
- BRO has a worse Return On Equity (8.30%) than 64.00% of its industry peers.
- BRO's Return On Invested Capital of 6.04% is amongst the best of the industry. BRO outperforms 85.33% of its industry peers.
- The Average Return On Invested Capital over the past 3 years for BRO is significantly below the industry average of 15.13%.
| Industry Rank | Sector Rank | ||
|---|---|---|---|
| ROA | 3.47% | ||
| ROE | 8.3% | ||
| ROIC | 6.04% |
ROA(3y)4.94%
ROA(5y)5.08%
ROE(3y)12.99%
ROE(5y)13.39%
ROIC(3y)8.52%
ROIC(5y)8.58%
1.3 Margins
- BRO has a better Profit Margin (17.64%) than 85.33% of its industry peers.
- BRO's Profit Margin has been stable in the last couple of years.
- BRO has a better Operating Margin (28.72%) than 90.00% of its industry peers.
- BRO's Operating Margin has improved in the last couple of years.
| Industry Rank | Sector Rank | ||
|---|---|---|---|
| OM | 28.72% | ||
| PM (TTM) | 17.64% | ||
| GM | N/A |
OM growth 3Y1.76%
OM growth 5Y2.11%
PM growth 3Y-1.42%
PM growth 5Y-0.15%
GM growth 3YN/A
GM growth 5YN/A
2. Health
2.1 Basic Checks
- With a Return on Invested Capital (ROIC) just above the Cost of Capital (WACC), BRO is creating some value.
- BRO has more shares outstanding than it did 1 year ago.
- BRO has more shares outstanding than it did 5 years ago.
- BRO has a worse debt/assets ratio than last year.
2.2 Solvency
- BRO has an Altman-Z score of 1.53. This is a bad value and indicates that BRO is not financially healthy and even has some risk of bankruptcy.
- With an excellent Altman-Z score value of 1.53, BRO belongs to the best of the industry, outperforming 88.00% of the companies in the same industry.
- The Debt to FCF ratio of BRO is 5.51, which is a neutral value as it means it would take BRO, 5.51 years of fcf income to pay off all of its debts.
- BRO has a Debt to FCF ratio of 5.51. This is in the lower half of the industry: BRO underperforms 64.00% of its industry peers.
- BRO has a Debt/Equity ratio of 0.55. This is a neutral value indicating BRO is somewhat dependend on debt financing.
- Looking at the Debt to Equity ratio, with a value of 0.55, BRO is doing worse than 74.67% of the companies in the same industry.
| Industry Rank | Sector Rank | ||
|---|---|---|---|
| Debt/Equity | 0.55 | ||
| Debt/FCF | 5.51 | ||
| Altman-Z | 1.53 |
ROIC/WACC0.78
WACC7.72%
2.3 Liquidity
- A Current Ratio of 1.04 indicates that BRO should not have too much problems paying its short term obligations.
- BRO has a better Current ratio (1.04) than 80.67% of its industry peers.
- BRO has a Quick Ratio of 1.04. This is a normal value and indicates that BRO is financially healthy and should not expect problems in meeting its short term obligations.
- The Quick ratio of BRO (1.04) is better than 80.67% of its industry peers.
| Industry Rank | Sector Rank | ||
|---|---|---|---|
| Current Ratio | 1.04 | ||
| Quick Ratio | 1.04 |
3. Growth
3.1 Past
- BRO shows a strong growth in Earnings Per Share. In the last year, the EPS has been growing by 11.98%, which is quite good.
- The Earnings Per Share has been growing by 20.54% on average over the past years. This is a very strong growth
- Looking at the last year, BRO shows a very strong growth in Revenue. The Revenue has grown by 22.83%.
- Measured over the past years, BRO shows a quite strong growth in Revenue. The Revenue has been growing by 17.70% on average per year.
EPS 1Y (TTM)11.98%
EPS 3Y23.37%
EPS 5Y20.54%
EPS Q2Q%8.14%
Revenue 1Y (TTM)22.83%
Revenue growth 3Y18.21%
Revenue growth 5Y17.7%
Sales Q2Q%35.73%
3.2 Future
- BRO is expected to show quite a strong growth in Earnings Per Share. In the coming years, the EPS will grow by 8.10% yearly.
- Based on estimates for the next years, BRO will show a small growth in Revenue. The Revenue will grow by 3.68% on average per year.
EPS Next Y6.07%
EPS Next 2Y8.2%
EPS Next 3Y8.1%
EPS Next 5YN/A
Revenue Next Year20.85%
Revenue Next 2Y13.64%
Revenue Next 3Y10.43%
Revenue Next 5Y3.68%
3.3 Evolution
- The EPS growth rate is decreasing: in the next years the growth will be less 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
- A Price/Earnings ratio of 16.24 indicates a correct valuation of BRO.
- BRO's Price/Earnings ratio is a bit more expensive when compared to the industry. BRO is more expensive than 63.33% of the companies in the same industry.
- Compared to an average S&P500 Price/Earnings ratio of 26.98, BRO is valued a bit cheaper.
- A Price/Forward Earnings ratio of 15.31 indicates a correct valuation of BRO.
- Based on the Price/Forward Earnings ratio, BRO is valued a bit more expensive than 62.67% of the companies in the same industry.
- BRO's Price/Forward Earnings ratio indicates a valuation a bit cheaper than the S&P500 average which is at 28.01.
| Industry Rank | Sector Rank | ||
|---|---|---|---|
| PE | 16.24 | ||
| Fwd PE | 15.31 |
4.2 Price Multiples
- BRO's Enterprise Value to EBITDA is on the same level as the industry average.
- BRO's Price/Free Cash Flow ratio is a bit more expensive when compared to the industry. BRO is more expensive than 60.67% of the companies in the same industry.
| Industry Rank | Sector Rank | ||
|---|---|---|---|
| P/FCF | 16.98 | ||
| EV/EBITDA | 14.55 |
4.3 Compensation for Growth
- The high PEG Ratio(NY), which compensates the Price/Earnings for growth, indicates an expensive valuation of the company.
- BRO has a very decent profitability rating, which may justify a higher PE ratio.
PEG (NY)2.67
PEG (5Y)0.79
EPS Next 2Y8.2%
EPS Next 3Y8.1%
5. Dividend
5.1 Amount
- With a yearly dividend of 0.95%, BRO is not a good candidate for dividend investing.
- BRO's Dividend Yield is slightly below the industry average, which is at 2.62.
- Compared to an average S&P500 Dividend Yield of 1.81, BRO's dividend is way lower than the S&P500 average.
| Industry Rank | Sector Rank | ||
|---|---|---|---|
| Dividend Yield | 0.95% |
5.2 History
- On average, the dividend of BRO grows each year by 11.74%, which is quite nice.
- BRO has paid a dividend for at least 10 years, which is a reliable track record.
- BRO has not decreased their dividend for at least 10 years, which is a reliable track record.
Dividend Growth(5Y)11.74%
Div Incr Years31
Div Non Decr Years34
5.3 Sustainability
- 18.54% of the earnings are spent on dividend by BRO. This is a low number and sustainable payout ratio.
- BRO's earnings are growing slower than its dividend. This means the dividend growth is not sustainable.
DP18.54%
EPS Next 2Y8.2%
EPS Next 3Y8.1%
69.84
+0.68 (+0.98%)
Chartmill FA Rating
GICS SectorFinancials
GICS IndustryGroupInsurance
GICS IndustryInsurance
Earnings (Last)01-26 2026-01-26/amc
Earnings (Next)04-27 2026-04-27/amc
Inst Owners80.99%
Inst Owner Change2.52%
Ins Owners13.08%
Ins Owner Change-0.17%
Market Cap23.47B
Revenue(TTM)5.90B
Net Income(TTM)1.04B
Analysts66.09
Price Target86.59 (23.98%)
Short Float %5.4%
Short Ratio5.05
Dividend
| Industry Rank | Sector Rank | ||
|---|---|---|---|
| Dividend Yield | 0.95% |
Yearly Dividend0.62
Dividend Growth(5Y)11.74%
DP18.54%
Div Incr Years31
Div Non Decr Years34
Ex-Date02-04 2026-02-04 (0.165)
Surprises & Revisions
EPS beat(2)2
Avg EPS beat(2)6.52%
Min EPS beat(2)2.26%
Max EPS beat(2)10.78%
EPS beat(4)3
Avg EPS beat(4)3.5%
Min EPS beat(4)-2.08%
Max EPS beat(4)10.78%
EPS beat(8)7
Avg EPS beat(8)5.02%
EPS beat(12)11
Avg EPS beat(12)6.41%
EPS beat(16)14
Avg EPS beat(16)4.52%
Revenue beat(2)1
Avg Revenue beat(2)0.27%
Min Revenue beat(2)-3.54%
Max Revenue beat(2)4.08%
Revenue beat(4)1
Avg Revenue beat(4)-0.25%
Min Revenue beat(4)-3.54%
Max Revenue beat(4)4.08%
Revenue beat(8)5
Avg Revenue beat(8)1.07%
Revenue beat(12)9
Avg Revenue beat(12)1.79%
Revenue beat(16)11
Avg Revenue beat(16)1.38%
PT rev (1m)-8.09%
PT rev (3m)-12.49%
EPS NQ rev (1m)-3.94%
EPS NQ rev (3m)-5.65%
EPS NY rev (1m)-2.44%
EPS NY rev (3m)-4.44%
Revenue NQ rev (1m)-2.02%
Revenue NQ rev (3m)-1.47%
Revenue NY rev (1m)-1.73%
Revenue NY rev (3m)-1.87%
Valuation
| Industry Rank | Sector Rank | ||
|---|---|---|---|
| PE | 16.24 | ||
| Fwd PE | 15.31 | ||
| P/S | 3.98 | ||
| P/FCF | 16.98 | ||
| P/OCF | 16.18 | ||
| P/B | 1.87 | ||
| P/tB | N/A | ||
| EV/EBITDA | 14.55 |
EPS(TTM)4.3
EY6.16%
EPS(NY)4.56
Fwd EY6.53%
FCF(TTM)4.11
FCFY5.89%
OCF(TTM)4.32
OCFY6.18%
SpS17.57
BVpS37.34
TBVpS-22.16
PEG (NY)2.67
PEG (5Y)0.79
Graham Number60.11
Profitability
| Industry Rank | Sector Rank | ||
|---|---|---|---|
| ROA | 3.47% | ||
| ROE | 8.3% | ||
| ROCE | 7.81% | ||
| ROIC | 6.04% | ||
| ROICexc | 6.36% | ||
| ROICexgc | 209.81% | ||
| OM | 28.72% | ||
| PM (TTM) | 17.64% | ||
| GM | N/A | ||
| FCFM | 23.42% |
ROA(3y)4.94%
ROA(5y)5.08%
ROE(3y)12.99%
ROE(5y)13.39%
ROIC(3y)8.52%
ROIC(5y)8.58%
ROICexc(3y)9.08%
ROICexc(5y)9.31%
ROICexgc(3y)239.08%
ROICexgc(5y)209.68%
ROCE(3y)11.01%
ROCE(5y)11.09%
ROICexgc growth 3Y7.45%
ROICexgc growth 5Y5.82%
ROICexc growth 3Y-9.73%
ROICexc growth 5Y-6.83%
OM growth 3Y1.76%
OM growth 5Y2.11%
PM growth 3Y-1.42%
PM growth 5Y-0.15%
GM growth 3YN/A
GM growth 5YN/A
F-Score3
Asset Turnover0.2
Health
| Industry Rank | Sector Rank | ||
|---|---|---|---|
| Debt/Equity | 0.55 | ||
| Debt/FCF | 5.51 | ||
| Debt/EBITDA | 3.34 | ||
| Cap/Depr | 18.53% | ||
| Cap/Sales | 1.15% | ||
| Interest Coverage | 5.97 | ||
| Cash Conversion | 70.32% | ||
| Profit Quality | 132.76% | ||
| Current Ratio | 1.04 | ||
| Quick Ratio | 1.04 | ||
| Altman-Z | 1.53 |
F-Score3
WACC7.72%
ROIC/WACC0.78
Cap/Depr(3y)29.64%
Cap/Depr(5y)29.33%
Cap/Sales(3y)1.49%
Cap/Sales(5y)1.48%
Profit Quality(3y)117.85%
Profit Quality(5y)122.47%
High Growth Momentum
Growth
EPS 1Y (TTM)11.98%
EPS 3Y23.37%
EPS 5Y20.54%
EPS Q2Q%8.14%
EPS Next Y6.07%
EPS Next 2Y8.2%
EPS Next 3Y8.1%
EPS Next 5YN/A
Revenue 1Y (TTM)22.83%
Revenue growth 3Y18.21%
Revenue growth 5Y17.7%
Sales Q2Q%35.73%
Revenue Next Year20.85%
Revenue Next 2Y13.64%
Revenue Next 3Y10.43%
Revenue Next 5Y3.68%
EBIT growth 1Y15.62%
EBIT growth 3Y20.29%
EBIT growth 5Y20.18%
EBIT Next Year50.35%
EBIT Next 3Y10.71%
EBIT Next 5Y9.9%
FCF growth 1Y26.56%
FCF growth 3Y18.58%
FCF growth 5Y16.25%
OCF growth 1Y23.51%
OCF growth 3Y18.05%
OCF growth 5Y14.98%
BROWN & BROWN INC / BRO FAQ
Can you provide the ChartMill fundamental rating for BROWN & BROWN INC?
ChartMill assigns a fundamental rating of 5 / 10 to BRO.
What is the valuation status for BRO stock?
ChartMill assigns a valuation rating of 2 / 10 to BROWN & BROWN INC (BRO). This can be considered as Overvalued.
What is the profitability of BRO stock?
BROWN & BROWN INC (BRO) has a profitability rating of 6 / 10.
What is the valuation of BROWN & BROWN INC based on its PE and PB ratios?
The Price/Earnings (PE) ratio for BROWN & BROWN INC (BRO) is 16.24 and the Price/Book (PB) ratio is 1.87.
How sustainable is the dividend of BROWN & BROWN INC (BRO) stock?
The dividend rating of BROWN & BROWN INC (BRO) is 5 / 10 and the dividend payout ratio is 18.54%.