BROWN & BROWN INC (BRO) Fundamental Analysis & Valuation

NYSE:BRO • US1152361010

71.85 USD
-0.31 (-0.43%)
At close: Mar 4, 2026
71.85 USD
0 (0%)
After Hours: 3/4/2026, 8:11:17 PM
Overview Stock Chart Technical Analysis Fundamental Analysis Forecast Earnings Financials Ownership News

This BRO fundamental analysis includes valuation metrics, fair value assessment, financial health analysis, profitability trends, growth metrics and dividend sustainability analysis.

Fundamental Rating

5

BRO gets a fundamental rating of 5 out of 10. The analysis compared the fundamentals against 149 industry peers in the Insurance industry. BRO has a medium profitability rating, but doesn't score so well on its financial health evaluation. BRO is quite expensive at the moment. It does show a decent growth rate.


Dividend Valuation Growth Profitability Health

6

1. BRO Profitability Analysis

1.1 Basic Checks

  • BRO had positive earnings in the past year.
  • BRO had a positive operating cash flow in the past year.
  • Each year in the past 5 years BRO has been profitable.
  • In the past 5 years BRO always reported a positive cash flow from operatings.
BRO Yearly Net Income VS EBIT VS OCF VS FCFBRO Yearly Net Income VS EBIT VS OCF VS FCFYearly Net Income VS EBIT VS OCF VS FCF 2016 2017 2018 2019 2020 2021 2022 2023 2024 2025 500M 1B 1.5B

1.2 Ratios

  • The Return On Assets of BRO (3.47%) is better than 67.79% of its industry peers.
  • BRO has a Return On Equity (8.30%) which is comparable to the rest of the industry.
  • The Return On Invested Capital of BRO (6.04%) is better than 84.56% of its industry peers.
  • The Average Return On Invested Capital over the past 3 years for BRO is significantly below the industry average of 15.26%.
Industry RankSector 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%
BRO Yearly ROA, ROE, ROICBRO Yearly ROA, ROE, ROICYearly ROA, ROE, ROIC 2016 2017 2018 2019 2020 2021 2022 2023 2024 2025 5 10 15

1.3 Margins

  • The Profit Margin of BRO (17.64%) is better than 83.22% 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 89.26% of its industry peers.
  • In the last couple of years the Operating Margin of BRO has grown nicely.
Industry RankSector 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
BRO Yearly Profit, Operating, Gross MarginsBRO Yearly Profit, Operating, Gross MarginsYearly Profit, Operating, Gross Margins 2016 2017 2018 2019 2020 2021 2022 2023 2024 2025 10 20 30

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3

2. BRO Health Analysis

2.1 Basic Checks

  • With a Return on Invested Capital (ROIC) just above the Cost of Capital (WACC), BRO is creating some value.
  • The number of shares outstanding for BRO has been increased compared to 1 year ago.
  • Compared to 5 years ago, BRO has more shares outstanding
  • BRO has a worse debt/assets ratio than last year.
BRO Yearly Shares OutstandingBRO Yearly Shares OutstandingYearly Shares Outstanding 2016 2017 2018 2019 2020 2021 2022 2023 2024 2025 100M 200M 300M
BRO Yearly Total Debt VS Total AssetsBRO Yearly Total Debt VS Total AssetsYearly Total Debt VS Total Assets 2016 2017 2018 2019 2020 2021 2022 2023 2024 2025 5B 10B 15B 20B 25B

2.2 Solvency

  • Based on the Altman-Z score of 1.55, we must say that BRO is in the distress zone and has some risk of bankruptcy.
  • The Altman-Z score of BRO (1.55) is better than 87.92% of its industry peers.
  • 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.
  • Looking at the Debt to FCF ratio, with a value of 5.51, BRO is doing worse than 64.43% of the companies in the same industry.
  • 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 75.84% of the companies in the same industry.
Industry RankSector Rank
Debt/Equity 0.55
Debt/FCF 5.51
Altman-Z 1.55
ROIC/WACC0.78
WACC7.77%
BRO Yearly LT Debt VS Equity VS FCFBRO Yearly LT Debt VS Equity VS FCFYearly LT Debt VS Equity VS FCF 2016 2017 2018 2019 2020 2021 2022 2023 2024 2025 2B 4B 6B 8B 10B

2.3 Liquidity

  • BRO has a Current 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.
  • BRO has a Current ratio of 1.04. This is in the better half of the industry: BRO outperforms 79.87% 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.
  • Looking at the Quick ratio, with a value of 1.04, BRO is in the better half of the industry, outperforming 79.87% of the companies in the same industry.
Industry RankSector Rank
Current Ratio 1.04
Quick Ratio 1.04
BRO Yearly Current Assets VS Current LiabilitesBRO Yearly Current Assets VS Current LiabilitesYearly Current Assets VS Current Liabilites 2016 2017 2018 2019 2020 2021 2022 2023 2024 2025 2B 4B 6B 8B

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WACCDebt/EquityHow to determine the health of a companyAltman-Z scoreShow peers with great health

6

3. BRO Growth Analysis

3.1 Past

  • The Earnings Per Share has grown by an nice 11.98% over the past year.
  • BRO shows a strong growth in Earnings Per Share. Measured over the last years, the EPS has been growing by 20.54% yearly.
  • Looking at the last year, BRO shows a very strong growth in Revenue. The Revenue has grown by 22.83%.
  • The Revenue has been growing by 17.70% on average over the past years. This is quite good.
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.
  • The Revenue is expected to grow by 3.68% on average over the next years.
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.
BRO Yearly Revenue VS EstimatesBRO Yearly Revenue VS EstimatesYearly Revenue VS Estimates 2015 2016 2017 2018 2019 2020 2021 2022 2023 2024 2025 2026 2027 2028 2029 2B 4B 6B 8B
BRO Yearly EPS VS EstimatesBRO Yearly EPS VS EstimatesYearly EPS VS Estimates 2015 2016 2017 2018 2019 2020 2021 2022 2023 2024 2025 2026 2027 2028 1 2 3 4 5

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2

4. BRO Valuation Analysis

4.1 Price/Earnings Ratio

  • A Price/Earnings ratio of 16.71 indicates a correct valuation of BRO.
  • 67.79% of the companies in the same industry are cheaper than BRO, based on the Price/Earnings ratio.
  • BRO's Price/Earnings ratio indicates a valuation a bit cheaper than the S&P500 average which is at 27.03.
  • The Price/Forward Earnings ratio is 15.75, which indicates a correct valuation of BRO.
  • Based on the Price/Forward Earnings ratio, BRO is valued a bit more expensive than 63.09% of the companies in the same industry.
  • BRO is valuated rather cheaply when we compare the Price/Forward Earnings ratio to 25.11, which is the current average of the S&P500 Index.
Industry RankSector Rank
PE 16.71
Fwd PE 15.75
BRO Price Earnings VS Forward Price EarningsBRO Price Earnings VS Forward Price Earnings ChartPrice Earnings - Forward Price Earnings PE FPE 5 10 15 20 25

4.2 Price Multiples

  • Compared to the rest of the industry, the Enterprise Value to EBITDA ratio of BRO is on the same level as its industry peers.
  • Compared to the rest of the industry, the Price/Free Cash Flow ratio of BRO indicates a slightly more expensive valuation: BRO is more expensive than 61.07% of the companies listed in the same industry.
Industry RankSector Rank
P/FCF 17.47
EV/EBITDA 14.88
BRO Per share dataBRO EPS, Sales, OCF, FCF, BookValue per sharePer Share Data Per Share 0 10 -10 20 -20 30

4.3 Compensation for Growth

  • The high PEG Ratio(NY), which compensates the Price/Earnings for growth, indicates BRO does not grow enough to justify the current Price/Earnings ratio.
  • The decent profitability rating of BRO may justify a higher PE ratio.
PEG (NY)2.75
PEG (5Y)0.81
EPS Next 2Y8.2%
EPS Next 3Y8.1%

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Price/EarningsPrice/FCFFCF per shareEV/EBITDAPEG RATIOShow best valued peers

5

5. BRO Dividend Analysis

5.1 Amount

  • BRO has a yearly dividend return of 0.93%, which is pretty low.
  • BRO's Dividend Yield is slightly below the industry average, which is at 2.50.
  • Compared to an average S&P500 Dividend Yield of 1.82, BRO's dividend is way lower than the S&P500 average.
Industry RankSector Rank
Dividend Yield 0.93%

5.2 History

  • The dividend of BRO is nicely growing with an annual growth rate of 11.74%!
  • BRO has paid a dividend for at least 10 years, which is a reliable track record.
  • BRO has not decreased its dividend for at least 10 years, so it has a reliable track record of non decreasing dividend.
Dividend Growth(5Y)11.74%
Div Incr Years31
Div Non Decr Years34
BRO Yearly Dividends per shareBRO Yearly Dividends per shareYearly Dividends per share 2016 2017 2018 2019 2020 2021 2022 2023 2024 2025 2026 0.2 0.4 0.6

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%
BRO Yearly Income VS Free CF VS DividendBRO Yearly Income VS Free CF VS DividendYearly Income VS Free CF VS Dividend 2016 2017 2018 2019 2020 2021 2022 2023 2024 2025 200M 400M 600M 800M 1B
BRO Dividend Payout.BRO Dividend Payout, showing the Payout Ratio.BRO Dividend Payout.PayoutRetained Earnings

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BRO Fundamentals: All Metrics, Ratios and Statistics

BROWN & BROWN INC

NYSE:BRO (3/4/2026, 8:11:17 PM)

After market: 71.85 0 (0%)

71.85

-0.31 (-0.43%)

Chartmill FA Rating
GICS SectorFinancials
GICS IndustryGroupInsurance
GICS IndustryInsurance
Earnings (Last)01-26
Earnings (Next)04-27
Inst Owners80.99%
Inst Owner Change2.53%
Ins Owners13.08%
Ins Owner Change-3.39%
Market Cap24.14B
Revenue(TTM)5.90B
Net Income(TTM)1.04B
Analysts66.09
Price Target86.32 (20.14%)
Short Float %5.77%
Short Ratio5.07
Dividend
Industry RankSector Rank
Dividend Yield 0.93%
Yearly Dividend0.62
Dividend Growth(5Y)11.74%
DP18.54%
Div Incr Years31
Div Non Decr Years34
Ex-Date02-04
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)-8.38%
PT rev (3m)-12.77%
EPS NQ rev (1m)-1.76%
EPS NQ rev (3m)-5.23%
EPS NY rev (1m)-2.44%
EPS NY rev (3m)-4.44%
Revenue NQ rev (1m)-1.22%
Revenue NQ rev (3m)-1.47%
Revenue NY rev (1m)-1.73%
Revenue NY rev (3m)-1.87%
Valuation
Industry RankSector Rank
PE 16.71
Fwd PE 15.75
P/S 4.09
P/FCF 17.47
P/OCF 16.65
P/B 1.92
P/tB N/A
EV/EBITDA 14.88
EPS(TTM)4.3
EY5.98%
EPS(NY)4.56
Fwd EY6.35%
FCF(TTM)4.11
FCFY5.72%
OCF(TTM)4.32
OCFY6.01%
SpS17.57
BVpS37.34
TBVpS-22.16
PEG (NY)2.75
PEG (5Y)0.81
Graham Number60.11
Profitability
Industry RankSector 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 RankSector 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 1.55
F-Score3
WACC7.77%
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 Year48.79%
EBIT Next 3Y18.8%
EBIT Next 5Y10.01%
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 16.71 and the Price/Book (PB) ratio is 1.92.


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%.