Brown & Brown (NYSE:BRO) Reaches New 12-Month Low After Analyst Downgrade

Shares of Brown & Brown, Inc. (NYSE:BRO) reached a new 52-week low during trading on Tuesday after Jefferies Financial Group lowered their price target on the stock from $89.00 to $84.00. Jefferies Financial Group currently has a hold rating on the stock. Brown & Brown traded as low as $73.52 and last traded at $73.7460, with a volume of 1195407 shares trading hands. The stock had previously closed at $79.62.

Several other equities research analysts also recently weighed in on BRO. Keefe, Bruyette & Woods increased their price target on Brown & Brown from $79.00 to $80.00 and gave the stock an “underperform” rating in a research report on Tuesday, January 6th. Weiss Ratings reaffirmed a “hold (c)” rating on shares of Brown & Brown in a report on Monday, December 29th. Morgan Stanley reduced their price target on Brown & Brown from $95.00 to $85.00 and set an “equal weight” rating for the company in a research report on Monday, November 17th. Wolfe Research began coverage on Brown & Brown in a research report on Thursday, November 20th. They issued a “peer perform” rating on the stock. Finally, Wells Fargo & Company dropped their price objective on shares of Brown & Brown from $84.00 to $82.00 and set an “equal weight” rating on the stock in a research note on Wednesday. Three equities research analysts have rated the stock with a Buy rating, fourteen have assigned a Hold rating and one has assigned a Sell rating to the company’s stock. According to MarketBeat, Brown & Brown has a consensus rating of “Hold” and a consensus target price of $93.93.

Key Stories Impacting Brown & Brown

Here are the key news stories impacting Brown & Brown this week:

• Positive Sentiment: Management outlined a higher 2026 margin target (32%–37%) tied to the Accession integration and projected $30M–$40M of synergies, which supports medium-term margin expansion and cost-benefit expectations. Article Title
• Positive Sentiment: Q4 adjusted earnings slightly beat consensus (EPS modestly above estimates) and the company posted higher profit and investment income, supporting profitability metrics despite top-line pressure. Article Title
• Neutral Sentiment: Management held its Q4 earnings call and published the transcript/presentation — useful for color on organic growth trends, acquisition integration timelines and margin drivers. Earnings Call Transcript
• Neutral Sentiment: Some analysts trimmed targets but left constructive stances (e.g., Truist cut its target but kept a Buy rating), signaling varying views on valuation vs. near-term growth. Benzinga
• Negative Sentiment: A string of price-target reductions from mid/large-cap brokers (Jefferies, Mizuho, Wells Fargo, Barclays, Bank of America) lowered near-term upside expectations and added selling pressure. Benzinga TickerReport
• Negative Sentiment: Revenue came in below expectations (MarketWatch flagged a Q4 revenue miss) and management noted lower organic revenue, which raises questions about near-term growth momentum despite higher investment income. Article Title Zacks

Hedge Funds Weigh In On Brown & Brown

A number of large investors have recently added to or reduced their stakes in the stock. Access Investment Management LLC acquired a new stake in Brown & Brown in the 2nd quarter valued at about $1,109,000. Invesco Ltd. increased its stake in shares of Brown & Brown by 1.1% during the second quarter. Invesco Ltd. now owns 4,166,370 shares of the financial services provider’s stock worth $461,925,000 after buying an additional 46,235 shares during the period. Sumitomo Mitsui Trust Group Inc. increased its position in shares of Brown & Brown by 30.6% in the 2nd quarter. Sumitomo Mitsui Trust Group Inc. now owns 760,893 shares of the financial services provider’s stock valued at $84,360,000 after purchasing an additional 178,082 shares during the last quarter. Quadrature Capital Ltd purchased a new position in Brown & Brown in the second quarter valued at $1,635,000. Finally, AMF Tjanstepension AB acquired a new position in shares of Brown & Brown during the 2nd quarter worth about $6,798,000. 71.01% of the stock is currently owned by institutional investors and hedge funds.

Brown & Brown Trading Down 2.7%

The company has a current ratio of 1.67, a quick ratio of 2.10 and a debt-to-equity ratio of 0.55. The firm has a market cap of $24.63 billion, a PE ratio of 22.54, a P/E/G ratio of 1.74 and a beta of 0.81. The business has a fifty day moving average price of $79.61 and a 200 day moving average price of $87.77.

Brown & Brown (NYSE:BRO) last posted its earnings results on Monday, January 26th. The financial services provider reported $0.93 earnings per share for the quarter, topping the consensus estimate of $0.91 by $0.02. The firm had revenue of $1.61 billion during the quarter, compared to analysts’ expectations of $1.65 billion. Brown & Brown had a return on equity of 12.93% and a net margin of 17.84%.The firm’s revenue was up 35.7% compared to the same quarter last year. During the same quarter in the previous year, the business earned $0.86 earnings per share. Analysts forecast that Brown & Brown, Inc. will post 4.18 EPS for the current year.

Brown & Brown Announces Dividend

The business also recently announced a quarterly dividend, which will be paid on Wednesday, February 11th. Investors of record on Wednesday, February 4th will be given a $0.165 dividend. This represents a $0.66 dividend on an annualized basis and a dividend yield of 0.9%. The ex-dividend date of this dividend is Wednesday, February 4th. Brown & Brown’s dividend payout ratio (DPR) is 19.76%.

Brown & Brown Company Profile

Brown & Brown, Inc (NYSE: BRO) is a professional insurance brokerage and risk advisory firm that provides a broad range of property and casualty, employee benefits, personal risk, and specialty insurance products. The company works with commercial, public sector and individual clients to design and place insurance programs, manage claims and loss control, and deliver risk management consulting. Its services also include wholesale brokerage, program administration and other specialty distribution solutions that connect carriers and intermediaries to niche markets.

Brown & Brown operates through a decentralized model of operating units and subsidiaries, enabling local client service with the scale to access national and specialty markets.