DailyIQ
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Sector:Financial ServicesAll sectors
Last updated 1 minute ago

BRO·Brown & Brown, Inc.

$.
+. (+.%)
After Hours
High
$59.26
Open
$58.26
Market Cap
19.96B
52W High
$111.63
Low
$57.51
P. Close
$58.85
P/E
17.38
52W Low
$53.81
Fwd P/E
54.44
DailyIQ Est.
$82.00
Technical Score (1D)
32
SELL
News Sentiment
74
BULLISH
Corey Lewis’s appointment as retail global head of tax insurance expands Brown & Brown’s private‑equity and M&A service capabilities, positioning the firm to capture more deal‑related revenue amid a tightening deal environment. This move signals an intent to grow earnings in the coming quarter by building a dedicated transactional tax team that can address exposure and credit opportunities. Morgan Stanley’s recent target cut to $60 reflects concerns over slower premium growth, suggesting short‑term softness in the insurance sector. In contrast, Citizens Financial’s $70 target and outperform rating highlight BRO’s robust margins and attractive positioning, indicating that the company may still benefit from its cost structure. The divergent analyst views imply that BRO’s valuation could be sensitive to near‑term premium trends, so traders should monitor premium growth data over the next few weeks. Simultaneously, option implied volatility has surged, signaling heightened uncertainty and potentially higher hedging costs for BRO investors. This volatility spike may translate into sharper price swings, making the stock more attractive for short‑term traders but riskier for long‑term holders. Over the next 1–10 trading days, watch for any changes in the tax‑insurance team’s deal pipeline and the release of premium growth figures, as these will clarify whether the new capabilities translate into revenue gains. Also keep an eye on option pricing movements to gauge whether the volatility persists or normalizes, which will affect hedging strategies. Finally, monitor analyst updates for any further target revisions, as they will reflect evolving sentiment about BRO’s growth prospects.
Earnings Summary
Brown & Brown, Inc. is a global insurance distributor offering a wide array of insurance products and services across various international markets, operating through its Retail, Programs, Wholesale Brokerage, and Services segments. The company provides property and casualty, employee benefits, and specialized insurance solutions for commercial, professional, and individual clients, alongside niche insurance products and claims administration. In its recent earnings reports, Brown & Brown has shown a pattern of meeting or exceeding analyst expectations. For Q1 2026, the company reported EPS of $1.39, surpassing the estimate of $1.36, with revenue at $1.90 billion, exceeding the estimate of $1.89 billion. This follows a Q4 2025 where EPS was $0.93, missing the estimate of $1.37, while revenue of $1.61 billion met the estimate of $1.92 billion. Prior to that, Q3 2025 saw EPS of $1.05, beating the estimate of $0.93, and Q2 2025 reported EPS of $1.03, exceeding the estimate of $0.99. The company also beat EPS estimates in Q1 2025 at $1.29 versus $1.30 estimate and Q4 2024 at $0.86 versus $0.77 estimate. This performance indicates a recent trend of beating EPS estimates in three of the last four reported quarters (Q4 2024, Q2 2025, Q3 2025, Q1 2026), with a notable miss in Q4 2025. Revenue growth has been consistent, with the company exceeding revenue estimates in Q1 2026 and Q3 2025, and meeting estimates in Q4 2025. Historically, Brown & Brown has demonstrated a generally positive year-over-year growth trajectory, with consistent revenue increases and a strong track record of beating analyst estimates for EPS in most periods, punctuated by the Q4 2025 miss. Recent news includes Citizens initiating coverage with a 'Market Outperform' rating, citing expected benefits from increased insurance demand, M&A activity, and technological adoption within the sector. Conversely, Morgan Stanley adjusted its price target to $60 with an 'Equalweight' rating, and JPMorgan lowered its target to $81 while maintaining a neutral rating, suggesting a mixed analyst sentiment. Investors will be watching for continued revenue growth and the company's ability to consistently meet or exceed EPS estimates in the upcoming quarters, particularly in light of the recent Q4 2025 miss and the varying analyst outlooks.

EPS

EstBeatMiss
$0.86$1.01$1.16$1.31$1.46Q1'25Q2'25Q3'25Q4'25Q1'26Q2'26
QtrEstActual+/−
Q2'26$1.08 - -
Q1'26$1.36$1.39+2.3%
Q4'25$1.37$0.93-32.3%
Q3'25$0.93$1.05+12.9%
Q2'25$0.99$1.03+4.6%
Q1'25$1.30$1.29-0.5%

Revenue

EstBeatMiss
$1.2B$1.4B$1.6B$1.8B$2.0BQ1'25Q2'25Q3'25Q4'25Q1'26Q2'26
QtrEstActual+/−
Q2'26$1.7B - -
Q1'26$1.9B$1.9B+0.6%
Q4'25$1.9B$1.6B-16.4%
Q3'25 - $1.6B -
Q2'25 - $1.3B -
Q1'25 - $1.4B -
Full Earnings BreakdownEstimates, actuals, guidance, and historical context
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Market Data

BRO Stock Snapshot

BRO is currently trading at $58.86, giving Brown & Brown, Inc. a market cap of 19.96B and a P/E ratio of 17.4. Today's range spans $57.51–$59.26, with shares opening at $58.26 and moving up $0.01 (0.0%) from the prior close. DailyIQ's technical score sits at 32/100 (SELL) with a news sentiment reading of 74/100.

Over the past year BRO has traded between $53.81 and $111.63 - the current price is +9.4% off the 52-week low and -47.3% from the high. 28 analysts cover the stock with a Hold consensus and a mean 12-month target of $73.00 (range $60.00–$90.00), implying upside of +24.0%.

When BRO shows a SELL (32/100) alongside bullish sentiment (74/100), the right posture for most Financial Services investors is reduced exposure rather than conviction buying. Price: $58.86 (near 52-week lows). (P/E: 17.4) At 19.96B in capitalization, the structural support levels within the $53.81–$111.63 annual range are where the setup becomes reassessable - not before.

The current SELL phase for BRO (32/100) at $58.86 (near 52-week lows) suggests that the market is discounting either a fundamental deterioration or a sector headwind that hasn't fully appeared in the earnings line yet. Sentiment at 74/100 (bullish) confirms that news flow is not providing a counternarrative. At 19.96B in Financial Services capitalization, BRO has the liquidity for institutional exits to be orderly — but orderly doesn't mean shallow within the $53.81–$111.63 range.