Opinions
Stockchase Insights
Brown & Brown
BRO-N
BUY
Aug 15, 2025
$95.340
Stock price when the opinion was issued
insurance
It's the ideal tool to help you make quicker, more informed decisions for
managing and tracking your investments.
BRO is a $31.6B insurance name which is down 9% year-to-date, but over the past five years it has a ~17% total return CAGR. It pays a small yield of 0.6%, it has grown its sales and earnings at a 14.8% and 17.9% annualized return, respectively. Forward growth estimates are strong, and its fundamentals are solid. The entire insurance industry is likely heading into a 'hard market', which can negatively impact profits, but for a long-term holding, we continue to like this name.
The acquisition of Accession Risk for $9.8B is a large-scale acquisition, potential expanding its market reach in specialty and wholesale channels. There are some risks on the integration of this acquisition, but it has a successful track record of integrations. We think for a long-term, more defensive holding, we would be comfortable buying here.
Unlock Premium - Try 5i Free