Brown & Brown, Inc. (BRO)

In the past six months, Brown & Brown's stock has been impacted by several events. Analyst downgrades occurred from Goldman Sachs and Morgan Stanley. The Q1 2025 earnings report resulted in a marginal stock decline, with mixed reports on whether the company met or surpassed estimates. A public offering of common stock aimed to raise $4 billion. Acquisition announcements included a deal to acquire the parent company of Accession Risk Management Group and Brown & Brown (Europe) Limited acquiring BCM Acquisitions Limited. As of July 19, 2025, BRO has returned 2.07% year-to-date and 11.99% over the past 12 months.

The demand for Brown & Brown, Inc.'s products and services exhibits some seasonality. The insurance market can be influenced by economic growth cycles. There is strong demand for employee benefits consulting businesses. Approximately 60% of the revenues for certain acquisitions are recognized in the first quarter. The first quarter is typically expected to be lower than others for the Retail segment. The Programs segment can see increased claims revenue associated with hurricane seasons. Profit-sharing contingent commissions are likely to increase due to improved underwriting results. Net investment income is expected to benefit from higher average interest rates and cash balances.

Brown & Brown, Inc. is an insurance agency and brokerage firm specializing in risk management solutions, operating in the Financial Services sector. Founded in 1939 in Daytona Beach, Florida, it connects customers with insurance companies, earning revenue through commissions and fees. The company operates through four segments: Retail, National Programs, Wholesale Brokerage, and Services. Key initiatives include expanding digital insurance marketplace offerings and enhancing customer service through technology. Brown & Brown strategically acquires companies to increase market footprint and service capabilities.

Brown & Brown, Inc. operates across the United States and internationally, with over 500 locations worldwide. Its international operations extend to Canada, Bermuda, the Cayman Islands, the United Kingdom, Ireland, and Belgium. The company's highest exposure within the U.S. is in Florida.

Brown & Brown generally maintains a strong brand reputation, particularly as an employer and in its financial performance. The company received workplace recognition from Fortune. The company reported record-breaking revenue for fiscal year 2024. While no specific negative events severely impacted Brown & Brown's brand reputation were prominently found, the company's stock price has experienced some fluctuations due to analyst downgrades and market reactions to its large acquisition announcements.

Brown & Brown, Inc. has a mixed ownership structure. Institutions hold a substantial portion of the company's shares. Major institutional owners include Vanguard Group Inc. and BlackRock, Inc. Hyatt J. Brown, the CEO, is the largest individual shareholder. Retail investors also hold a portion of the company's stock.