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Brown & Brown Gains 40% YTD: Will the Rally Last?
Brown & Brown, Inc.'s (NYSE: BRO) shares have jumped 40% year to date (YTD) compared with the industry's growth of 20.6%. The Finance sector and the Zacks S&P 500 composite have risen 7.7% and 12.3%, respectively, in the same time frame. With a market capitalization of $28.61 billion, the average volume of shares traded in the last three months was 1.17 million.
Image Source: Zacks Investment Research
The rally was largely driven by higher core commissions and fees, new business, solid retention, rate increases, strategic acquisitions, a strong financial position and effective capital deployment.
This Zacks Rank #2 (Buy) insurance broker surpassed earnings estimates in each of the last four quarters, the average being 9.82%.
The Zacks Consensus Estimate for 2024 and 2025 earnings has moved 1.6% and 1.8% north, respectively, in the past 30 days, reflecting analysts' optimism on the stock.
Will the Bull Run Continue?
The Zacks Consensus Estimate for Brown & Brown's 2024 earnings per share indicates an increase of 30.6% from the year-ago reported number. The consensus estimate for revenues is pegged at $4.68 billion, implying a year-over-year ...