| Factor | Score | Distribution | Value | Avg | Rank |
|---|---|---|---|---|---|
Valuation | 47 | 21.1x | 17.8x | Around median | |
Growth | 74 | 34.2% | 7.1% | Top tier | |
Quality | 59 | — | — | Around median | |
Safety | 54 | — | — | Around median | |
Capital Return | 44 | 0.97% | 2.12% | Around median | |
Momentum | 29 | -24.6% | 2.9% | Bottom tier | |
Sentiment | 77 | 12 | 3 | Top tier |
Estimates — analyst targets and a simplified DCF, not investment advice.
Ten ratios that matter, each compared against its sector median and average — so you can see whether a number is rich or cheap relative to peers in the same sector.
Brown & Brown provides risk management solutions through two segments, Retail and Specialty Distribution, with its business focused on serving clients through risk advisors, brokers, insurance programs, and delegated underwriting. The company generates revenue from commissions associated with placing insurance policies, contingent commissions and profit-sharing, as well as program and wholesale distribution operations; strong underwriting profitability and lower storm claims supported contingent commissions in Specialty Distribution during Q2 FY2026.
In Q2 FY2026, revenue reached $1.7 billion, representing total growth of 30.4%, with Accession contributing approximately $410 million, or about 24% of quarterly revenue. Net income according to EDGAR filings was approximately $288 million, and earnings per share were $0.84, equivalent to a net income margin of about 16.9%, while adjusted earnings per share were $1.07 and grew 3.9%. The adjusted EBITDAC margin decreased by 100 basis points to 35.7%, despite EBITDAC growth of 27% and a 17.4% increase in pre-tax income.
Revenue for the twelve-month period of FY2026 was approximately $6.8 billion, net income was $1.2 billion, and earnings per share were approximately $3.61. In Q2 FY2026, Retail segment revenue grew 35.9% and achieved organic growth of 2.5% including contingent commissions and 1.5% excluding them, while Specialty Distribution revenue grew 28.1%, but its organic growth was negative 1.6% including contingent commissions and negative 3.5% excluding them.
Analyst consensus on BRO stock is “Neutral,” with an average target of $72.5, within a wide range of $55 to $90. The average target is below the 52-week range high of $97.49, while the highest target approaches that high and the lowest target is slightly above the range low of $53.81, reflecting clear divergence over the impact of Accession integration versus weak organic growth and catastrophe-exposed property insurance pricing pressures.
Figures in the text are as of 2026-08-28; the live price is shown at the top of the page.
Revenue reached $1.7 billion and grew 30.4% compared with Q2 FY2025. Net income according to EDGAR filings was approximately $288 million, and earnings per share were $0.84, while adjusted earnings per share were $1.07 and grew 3.9%. Adjusted EBITDAC grew 27%, but its margin decreased by 100 basis points to 35.7%.
Accession contributed approximately $410 million to Q2 FY2026 revenue, and its margins were in line with management’s expectations. The company indicated that the business operates at an overall margin of approximately 35% and that its annual revenue is still expected to fall within the range previously specified by management. Brown & Brown also reaffirmed its target of between $30 million and $40 million in integration savings during FY2026.
Consolidated organic growth declined 0.7% excluding contingent commissions in Q2 FY2026, despite total revenue growth of 30.4% supported by acquisitions. Specialty Distribution recorded negative organic growth of 3.5% excluding contingent commissions and was affected by approximately 200 basis points due to the deferral of roughly $10 million in new-business revenue. A 15%–35% decline in catastrophe-exposed property insurance pricing also pressured premium-linked revenue.
Automated analysis for informational purposes only — not investment advice.
Management expects organic growth excluding contingent commissions of between 1.5% and 2.5% in Retail and between 2% and 4% in Specialty Distribution. It also expects to recognize most of the approximately $10 million in deferred new-business revenue in Q3 FY2026. Regarding margins, the company maintained its expectation for the FY2026 margin to remain approximately stable excluding the impact of lower investment income, with integration savings of between $30 million and $40 million.
The company formed partnerships with Anthropic, McKinsey, and Accenture to develop artificial intelligence applications in sales, coverage placement, submissions, underwriting, and support functions. The initiative aims to shorten work cycles, increase productivity, and improve client outcomes, and management does not believe the technology will eliminate the need for risk advisors, brokers, or delegated underwriters. As of the July 28, 2026 call, the company had not announced additional technology spending because it is redirecting existing resources toward data, analytics, innovation, and artificial intelligence.
Catastrophe-exposed property pricing is declining 15%–35%, while admitted insurance markets and programs have become more competitive within the excess and specialty insurance market. The company expects an impact of between $50 million and $60 million on FY2026 revenue associated with employee departures and the resulting effect on business and incentives. The Specialty Distribution margin also decreased by 400 basis points to 42.7%, and the approximately 110-basis-point benefit from accrual adjustments that supported the Retail margin in Q2 FY2026 will not recur.
