Based on the aggregated intelligence of 140,000-plus investors participating in Motley Fool CAPS, the Fool's free investing community, insurance broker Brown & Brown (NYSE: BRO) has earned a coveted five-star ranking.
With that in mind, let's take a closer look at Brown & Brown's business and see what CAPS investors are saying about the stock right now.
Brown & Brown facts
|
Headquarters (Founded)
|
Daytona Beach, Fla. (1956)
|
|
Market Cap
|
$2.74 billion
|
|
Industry
|
Insurance brokers
|
|
Trailing-12-Month Revenue
|
$989.6 million
|
|
Management
|
CEO J. Powell Brown (since July 2009)
COO Jim Henderson (since December 2002)
|
|
Return on Equity (Average, Past 3 Years)
|
16.3%
|
|
Dividend Yield
|
1.5%
|
|
Other Highly Rated Insurance Stocks
|
Berkshire Hathaway (NYSE: BRK-A)
Chubb (NYSE: CB)
|
|
CAPS Members Bullish on BRO Also Bullish on
|
Johnson & Johnson (NYSE: JNJ)
Google (Nasdaq: GOOG)
|
|
CAPS Members Bearish on BRO Also Bearish on
|
D.R. Horton (NYSE: DHI)
Radian Group (NYSE: RDN)
|
Sources: Capital IQ (a division of Standard & Poor's) and Motley Fool CAPS.
On CAPS, 93% of the 126 members who have rated Brown & Brown believe the stock will outperform the S&P 500 going forward. These bulls include TMFmrquakeroats and All-Star Grinnell4Eva, who is ranked in the top 6% of our community.
Just two days ago, TMFmrquakeroats explained how owning the stock would put Fools in fabulous company:
[Sequoia Fund] has owned [Brown & Brown] for several years and it's rated 5 stars. According to Sequoia Fund's managers, [Brown & Brown] did a good job replacing their previous CEO who retired recently. Any company rated 5 stars in CAPS with great long-term prospects that can develop their own managerial talent is worth digging in to.
In a pitch from 2008, Grinnell4Eva expanded on Brown & Brown as a great way to make green:
Brown & Brown is a well-managed company that has weather the soft market better than most. Assuming we're on the tail end of the soft market, I see Brown & Brown gaining organic pricing power in the next year. That said, Brown & Brown has historically grown by acquisition anyway, and smaller agencies and brokerages that are taking a serious hit from soft prices should make for accretive acquisition opportunities in the near term.
What do you think about Brown & Brown, or any other stock for that matter? Make your voice heard on Motley Fool CAPS today. The CAPS community is waiting to hear your opinions. CAPS is 100% free, so get started!
Closed since June 2009 – opening for 7 days only! Get notified ahead of time as professional investor Jeff Fischer manages a $1 MILLION long/short, real-money portfolio of stocks, options, and ETFs. This is the first open since June 2009, by invitation only. Enter email below.
Terms & Conditions
RSS Headlines
Fool UK