Images By Tang Ming Tung
Dear readers/followers,
In this article, I will update a 2+-year-old thesis on Brown & Brown (NYSE:BRO), an insurance company. Since my last article, which you can find here, the company has outperformed the market with a
Brown & Brown - Why The Outperformance, And Where It Could Go 2025-2027
Summary
- Brown & Brown has delivered impressive returns, outperforming the market with an 80% total return over the past 2+ years.
- Despite its strong performance and diversified business model, Brown & Brown's current valuation is too high, limiting its upside potential.
- The company faces risks from increased competition in M&A and potential market corrections, impacting future growth and returns.
- I maintain a "Hold" rating with a price target of $55/share, as the current valuation does not justify a buy recommendation.
- Looking for a helping hand in the market? Members of iREIT®+HOYA Capital get exclusive ideas and guidance to navigate any climate. Learn More »
Wolf Report is a senior analyst and private portfolio manager with over 10 years of generating value ideas in European and North American markets.
He is a contributing author and analyst for the investing group iREIT®+HOYA Capital and Wide Moat Research LLC where in addition to the U.S. market, he covers the markets of Scandinavia, Germany, France, UK, Italy, Spain, Portugal and Eastern Europe in search of reasonably valued stock ideas.
Analyst’s Disclosure: I/we have a beneficial long position in the shares of LNC either through stock ownership, options, or other derivatives. I wrote this article myself, and it expresses my own opinions. I am not receiving compensation for it (other than from Seeking Alpha). I have no business relationship with any company whose stock is mentioned in this article.
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