Core Insights - The company reported strong financial performance for the third quarter, with total revenues of $1.606 billion, representing a 35.4% increase compared to the same period last year [19] - The adjusted EBITDAC margin improved to 36.6%, up 170 basis points year-over-year, driven by strong underlying margin expansion and increased contingent commissions [19] - The company completed seven acquisitions during the quarter, contributing to significant revenue growth, with the largest acquisition being Accession, which had total revenue of approximately $285 million for the stub period [8][16] Financial Performance - Total revenues for the third quarter reached $1.606 billion, a 35.4% increase year-over-year, with organic growth of 3.5% [8][19] - Adjusted earnings per share grew over 15% to $1.05, while diluted net income per share increased by 15.4% [20] - The company generated $1 billion in cash flow from operations for the first nine months of 2025, a 24% increase compared to the same period in 2024 [24] Segment Performance - The Retail segment achieved total revenue growth of 37.8%, with organic growth of 2.7%, impacted by adjustments related to employee benefits incentives [20] - The Specialty Distribution segment grew total revenues by 30%, with organic growth of 4.6%, driven by the acquisition of Accession and strong brokerage performance [22] - The EBITDAC margin for the Retail segment increased by 150 basis points to 28%, while the Specialty Distribution segment's margin decreased by 110 basis points to 43.9% due to the lower margin of Accession [21][22] Market and Economic Outlook - Economic growth is expected to remain stable, with no significant disruptors anticipated to affect admitted rates [28][29] - The company noted that casualty and auto rates are expected to continue increasing, while admitted property rates will remain competitively priced [29] - The M&A pipeline appears strong, with ongoing efforts to acquire businesses that align culturally and financially [30][31] Strategic Initiatives - The company announced a 10% increase in dividends, marking the 32nd consecutive year of dividend growth [6] - Share repurchase authorization was expanded to $1.5 billion, aimed at managing dilution and driving earnings per share growth [7] - The integration of Accession is progressing well, with expectations for synergies to be realized over a three-year period [70][71]

Core Viewpoint - Brown & Brown, Inc. announces the passing of Chief Legal Officer Robert Mathis, highlighting his significant contributions and the impact he had on the organization and its employees [1][2]. Group 1: Company Leadership and Impact - Robert Mathis was recognized as a dynamic leader and exceptional attorney, known for his ability to bring clarity to complex situations and genuine care to relationships [1]. - Powell Brown, the president and CEO, emphasized Mathis's standard for judgment, integrity, and humanity, noting his role in guiding the company through pivotal moments [2]. - Eileen Akerson, the chief risk, regulatory and compliance counsel, will serve as the interim Chief Legal Officer following Mathis's passing [2]. Group 2: Company Overview - Brown & Brown, Inc. is a leading insurance brokerage firm that has been providing customized insurance solutions since 1939, with over 700 locations and a workforce of more than 23,000 professionals [3]. - The company is dedicated to delivering scalable and innovative strategies for its customers throughout their growth journey [3].

Brown & Brown, Inc. (NYSE:BRO) will release earnings for its third quarter after the closing bell on Monday, Jan. 26.Analysts expect the Daytona Beach, Florida-based company to report fourth-quarter earnings of 90 cents per share. That’s up from 86 cents per share in the year-ago period. The consensus estimate for Brown & Brown's quarterly revenue is $1.65 billion (it reported $1.18 billion last year), according to Benzinga Pro.On Jan. 21, Brown & Brown declared a regular quarterly cash dividend of 16.5 cen ...

Core Viewpoint - Brown & Brown, Inc. is expected to report an increase in earnings and revenue for the fourth quarter compared to the previous year [1] Earnings Report - The company will release its third-quarter earnings on January 26, with analysts predicting earnings of 90 cents per share, up from 86 cents per share in the same period last year [1] - The consensus estimate for quarterly revenue is $1.65 billion, an increase from $1.18 billion reported last year [1] Dividend Announcement - On January 21, Brown & Brown declared a regular quarterly cash dividend of 16.5 cents per share [2] - The company's shares rose by 0.7% to close at $79.18 on the preceding Friday [2] Analyst Ratings - Truist Securities maintained a Buy rating but reduced the price target from $114 to $105 [3] - Wells Fargo maintained an Equal-Weight rating and lowered the price target from $92 to $84 [3] - Barclays also maintained an Equal-Weight rating, cutting the price target from $84 to $83 [3] - Keefe, Bruyette & Woods maintained an Underperform rating, raising the price target from $79 to $80 [3] - JP Morgan initiated coverage with a Neutral rating and a price target of $91 [3]

Group 1 - Czech investor Daniel Kretinsky's EP Group plans to launch a voluntary offer to take control of French retailer Fnac Darty [1] - The valuation of Fnac Darty is set at 1.1 billion euros, equivalent to approximately 1.3 billion dollars [1]

Core Insights - Brown & Brown, Inc. (BRO) is anticipated to show growth in both revenue and earnings for the fourth quarter of 2025, with revenues expected to reach $1.64 billion, reflecting a 38.7% increase year-over-year, and earnings estimated at 89 cents per share, indicating a 3.4% rise from the previous year [1] Earnings Predictions - The Zacks model indicates a likely earnings beat for BRO, supported by a positive Earnings ESP of +7.71% and a Zacks Rank of 3 (Hold), which enhances the probability of exceeding earnings expectations [2][3] Revenue Drivers - Core commissions and fees are projected to benefit from new and renewal business, acquisitions, and favorable foreign currency translation effects [4] - Profit-sharing contingent commissions are expected to rise due to improved underwriting results, increased premium volume, and qualifying for certain profit-sharing commissions that were not applicable in the prior year [4] - Net investment income is forecasted to increase, driven by interest income from the company's follow-on common stock offering, with a consensus estimate of $30.1 million [5] - Organic revenue growth in the Retail segment is anticipated from net new business and renewals, while the Wholesale Brokerage segment is expected to see similar benefits from new business and exposure unit increases [5] Expense Outlook - Expenses are likely to rise due to higher employee compensation and benefits, increased operating costs, and higher amortization, depreciation, and interest expenses [6]

Core Insights - Brown & Brown, Inc. is a prominent insurance brokerage firm with a global presence and a commitment to innovative strategies for customer growth [1] Financial Performance - The company is expected to report earnings per share (EPS) of $0.89 for the upcoming quarter, representing a 3.5% increase year-over-year [2][6] - Projected revenue for the quarter is approximately $1.65 billion, indicating a significant 35.8% rise compared to the same period last year [2][6] Strategic Initiatives - Brown & Brown has launched its National Healthcare Practice, bringing together over 140 specialists to provide risk and insurance solutions for healthcare organizations [3] - This initiative aims to enhance market access and create competitive programs, supporting hundreds of clients and managing billions in premiums globally [3] Valuation Metrics - The company has a price-to-earnings (P/E) ratio of approximately 26.05, indicating the price investors are willing to pay for each dollar of earnings [4] - The price-to-sales ratio is about 5.04, reflecting the value placed on its sales, while the enterprise value to sales ratio is around 6.31 [4] Shareholder Returns - The board of directors has declared a quarterly cash dividend of $0.165 per share, payable on February 11, 2026, demonstrating the company's commitment to returning value to shareholders [5] - The debt-to-equity ratio is approximately 0.64, indicating a balanced approach to financing assets, and the current ratio is about 1.18, showing the ability to cover short-term liabilities [5]

Core Insights - Brown & Brown, Inc. has launched a fully integrated National Healthcare Practice named Brown & Brown Healthcare, aimed at providing comprehensive risk solutions for healthcare organizations [1][5] - The new practice combines over 140 experienced professionals to support a wide range of healthcare clients, placing billions in premiums both domestically and internationally [1][4] Company Structure and Leadership - Brown & Brown Healthcare will be co-led by Matthew Siciliani and Tracy Hoffman, with strategic guidance from Bob Dubraski, who has a strong background in building national healthcare practices [2][3] - The leadership team possesses extensive experience in managed care, professional liability underwriting, and risk consulting, ensuring a strategic approach to business development [3] Industry Context and Commitment - The healthcare sector faces complex and rapidly evolving risks, prompting the formation of this specialized practice to deliver innovative risk management solutions [4] - The company emphasizes its commitment to collaborating with healthcare organizations nationwide and aims to elevate industry standards through this initiative [5] Service Offerings - Brown & Brown Healthcare provides end-to-end services across various areas, including professional liability, managed care reinsurance, value-based care, and cyber liability, among others [4] - The integrated structure is designed to deliver coordinated solutions tailored to the unique needs of healthcare clients, supported by deep industry insights [4]

Core Viewpoint - Wall Street analysts anticipate Brown & Brown (BRO) will report quarterly earnings of $0.89 per share, reflecting a year-over-year increase of 3.5%, with revenues expected to reach $1.61 billion, up 35.8% from the previous year [1]. Earnings Estimates - Over the last 30 days, the consensus EPS estimate has been revised downward by 0.5%, indicating a collective reassessment by analysts of their initial forecasts [2]. - Changes in earnings estimates are crucial for predicting potential investor reactions, as empirical studies show a strong correlation between earnings estimate revisions and short-term stock price performance [3]. Revenue Projections - Analysts project 'Revenues- Commissions and fees' to reach $1.62 billion, indicating a year-over-year change of +39.2% [4]. - The estimated 'Revenues- Investment income' is $30.12 million, reflecting a change of +36.9% from the year-ago quarter [5]. - 'Total revenues- Other' are expected to be $33.00 million, suggesting a significant year-over-year change of +153.9% [5]. - 'Total revenues- Retail' is projected to be $965.15 million, indicating a change of +51.8% from the prior-year quarter [6]. Stock Performance - Brown & Brown shares have experienced a decline of -1.1% over the past month, compared to a -0.4% change in the Zacks S&P 500 composite [6]. - With a Zacks Rank of 3 (Hold), BRO is expected to closely follow overall market performance in the near term [6].

Market Overview - The stock market in 2025 was solid but volatile, influenced by AI enthusiasm, economic uncertainty, and monetary policy concerns [1] - The summer rally was driven by AI-related spending and economic resiliency, while the fourth quarter experienced volatility due to valuation pressures and macro uncertainty [1] - The S&P 500 Index rose by 2.66% in Q4 2025, with large-cap technology and communication services sectors leading the market [1] Fenimore Asset Management Performance - Fenimore Small Cap Strategy returned -4.12% in Q4 2025, underperforming the Russell 2000 Index, which returned 2.19% [1] - Fenimore Dividend Focus Strategy declined -4.41% in Q4 compared to the Russell Midcap Index's 0.16% return [1] - Fenimore Value Strategy declined -1.17% in Q4, also underperforming the Russell Midcap Index [1] - The underperformance in these strategies was attributed to underweight exposure to low-quality stocks and investments in the financial and industrial sectors [1] Brown & Brown, Inc. (NYSE:BRO) Analysis - Brown & Brown, Inc. was a key performance detractor in Fenimore Value Strategy during Q4 2025 [2] - The stock closed at $79.75 per share on January 15, 2026, with a one-month return of -0.87% and a 52-week loss of 24.70% [2] - Brown & Brown, Inc. has a market capitalization of $27.122 billion [2] - The company's underperformance was linked to slowed organic growth rates and a decline in pre-tax margins due to integration costs from a recent merger [3]