BROADRIDGE FINANCIAL SOLUTIO (BR) Stock Fundamental Analysis
USA • New York Stock Exchange • NYSE:BR • US11133T1034
197.11 USD
+1.15 (+0.59%)
At close: Jan 30, 2026
197.11 USD
0 (0%)
After Hours: 1/30/2026, 8:04:00 PM
Taking everything into account, BR scores 5 out of 10 in our fundamental rating. BR was compared to 88 industry peers in the IT Services industry. BR has an excellent profitability rating, but there are concerns on its financial health. BR is not valued too expensively and it also shows a decent growth rate. Finally BR also has an excellent dividend rating.
1. Profitability
1.1 Basic Checks
- BR had positive earnings in the past year.
- BR had a positive operating cash flow in the past year.
- BR had positive earnings in each of the past 5 years.
- Each year in the past 5 years BR had a positive operating cash flow.
1.2 Ratios
- BR has a Return On Assets of 11.14%. This is amongst the best in the industry. BR outperforms 87.50% of its industry peers.
- With an excellent Return On Equity value of 35.11%, BR belongs to the best of the industry, outperforming 95.45% of the companies in the same industry.
- BR's Return On Invested Capital of 14.67% is amongst the best of the industry. BR outperforms 88.64% of its industry peers.
- Measured over the past 3 years, the Average Return On Invested Capital for BR is significantly below the industry average of 29.07%.
- The last Return On Invested Capital (14.67%) for BR is above the 3 year average (12.91%), which is a sign of increasing profitability.
| Industry Rank | Sector Rank | ||
|---|---|---|---|
| ROA | 11.14% | ||
| ROE | 35.11% | ||
| ROIC | 14.67% |
ROA(3y)8.65%
ROA(5y)7.86%
ROE(3y)30.65%
ROE(5y)30.06%
ROIC(3y)12.91%
ROIC(5y)11.08%
1.3 Margins
- BR has a Profit Margin of 13.11%. This is amongst the best in the industry. BR outperforms 85.23% of its industry peers.
- BR's Profit Margin has improved in the last couple of years.
- With an excellent Operating Margin value of 17.62%, BR belongs to the best of the industry, outperforming 90.91% of the companies in the same industry.
- BR's Operating Margin has improved in the last couple of years.
- The Gross Margin of BR (31.34%) is comparable to the rest of the industry.
- BR's Gross Margin has improved in the last couple of years.
| Industry Rank | Sector Rank | ||
|---|---|---|---|
| OM | 17.62% | ||
| PM (TTM) | 13.11% | ||
| GM | 31.34% |
OM growth 3Y9.03%
OM growth 5Y4.57%
PM growth 3Y8.87%
PM growth 5Y3.6%
GM growth 3Y3.61%
GM growth 5Y2.14%
2. Health
2.1 Basic Checks
- BR has a Return on Invested Capital (ROIC), which is just above the Cost of Capital (WACC), which means it is creating some value.
- BR has more shares outstanding than it did 1 year ago.
- The number of shares outstanding for BR has been increased compared to 5 years ago.
- The debt/assets ratio for BR has been reduced compared to a year ago.
2.2 Solvency
- An Altman-Z score of 4.43 indicates that BR is not in any danger for bankruptcy at the moment.
- BR's Altman-Z score of 4.43 is fine compared to the rest of the industry. BR outperforms 75.00% of its industry peers.
- The Debt to FCF ratio of BR is 2.68, which is a good value as it means it would take BR, 2.68 years of fcf income to pay off all of its debts.
- With a decent Debt to FCF ratio value of 2.68, BR is doing good in the industry, outperforming 63.64% of the companies in the same industry.
- BR has a Debt/Equity ratio of 1.06. This is a high value indicating a heavy dependency on external financing.
- BR has a Debt to Equity ratio of 1.06. This is in the lower half of the industry: BR underperforms 64.77% of its industry peers.
| Industry Rank | Sector Rank | ||
|---|---|---|---|
| Debt/Equity | 1.06 | ||
| Debt/FCF | 2.68 | ||
| Altman-Z | 4.43 |
ROIC/WACC1.63
WACC9%
2.3 Liquidity
- BR has a Current Ratio of 0.93. This is a bad value and indicates that BR is not financially healthy enough and could expect problems in meeting its short term obligations.
- BR's Current ratio of 0.93 is on the low side compared to the rest of the industry. BR is outperformed by 81.82% of its industry peers.
- A Quick Ratio of 0.93 indicates that BR may have some problems paying its short term obligations.
- With a Quick ratio value of 0.93, BR is not doing good in the industry: 79.55% of the companies in the same industry are doing better.
| Industry Rank | Sector Rank | ||
|---|---|---|---|
| Current Ratio | 0.93 | ||
| Quick Ratio | 0.93 |
3. Growth
3.1 Past
- The Earnings Per Share has grown by an nice 18.43% over the past year.
- The Earnings Per Share has been growing by 11.19% on average over the past years. This is quite good.
- Looking at the last year, BR shows a quite strong growth in Revenue. The Revenue has grown by 8.57% in the last year.
- Measured over the past years, BR shows a quite strong growth in Revenue. The Revenue has been growing by 8.75% on average per year.
EPS 1Y (TTM)18.43%
EPS 3Y9.74%
EPS 5Y11.19%
EPS Q2Q%51%
Revenue 1Y (TTM)8.57%
Revenue growth 3Y6.46%
Revenue growth 5Y8.75%
Sales Q2Q%11.7%
3.2 Future
- Based on estimates for the next years, BR will show a quite strong growth in Earnings Per Share. The EPS will grow by 10.60% on average per year.
- The Revenue is expected to grow by 5.35% on average over the next years.
EPS Next Y13.97%
EPS Next 2Y11.09%
EPS Next 3Y10.83%
EPS Next 5Y10.6%
Revenue Next Year5.45%
Revenue Next 2Y5.32%
Revenue Next 3Y5.3%
Revenue Next 5Y5.35%
3.3 Evolution
- The EPS growth rate is stable: in the next years the growth will be about the same than in the last years.
- When comparing the Revenue growth rate of the last years to the growth rate of the upcoming years, we see that the growth is decreasing.
4. Valuation
4.1 Price/Earnings Ratio
- The Price/Earnings ratio is 21.76, which indicates a rather expensive current valuation of BR.
- Based on the Price/Earnings ratio, BR is valued a bit cheaper than the industry average as 61.36% of the companies are valued more expensively.
- BR's Price/Earnings ratio indicates a valuation a bit cheaper than the S&P500 average which is at 28.32.
- With a Price/Forward Earnings ratio of 18.68, BR is valued on the expensive side.
- 61.36% of the companies in the same industry are more expensive than BR, based on the Price/Forward Earnings ratio.
- BR is valuated rather cheaply when we compare the Price/Forward Earnings ratio to 25.57, which is the current average of the S&P500 Index.
| Industry Rank | Sector Rank | ||
|---|---|---|---|
| PE | 21.76 | ||
| Fwd PE | 18.68 |
4.2 Price Multiples
- 63.64% of the companies in the same industry are more expensive than BR, based on the Enterprise Value to EBITDA ratio.
- BR's Price/Free Cash Flow ratio is a bit cheaper when compared to the industry. BR is cheaper than 64.77% of the companies in the same industry.
| Industry Rank | Sector Rank | ||
|---|---|---|---|
| P/FCF | 18.76 | ||
| EV/EBITDA | 16.52 |
4.3 Compensation for Growth
- BR's PEG Ratio(NY), which compensates the Price/Earnings for growth, indicates a correct valuation of the company.
- The excellent profitability rating of BR may justify a higher PE ratio.
PEG (NY)1.56
PEG (5Y)1.94
EPS Next 2Y11.09%
EPS Next 3Y10.83%
5. Dividend
5.1 Amount
- With a Yearly Dividend Yield of 1.99%, BR has a reasonable but not impressive dividend return.
- BR's Dividend Yield is rather good when compared to the industry average which is at 0.45. BR pays more dividend than 90.91% of the companies in the same industry.
- BR's Dividend Yield is comparable with the S&P500 average which is at 1.83.
| Industry Rank | Sector Rank | ||
|---|---|---|---|
| Dividend Yield | 1.99% |
5.2 History
- The dividend of BR is nicely growing with an annual growth rate of 10.38%!
- BR has paid a dividend for at least 10 years, which is a reliable track record.
- BR has not decreased its dividend for at least 10 years, so it has a reliable track record of non decreasing dividend.
Dividend Growth(5Y)10.38%
Div Incr Years17
Div Non Decr Years17
5.3 Sustainability
- BR pays out 44.54% of its income as dividend. This is a bit on the high side, but may be sustainable.
- The dividend of BR is growing around the same rate as the earnings are growing. If this keeps up the dividend growth is sustainable.
DP44.54%
EPS Next 2Y11.09%
EPS Next 3Y10.83%
BROADRIDGE FINANCIAL SOLUTIO / BR FAQ
What is the ChartMill fundamental rating of BROADRIDGE FINANCIAL SOLUTIO (BR) stock?
ChartMill assigns a fundamental rating of 5 / 10 to BR.
What is the valuation status for BR stock?
ChartMill assigns a valuation rating of 5 / 10 to BROADRIDGE FINANCIAL SOLUTIO (BR). This can be considered as Fairly Valued.
What is the profitability of BR stock?
BROADRIDGE FINANCIAL SOLUTIO (BR) has a profitability rating of 8 / 10.
Can you provide the financial health for BR stock?
The financial health rating of BROADRIDGE FINANCIAL SOLUTIO (BR) is 3 / 10.
Can you provide the expected EPS growth for BR stock?
The Earnings per Share (EPS) of BROADRIDGE FINANCIAL SOLUTIO (BR) is expected to grow by 13.97% in the next year.