BROADRIDGE FINANCIAL SOLUTIO (BR) Stock Fundamental Analysis
USA - New York Stock Exchange - NYSE:BR - US11133T1034 - Common Stock
220.665 USD
-1.03 (-0.47%)
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 has a decent growth rate and is not valued too expensively. Finally BR also has an excellent dividend rating.
1. Profitability
1.1 Basic Checks
BR had positive earnings in the past year.
In the past year BR had a positive cash flow from operations.
In the past 5 years BR has always been profitable.
In the past 5 years BR always reported a positive cash flow from operatings.
1.2 Ratios
BR's Return On Assets of 11.14% is amongst the best of the industry. BR outperforms 87.50% of its industry peers.
The Return On Equity of BR (35.11%) is better than 95.45% of its industry peers.
With an excellent Return On Invested Capital value of 14.67%, BR belongs to the best of the industry, outperforming 88.64% of the companies in the same industry.
Measured over the past 3 years, the Average Return On Invested Capital for BR is significantly below the industry average of 28.99%.
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
The Profit Margin of BR (13.11%) is better than 86.36% 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.
In the last couple of years the Gross Margin of BR has grown nicely.
| 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.
The number of shares outstanding for BR has been increased compared to 1 year ago.
The number of shares outstanding for BR has been increased compared to 5 years ago.
BR has a better debt/assets ratio than last year.
2.2 Solvency
An Altman-Z score of 4.73 indicates that BR is not in any danger for bankruptcy at the moment.
BR has a Altman-Z score of 4.73. This is in the better half of the industry: BR outperforms 75.00% of its industry peers.
BR has a debt to FCF ratio of 2.68. This is a good value and a sign of high solvency as BR would need 2.68 years to pay back of all of its debts.
With a decent Debt to FCF ratio value of 2.68, BR is doing good in the industry, outperforming 64.77% of the companies in the same industry.
A Debt/Equity ratio of 1.06 is on the high side and indicates that BR has dependencies on debt financing.
BR's Debt to Equity ratio of 1.06 is on the low side compared to the rest of the industry. BR is outperformed by 65.91% of its industry peers.
| Industry Rank | Sector Rank | ||
|---|---|---|---|
| Debt/Equity | 1.06 | ||
| Debt/FCF | 2.68 | ||
| Altman-Z | 4.73 |
ROIC/WACC1.65
WACC8.9%
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 80.68% of its industry peers.
BR has a Quick 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.
The Quick ratio of BR (0.93) is worse than 78.41% of its industry peers.
| Industry Rank | Sector Rank | ||
|---|---|---|---|
| Current Ratio | 0.93 | ||
| Quick Ratio | 0.93 |
3. Growth
3.1 Past
BR shows a strong growth in Earnings Per Share. In the last year, the EPS has been growing by 18.43%, which is quite good.
The Earnings Per Share has been growing by 11.19% on average over the past years. This is quite good.
BR shows quite a strong growth in Revenue. In the last year, the Revenue has grown by 8.57%.
BR shows quite a strong growth in Revenue. Measured over the last years, the Revenue has been growing by 8.75% yearly.
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
BR is expected to show quite a strong growth in Earnings Per Share. In the coming years, the EPS will grow by 10.60% yearly.
Based on estimates for the next years, BR will show a small growth in Revenue. The Revenue will grow by 5.35% on average per year.
EPS Next Y13.92%
EPS Next 2Y11.08%
EPS Next 3Y10.81%
EPS Next 5Y10.6%
Revenue Next Year5.46%
Revenue Next 2Y5.11%
Revenue Next 3Y5.27%
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.
The Revenue growth rate is decreasing: in the next years the growth will be less than in the last years.
4. Valuation
4.1 Price/Earnings Ratio
Based on the Price/Earnings ratio of 24.36, the valuation of BR can be described as rather expensive.
Based on the Price/Earnings ratio, BR is valued a bit cheaper than the industry average as 60.23% of the companies are valued more expensively.
Compared to an average S&P500 Price/Earnings ratio of 27.17, BR is valued at the same level.
The Price/Forward Earnings ratio is 20.92, which indicates a rather expensive current valuation of BR.
60.23% of the companies in the same industry are more expensive than BR, based on the Price/Forward Earnings ratio.
BR is valuated at similar levels of the S&P average when we compare the Price/Forward Earnings ratio to 23.79, which is the current average of the S&P500 Index.
| Industry Rank | Sector Rank | ||
|---|---|---|---|
| PE | 24.36 | ||
| Fwd PE | 20.92 |
4.2 Price Multiples
Compared to the rest of the industry, the Enterprise Value to EBITDA ratio of BR indicates a somewhat cheap valuation: BR is cheaper than 61.36% of the companies listed in the same industry.
Based on the Price/Free Cash Flow ratio, BR is valued a bit cheaper than the industry average as 62.50% of the companies are valued more expensively.
| Industry Rank | Sector Rank | ||
|---|---|---|---|
| P/FCF | 21 | ||
| EV/EBITDA | 18.35 |
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)1.75
PEG (5Y)2.18
EPS Next 2Y11.08%
EPS Next 3Y10.81%
5. Dividend
5.1 Amount
BR has a Yearly Dividend Yield of 1.75%. Purely for dividend investing, there may be better candidates out there.
Compared to an average industry Dividend Yield of 0.44, BR pays a better dividend. On top of this BR pays more dividend than 89.77% of the companies listed in the same industry.
Compared to an average S&P500 Dividend Yield of 1.94, BR has a dividend comparable with the average S&P500 company.
| Industry Rank | Sector Rank | ||
|---|---|---|---|
| Dividend Yield | 1.75% |
5.2 History
On average, the dividend of BR grows each year by 10.38%, which is quite nice.
BR has been paying a dividend for at least 10 years, so it has a reliable track record.
BR has not decreased their dividend for at least 10 years, which is a reliable track record.
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.
BR's earnings are growing around the same pace than its dividend. As long as the earnings growth is kept the dividend growth is sustainable.
DP44.54%
EPS Next 2Y11.08%
EPS Next 3Y10.81%
NYSE:BR (1/7/2026, 11:33:03 AM)
220.665
-1.03 (-0.47%)
Chartmill FA Rating
GICS SectorInformation Technology
GICS IndustryGroupSoftware & Services
GICS IndustryIT Services
Earnings (Last)
Earnings (Next)
Inst Owners94.61%
Inst Owner Change0%
Ins Owners0.41%
Ins Owner Change-0.34%
Market Cap25.76B
Revenue(TTM)7.06B
Net Income(TTM)925.10M
Analysts76.67
Price Target275.06 (24.65%)
Short Float %2.08%
Short Ratio3.38
Dividend
| Industry Rank | Sector Rank | ||
|---|---|---|---|
| Dividend Yield | 1.75% |
Yearly Dividend3.44
Dividend Growth(5Y)10.38%
DP44.54%
Div Incr Years17
Div Non Decr Years17
Ex-DateN/A
Surprises & Revisions
EPS beat(2)1
Avg EPS beat(2)8.43%
Min EPS beat(2)-1.49%
Max EPS beat(2)18.35%
EPS beat(4)2
Avg EPS beat(4)4.34%
Min EPS beat(4)-2.34%
Max EPS beat(4)18.35%
EPS beat(8)4
Avg EPS beat(8)1.47%
EPS beat(12)6
Avg EPS beat(12)1.49%
EPS beat(16)7
Avg EPS beat(16)0.67%
Revenue beat(2)1
Avg Revenue beat(2)-1.1%
Min Revenue beat(2)-2.55%
Max Revenue beat(2)0.34%
Revenue beat(4)1
Avg Revenue beat(4)-2.17%
Min Revenue beat(4)-5.62%
Max Revenue beat(4)0.34%
Revenue beat(8)1
Avg Revenue beat(8)-3.4%
Revenue beat(12)2
Avg Revenue beat(12)-3.48%
Revenue beat(16)4
Avg Revenue beat(16)-2.7%
PT rev (1m)-1.37%
PT rev (3m)-2.17%
EPS NQ rev (1m)0%
EPS NQ rev (3m)-8.14%
EPS NY rev (1m)0%
EPS NY rev (3m)1.07%
Revenue NQ rev (1m)0%
Revenue NQ rev (3m)1.03%
Revenue NY rev (1m)0%
Revenue NY rev (3m)0.55%
Valuation
| Industry Rank | Sector Rank | ||
|---|---|---|---|
| PE | 24.36 | ||
| Fwd PE | 20.92 | ||
| P/S | 3.65 | ||
| P/FCF | 21 | ||
| P/OCF | 19.24 | ||
| P/B | 9.78 | ||
| P/tB | N/A | ||
| EV/EBITDA | 18.35 |
EPS(TTM)9.06
EY4.11%
EPS(NY)10.55
Fwd EY4.78%
FCF(TTM)10.51
FCFY4.76%
OCF(TTM)11.47
OCFY5.2%
SpS60.44
BVpS22.57
TBVpS-19.73
PEG (NY)1.75
PEG (5Y)2.18
Graham Number67.84
Profitability
| Industry Rank | Sector Rank | ||
|---|---|---|---|
| ROA | 11.14% | ||
| ROE | 35.11% | ||
| ROCE | 18.47% | ||
| ROIC | 14.67% | ||
| ROICexc | 15.34% | ||
| ROICexgc | 65.82% | ||
| OM | 17.62% | ||
| PM (TTM) | 13.11% | ||
| GM | 31.34% | ||
| FCFM | 17.38% |
ROA(3y)8.65%
ROA(5y)7.86%
ROE(3y)30.65%
ROE(5y)30.06%
ROIC(3y)12.91%
ROIC(5y)11.08%
ROICexc(3y)13.71%
ROICexc(5y)11.69%
ROICexgc(3y)78.85%
ROICexgc(5y)60.78%
ROCE(3y)16.25%
ROCE(5y)13.95%
ROICexgc growth 3Y37.85%
ROICexgc growth 5Y4.62%
ROICexc growth 3Y19.21%
ROICexc growth 5Y-0.93%
OM growth 3Y9.03%
OM growth 5Y4.57%
PM growth 3Y8.87%
PM growth 5Y3.6%
GM growth 3Y3.61%
GM growth 5Y2.14%
F-Score8
Asset Turnover0.85
Health
| Industry Rank | Sector Rank | ||
|---|---|---|---|
| Debt/Equity | 1.06 | ||
| Debt/FCF | 2.68 | ||
| Debt/EBITDA | 1.77 | ||
| Cap/Depr | 34.03% | ||
| Cap/Sales | 1.59% | ||
| Interest Coverage | 10.08 | ||
| Cash Conversion | 85.1% | ||
| Profit Quality | 132.59% | ||
| Current Ratio | 0.93 | ||
| Quick Ratio | 0.93 | ||
| Altman-Z | 4.73 |
F-Score8
WACC8.9%
ROIC/WACC1.65
Cap/Depr(3y)31.86%
Cap/Depr(5y)32.62%
Cap/Sales(3y)1.55%
Cap/Sales(5y)1.59%
Profit Quality(3y)126.53%
Profit Quality(5y)109.36%
High Growth Momentum
Growth
EPS 1Y (TTM)18.43%
EPS 3Y9.74%
EPS 5Y11.19%
EPS Q2Q%51%
EPS Next Y13.92%
EPS Next 2Y11.08%
EPS Next 3Y10.81%
EPS Next 5Y10.6%
Revenue 1Y (TTM)8.57%
Revenue growth 3Y6.46%
Revenue growth 5Y8.75%
Sales Q2Q%11.7%
Revenue Next Year5.46%
Revenue Next 2Y5.11%
Revenue Next 3Y5.27%
Revenue Next 5Y5.35%
EBIT growth 1Y23.93%
EBIT growth 3Y16.08%
EBIT growth 5Y13.72%
EBIT Next Year28.58%
EBIT Next 3Y10.91%
EBIT Next 5Y11.58%
FCF growth 1Y37.85%
FCF growth 3Y41.81%
FCF growth 5Y16.16%
OCF growth 1Y38.64%
OCF growth 3Y38.23%
OCF growth 5Y14.38%
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 4 / 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 13.92% in the next year.