Broadridge Financial Solutions Inc. (BR) Rating Lowered to Sell at Zacks Investment Research
Broadridge Financial Solutions Inc. (NYSE:BR) was downgraded by Zacks Investment Research from a “hold” rating to a “sell” rating in a research note issued on Monday.
According to Zacks, “Broadridge is a leading global provider of technology-based outsourcing solutions to the financial services industry. Their integrated systems and services include investor communication, securities processing, and clearing and outsourcing solutions. Broadridge offers a broad, integrated suite of innovative global solutions across the investment lifecycle and provides a wide range of cost-effective and scalable solutions to the financial industry. Their systems help reduce the need for clients to make significant capital investments in operations infrastructure, thereby allowing them to increase their focus on core business activities. “
A number of other research analysts have also commented on BR. Raymond James Financial Inc. lowered Broadridge Financial Solutions from an “outperform” rating to a “market perform” rating in a report on Tuesday, June 7th. They noted that the move was a valuation call. Avondale Partners lowered Broadridge Financial Solutions from an “outperform” rating to a “market perform” rating and set a $65.00 price objective on the stock. in a report on Wednesday, June 15th. Barclays PLC lowered Broadridge Financial Solutions from an “overweight” rating to an “equal weight” rating and set a $67.00 price objective on the stock. in a report on Thursday, July 7th. Finally, Atlantic Securities initiated coverage on Broadridge Financial Solutions in a report on Tuesday, September 13th. They set an “overweight” rating and a $82.00 price objective on the stock. One equities research analyst has rated the stock with a sell rating, three have given a hold rating and one has assigned a buy rating to the company’s stock. The company has an average rating of “Hold” and a consensus target price of $72.25.
Shares of Broadridge Financial Solutions (NYSE:BR) opened at 69.07 on Monday. The company’s 50 day moving average price is $68.97 and its 200 day moving average price is $64.33. Broadridge Financial Solutions has a 52-week low of $48.56 and a 52-week high of $71.74. The firm has a market capitalization of $8.17 billion, a price-to-earnings ratio of 27.30 and a beta of 0.99.
Broadridge Financial Solutions (NYSE:BR) last posted its quarterly earnings results on Tuesday, August 9th. The company reported $1.45 earnings per share for the quarter, hitting the Zacks’ consensus estimate of $1.45. Broadridge Financial Solutions had a return on equity of 34.79% and a net margin of 10.61%. The company earned $975 million during the quarter, compared to the consensus estimate of $991.13 million. During the same period last year, the business earned $1.40 EPS. The business’s quarterly revenue was up 4.8% on a year-over-year basis. Analysts forecast that Broadridge Financial Solutions will post $3.14 earnings per share for the current year.
The firm also recently announced a quarterly dividend, which will be paid on Saturday, October 1st. Shareholders of record on Thursday, September 15th will be issued a $0.33 dividend. The ex-dividend date of this dividend is Tuesday, September 13th. This represents a $1.32 dividend on an annualized basis and a yield of 1.91%. This is a positive change from Broadridge Financial Solutions’s previous quarterly dividend of $0.30. Broadridge Financial Solutions’s dividend payout ratio (DPR) is 52.17%.
In other Broadridge Financial Solutions news, insider Richard J. Daly sold 125,652 shares of the firm’s stock in a transaction that occurred on Thursday, September 22nd. The stock was sold at an average price of $69.58, for a total value of $8,742,866.16. Following the sale, the insider now owns 231,703 shares of the company’s stock, valued at approximately $16,121,894.74. The transaction was disclosed in a legal filing with the Securities & Exchange Commission, which is accessible through this link. Also, insider Richard J. Daly sold 244,935 shares of the firm’s stock in a transaction that occurred on Friday, September 23rd. The shares were sold at an average price of $69.36, for a total value of $16,988,691.60. Following the completion of the sale, the insider now directly owns 226,507 shares in the company, valued at approximately $15,710,525.52. The disclosure for this sale can be found here. 3.50% of the stock is owned by company insiders.
A number of hedge funds have recently added to or reduced their stakes in BR. Evercore Wealth Management LLC raised its stake in Broadridge Financial Solutions by 5.7% in the second quarter. Evercore Wealth Management LLC now owns 3,238 shares of the company’s stock worth $211,000 after buying an additional 176 shares during the period. Carnick & Kubik Group LLC purchased a new stake in shares of Broadridge Financial Solutions during the second quarter worth approximately $2,294,000. Mason Street Advisors LLC purchased a new stake in shares of Broadridge Financial Solutions during the second quarter worth approximately $3,515,000. Northwestern Mutual Wealth Management Co. increased its stake in shares of Broadridge Financial Solutions by 12.6% in the second quarter. Northwestern Mutual Wealth Management Co. now owns 1,574 shares of the company’s stock worth $103,000 after buying an additional 176 shares in the last quarter. Finally, Royal Bank of Canada increased its stake in shares of Broadridge Financial Solutions by 6.2% in the second quarter. Royal Bank of Canada now owns 315,732 shares of the company’s stock worth $20,585,000 after buying an additional 18,416 shares in the last quarter. 87.38% of the stock is currently owned by hedge funds and other institutional investors.
Broadridge Financial Solutions Company Profile
Broadridge Financial Solutions, Inc (Broadridge) is a provider of investor communications and technology-driven solutions to banks, broker-dealers, mutual funds and corporate issuers. The Company delivers a range of solutions that help its clients serve their retail and institutional customers across the entire investment lifecycle, including pre-trade, trade and post-trade processing.
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