Broadridge Financial Solutions (BR) AI Stock Analysis

• Market Cap: $28.71B
• Dividend Yield: 1.47%
• Average Volume (3M): 647.87K
• Price to Earnings (P/E): 34.6
• Beta (1Y): 0.65
• Revenue Growth: 5.88%
• EPS Growth: 20.69%
• Country: US
• Employees: 14,000
• Sector: Technology
• Sector Strength: 88
• Industry: Information Technology Services
• EPS (TTM): 3.55
• Shares Outstanding: 117,129,320
• 10 Day Avg. Volume: 551,346
• 30 Day Avg. Volume: 647,873
• PEG Ratio: 1.62
• Price to Book (P/B): 10.72
• Price to Sales (P/S): 4.13
• P/FCF Ratio: 26.94
• Enterprise Value/Market Cap: 1.10
• Enterprise Value/Revenue: 4.59
• Enterprise Value/Gross Profit: 14.81
• Enterprise Value/Ebitda: 20.16
• 1Y Price Target: $277.88
• Price Target Upside: 13.36% Upside
• Rating Consensus: Moderate Buy
• Number of Analyst Covering: 8

• Rating: 74 Outperform
• Price Target: $280.00 ▲(14.23% Upside)

Broadridge's strong financial performance and positive earnings call guidance are key strengths, supporting a stable outlook. However, technical indicators and valuation suggest caution, with potential risks from slowing revenue growth and cash flow challenges.

Positive Factors

Recurring Revenue Growth

The consistent growth in recurring revenue reflects Broadridge's strong client relationships and demand for its services, ensuring stable long-term cash flow.

Innovations in Technology

Innovations like the distributed ledger repo solution demonstrate Broadridge's commitment to leveraging technology, enhancing its competitive edge in financial services.

Strategic Acquisitions

Acquiring iJoin strengthens Broadridge's retirement services, expanding its market reach and enhancing its service portfolio, supporting long-term growth.

Negative Factors

Cash Flow Challenges

Negative free cash flow growth could limit Broadridge's ability to invest in new opportunities, potentially impacting future expansion and innovation.

Event-Driven Revenue Decline

A decline in event-driven revenue may affect Broadridge's overall revenue stability, as these revenues are less predictable and can impact financial performance.

Impact of Business Exit

The exit from a business segment could hinder growth in the Capital Markets area, affecting Broadridge's ability to capitalize on market opportunities in this segment.

Broadridge Financial Solutions Business Overview & Revenue Model

Company Description

Broadridge Financial Solutions, Inc. provides investor communications and technology-driven solutions for the financial services industry. The company's Investor Communication Solutions segment processes and distributes proxy materials to investors in equity securities and mutual funds, as well as facilitates related vote processing services; and distributes regulatory reports, class action, and corporate action/reorganization event information, as well as tax reporting solutions. It also offers ProxyEdge, an electronic proxy delivery and voting solution; data-driven solutions and an end-to-end platform for content management, composition, and omni-channel distribution of regulatory, marketing, and transactional information, as well as mutual fund trade processing services; data and analytics solutions; solutions for public corporations and mutual funds; SEC filing and capital markets transaction services; registrar, stock transfer, and record-keeping services; and omni-channel customer communications solutions, as well as operates Broadridge Communications Cloud platform that creates, delivers, and manages communications and customer engagement activities. The company's Global Technology and Operations segment provides solutions that automate the front-to-back transaction lifecycle of equity, mutual fund, fixed income, foreign exchange and exchange-traded derivatives, order capture and execution, trade confirmation, margin, cash management, clearance and settlement, reference data management, reconciliations, securities financing and collateral management, asset servicing, compliance and regulatory reporting, portfolio accounting, and custody-related services. This segment also offers business process outsourcing services; technology solutions, such portfolio management, compliance, fee billing, and operational support solutions; and capital market and wealth management solutions. The company was founded in 1962 and is headquartered in Lake Success, New York.

How the Company Makes Money

Broadridge Financial Solutions generates revenue through a diverse set of key revenue streams. Its primary source of income comes from Investor Communication Solutions, which includes services such as proxy distribution and shareholder communications. The company charges fees based on the volume of communications and the services rendered. Additionally, the Technology and Operations Solutions segment contributes significantly to revenue through software licensing, transaction processing services, and consulting fees. Broadridge also engages in partnerships with financial institutions to enhance its service offerings, which can lead to additional revenue opportunities. Overall, the company benefits from recurring revenue models, driven by long-term client relationships and a growing demand for regulatory compliance and operational efficiency in the financial industry.

Broadridge Financial Solutions Financial Statement Overview

Summary

Broadridge Financial Solutions shows strong financial performance with consistent revenue and profit growth. The company has improved its financial leverage, reducing risk. However, challenges in cash flow conversion and slowing revenue growth rate could pose future risks.

Income Statement

Broadridge Financial Solutions has demonstrated consistent revenue growth over the years, with a notable increase in gross profit margin from 27.89% in 2022 to 31.02% in 2025. The net profit margin has also improved, indicating enhanced profitability. EBIT and EBITDA margins have shown positive trends, reflecting operational efficiency. However, the revenue growth rate has slowed down in recent years, which could be a concern for future growth.

Balance Sheet

The company's debt-to-equity ratio has decreased from 2.15 in 2021 to 1.30 in 2025, indicating improved financial leverage and reduced risk. Return on equity remains strong, showcasing effective use of shareholders' equity. However, the equity ratio is relatively low, suggesting a higher reliance on debt financing.

Cash Flow

Operating cash flow has increased significantly, supporting the company's ability to generate cash from operations. However, free cash flow growth has been negative recently, which could impact future investments. The operating cash flow to net income ratio is below 1, indicating potential challenges in converting income into cash.

Breakdown	TTM	Dec 2025	Dec 2024	Dec 2023	Dec 2022	Dec 2021
Income Statement
Total Revenue	6.89B	6.89B	6.51B	6.06B	5.71B	4.99B
Gross Profit	2.14B	2.14B	1.93B	1.79B	1.59B	1.42B
EBITDA	1.57B	1.69B	1.51B	1.36B	1.22B	1.01B
Net Income	839.50M	839.50M	698.10M	630.60M	539.10M	547.50M
Balance Sheet
Total Assets	8.54B	8.54B	8.24B	8.23B	8.17B	8.12B
Cash, Cash Equivalents and Short-Term Investments	561.50M	561.50M	305.20M	252.30M	224.70M	274.50M
Total Debt	3.46B	3.46B	3.58B	3.65B	4.07B	4.19B
Total Liabilities	5.89B	5.89B	6.07B	5.99B	6.25B	6.31B
Stockholders Equity	2.66B	2.66B	2.17B	2.24B	1.92B	1.81B
Cash Flow
Free Cash Flow	1.11B	1.06B	943.20M	748.10M	370.40M	539.40M
Operating Cash Flow	1.17B	1.17B	1.06B	823.30M	443.50M	640.10M
Investing Cash Flow	-316.20M	-316.20M	-148.00M	-80.40M	-110.40M	-2.65B
Financing Cash Flow	-600.80M	-600.80M	-855.50M	-714.70M	-370.80M	1.80B

Broadridge Financial Solutions Technical Analysis

• Technical Analysis Sentiment: Negative
• Last Price: 245.12
• 50DMA: Negative
• 100DMA: Positive
• 200DMA: Positive
• MACD: Positive
• RSI: Neutral
• STOCH: Positive

Evaluating momentum and price trends is crucial in stock analysis to make informed investment decisions. For BR, the sentiment is Negative. The current price of 245.12 is below the 20-day moving average (MA) of 253.14, below the 50-day MA of 250.90, and above the 200-day MA of 237.94, indicating a neutral trend. The MACD of -1.58 indicates Positive momentum. The RSI at 38.66 is Neutral, neither overbought nor oversold. The STOCH value of 12.03 is Positive, not indicating any strong overbought or oversold conditions. Overall, these indicators collectively point to a Negative sentiment for BR.

Broadridge Financial Solutions Peers Comparison

Name	Overall Rating	Market Cap	P/E Ratio	ROE	Dividend Yield	Revenue Growth	EPS Growth
INFY	80 Outperform	71.98B	22.06	28.18%	2.87%	4.52%	-0.22%
LDOS	78 Outperform	23.58B	17.27	30.07%	0.87%	6.53%	230.23%
IT	77 Outperform	19.23B	15.62	82.56%	―	5.89%	54.53%
BR	74 Outperform	$28.71B	34.61	34.81%	1.47%	5.88%	20.69%
CTSH	74 Outperform	34.20B	14.05	15.93%	1.76%	6.34%	12.16%
WIT	73 Outperform	30.28B	20.93	15.86%	2.87%	-1.95%	35.65%
Sector *	61 Neutral	$37.18B	12.37	-10.20%	1.83%	8.50%	-7.62%

Broadridge Financial Solutions Corporate Events

Broadridge Highlights Growth Strategy in Investor Presentation

On September 5, 2025, Broadridge Financial Solutions released its investor presentation for September 2025, highlighting its growth strategy and financial performance. The company emphasized its strong recurring revenue growth and consistent earnings, driven by its unique business model and extensive network. Broadridge’s focus on technological advancements and client retention positions it well in the market, with a significant impact on stakeholders through its scale business and critical financial services operations.

The most recent analyst rating on (BR) stock is a Buy with a $280.00 price target. To see the full list of analyst forecasts on Broadridge Financial Solutions stock, see the BR Stock Forecast page.

Broadridge Secures $750M Credit Agreement with JPMorgan

On August 21, 2025, Broadridge Financial Solutions entered into a $750 million term credit agreement with JPMorgan Chase Bank. The loan, which matures in three years, will be used to repay existing debts and for general corporate purposes. The agreement includes covenants and conditions typical for such transactions, with provisions for prepayment and default scenarios.

The most recent analyst rating on (BR) stock is a Buy with a $280.00 price target. To see the full list of analyst forecasts on Broadridge Financial Solutions stock, see the BR Stock Forecast page.