Broadridge Financial Solutions (BR) AI Stock Analysis

• Market Cap: $27.08B
• Dividend Yield: 1.6%
• Average Volume (3M): 753.85K
• Price to Earnings (P/E): 29.7
• Beta (1Y): 0.54
• Revenue Growth: 8.57%
• EPS Growth: 35.02%
• Country: US
• Employees: 14,000
• Sector: Technology
• Sector Strength: 88
• Industry: Software - Services
• EPS (TTM): 1.51
• Shares Outstanding: 116,727,560
• 10 Day Avg. Volume: 585,451
• 30 Day Avg. Volume: 753,853
• 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: 1.16
• Enterprise Value/Revenue: 4.44
• Enterprise Value/Gross Profit: 14.15
• Enterprise Value/Ebitda: 18.70
• 1Y Price Target: $264.83
• Price Target Upside: 17.54% Upside
• Rating Consensus: Moderate Buy
• Number of Analyst Covering: 6
• EPS Forecast (FY): 9.45
• Revenue Forecast (FY): $7.26B

• Rating: 78 Outperform
• Price Target: $259.00 ▲(14.95% Upside)

Broadridge Financial Solutions demonstrates strong financial performance and positive earnings call sentiment, which are the most significant factors driving the overall score. Technical analysis indicates a neutral trend, while the valuation suggests potential overvaluation. The company's strategic initiatives and robust guidance further support a positive outlook.

Positive Factors

Recurring Revenue Growth

Consistent growth in recurring revenue indicates strong client retention and a stable income stream, enhancing long-term business sustainability.

Strategic Acquisitions

Strategic acquisitions expand capabilities and market reach, strengthening Broadridge's competitive position and potential for future growth.

Cash Flow Generation

Strong cash flow growth enhances financial flexibility, allowing for reinvestment in business operations and shareholder returns.

Negative Factors

Interest Rate Headwinds

Interest rate fluctuations can impact revenue growth, potentially affecting profitability and financial performance over time.

Event-Driven Revenue Volatility

Reliance on event-driven revenues introduces volatility, which can lead to unpredictable financial performance and planning challenges.

GAAP Volatility from Digital Assets

Volatility in digital asset values can introduce financial statement fluctuations, complicating earnings predictability and investor confidence.

Broadridge Financial Solutions Business Overview & Revenue Model

Company Description

Broadridge Financial Solutions (BR) is a leading provider of technology-driven solutions for financial services firms, including banks, broker-dealers, mutual funds, and corporate issuers. The company operates primarily in two segments: Investor Communication Solutions and Technology and Operations Solutions. Broadridge's core products and services include proxy voting, regulatory compliance, data analytics, and digital communication solutions, which facilitate effective shareholder and investor engagement. By leveraging advanced technology, Broadridge enhances operational efficiency and transparency for its clients in the financial sector.

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 exhibits strong financial health with consistent revenue and profit growth, efficient operations, and improved cash flow generation. The company has managed to reduce its debt reliance while maintaining high returns on equity. Despite a slight slowdown in revenue growth, the financial statements reflect a stable and profitable business trajectory.

Income Statement

Broadridge Financial Solutions demonstrates strong revenue growth with a TTM increase of 2.42% and consistent profitability. The gross profit margin is stable at around 31%, and the net profit margin has improved to 12.19%. EBIT and EBITDA margins are healthy, indicating efficient operations. The company shows a positive growth trajectory, though the revenue growth rate has slightly slowed compared to previous years.

Balance Sheet

The balance sheet reflects a moderate debt-to-equity ratio of 1.30, showing a decrease from previous years, which indicates improved financial leverage. Return on equity is robust at 35.45%, reflecting effective use of equity to generate profits. However, the equity ratio is relatively low, suggesting a higher reliance on debt financing.

Cash Flow

Cash flow analysis reveals a strong free cash flow growth rate of 14.50% in the TTM, indicating improved cash generation capabilities. The operating cash flow to net income ratio is 0.63, and the free cash flow to net income ratio is 0.94, both reflecting efficient cash management. The company has shown consistent improvement in cash flow metrics over the years.

Breakdown	TTM	Dec 2025	Dec 2024	Dec 2023	Dec 2022	Dec 2021
Income Statement
Total Revenue	7.06B	6.89B	6.51B	6.06B	5.71B	4.99B
Gross Profit	2.21B	2.14B	1.93B	1.79B	1.59B	1.42B
EBITDA	1.67B	1.69B	1.51B	1.36B	1.22B	1.01B
Net Income	925.10M	839.50M	698.10M	630.60M	539.10M	547.50M
Balance Sheet
Total Assets	8.30B	8.54B	8.24B	8.23B	8.17B	8.12B
Cash, Cash Equivalents and Short-Term Investments	317.20M	561.50M	305.20M	252.30M	224.70M	274.50M
Total Debt	3.64B	3.46B	3.58B	3.65B	4.07B	4.19B
Total Liabilities	5.92B	5.89B	6.07B	5.99B	6.25B	6.31B
Stockholders Equity	2.38B	2.66B	2.17B	2.24B	1.92B	1.81B
Cash Flow
Free Cash Flow	1.27B	1.06B	943.20M	748.10M	370.40M	539.40M
Operating Cash Flow	1.34B	1.17B	1.06B	823.30M	443.50M	640.10M
Investing Cash Flow	-376.10M	-316.20M	-148.00M	-80.40M	-110.40M	-2.65B
Financing Cash Flow	-966.80M	-600.80M	-855.50M	-714.70M	-370.80M	1.80B

Broadridge Financial Solutions Technical Analysis

• Technical Analysis Sentiment: Negative
• Last Price: 225.32
• 50DMA: Negative
• 100DMA: Negative
• 200DMA: Negative
• MACD: Negative
• RSI: Neutral
• STOCH: Neutral

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 225.32 is below the 20-day moving average (MA) of 226.91, below the 50-day MA of 228.64, and below the 200-day MA of 237.75, indicating a neutral trend. The MACD of 0.47 indicates Negative momentum. The RSI at 49.13 is Neutral, neither overbought nor oversold. The STOCH value of 65.59 is Neutral, 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
CTSH	79 Outperform	$38.96B	18.71	14.50%	1.53%	7.44%	-4.57%
BR	78 Outperform	$27.08B	29.67	38.21%	1.60%	8.57%	35.02%
LDOS	77 Outperform	$23.89B	17.43	29.51%	0.87%	6.48%	22.17%
INFY	76 Outperform	$74.47B	22.90	29.15%	2.70%	4.62%	1.06%
WIT	74 Outperform	$30.21B	18.99	16.39%	2.92%	-1.97%	48.61%
IT	67 Neutral	$16.56B	19.93	109.26%	―	5.24%	-16.05%
Sector *	61 Neutral	$37.18B	12.37	-10.20%	1.83%	8.50%	-7.62%

Broadridge Financial Solutions Corporate Events

Broadridge Approves Proposals at Annual Stockholders Meeting

On November 13, 2025, Broadridge Financial Solutions held its 2025 Annual Meeting of Stockholders, where all management proposals were approved. These included the election of eight directors, an advisory vote on executive compensation, and the ratification of Deloitte & Touche LLP as independent accountants for the fiscal year ending June 30, 2026.

Broadridge Financial Unveils November 2025 Investor Presentation

On November 14, 2025, Broadridge Financial Solutions posted its investor presentation for November 2025 on its website. The presentation highlighted the company’s growth strategy, financial performance, and market positioning. Broadridge emphasized its unique business model and network, which have driven consistent earnings growth and shareholder value. The company also outlined its fiscal year 2026 guidance and objectives, including recurring revenue growth and adjusted EPS growth. The announcement underscores Broadridge’s commitment to maintaining its leadership position in the financial services industry and its focus on delivering value to clients and investors.

Broadridge Declares Quarterly Cash Dividend Announcement

On November 13, 2025, Broadridge Financial Solutions announced that its Board of Directors declared a quarterly cash dividend of $0.975 per share, payable on January 5, 2026, to stockholders of record as of December 12, 2025. This announcement reflects Broadridge’s ongoing commitment to delivering shareholder value and may influence its market positioning and stakeholder relations.