Zacks Investment Research cut shares of Broadridge Financial Solutions (NYSE:BR) from a buy rating to a hold rating in a research note issued to investors on Tuesday, January 9th.
According to Zacks, “Broadridge provides technology-based outsourcing solutions to the financial services industry. Shares of the company outperformed the industry to which it belongs to in the last one year. We remain optimistic about Broadridge’s strategic acquisitions, product launches, share repurchase program and dividend paying initiatives. We also believe that the company’s strong business relations with companies like Accenture and Amazon.com’s Amazon Web Services will be beneficial in the long run. Apart from this, regular additions to the company’s clientele have been tailwinds. In December 2017, the company’s solutions were adopted by a Miami based broker-dealer, Beta Capital Wealth Management as the latter is transforming to a self-clearing process. However, competition and pricing pressure remain major headwinds.”
Several other equities analysts have also issued reports on BR. DA Davidson reaffirmed a hold rating and issued a $86.00 price target on shares of Broadridge Financial Solutions in a research report on Thursday, November 9th. Barclays boosted their price objective on Broadridge Financial Solutions from $74.00 to $85.00 and gave the company an equal weight rating in a research note on Thursday, November 9th. ValuEngine upgraded Broadridge Financial Solutions from a hold rating to a buy rating in a research note on Tuesday, November 14th. Finally, Raymond James Financial restated a hold rating on shares of Broadridge Financial Solutions in a research note on Monday, December 4th. Six equities research analysts have rated the stock with a hold rating, The company has an average rating of Hold and a consensus price target of $90.50.
Broadridge Financial Solutions (NYSE:BR) last announced its earnings results on Wednesday, November 8th. The business services provider reported $0.54 EPS for the quarter, beating the Zacks’ consensus estimate of $0.42 by $0.12. Broadridge Financial Solutions had a net margin of 8.22% and a return on equity of 40.17%. The firm had revenue of $925.00 million for the quarter, compared to analysts’ expectations of $923.68 million. During the same quarter in the previous year, the business posted $0.36 EPS. The company’s quarterly revenue was up 3.4% on a year-over-year basis. equities research analysts expect that Broadridge Financial Solutions will post 3.72 earnings per share for the current year.
The firm also recently declared a quarterly dividend, which was paid on Wednesday, January 3rd. Shareholders of record on Friday, December 15th were paid a $0.365 dividend. The ex-dividend date of this dividend was Thursday, December 14th. This represents a $1.46 annualized dividend and a yield of 1.55%. Broadridge Financial Solutions’s payout ratio is 50.87%.
In other Broadridge Financial Solutions news, insider Robert Schifellite sold 49,181 shares of the company’s stock in a transaction that occurred on Friday, December 8th. The stock was sold at an average price of $89.47, for a total value of $4,400,224.07. Following the completion of the transaction, the insider now directly owns 149,181 shares in the company, valued at approximately $13,347,224.07. The transaction was disclosed in a filing with the Securities & Exchange Commission, which is available at the SEC website. Also, Director Richard J. Haviland sold 7,655 shares of the stock in a transaction that occurred on Wednesday, December 6th. The shares were sold at an average price of $88.51, for a total value of $677,544.05. Following the transaction, the director now owns 44,482 shares of the company’s stock, valued at $3,937,101.82. The disclosure for this sale can be found here. Corporate insiders own 2.60% of the company’s stock.
Several hedge funds and other institutional investors have recently bought and sold shares of the company. Schwab Charles Investment Management Inc. boosted its stake in Broadridge Financial Solutions by 4.0% during the second quarter. Schwab Charles Investment Management Inc. now owns 372,959 shares of the business services provider’s stock worth $28,181,000 after buying an additional 14,416 shares during the last quarter. American Century Companies Inc. boosted its position in shares of Broadridge Financial Solutions by 2.4% during the 2nd quarter. American Century Companies Inc. now owns 23,050 shares of the business services provider’s stock worth $1,742,000 after acquiring an additional 531 shares in the last quarter. Commerce Bank boosted its position in shares of Broadridge Financial Solutions by 6.2% during the 2nd quarter. Commerce Bank now owns 3,819 shares of the business services provider’s stock worth $289,000 after acquiring an additional 222 shares in the last quarter. Fiduciary Trust Co. acquired a new position in shares of Broadridge Financial Solutions during the 2nd quarter worth about $212,000. Finally, Private Advisor Group LLC boosted its position in shares of Broadridge Financial Solutions by 18.5% during the 2nd quarter. Private Advisor Group LLC now owns 10,642 shares of the business services provider’s stock worth $796,000 after acquiring an additional 1,661 shares in the last quarter. Hedge funds and other institutional investors own 83.50% of the company’s stock.
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’s segments include Investor Communication Solutions, and Global Technology and Operations. The Company offers Bank/Broker-Dealer Investor Communication Solutions, Customer Communication Solutions, Corporate Issuer Solutions, Advisor Solutions and Mutual Fund and Retirement Solutions through Investor Communication Solutions segment.
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