Strativest CapitalSTRATIVEST RESEARCH
Independent research · Est. October 2026
← All X-Rays
Stock X-Ray · Financials · S&P 500 Full Coverage — Phase 1

Brown & Brown (BRO)

X-Ray dated Oct 28, 2026 · Share price as of Oct 28, 2026 intraday, when the valuation snapshot was captured · Financials from SEC filings (EDGAR) · Valuation multiples from a labelled secondary source
The verdict — valuation label: UNDERVALUED

Forward P/E is 14.15x against a peer median of 16.61x, a ratio of 0.85x — below the 0.90–1.15 fairly priced band — with trailing P/E 20.97x and PEG 2.72. Latest-quarter revenue grew 7.4% year over year (PRIMARY, EDGAR), close to the cluster median. Delivered demand check: the Insurance brokers group's median growth was 7.8% year over year — demand rising, and Brown & Brown grew close to that pace. Value-trap check: revenue is not shrinking and the cluster median is positive, so the UNDERVALUED label stands.

14.2×
Forward P/E — price vs next year’s expected earnings (secondary source)
16.6×
Peer median forward P/E — closest comparable companies
21.0×
Trailing P/E — price vs the last twelve months of earnings
3.3×
Price / sales

What would change this label: Move to FAIRLY PRICED if the forward P/E rises to about 14.95x or above (0.90x the peer median) at unchanged estimates, or if revenue growth falls below 0% year over year while the multiple stays below the peer median. The label would strengthen, staying UNDERVALUED, if revenue growth rises above the 7.8% cluster median while the forward P/E stays below about 14.95x.

In simple words

Brown & Brown, an insurance broker, trades at about 14 times next year's expected earnings against about 17 times for similar brokers, while its sales grew 7.4%, close to the peer pace. Paying less than peers for similar growth looks like a discount. The shares look undervalued.

Words we use, in plain English: P/E ratio — the share price divided by earnings per share; how many dollars you pay for one dollar of yearly profit. Forward P/E — the same, using next year’s expected earnings. Free cash flow — cash a company has left after running the business and buying equipment. TTM — the last twelve months. Drawdown — the worst fall from a peak to the low after it.
The share price vs the market — six years
Brown & Brown (BRO)S&P 500 (SPY)
781291792292802021202220232024202520262020-09-012026-10-27

Both lines start at 100 on 2020-09-01. Over the full window Brown & Brown returned +44.68% and the S&P 500 +118.28% (price returns; dividends not reinvested). Worst peak-to-trough fall for Brown & Brown: -56.3% (2025-04-03 to 2026-05-13). Source: Nasdaq official daily history.

What the label rests on

Forward P/E is 14.15x against a peer median of 16.61x, a ratio of 0.85x — below the 0.90–1.15 fairly priced band — with trailing P/E 20.97x and PEG 2.72. Latest-quarter revenue grew 7.4% year over year (PRIMARY, EDGAR), close to the cluster median. Delivered demand check: the Insurance brokers group's median growth was 7.8% year over year — demand rising, and Brown & Brown grew close to that pace. Value-trap check: revenue is not shrinking and the cluster median is positive, so the UNDERVALUED label stands. The company’s forward P/E is 14.2× against a peer median of 16.6×. Its own history: UNVERIFIED — no sourced range available. Sector demand read: Delivered demand check: the Insurance brokers group's median latest-quarter revenue growth was 7.8% year over year (SEC filings) — demand rising. Latest-quarter sales growth was +7.4% versus a year earlier (SEC filings).

CompanyPrice (Oct 28, 2026)Forward P/ETrailing P/E
Brown & Brown (BRO)$66.6114.2×21.0×
WTW$320.9715.3×19.7×
ERIE$246.23—22.3×
AON$313.4816.2×17.1×
AJG$261.4818.7×43.4×
MRSH$191.0917.0×22.9×
Peer median16.6×

Multiples: stockanalysis.com (SECONDARY, S&P Global data), fetched Oct 28, 2026. Peer set chosen by sector; the median is the middle value of the set. The label and its numbers were recorded in the programme’s label registry on Oct 28, 2026 and will be scored at 6 and 12 months.

Sales, profit and cash

Sales and profit each quarter
SalesNet income (profit)
$0B$1B$1B$2BSep 2020Sep 2021Sep 2022Sep 2023Sep 2024Sep 2025Sep 2026

This company does not report a gross-profit line in its SEC facts (normal for banks, payment networks and some health insurers), so profit is shown as net income instead — gross margin is marked UNVERIFIED-absent rather than estimated.

Cash left over each quarter (free cash flow)
PositiveNegative
$-0B$0B$0BSep 2020Sep 2021Sep 2022Sep 2023Sep 2024Sep 2025Sep 2026

Free cash flow = cash from operations minus spending on plant and equipment, both from the company’s SEC cash-flow statement. Gaps are quarters where that spending line is not separately tagged in the filings — shown as gaps, never estimated.

QuarterSalesGross marginNet incomeEPS (GAAP, diluted)Free cash flow
Q/E Sep 2026
2026-09-30
$1.7B—$240M0.67$493M
Q/E Jun 2026
2026-06-30
$1.7B—$288M0.84$329M
Q/E Mar 2026
2026-03-31
$1.9B—$426M1.06$241M
Q/E Dec 2025
2025-12-31
$1.6B—$264M—$424M
Q/E Sep 2025
2025-09-30
$1.6B—$227M0.68$452M
Q/E Jun 2025
2025-06-30
$1.3B—$231M0.78$310M
Q/E Mar 2025
2025-03-31
$1.4B—$331M1.15$196M
Q/E Dec 2024
2024-12-31
$1.2B—$210M—$341M
Q/E Sep 2024
2024-09-30
$1.2B—$234M0.81$417M
Q/E Jun 2024
2024-06-30
$1.2B—$257M0.90$334M
Q/E Mar 2024
2024-03-31
$1.3B—$293M1.02$0
Q/E Dec 2023
2023-12-31
$1.0B—$269M—$275M

The last twelve reported quarters. Full 25-quarter history sits in the data pack behind this page. A dash means the figure is not tagged as a standalone quarter in the company’s SEC facts (the usual case is the fourth quarter, which many companies only report inside the full-year filing) — it is missing, not zero.

Earnings: getting better or worse?

Each box is one quarter’s earnings per share (EPS). Green means EPS was higher than the same quarter a year earlier; red means lower; a dash means the figure is not tagged in the filings.

Dec 2022
—
Mar 2023
0.83
Jun 2023
0.67
Sep 2023
0.62
Dec 2023
—
Mar 2024
1.02
Jun 2024
0.90
Sep 2024
0.81
Dec 2024
—
Mar 2025
1.15
Jun 2025
0.78
Sep 2025
0.68
Dec 2025
—
Mar 2026
1.06
Jun 2026
0.84
Sep 2026
0.67

Basis: GAAP diluted EPS from SEC company facts, compared with the same quarter a year earlier.

Key facts

ItemValue
Company (legal name in filings)BROWN & BROWN, INC.
Chief executiveJ. Powell Brown (source: https://www.businessinsurance.com/brown-brown-q3-revenue-rises-as-property-cat-rates-fall/)
SectorFinancials — Insurance Brokers — brokers insurance and risk management services for businesses and individuals
Share price (Oct 28, 2026)$66.61
Market value (market cap)$22.4B — share price times shares outstanding of 331,691,829 (SEC filings; SEC EDGAR dei EntityCommonStockSharesOutstanding (latest))
Sales, last twelve months$6.9B
Net income, last twelve months$1.2B
Free cash flow, last twelve months$1.5B
Latest reported quarterQ/E Sep 2026 (of 25 quarters in the data pack)
Six-year price return vs S&P 500+44.68% vs +118.28%
Worst peak-to-trough fall-56.3% (2025-04-03 to 2026-05-13)

What we could not verify

  • Gross profit / gross margin: not tagged as a standalone line in this company's EDGAR company facts (common for banks, payment networks and some healthcare payers) — shown as UNVERIFIED-absent; the page charts revenue and net income instead.
  • TTM GAAP diluted EPS could not be summed from company facts because at least one of the last four quarters (typically Q4) has no standalone tagged EPS; trailing P/E is therefore taken from the labelled secondary source in valuation_label.md.
  • Own-history P/E range not yet compiled for this company in the Phase 1 batch run; the label rests on peer-median, growth and PEG evidence.
  • Guidance record (each quarter scored against the guidance the company gave the quarter before) is not yet compiled for this company — it is a Phase 2 layer. The earnings strip below therefore uses reported EPS versus a year earlier, which is fully sourced from filings.

The IT factor — the most exciting thing the market is overlooking — is not assessed on an X-Ray page. It belongs to the Deep Dive (Phase 2), where it gets the evidence standard it needs. Leadership-era scoring (the six years split by chief executive) is likewise a Phase 2 layer; this page names the current chief executive only, from a sourced profile.

Sources

  • SEC EDGAR submissions — Filing index; company legal name. https://data.sec.gov/submissions/CIK0000079282.json
  • SEC EDGAR company facts — Quarterly financial spine: revenue, gross profit, net income, GAAP diluted EPS, operating cash flow, PP&E capex, buybacks, dividends, diluted shares. https://data.sec.gov/api/xbrl/companyfacts/CIK0000079282.json
  • Nasdaq official daily history — Daily closes for the company; SPY (assetclass=etf) saved as raw/nasdaq_spy_raw.json over identical dates. https://api.nasdaq.com/api/quote/BRO/historical?assetclass=stocks
  • Valuation multiples and peer figures — stockanalysis.com (SECONDARY, S&P Global data), fetched Oct 28, 2026; see valuation_label.md in the data pack.

Conventions: earliest-filed value per period, as first reported; cash-flow years-to-date differenced quarter by quarter; EPS never differenced; free cash flow = operating cash flow minus plant-and-equipment spending. This page is a dated snapshot — updates are new versions, never silent edits.

← All X-RaysS&P 500 Full Coverage — Phase 1 · Oct 28, 2026