Brown & Brown Acquires Shoemaker & Besser to Enhance Market Competitiveness
Written by Emily J. Thompson, Senior Investment Analyst
Updated: 3d ago
0mins
Source: Benzinga
- Strategic Acquisition: Brown & Brown enhances its competitive edge in the specialty personal and commercial insurance market by acquiring the assets of Shoemaker & Besser, a full-service managing general agent founded in 1959 in York, Pennsylvania, which provides independent agents with niche insurance products.
- Operational Integration: Post-acquisition, the Shoemaker & Besser team will continue to operate from York and report to Jason Haupt, regional president of Bridge Specialty Group, ensuring business continuity and personalized service for clients.
- Market Expansion: Anurag Batta, president of Bridge Specialty Group, stated that the acquisition will enhance solutions across contract binding and light brokerage services, boosting market access and solidifying Brown & Brown's position in niche markets.
- Stock Price Reaction: Following the acquisition announcement, Brown & Brown's shares rose by 2.55% to $80.82, reflecting positive market sentiment and confidence in the company's future growth potential.
Analyst Views on BRO
Wall Street analysts forecast BRO stock price to rise over the next 12 months. According to Wall Street analysts, the average 1-year price target for BRO is 95.13 USD with a low forecast of 79.00 USD and a high forecast of 114.00 USD. However, analyst price targets are subjective and often lag stock prices, so investors should focus on the objective reasons behind analyst rating changes, which better reflect the company's fundamentals.
10 Analyst Rating
2 Buy
7 Hold
1 Sell
Hold
Current: 80.590
Low
79.00
Averages
95.13
High
114.00
Current: 80.590
Low
79.00
Averages
95.13
High
114.00
About BRO
Brown & Brown, Inc. is an insurance brokerage company engaged in delivering risk management solutions. It markets and sells insurance products and services, primarily in the property, casualty and employee benefits areas. Its segments include the Retail segment provides a range of insurance products and services to commercial, public and quasi-public, professional and individual insured customers, and non-insurance services and products through its automobile dealer services F&I businesses; The Programs segment specializes in the development, underwriting and management of insurance program business, often designed for niche, underserved markets, and distributes these coverages to retail agencies, as well as affinity groups, wholesale entities and sold direct to consumers; and The Wholesale Brokerage segment markets and sells excess and surplus commercial and personal lines insurance, primarily through independent agents and brokers, as well as Brown & Brown retail agents.
About the author
Emily J. Thompson
Emily J. Thompson, a Chartered Financial Analyst (CFA) with 12 years in investment research, graduated with honors from the Wharton School. Specializing in industrial and technology stocks, she provides in-depth analysis for Intellectia’s earnings and market brief reports.
