BRO PE Ratio & Valuation,Is BRO Overvalued

BRO Relative Valuation

BRO's fair value is calculated using relative valuation, based on historical P/E and P/S ranges and their premiums/discounts relative to a competitor average, adjusted by weights. If the market price exceeds this fair value range, BRO is overvalued; if below, it's undervalued.

Historical Valuation

Brown & Brown Inc (BRO) is now in the Undervalued zone, suggesting that its current forward PE ratio of 17.92 is considered Undervalued compared with the five-year average of 24.76. The fair price of Brown & Brown Inc (BRO) is between 123.57 to 145.40 according to relative valuation methord. Compared to the current price of 81.62 USD , Brown & Brown Inc is Undervalued By 33.95%.

Relative Value

Fair Zone

123.57-145.40

Current Price：81.62

33.95%

Undervalued

17.92

13.81

EV/EBITDA

Brown & Brown Inc. (BRO) has a current EV/EBITDA of 13.81. The 5-year average EV/EBITDA is 16.43. The thresholds are as follows: Strongly Undervalued below 12.26, Undervalued between 12.26 and 14.34, Fairly Valued between 18.52 and 14.34, Overvalued between 18.52 and 20.60, and Strongly Overvalued above 20.60. The current Forward EV/EBITDA of 13.81 falls within the Undervalued range.

16.79

EV/EBIT

Brown & Brown Inc. (BRO) has a current EV/EBIT of 16.79. The 5-year average EV/EBIT is 19.20. The thresholds are as follows: Strongly Undervalued below 14.65, Undervalued between 14.65 and 16.92, Fairly Valued between 21.47 and 16.92, Overvalued between 21.47 and 23.74, and Strongly Overvalued above 23.74. The current Forward EV/EBIT of 16.79 falls within the Undervalued range.

3.89

Brown & Brown Inc. (BRO) has a current PS of 3.89. The 5-year average PS is 4.95. The thresholds are as follows: Strongly Undervalued below 3.46, Undervalued between 3.46 and 4.21, Fairly Valued between 5.70 and 4.21, Overvalued between 5.70 and 6.44, and Strongly Overvalued above 6.44. The current Forward PS of 3.89 falls within the Undervalued range.

0.00

P/OCF

Brown & Brown Inc. (BRO) has a current P/OCF of 0.00. The 5-year average P/OCF is 13.21. The thresholds are as follows: Strongly Undervalued below -8.75, Undervalued between -8.75 and 2.23, Fairly Valued between 24.19 and 2.23, Overvalued between 24.19 and 35.17, and Strongly Overvalued above 35.17. The current Forward P/OCF of 0.00 falls within the Undervalued range.

18.38

P/FCF

Brown & Brown Inc. (BRO) has a current P/FCF of 18.38. The 5-year average P/FCF is 21.03. The thresholds are as follows: Strongly Undervalued below 13.26, Undervalued between 13.26 and 17.15, Fairly Valued between 24.92 and 17.15, Overvalued between 24.92 and 28.81, and Strongly Overvalued above 28.81. The current Forward P/FCF of 18.38 falls within the Historic Trend Line -Fairly Valued range.

Brown & Brown Inc (BRO) has a current Price-to-Book (P/B) ratio of 2.22. Compared to its 3-year average P/B ratio of 4.02 , the current P/B ratio is approximately -44.74% higher. Relative to its 5-year average P/B ratio of 4.02, the current P/B ratio is about -44.74% higher. Brown & Brown Inc (BRO) has a Forward Free Cash Flow (FCF) yield of approximately 4.66%. Compared to its 3-year average FCF yield of 4.02%, the current FCF yield is approximately 15.89% lower. Relative to its 5-year average FCF yield of 4.18% , the current FCF yield is about 11.39% lower.

2.22

P/B

Median3y

4.02

Median5y

4.02

4.66

FCF Yield

Median3y

4.02

Median5y

4.18

Competitors Valuation Multiple

The average P/S ratio for BRO's competitors is 6.86, providing a benchmark for relative valuation. Brown & Brown Inc Corp (BRO) exhibits a P/S ratio of 3.89, which is -43.28% above the industry average. Given its robust revenue growth of 35.41%, this premium appears sustainable.

P/S

P/E

EV/EBITDA

EV/EBIT

Revenue Growth

Market Cap

Performance Decomposition

Market capitalization of BRO decreased by 20.00% over the past 1 year. The primary factor behind the change was an increase in Revenue Growth from 1.19B to 1.61B.

The secondary factor is the P/E Change, contributed -26.18%to the performance.

Overall, the performance of BRO in the past 1 year is driven by Revenue Growth. Which is more sustainable.

35.41%

1.19B → 1.61B

Revenue Growth

-29.23%

20.15 → 14.26

Margin Expansion

-26.18%

33.41 → 24.67

P/E Change

-20.00%

102.02 → 81.62

Mkt Cap Growth

People Also Watch

Frequently Asked Questions

Is Brown & Brown Inc (BRO) currently overvalued or undervalued?

What is Brown & Brown Inc (BRO) fair value?

BRO's fair value is calculated using relative valuation, based on historical P/E and P/S ranges and their premiums/discounts relative to a competitor average , adjusted by weights. The fair price of Brown & Brown Inc (BRO) is between 123.57 to 145.40 according to relative valuation methord.

How does BRO's valuation metrics compare to the industry average?

What is the current P/B ratio for Brown & Brown Inc (BRO) as of Dec 15 2025?

As of Dec 15 2025, Brown & Brown Inc (BRO) has a P/B ratio of 2.22. This indicates that the market values BRO at 2.22 times its book value.

What is the current FCF Yield for Brown & Brown Inc (BRO) as of Dec 15 2025?

As of Dec 15 2025, Brown & Brown Inc (BRO) has a FCF Yield of 4.66%. This means that for every dollar of Brown & Brown Inc’s market capitalization, the company generates 4.66 cents in free cash flow.

What is the current Forward P/E ratio for Brown & Brown Inc (BRO) as of Dec 15 2025?

As of Dec 15 2025, Brown & Brown Inc (BRO) has a Forward P/E ratio of 17.92. This means the market is willing to pay $17.92 for every dollar of Brown & Brown Inc’s expected earnings over the next 12 months.

What is the current Forward P/S ratio for Brown & Brown Inc (BRO) as of Dec 15 2025?

As of Dec 15 2025, Brown & Brown Inc (BRO) has a Forward P/S ratio of 3.89. This means the market is valuing BRO at $3.89 for every dollar of expected revenue over the next 12 months.

BRO Valuation

BRO Valuation

BRO Relative Valuation

Historical Valuation

Competitors Valuation Multiple

Performance Decomposition

People Also Watch

Frequently Asked Questions

Is Brown & Brown Inc (BRO) currently overvalued or undervalued?

What is Brown & Brown Inc (BRO) fair value?

How does BRO's valuation metrics compare to the industry average?

What is the current P/B ratio for Brown & Brown Inc (BRO) as of Dec 15 2025?

What is the current FCF Yield for Brown & Brown Inc (BRO) as of Dec 15 2025?

What is the current Forward P/E ratio for Brown & Brown Inc (BRO) as of Dec 15 2025?

What is the current Forward P/S ratio for Brown & Brown Inc (BRO) as of Dec 15 2025?