Broadridge Financial Valuation

BR Stock  USD 203.84  2.13  1.06%   
At this time, the firm appears to be overvalued. Broadridge Financial shows a prevailing Real Value of $195.5 per share. The current price of the firm is $203.84. Our model approximates the value of Broadridge Financial from analyzing the firm fundamentals such as Current Valuation of 27.35 B, profit margin of 0.11 %, and Return On Equity of 0.35 as well as examining its technical indicators and probability of bankruptcy. In general, most investors favor buying undervalued instruments and selling overvalued instruments since, at some point, asset prices and their ongoing real values will blend.
Price Book
11.489
Enterprise Value
27.4 B
Enterprise Value Ebitda
20.5591
Price Sales
3.7873
Forward PE
23.4742
Overvalued
Today
203.84
Please note that Broadridge Financial's price fluctuation is very steady at this time. Calculation of the real value of Broadridge Financial is based on 3 months time horizon. Increasing Broadridge Financial's time horizon generally increases the accuracy of value calculation and significantly improves the predictive power of the methodology used.
Our valuation method for Broadridge Financial Solutions is useful when determining the fair value of the Broadridge stock, which is usually determined by what a typical buyer is willing to pay for full or partial control of Broadridge Financial. Since Broadridge Financial is currently traded on the exchange, buyers and sellers on that exchange determine the market value of Broadridge Stock. However, Broadridge Financial's intrinsic value may or may not be the same as its current market price, in which case there is an opportunity to profit from the mispricing, assuming the market price will eventually merge with its intrinsic value.
Historical Market  203.84 Real  195.5 Target  188.83 Hype  203.89 Naive  198.66
The real value of Broadridge Stock, also known as its intrinsic value, is the underlying worth of Broadridge Financial Company, which is reflected in its stock price. It is based on Broadridge Financial's financial performance, assets, liabilities, growth prospects, management team, or industry conditions. The intrinsic value of Broadridge Financial's stock can be calculated using various methods such as discounted cash flow analysis, price-to-earnings ratio, or price-to-book ratio. That value may differ from its current market price, which is determined by supply and demand factors such as investor sentiment, market trends, news, and other external factors that may influence Broadridge Financial's stock price. It is important to note that the real value of any stock may change over time based on changes in the company's performance.
194.48
Downside
195.50
Real Value
224.22
Upside
Estimating the potential upside or downside of Broadridge Financial Solutions helps investors to forecast how Broadridge stock's addition to their portfolios will impact the overall performance. We also use other valuation drivers to help us estimate the true value of Broadridge Financial more accurately as focusing exclusively on Broadridge Financial's fundamentals will not take into account other important factors:
Earnings
Estimates (0)
LowProjectedHigh
2.212.242.30
Details
Hype
Prediction
LowEstimatedHigh
202.87203.89204.91
Details
Potential
Annual Dividend
LowForecastedHigh
2.172.192.22
Details
10 Analysts
Consensus
LowTarget PriceHigh
171.84188.83209.60
Details

Broadridge Financial Investments

(75.98 Million)

Broadridge Financial Valuation Ratios as Compared to Competition

Comparative valuation techniques use various fundamental indicators to help in determining Broadridge Financial's current stock value. Our valuation model uses many indicators to compare Broadridge Financial value to that of its competitors to determine the firm's financial worth. You can analyze the relationship between different fundamental ratios across Broadridge Financial competition to find correlations between indicators driving Broadridge Financial's intrinsic value. More Info.
Broadridge Financial Solutions is rated third in annual yield category among related companies. It is rated second in price to sales category among related companies fabricating about  238.19  of Price To Sales per Annual Yield. As of 03/28/2024, Price To Sales Ratio is likely to drop to 1.72. Comparative valuation analysis is a catch-all model that can be used if you cannot value Broadridge Financial by discounting back its dividends or cash flows. This model doesn't attempt to find an intrinsic value for Broadridge Financial's Stock . Still, instead, it compares the stock's price multiples to a benchmark or nearest competition to determine if the stock is relatively undervalued or overvalued. The reason why the comparable model can be used in almost all circumstances is due to the vast number of multiples that can be utilized, such as the price-to-earnings (P/E), price-to-book (P/B), price-to-sales (P/S), price-to-cash flow (P/CF), and many others. The P/E ratio is the most commonly used of these ratios because it focuses on the Broadridge Financial's earnings, one of the primary drivers of an investment's value.
Please note that valuation analysis is one of the essential comprehensive assessments in business. It evaluates Broadridge Financial's worth, which you can determine by considering its current assets, liabilities and future cash flows. The investors' valuation analysis is an important metric that will give you a perspective on different companies. It helps you know the worth of the potential investment in Broadridge Financial and how it compares across the competition.

About Broadridge Financial Valuation

The stock valuation mechanism determines the current worth of Broadridge Financial Solutions on a weekly basis. We use both absolute as well as relative valuation methodologies to arrive at the intrinsic value of Broadridge Financial Solutions. In general, an absolute valuation paradigm, as applied to this company, attempts to find the value of Broadridge Financial based exclusively on its fundamental and basic technical indicators. By analyzing Broadridge Financial's financials, quarterly and monthly indicators, and its related drivers such as dividends, operating cash flow, and various types of growth rates, we attempt to find the most accurate representation of Broadridge Financial's intrinsic value. In some cases, mostly for established, large-cap companies, we also incorporate more traditional valuation methods such as dividend discount, discounted cash flow, or asset-based models. As compared to an absolute model, our relative valuation model uses a comparative analysis of Broadridge Financial. We calculate exposure to Broadridge Financial's market risk, different technical and fundamental indicators, relevant financial multiples and ratios, and then comparing them to Broadridge Financial's related companies.
Last ReportedProjected for 2024
Gross Profit2.1 B2.2 B
Pretax Profit Margin 0.13  0.15 
Operating Profit Margin 0.18  0.17 
Net Profit Margin 0.09  0.07 
Gross Profit Margin 0.27  0.22 

Broadridge Financial Quarterly Retained Earnings

3.09 Billion

8 Steps to conduct Broadridge Financial's Valuation Analysis

Company's valuation is the process of determining the worth of any company in monetary terms. It estimates Broadridge Financial's potential worth based on factors such as financial performance, market conditions, growth prospects, and overall economic environment. The result of company valuation is a single number representing a Company's current market value. This value can be used as a benchmark for various financial transactions such as mergers and acquisitions, initial public offerings (IPOs), or private equity investments. To conduct Broadridge Financial's valuation analysis, follow these 8 steps:
  • Gather financial information: Obtain Broadridge Financial's financial statements, including balance sheets, income statements, and cash flow statements.
  • Determine Broadridge Financial's revenue streams: Identify Broadridge Financial's primary sources of revenue, including products or services offered, target markets, and pricing strategies.
  • Analyze market data: Research Broadridge Financial's industry and market trends, including the size of the market, growth rate, and competition.
  • Establish Broadridge Financial's growth potential: Evaluate Broadridge Financial's management, business model, and growth potential.
  • Determine Broadridge Financial's financial performance: Analyze its financial statements to assess its historical performance and future potential.
  • Choose a valuation method: Consider the Company's specific circumstances and choose an appropriate valuation method, such as the discounted cash flow (DCF) or comparable analysis method.
  • Calculate the value: Apply the chosen valuation method to the financial information and market data to calculate Broadridge Financial's estimated value.
  • Review and adjust: Review the results and make necessary adjustments, considering any relevant factors that may have been missed or overlooked.
Note: This is a general outline, and different approaches and methods may be used depending on the type and size of the company being valued. We also recomment to seek professional assistance to ensure accuracy.
Broadridge Financial's stock price is the clearest measure of market expectations about its performance. Without stock valuation, investors cannot independently discern whether Broadridge Financial's value is low or high relative to the company's performance and growth projections. Determining the market value of Broadridge Financial can be done in different ways, such as multiplying its stock price by its outstanding shares.
A single share of Broadridge Financial represents a small ownership stake in the entity. As a stockholder of Broadridge, your percentage of company ownership is determined by dividing the number of shares you own by the total number of shares outstanding and then multiplying that amount by 100. Owning stock in a company generally confers both corporate voting rights and income from any dividends paid to the stock owner.

Broadridge Financial Dividends Analysis For Valuation

At this time, Broadridge Financial's Dividends Paid is relatively stable compared to the past year. As of 03/28/2024, Dividend Yield is likely to grow to 0.02, while Dividend Payout Ratio is likely to drop 0.34. . At this time, Broadridge Financial's Retained Earnings are relatively stable compared to the past year. As of 03/28/2024, Retained Earnings Total Equity is likely to grow to about 3.8 B, while Price Earnings Ratio is likely to drop 18.05.
Last ReportedProjected for 2024
Dividends Paid380.6 M399.7 M
Dividend Yield 0.02  0.02 
Dividend Payout Ratio 0.47  0.34 
Dividend Paid And Capex Coverage Ratio 2.90  4.90 
There are various types of dividends Broadridge Financial can pay to its shareholders, and the actual value of the dividend is determined on a per-share basis. It is to be paid equally to all of Broadridge shareholders on a specific date, known as the payable date. The cash dividend is the most common type of dividend payment - it is the payment of actual cash from Broadridge Financial Solutions directly to its shareholders. There are other types of dividends that companies can issue, such as stock dividends or asset dividends. When Broadridge pays a dividend, it has no impact on its enterprise value. It does, however, lowers the Equity Value of Broadridge Financial by the value of the dividends paid out.

Broadridge Financial Growth Indicators

Growth stocks usually refer to those companies expected to grow sales and earnings faster than the market average. Growth stocks typically don't pay dividends, often look expensive, and usually trading at a high P/E ratio. Nevertheless, such valuations could be relatively cheap if the company continues to grow, which will drive the share price up. However, since most investors are paying a high price for a growth stock, based on expectations, if those expectations are not fully realized, growth stocks can see dramatic declines. Note, investing in growth stocks can be very risky. If the company such as Broadridge Financial does not do well, investors take a loss on the stock when it is time to sell. Also, because growth stocks typically do not pay dividends, the only opportunity an investor has to make money on their investment is when they eventually sell their shares.
Common Stock Shares Outstanding119 M
Quarterly Earnings Growth Y O Y0.229
Forward Price Earnings23.4742

Broadridge Financial Current Valuation Indicators

Valuation refers to the process of determining the present value of Broadridge Financial Solutions and all of its assets. It can be calculated using a number of techniques. As many analysts who try to value Broadridge we look at many different elements of the entity such as Broadridge's management, its prospective future earnings, the current market value of the company's assets, as well as its capital structure formation. Broadridge Financial's valuation analysis is also a process of estimating the intrinsic value of all assets and outstanding equities. There are different methodologies and models we use to develop the final Broadridge Financial's valuation. The techniques such as discounted cash flow and fundamental indicators such as book value per share or market capitalization are well known and widely used across most financial advisers and money managers.
Valuations are an essential part of business, for companies themselves, but also for investors. For companies, such as Broadridge Financial, valuations can help measure their progress and success and can help them track their performance in the market compared to others. In addition, investors can use Broadridge Financial's valuations to help determine the worth of potential investments. They can do this by using data and information made public by a company. Regardless of who the valuation is for, it essentially describes Broadridge Financial's worth.
When determining whether Broadridge Financial is a strong investment it is important to analyze Broadridge Financial's competitive position within its industry, examining market share, product or service uniqueness, and competitive advantages. Beyond financials and market position, potential investors should also consider broader economic conditions, industry trends, and any regulatory or geopolitical factors that may impact Broadridge Financial's future performance. For an informed investment choice regarding Broadridge Stock, refer to the following important reports:
Check out Trending Equities to better understand how to build diversified portfolios, which includes a position in Broadridge Financial Solutions. Also, note that the market value of any company could be tightly coupled with the direction of predictive economic indicators such as signals in metropolitan statistical area.
You can also try the Economic Indicators module to top statistical indicators that provide insights into how an economy is performing.

Complementary Tools for Broadridge Stock analysis

When running Broadridge Financial's price analysis, check to measure Broadridge Financial's market volatility, profitability, liquidity, solvency, efficiency, growth potential, financial leverage, and other vital indicators. We have many different tools that can be utilized to determine how healthy Broadridge Financial is operating at the current time. Most of Broadridge Financial's value examination focuses on studying past and present price action to predict the probability of Broadridge Financial's future price movements. You can analyze the entity against its peers and the financial market as a whole to determine factors that move Broadridge Financial's price. Additionally, you may evaluate how the addition of Broadridge Financial to your portfolios can decrease your overall portfolio volatility.
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Is Broadridge Financial's industry expected to grow? Or is there an opportunity to expand the business' product line in the future? Factors like these will boost the valuation of Broadridge Financial. If investors know Broadridge will grow in the future, the company's valuation will be higher. The financial industry is built on trying to define current growth potential and future valuation accurately. All the valuation information about Broadridge Financial listed above have to be considered, but the key to understanding future value is determining which factors weigh more heavily than others.
Quarterly Earnings Growth
0.229
Dividend Share
1.45
Earnings Share
5.75
Revenue Per Share
53.656
Quarterly Revenue Growth
0.087
The market value of Broadridge Financial is measured differently than its book value, which is the value of Broadridge that is recorded on the company's balance sheet. Investors also form their own opinion of Broadridge Financial's value that differs from its market value or its book value, called intrinsic value, which is Broadridge Financial's true underlying value. Investors use various methods to calculate intrinsic value and buy a stock when its market value falls below its intrinsic value. Because Broadridge Financial's market value can be influenced by many factors that don't directly affect Broadridge Financial's underlying business (such as a pandemic or basic market pessimism), market value can vary widely from intrinsic value.
Please note, there is a significant difference between Broadridge Financial's value and its price as these two are different measures arrived at by different means. Investors typically determine if Broadridge Financial is a good investment by looking at such factors as earnings, sales, fundamental and technical indicators, competition as well as analyst projections. However, Broadridge Financial's price is the amount at which it trades on the open market and represents the number that a seller and buyer find agreeable to each party.