Broadridge Financial Solutions , Inc. (NYSE:BR) reported a series of transactions by President Christopher John Perry, involving both acquisitions and disposals of the company's common stock on August 14, 2024. According to the latest filings, Perry sold a total of $6,540,107 worth of stock at prices ranging from $207.1256 to $207.6479 per share.
The sales were part of a larger set of transactions that also included stock acquisitions through option exercises. Perry acquired shares of Broadridge stock valued at a total of $4,699,199 with prices per share between $117.34 and $144.84. These transactions resulted in a net decrease in Perry's holdings of Broadridge shares, reflecting a significant amount of trading activity by the executive.
The specific sales involved multiple transactions. Perry sold 8,701 shares at a weighted average price of $207.1547, with individual sale prices ranging from $206.3900 to $208.2800. Another set of 8,824 shares were sold at an average price of $207.1256, within the same price range. The largest single batch consisted of 14,014 shares sold at an average price of $207.6479, with the range of individual transactions extending from $206.3000 to $209.5500.
These sales and acquisitions of stock were reported in a Form 4 filing with the Securities and Exchange Commission, which provides transparency into the trading activities of the company's insiders. Broadridge Financial Solutions, Inc., headquartered in Lake Success, New York, is known for its services in business communications, technology, and analytics for the financial industry.
Investors often monitor insider transactions as they provide insights into executives' perspectives on their company's stock value. The recent trades by Christopher John Perry represent a substantial movement of Broadridge stock by a key company insider.
In other recent news, Broadridge Financial Solutions has made significant strides in its financial performance. The company's fiscal fourth-quarter 2024 recurring and total revenues met and exceeded RBC Capital's estimates, respectively, despite falling slightly below the consensus estimates of other analysts. The adjusted earnings per share (EPS) for the quarter were reported to be higher than RBC Capital's estimates and aligned with the general market expectations.
Broadridge has also seen a notable increase in closed sales, reaching $156.6 million, which surpassed RBC Capital's expectations. RBC Capital Markets has consequently updated its outlook on Broadridge, increasing the shares price target to $246 from $239 while maintaining an Outperform rating. This update reflects Broadridge's strong sales execution and potential for continued growth.
Broadridge's recent developments include the acquisition of Kyndryl SIS business in Canada, aimed at bolstering its wealth solutions in the Canadian market. Additionally, the company reported record closed sales of $342 million, a 39% increase from the previous year, and a 10% growth in adjusted earnings per share (EPS).
Looking forward to the fiscal year 2025, Broadridge anticipates steady constant-currency revenue growth comparable to fiscal year 2024, and an adjusted EPS slightly ahead of prior forecasts. Despite potential challenges such as anticipated lower float income, the company is focusing on margin expansion to fund long-term growth investments.
InvestingPro Insights
As Broadridge Financial Solutions, Inc. (NYSE:BR) continues to make headlines with insider transactions, investors are closely monitoring the company's financial health and market position. According to real-time data provided by InvestingPro, Broadridge boasts a market capitalization of $24.39 billion, reflecting its significant presence in the financial industry. The company's P/E ratio stands at 35.23, suggesting a premium valuation compared to the market average. This is further evidenced by the adjusted P/E ratio for the last twelve months as of Q4 2024, which is 32.66.
InvestingPro Tips highlight the company's strong financial discipline and investor-friendly moves, with Broadridge having a perfect Piotroski Score of 9, indicating robust financial health. Additionally, the company has demonstrated a commitment to shareholder returns by raising its dividend for 17 consecutive years, a testament to its financial stability and confidence in future earnings.
On the flip side, it's worth noting that five analysts have revised their earnings expectations downwards for the upcoming period, signaling potential headwinds or a more conservative outlook on the company's performance. Moreover, with a high Price / Book multiple of 11.25, investors may weigh the company's asset value against its current share price.
For those looking to delve deeper, InvestingPro offers a comprehensive list of additional tips, providing a more granular view of Broadridge's financial landscape and future prospects. There are currently 12 more InvestingPro Tips available for Broadridge, which can be accessed for more detailed analysis and investment considerations.
As Broadridge navigates the dynamic financial services industry, these InvestingPro Insights offer investors a snapshot of the company's valuation and financial health, which are crucial in assessing the potential impact of insider trading activities.
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