Added to YB: 2026-04-03
Pitch date: 2026-03-31
BR [bullish]
Broadridge Financial Solutions, Inc.
-0.91%
current return
Author Info
Bob’s Payment Stock Substack is a former analyst and portfolio manager. Fundamental buy-and-hold investor. Talking stocks and markets. Focus on Payments, Financial Technology, and Payroll and HCM. Sign up for the newsletter.
Company Info
Broadridge Financial Solutions, Inc. provides investor communications and technology-driven solutions for the financial services industry in the United States and internationally.
Market Cap
$19.0B
Pitch Price
$162.41
Price Target
220.00 (+37%)
Dividend
2.40%
EV/EBITDA
12.10
P/E
17.97
EV/Sales
3.06
Sector
Professional Services
Category
value
Long Broadridge Financial
BR (new position): Proxy/interim delivery monopoly (75-90% share) earns recurring rev from each equity/fund position at broker-dealers. Positions grew 7-8% CAGR since '06 w/ regulatory pricing protection. ~70% earnings from entrenched processes w/ minimal competition. Organic recurring rev +6.5% avg (4-9% range), margins expanding +60bps/yr to 29.2%. Trading 17x fwd P/E vs 24x 10yr avg. Risks: AI disruption to SaaS offerings, tokenized securities bypassing broker model, regulatory fee cuts. DCF at 9% discount rate yields $220 PT (+35% upside). SOTP: governance franchise worth 22x vs <19x implied.
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