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BRO vs WTW

BRO
Brown & Brown, Inc.
NEUTRAL
Price
$79.18
Market Cap
$27.03B
Sector
Financial Services
AI Confidence
75%
WTW
Willis Towers Watson Public Limited Company
NEUTRAL
Price
$290.89
Market Cap
$27.5B
Sector
Financial Services
AI Confidence
85%

Valuation

P/E Ratio
BRO
23.78
WTW
17.89
Forward P/E
BRO
17.11
WTW
12.99
P/B Ratio
BRO
2.15
WTW
3.47
P/S Ratio
BRO
5.05
WTW
2.83
EV/EBITDA
BRO
18.27
WTW
11.92

Profitability

Gross Margin
BRO
49.55%
WTW
41.58%
Operating Margin
BRO
27.36%
WTW
35.39%
Profit Margin
BRO
18.69%
WTW
16.53%
ROE
BRO
10.7%
WTW
20.08%
ROA
BRO
4.17%
WTW
4.83%

Growth

Revenue Growth
BRO
34.2%
WTW
-3.3%
Earnings Growth
BRO
-16.1%
WTW
-38.2%

Financial Health

Debt/Equity
BRO
0.65
WTW
0.86
Current Ratio
BRO
1.18
WTW
1.21
Quick Ratio
BRO
0.47
WTW
0.44

Dividends

Dividend Yield
BRO
0.8%
WTW
1.32%
Payout Ratio
BRO
18.18%
WTW
22.63%

AI Verdict

BRO NEUTRAL

The Advanced Deterministic Scorecard reveals a mixed health profile with a weak Piotroski F-Score of 4/9, indicating borderline financial stability, and no available Altman Z-Score to assess bankruptcy risk. Despite strong revenue growth of 34.20% and solid profitability metrics like a 27.36% operating margin, earnings have declined YoY by -16.10%, creating a divergence between top-line and bottom-line performance. The stock trades above its Graham Number of $52.48 at $79.18, reflecting a premium valuation supported by growth expectations and sector outperformance in revenue. Analysts concur with a 'hold' recommendation, while insider sentiment is neutral and technical indicators suggest bearish momentum.

Strengths
Strong revenue growth of 34.20% YoY, outpacing sector average of 33.33%
High profitability with 27.36% operating margin and 18.69% net margin
Conservative debt levels with a Debt/Equity ratio of 0.65, below sector average of 1.58
Risks
Weak Piotroski F-Score of 4/9 suggests suboptimal financial health and potential operational inefficiencies
Earnings declining YoY by -16.10% despite strong revenue growth, indicating margin pressure
Technical trend score of 0/100 signals strong bearish momentum near 52-week lows
WTW NEUTRAL

WTW presents a dichotomy between strong operational profitability and poor deterministic valuation. The Piotroski F-Score of 4/9 indicates stable but mediocre financial health, while the current price of $290.89 trades at a significant premium to both the Graham Number ($175.19) and Intrinsic Value ($113.82). Despite negative YoY revenue and earnings growth, the company maintains a strong ROE of 20.08% and a consistent track record of beating earnings estimates. The outlook is tempered by bearish insider sentiment and a weak technical trend, offsetting the bullish analyst consensus.

Strengths
Strong Return on Equity (ROE) of 20.08%
High Operating Margin of 35.39%
Consistent earnings beat track record (3 of last 4 quarters)
Risks
Significant overvaluation relative to Graham and Intrinsic value baselines
Negative YoY Revenue (-3.30%) and Earnings (-38.20%) growth
Low Quick Ratio (0.44) suggesting potential short-term liquidity constraints

Compare Another Pair

BRO vs WTW: Head-to-Head Comparison

This page compares Brown & Brown, Inc. (BRO) and Willis Towers Watson Public Limited Company (WTW) across key fundamental metrics including valuation ratios, profitability margins, growth rates, financial health indicators, and dividend metrics. Each metric highlights the better-performing stock so you can quickly identify relative strengths and weaknesses.

Our AI engine independently analyzes each company's financials, competitive position, and market conditions to produce a verdict (Bullish, Neutral, or Bearish) along with key strengths and risks. Use this comparison alongside your own research to make informed investment decisions.

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