Broadridge: Bears Have Gotten Ahead Of Themselves (Rating Upgrade)

Ian Bezek Investing Group Leader Follow Summary Broadridge Financial Solutions has a highly attractive shareholder communications business and has delivered consistent earnings and dividend growth since its 2007 ADP spin-off. BR's recent EPS surge was driven by retail trading enthusiasm, but I expect future growth to soften. AI disruption poses moderate risk to BR's fund management software, but the core proxy communications business remains well-insulated due to regulatory factors. At 16x forward earnings and a 2.5% yield, this quasi-Dividend Aristocrat stock is now a buy, offering a solid entry for growth and income investors. Looking for a helping hand in the market? Members of Ian's Insider Corner get exclusive ideas and guidance to navigate any climate. Learn More » YinYang/iStock via Getty Images I've been a long-time shareholder of Broadridge Financial Solutions ( BR ), having owned the stock since 2019. I originally bought shares with the view that the company was a dominant FinTech firm hiding in plain sight . In 2007, Broadridge was spun off This article was written by Ian Bezek 23.79K Followers Follow Ian Bezek is a former hedge fund analyst at Kerrisdale Capital. He has spent the decade living in Latin America, doing the boots-on-the ground research for investors interested in markets such as Mexico, Colombia, and Chile. He also specializes in high-quality compounders and growth stocks at reasonable prices in the US and other developed markets. Ian leads the investing group Ian's Insider Corner. Features of the group include: the Weekend Digest which covers everything from new ideas to updates on current holdings and macro analysis, trade alerts, an active chat room, and direct access to Ian. Learn More. Analyst’s Disclosure: I/we have a beneficial long position in the shares of BR either through stock ownership, options, or other derivatives. I wrote this article myself, and it expresses my own opinions. I am not receiving compensation for it (other than from Seeking Alpha). I have no business relationship with any company whose stock is mentioned in this article. Seeking Alpha's Disclosure: Past performance is no guarantee of future results. No recommendation or advice is being given as to whether any investment is suitable for a particular investor. Any views or opinions expressed above may not reflect those of Seeking Alpha as a whole. Seeking Alpha is not a licensed securities dealer, broker or US investment adviser or investment bank. Our analysts are third party authors that include both professional investors and individual investors who may not be licensed or certified by any institute or regulatory body.