Here's Why You Should Retain Broadridge Financial Stock for Now

Core Viewpoint - Broadridge Financial Solutions, Inc. has demonstrated strong performance with a 21% stock gain over the past year, outperforming the industry average of 11% [1] Financial Performance - Earnings for fiscal 2025 and 2026 are projected to grow by 10.4% and 9.1% year over year, respectively [2] - Revenues are expected to rise by 6.6% in fiscal 2025 and 4.8% in fiscal 2026 [2] - Total revenues increased by 7.4% in fiscal 2024, following growth rates of 6%, 14%, and 10% in fiscal 2023, 2022, and 2021, respectively [3] Growth Drivers - Fundamental trends such as rising demand for data and analytics, mutualization, and digitization are anticipated to drive sales growth for Broadridge [3] - The company has a robust business model with significant recurring revenue streams, providing good visibility on organic revenues in the near to mid-term [3] Strategic Focus - Broadridge's growth strategy emphasizes governance, capital markets, and wealth management [4] - In governance, the company utilizes advanced digital communication technologies and enhances print and mail services through tech innovations [4] - In capital markets, Broadridge is expanding its global platform capabilities and adopting next-generation solutions [5] - The wealth management sector features a comprehensive platform known for superior systems and data integration capabilities [5] Recent Developments - The acquisition of AdvisorTarget in 2024 is expected to enhance Broadridge's digital distribution and marketing capabilities for asset management and wealth firms [6] - This acquisition will strengthen the company's market position and drive growth in the digital marketing space by integrating advanced marketing automation and analytics technology [6] Shareholder Value - Broadridge has consistently increased its dividend payments, with $368.2 million paid in fiscal 2024, $331.0 million in 2023, and $290.7 million in 2022 [7] - The company's strong cash flow supports its ability to maintain stable and growing dividends, providing reliable income to shareholders [7]