BR US S&P 500Russell 1000 Earnings call · transcribed from the recording
Broadridge Financial Solutions (BR) · Q3 2026 results and valuation
Share price: $192.85 · 2026-11-11
Results Q3 2026 vs Q2 2026 · previous quarter · fiscal Q1 2027 · published 3 Nov 2026 and 4 Aug 2026
Net income down 76.2% on the previous quarter. Management sounded very upbeat, though noticeably less so answering analysts.
Only a basic analysis is available for this company at the moment.
1 · Numbers
−76.2%
Net income vs Q2 2026
Outlook given
Net income 94.8M vs 398.1M
Revenue −24.8%
Against the same quarter last year (Q3 2025) it is −42.7%, so it is not just seasonal.
2 · How management spoke
Very upbeat
More upbeat than 90% of company calls
Answers to analysts: typical, but clearly less so than the script.
Last call it was different: script and answers matched.
3 · What stood out
Key theme
For the year, Broadridge Financial Solutions expects ICS recurring revenue to be within its 6% to 8% total recurring revenue growth guidance.
Valuation
Is Broadridge Financial Solutions undervalued?
Reverse DCF. Free cash flow from the last full fiscal year (2026-06-30), grown for 10 years, discounted back, plus a terminal value. “Implied growth” is the rate the current price assumes.
At 7.2% growth a year (3-year revenue growth), the model's fair value is $188.23 a share — the stock trades 2% above it. Today's price assumes 7.5% growth a year.
Current price
$192.85
close of 2026-11-11
Market implies growth of iThe yearly free-cash-flow growth, for the next 10 years, that today’s share price already assumes. If you believe the company grows faster than this, the stock is cheap under this model; slower, and it is expensive.
+7.5% for 10 yrs
Fair value / share
$188.23
Buy below
$141.17
Price vs fair value
Overvalued 2%
Price vs buy-below price
Overvalued 37%
Read between the lines
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Guidance
Adjusted operating income margin rose slightly to 20.5%, overcoming a 40 basis point headwind from lower interest rates and higher postage.
Source quote
“Adjusted operating income margin rose slightly to 20.5%, overcoming a 40 basis point headwind from lower interest rates and higher postage. Fiscal '26 recurring revenues grew 8% on a constant currency basis to $4.9 billion, driven by organic growth of 6%. Adjusted EPS grew 12% to $9.60 and closed sales were $305 million.”
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Guidance
Its pipeline remains strong and Broadridge Financial Solutions is reaffirming its guidance for full year closed sales of $290 to $330 million.
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Figure
Total revenue increased 5% to $1.7 billion, driven by 7 points of growth from recurring revenue.
Tone
How upbeat the language was, compared with other companiesiTone counts positive minus negative finance words, adjusted for length. Executives mostly speak positively, so the labels compare each call with every company's latest call: “typical” is the middle third, “very upbeat” the top tenth, “cautious” the bottom tenth.. Dot: Q3 2026. Ring: Q2 2026.
Management sounded noticeably less positive answering analysts than in its prepared script — a bigger drop than in 93% of calls. Scripts are polished in advance; a drop under questioning often marks the topics analysts pressed on, so the answers deserve a closer read than the script.
Sentences that drove the tone
“As a result, our Wealth in Focus platform continues to gain momentum as clients look forward to what they will need to successfully implement the new rules and deliver tailored...”
“Customer communications revenues rose 3%, with strong growth in digital solutions offset by lower growth in print.”
“For the year, we continue to expect GTO recurring revenue growth at the higher end of our 6% to 8% guidance range, led by growth in capital markets with slower...”
Full figures
USD · SEC EDGAR XBRL (10-Q, period end 2026-09-30)
| Metric | Q3 2026period end 2026-09-30 | Q2 2026period end 2026-06-30 | Change | Q3 2025 | YoY |
|---|---|---|---|---|---|
| Revenue | 1.67B | 2.22B | −24.8% | 1.59B | +5.0% |
| Gross profit | 428.4M | 853.0M | −49.8% | 422.6M | +1.4% |
| Operating income | 173.5M | 546.3M | −68.2% | 188.8M | −8.1% |
| Net income | 94.8M | 398.1M | −76.2% | 165.4M | −42.7% |
| EPS | 0.83 | 3.42 | −75.7% | 1.40 | −40.7% |
| P/E today 21.1 | 17.8 | 14.3 | +3.5 | 30.5 | −12.7 |
Topics
Most discussed now
- What Broadridge Financial Solutions is doing is building a horizontal governance layer across all those models and networks to simplify…
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- Enabling us to deliver strong bottom line results and fund strategic growth initiatives.
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Faded since Q2 2026
- Fading Broadridge generated $1.2 billion in free cash flow, equal to 110% of Broadridge Financial Solutions' adjusted earnings.
- Fading Broadridge Financial Solutions delivered on its 3-year recurring revenue and adjusted EPS objectives for the fifth consecutive cycle.
- Fading Broadridge Financial Solutions thinks that is a really nice growth vector.
- Fading Rounding out capital items with digital assets, as of June 30, Broadridge Financial Solutions holds...
Latest announcements
Official filings, newest first.
- Results of operations · SEC 8-K
- Other events · SEC 8-K
- Results of operations; Other events · SEC 8-K
- Director or officer change · SEC 8-K
- Other events · SEC 8-K
- Material agreement; New financial obligation; Other events · SEC 8-K
- Material agreement; Other events · SEC 8-K
- Regulation FD disclosure · SEC 8-K