Baldwin Insurance Q3 revenue misses estimates

Overview

• US insurance distributor's preliminary Q3 revenue rose 31% but missed analyst expectations

• Preliminary adjusted EBITDA grew 47% but slightly missed analyst consensus

• Company entered definitive merger agreement for take-private deal expected to close Q1 2027

Outlook

• Company did not provide specific financial guidance for future quarters or the full year

Result Drivers

• ACQUISITIONS - Co said total revenue growth was driven by commissions and fees from newly acquired partners

• ORGANIC GROWTH - Co reported 6% organic revenue growth year-over-year

• INTEGRATION EXPENSES - Transaction-related partnership and integration expenses contributed to net loss in Q3

Company press release: ID:nBwcglnLsa

Key Details

*Applies to a deviation of less than 1%; not applicable for per-share numbers.

Analyst Coverage

• The current average analyst rating on the shares is "hold" and the breakdown of recommendations is no "strong buy" or "buy", 8 "hold" and 1 "sell" or "strong sell"

• The average consensus recommendation for the multiline insurance & brokers peer group is "buy."

• Wall Street's median 12-month price target for The Baldwin Insurance Group, Inc. is $32.50, about 1.6% above its October 26 closing price of $31.99

• The stock recently traded at 13 times the next 12-month earnings vs. a P/E of 12 three months ago

Reuters Recommended Reads

• Oct 26 - Insurance brokerage Brown & Brown's Q3 revenue misses estimates

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(This story was created using Reuters automation and AI based on LSEG and company data. It was checked and edited by a Reuters journalist prior to publication.)