Insurance Brokers Stocks Q3 In Review: Baldwin Insurance Group (NASDAQ:BWIN) Vs Peers

Quarterly earnings results are a good time to check in on a company’s progress, especially compared to its peers in the same sector. Today we are looking at Brown & Brown and the best and worst performers in the insurance brokers industry.

The insurance brokerage industry, while influenced by insurance pricing cycles, benefits from durable secular tailwinds as rising risk complexity (climate, data privacy), regulatory scrutiny, and insurance pricing inflation. These increase demand for professional risk-management advice. Brokers operate models that rely on commissions and fees tied to premium volumes and growing contributions from recurring advisory, benefits, and compliance services. Scale is a key advantage, enabling better carrier access, stronger data and benchmarking, and efficient deployment of technology and compliance investments, which in turn supports ongoing industry consolidation. The headwinds are labor intensity and wage inflation for producers, regulatory complexity (this cuts both ways, as you can see), and execution risk when integrating new digital tools into legacy workflows.

The 5 insurance brokers stocks we track reported a mixed Q3. As a group, revenues beat analysts’ consensus estimates by 1.1%.

In light of this news, share prices of the companies have held steady. On average, they are relatively unchanged since the latest earnings results.

Best Q3: Brown & Brown

With roots dating back to 1939 and operations spanning 44 U.S. states and 14 countries, Brown & Brown is an insurance brokerage and risk management firm that markets and sells insurance products across property, casualty, and employee benefits sectors.

Brown & Brown reported revenues of $1.61 billion, up 35.4% year on year. This print exceeded analysts’ expectations by 3.9%. Overall, it was a very strong quarter for the company with a beat of analysts’ EPS and revenue estimates.

Brown & Brown pulled off the biggest analyst estimates beat and fastest revenue growth of the whole group. Investor expectations, however, were likely higher than Wall Street’s published projections, leaving some wishing for even better results (analysts’ consensus estimates are those published by big banks and advisory firms, not the investors who make buy and sell decisions). The stock is down 9.1% since reporting and currently trades at $79.75.

Read why we think that Brown & Brown is one of the best insurance brokers stocks, our full report is free.

Ryan Specialty

Founded in 2010 by insurance industry veteran Patrick Ryan, Ryan Specialty is a wholesale insurance broker and underwriting manager that helps retail brokers place complex or hard-to-place risks with insurance carriers.

Ryan Specialty reported revenues of $754.6 million, up 24.8% year on year, outperforming analysts’ expectations by 2.9%. The business had a very strong quarter with an impressive beat of analysts’ organic revenue estimates.

However, the results were likely priced into the stock as it’s traded sideways since reporting. Shares currently sit at $51.18.

Weakest Q3: Arthur J. Gallagher

Founded in 1927 and operating in approximately 130 countries through direct operations and correspondent networks, Arthur J. Gallagher provides insurance brokerage, reinsurance, consulting, and third-party claims settlement services to businesses and individuals worldwide.

Arthur J. Gallagher reported revenues of $3.37 billion, up 21.2% year on year, falling short of analysts’ expectations by 2.6%. It was a disappointing quarter as it posted a significant miss of analysts’ revenue estimates and a significant miss of analysts’ EPS estimates.

Arthur J. Gallagher delivered the weakest performance against analyst estimates in the group. As expected, the stock is down 2.4% since the results and currently trades at $255.77.

Read our full analysis of Arthur J. Gallagher’s results here.

Baldwin Insurance Group

Rebranded from BRP Group in May 2024, Baldwin Insurance Group is an independent insurance distribution company that provides tailored insurance, risk management, and employee benefits solutions to businesses and individuals.

Baldwin Insurance Group reported revenues of $365.4 million, up 7.8% year on year. This number topped analysts’ expectations by 0.9%. Aside from that, it was a mixed quarter as it also produced a narrow beat of analysts’ revenue estimates but organic revenue in line with analysts’ estimates.

Baldwin Insurance Group had the slowest revenue growth among its peers. The stock is up 10.4% since reporting and currently trades at $26.15.

Read our full, actionable report on Baldwin Insurance Group here, it’s free.

Marsh & McLennan (NYSE:MMC)

With roots dating back to 1871 and a presence in over 130 countries, Marsh & McLennan (NYSE:MMC) is a global professional services firm that helps organizations manage risk, strategy, and workforce challenges through its four specialized businesses.

Marsh & McLennan reported revenues of $6.35 billion, up 11.5% year on year. This print met analysts’ expectations. It was a satisfactory quarter as it also produced a beat of analysts’ EPS estimates.

The stock is down 2.1% since reporting and currently trades at $182.60.

Read our full, actionable report on Marsh & McLennan here, it’s free.

Check out the companies making headlines yesterday:

Baldwin Insurance Group : Insurance distribution company Baldwin Insurance Group rose by 3.6% on Wednesday after the company announced it had acquired Obie, an insurance platform for landlords and real estate investors. See our full article here.

Omnicom Group : Global advertising giant Omnicom Group rose by 3.9% on Wednesday after BNP Paribas Exane adjusted its price target on the company to $120 from $115. See our full article here.

Broadcom : Fabless chip and software maker Broadcom fell by 4.6% on Wednesday after a flurry of negative news, including reports of a Chinese directive against U.S. software, a multi-billion dollar debt offering, and significant insider stock sales, weighed on the stock. See our full article here.

Bank of America : Financial services giant Bank of America fell by 4.6% on Wednesday after the company reported fourth-quarter earnings that topped analyst expectations, but broader concerns about potential government regulation of the banking sector weighed on the stock. See our full article here.

Trupanion : Pet insurance provider Trupanion fell by 3.7% on Wednesday after Cantor Fitzgerald lowered its price target on the stock. See our full article here.

What Happened?

Shares of insurance distribution company Baldwin Insurance Group jumped 3.6% in the afternoon session after the company announced it had acquired Obie, an insurance platform for landlords and real estate investors. 

The deal for the Chicago-based business, which also operates as Creisoft Inc., was intended to expand Baldwin's offerings in the real estate investor market and strengthen its embedded insurance distribution capabilities. Jim Roche, a president at The Baldwin Group, noted that Obie had developed a platform that modernized how real estate investors get and manage their coverage. The move was seen as providing a competitive advantage in the property insurance sector. 

Adding to the positive sentiment, analysts at Wells Fargo & Company increased their price target on the stock to $27.00 from $25.00, though they maintained an equal weight rating.

The shares closed the day at $26.58, up 4.3% from previous close.

What Is The Market Telling Us

Baldwin Insurance Group’s shares are quite volatile and have had 18 moves greater than 5% over the last year. In that context, today’s move indicates the market considers this news meaningful but not something that would fundamentally change its perception of the business.

The previous big move we wrote about was 6 days ago when the stock gained 5.2% on the news that the company announced it had completed the acquisition of Capstone Group, a full-service insurance brokerage firm based in the Philadelphia area. 

Baldwin stated the move was intended to strengthen its national platform and expand its regional expertise. Capstone, founded in 2013, specialized in risk management, group health benefits, and property and casualty insurance solutions. The market's positive reaction suggested that investors viewed the acquisition as a favorable step for the company's growth prospects.

Baldwin Insurance Group is up 11.8% since the beginning of the year, but at $26.58 per share, it is still trading 42.7% below its 52-week high of $46.41 from March 2025. Investors who bought $1,000 worth of Baldwin Insurance Group’s shares 5 years ago would now be looking at an investment worth $1,003.

What Happened?

Shares of insurance distribution company Baldwin Insurance Group jumped 5.2% in the morning session after the company announced it had completed the acquisition of Capstone Group, a full-service insurance brokerage firm based in the Philadelphia area. 

Baldwin stated the move was intended to strengthen its national platform and expand its regional expertise. Capstone, founded in 2013, specialized in risk management, group health benefits, and property and casualty insurance solutions. The market's positive reaction suggested that investors viewed the acquisition as a favorable step for the company's growth prospects.

After the initial pop the shares cooled down to $26.10, up 5% from previous close.

What Is The Market Telling Us

Baldwin Insurance Group’s shares are quite volatile and have had 17 moves greater than 5% over the last year. In that context, today’s move indicates the market considers this news meaningful but not something that would fundamentally change its perception of the business.

Baldwin Insurance Group is up 9.7% since the beginning of the year, but at $26.10 per share, it is still trading 43.8% below its 52-week high of $46.41 from March 2025. Investors who bought $1,000 worth of Baldwin Insurance Group’s shares 5 years ago would now be looking at an investment worth $863.82.

As the Q3 earnings season wraps, let’s dig into this quarter’s best and worst performers in the insurance brokers industry, including Ryan Specialty and its peers.

The insurance brokerage industry, while influenced by insurance pricing cycles, benefits from durable secular tailwinds as rising risk complexity (climate, data privacy), regulatory scrutiny, and insurance pricing inflation. These increase demand for professional risk-management advice. Brokers operate models that rely on commissions and fees tied to premium volumes and growing contributions from recurring advisory, benefits, and compliance services. Scale is a key advantage, enabling better carrier access, stronger data and benchmarking, and efficient deployment of technology and compliance investments, which in turn supports ongoing industry consolidation. The headwinds are labor intensity and wage inflation for producers, regulatory complexity (this cuts both ways, as you can see), and execution risk when integrating new digital tools into legacy workflows.

The 5 insurance brokers stocks we track reported a mixed Q3. As a group, revenues beat analysts’ consensus estimates by 1.1%.

While some insurance brokers stocks have fared somewhat better than others, they have collectively declined. On average, share prices are down 1.2% since the latest earnings results.

Ryan Specialty

Founded in 2010 by insurance industry veteran Patrick Ryan, Ryan Specialty is a wholesale insurance broker and underwriting manager that helps retail brokers place complex or hard-to-place risks with insurance carriers.

Ryan Specialty reported revenues of $754.6 million, up 24.8% year on year. This print exceeded analysts’ expectations by 2.9%. Overall, it was a very strong quarter for the company with an impressive beat of analysts’ organic revenue estimates and a solid beat of analysts’ revenue estimates.

Interestingly, the stock is up 2% since reporting and currently trades at $51.72.

Read why we think that Ryan Specialty is one of the best insurance brokers stocks, our full report is free.

Best Q3: Brown & Brown

With roots dating back to 1939 and operations spanning 44 U.S. states and 14 countries, Brown & Brown is an insurance brokerage and risk management firm that markets and sells insurance products across property, casualty, and employee benefits sectors.

Brown & Brown reported revenues of $1.61 billion, up 35.4% year on year, outperforming analysts’ expectations by 3.9%. The business had a very strong quarter with a beat of analysts’ EPS and revenue estimates.

Brown & Brown delivered the biggest analyst estimates beat and fastest revenue growth among its peers. Although it had a fine quarter compared its peers, the market seems unhappy with the results as the stock is down 8.1% since reporting. It currently trades at $80.70.

Weakest Q3: Arthur J. Gallagher

Founded in 1927 and operating in approximately 130 countries through direct operations and correspondent networks, Arthur J. Gallagher provides insurance brokerage, reinsurance, consulting, and third-party claims settlement services to businesses and individuals worldwide.

Arthur J. Gallagher reported revenues of $3.37 billion, up 21.2% year on year, falling short of analysts’ expectations by 2.6%. It was a disappointing quarter as it posted a significant miss of analysts’ revenue estimates and a significant miss of analysts’ EPS estimates.

Arthur J. Gallagher delivered the weakest performance against analyst estimates in the group. As expected, the stock is down 1.3% since the results and currently trades at $258.63.

Read our full analysis of Arthur J. Gallagher’s results here.

Baldwin Insurance Group

Rebranded from BRP Group in May 2024, Baldwin Insurance Group is an independent insurance distribution company that provides tailored insurance, risk management, and employee benefits solutions to businesses and individuals.

Baldwin Insurance Group reported revenues of $365.4 million, up 7.8% year on year. This number surpassed analysts’ expectations by 0.9%. Taking a step back, it was a mixed quarter as it also logged a narrow beat of analysts’ revenue estimates but a slight miss of analysts’ organic revenue estimates.

Baldwin Insurance Group had the slowest revenue growth among its peers. The stock is up 1.6% since reporting and currently trades at $24.07.

Read our full, actionable report on Baldwin Insurance Group here, it’s free for active Edge members.

Marsh & McLennan

With roots dating back to 1871 and a presence in over 130 countries, Marsh & McLennan is a global professional services firm that helps organizations manage risk, strategy, and workforce challenges through its four specialized businesses.

Marsh & McLennan reported revenues of $6.35 billion, up 11.5% year on year. This print met analysts’ expectations. It was a satisfactory quarter as it also produced a beat of analysts’ EPS estimates.

The stock is flat since reporting and currently trades at $185.72.

Read our full, actionable report on Marsh & McLennan here, it’s free for active Edge members.

Insurance distribution company Baldwin Insurance Group reported Q3 CY2025 results beating Wall Street’s revenue expectations, with sales up 7.8% year on year to $365.4 million. Its non-GAAP profit of $0.31 per share was in line with analysts’ consensus estimates.

Baldwin Insurance Group (BWIN) Q3 CY2025 Highlights:

• Revenue: $365.4 million vs analyst estimates of $362 million (7.8% year-on-year growth, 0.9% beat)
• Adjusted EPS: $0.31 vs analyst estimates of $0.31 (in line)
• Adjusted EBITDA: $72.52 million vs analyst estimates of $71.59 million (19.8% margin, 1.3% beat)
• Operating Margin: 0.9%, down from 4.5% in the same quarter last year
• Free Cash Flow Margin: 8.8%, up from 6.6% in the same quarter last year
• Organic Revenue rose 4.5% year on year vs analyst estimates of 5.5% growth (92.1 basis point miss)
• Market Capitalization: $1.71 billion

“Our third quarter results reflect our ability to execute in a dynamic operating environment. Overall organic growth was 5% for the quarter, bringing year-to-date organic growth to 9%,” said Trevor Baldwin, Chief Executive Officer of The Baldwin Group.

Company Overview

Rebranded from BRP Group in May 2024, Baldwin Insurance Group is an independent insurance distribution company that provides tailored insurance, risk management, and employee benefits solutions to businesses and individuals.

Revenue Growth

Reviewing a company’s long-term sales performance reveals insights into its quality. Any business can experience short-term success, but top-performing ones enjoy sustained growth for years.

With $1.49 billion in revenue over the past 12 months, Baldwin Insurance Group is a mid-sized business services company, which sometimes brings disadvantages compared to larger competitors benefiting from better economies of scale. On the bright side, it can still flex high growth rates because it’s working from a smaller revenue base.

As you can see below, Baldwin Insurance Group’s 48.2% annualized revenue growth over the last five years was incredible. This is a great starting point for our analysis because it shows Baldwin Insurance Group’s demand was higher than many business services companies.

We at StockStory place the most emphasis on long-term growth, but within business services, a half-decade historical view may miss recent innovations or disruptive industry trends. Baldwin Insurance Group’s annualized revenue growth of 12.3% over the last two years is below its five-year trend, but we still think the results suggest healthy demand.

We can dig further into the company’s sales dynamics by analyzing its organic revenue, which strips out one-time events like acquisitions and currency fluctuations that don’t accurately reflect its fundamentals. Over the last two years, Baldwin Insurance Group’s organic revenue averaged 13.5% year-on-year growth. Because this number aligns with its two-year revenue growth, we can see the company’s core operations (not acquisitions and divestitures) drove most of its results.

This quarter, Baldwin Insurance Group reported year-on-year revenue growth of 7.8%, and its $365.4 million of revenue exceeded Wall Street’s estimates by 0.9%.

Looking ahead, sell-side analysts expect revenue to grow 17.2% over the next 12 months, an improvement versus the last two years. This projection is eye-popping and suggests its newer products and services will fuel better top-line performance.

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Adjusted Operating Margin

Baldwin Insurance Group was roughly breakeven when averaging the last five years of quarterly operating profits, inadequate for a business services business.

On the plus side, Baldwin Insurance Group’s adjusted operating margin rose by 7.1 percentage points over the last five years, as its sales growth gave it immense operating leverage.

In Q3, Baldwin Insurance Group’s breakeven margin was down 3.7 percentage points year on year. This contraction shows it was less efficient because its expenses grew faster than its revenue.

Earnings Per Share

Revenue trends explain a company’s historical growth, but the long-term change in earnings per share (EPS) points to the profitability of that growth – for example, a company could inflate its sales through excessive spending on advertising and promotions.

Baldwin Insurance Group’s EPS grew at an astounding 29.1% compounded annual growth rate over the last five years. Despite its adjusted operating margin improvement during that time, this performance was lower than its 48.2% annualized revenue growth, telling us that non-fundamental factors such as interest and taxes affected its ultimate earnings.

Diving into Baldwin Insurance Group’s quality of earnings can give us a better understanding of its performance. A five-year view shows Baldwin Insurance Group has diluted its shareholders, growing its share count by 107%. This dilution overshadowed its increased operational efficiency and has led to lower per share earnings. Taxes and interest expenses can also affect EPS but don’t tell us as much about a company’s fundamentals.

Like with revenue, we analyze EPS over a shorter period to see if we are missing a change in the business.

For Baldwin Insurance Group, its two-year annual EPS growth of 22.5% was lower than its five-year trend. We still think its growth was good and hope it can accelerate in the future.

In Q3, Baldwin Insurance Group reported adjusted EPS of $0.31, down from $0.33 in the same quarter last year. This print was close to analysts’ estimates. Over the next 12 months, Wall Street expects Baldwin Insurance Group’s full-year EPS of $1.65 to grow 16.6%.

Key Takeaways from Baldwin Insurance Group’s Q3 Results

It was good to see Baldwin Insurance Group narrowly top analysts’ revenue expectations this quarter. On the other hand, its organic revenue slightly missed and its EPS was in line with Wall Street’s estimates. Overall, this was a softer quarter. The stock remained flat at $23.73 immediately after reporting.

Is Baldwin Insurance Group an attractive investment opportunity at the current price? We think that the latest quarter is only one piece of the longer-term business quality puzzle. Quality, when combined with valuation, can help determine if the stock is a buy. We cover that in our actionable full research report which you can read here, it’s free for active Edge members.