BROADRIDGE FINANCIAL SOLUTIONS $30.69 - New York symbol BR

BROADRIDGE FINANCIAL SOLUTIONS $30.69 (New York symbol BR; TSINetwork Rating: Extra Risk) (201-714-3000; www.broadridge.com; Shares outstanding: 121.2 million; Market cap: $3.7 billion; Dividend yield: 2.7%) serves the investment industry in three main areas: investor communications, securities processing and transaction clearing. The company processes 85% of all proxy votes in the U.S.

In its fiscal 2013 fourth quarter, which ended June 30, 2013, Broadridge’s earnings jumped 61.4%, to $134.6 million from $83.4 million a year earlier. Pershare earnings rose 67.2%, to $1.12 from $0.67, on fewer shares outstanding.

If you disregard unusual items, such as writedowns and costs to integrate recent acquisitions, Broadridge’s per-share earnings would have risen 12.7%, to $1.15 from $1.02. On that basis, the company’s latest earnings beat the consensus estimate of $1.09 a share.

Revenue rose 8.1%, to $865.1 million from $800.3 million. Broadridge continues to do a good job of attracting new clients. It also held on to 99% of its existing customers.

Excluding unusual items, Broadridge expects to earn between $2.00 and $2.10 a share in fiscal 2014. The stock trades at a reasonable 15.0 times the midpoint of this range.

The company has just raised its quarterly dividend by 16.7%, to $0.21 from $0.18. The new annual rate of $0.84 a share yields 2.7%.

Broadridge is a buy.

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