Bright outlook spurs dividend hike

Article Excerpt

BROADRIDGE FINANCIAL SOLUTIONS INC. $181 is a buy. The company (New York symbol BR; Aggressive Growth Portfolio, Finance sector; Shares o/s: 116.2 million; Market cap: $21.0 billion; Price-to-sales ratio: 4.3; Divd. yield: 1.4%; TSINetwork Rating: Average; www.broadridge.com) serves the investment industry in three main areas: investor communications, securities processing and transaction clearing. Broadridge stands to gain from the growing push of the financial services industry to improve efficiency and lower its costs. New regulations in the U.S. (Regulation Best Interest) and Europe (Shareholder Rights Directive) also brighten its outlook. As a result, the company raised its quarterly dividend by 11.3% with the October 2021 payment. The new annual rate of $2.56 a share yields 1.4%. Broadridge is a buy. buy…