Key Points
- Insider sale: Chief Accounting Officer Richard Cary sold 1,000 AJG shares for approximately $252,860, reducing his position by 2.09% while retaining 46,819 shares.
- Financial performance: Gallagher reported quarterly EPS of $2.84, exceeding estimates of $2.81, while revenue rose 24.3% year over year to $3.95 billion, slightly below expectations.
- Market outlook: Analysts maintain a “Moderate Buy” consensus with an average price target of $289.83, and the company declared a quarterly dividend of $0.70 per share, representing a 1.2% yield.
Arthur J. Gallagher & Co. (NYSE:AJG - Get Free Report) CAO Richard Cary sold 1,000 shares of the business's stock in a transaction dated Tuesday, September 15th. The shares were sold at an average price of $252.86, for a total value of $252,860.00. Following the completion of the transaction, the chief accounting officer owned 46,819 shares in the company, valued at $11,838,652.34. This trade represents a 2.09% decrease in their position. The sale was disclosed in a filing with the Securities & Exchange Commission, which is accessible through this link.
Arthur J. Gallagher & Co. Stock Down 0.9%
AJG opened at $241.64 on Friday. The company has a market capitalization of $61.93 billion, a PE ratio of 40.07, a price-to-earnings-growth ratio of 1.48 and a beta of 0.50. The company has a debt-to-equity ratio of 0.50, a current ratio of 1.05 and a quick ratio of 1.05. Arthur J. Gallagher & Co. has a fifty-two week low of $190.75 and a fifty-two week high of $313.55. The business has a 50-day moving average of $254.45 and a 200-day moving average of $229.66.
Arthur J. Gallagher & Co. (NYSE:AJG - Get Free Report) last announced its quarterly earnings results on Thursday, July 30th. The financial services provider reported $2.84 EPS for the quarter, beating the consensus estimate of $2.81 by $0.03. The business had revenue of $3.95 billion during the quarter, compared to analysts' expectations of $4.01 billion. Arthur J. Gallagher & Co. had a return on equity of 13.28% and a net margin of 9.96%.The firm's quarterly revenue was up 24.3% compared to the same quarter last year. During the same quarter in the previous year, the business posted $2.33 EPS. Equities research analysts forecast that Arthur J. Gallagher & Co. will post 13.28 EPS for the current fiscal year.
Arthur J. Gallagher & Co. Announces Dividend
The firm also recently declared a quarterly dividend, which will be paid on Friday, September 18th. Stockholders of record on Tuesday, September 8th will be paid a dividend of $0.70 per share. The ex-dividend date is Tuesday, September 8th. This represents a $2.80 annualized dividend and a dividend yield of 1.2%. Arthur J. Gallagher & Co.'s dividend payout ratio is 46.43%.
Institutional Inflows and Outflows
Several institutional investors have recently bought and sold shares of the stock. Norges Bank acquired a new stake in Arthur J. Gallagher & Co. during the 4th quarter worth approximately $1,925,062,000. T. Rowe Price Investment Management Inc. lifted its position in Arthur J. Gallagher & Co. by 123.5% in the 4th quarter. T. Rowe Price Investment Management Inc. now owns 5,887,538 shares of the financial services provider's stock valued at $1,523,636,000 after acquiring an additional 3,253,498 shares in the last quarter. Gtcr LLC acquired a new stake in shares of Arthur J. Gallagher & Co. in the 1st quarter valued at about $514,112,000. Bank of New York Mellon Corp acquired a new position in shares of Arthur J. Gallagher & Co. during the second quarter worth about $289,484,000. Finally, Capital World Investors lifted its stake in Arthur J. Gallagher & Co. by 7.0% in the 4th quarter. Capital World Investors now owns 12,613,371 shares of the financial services provider's stock valued at $3,264,359,000 after acquiring an additional 830,252 shares in the last quarter. Institutional investors own 85.53% of the company's stock.
Wall Street Analysts Forecast Growth
Several equities analysts have commented on AJG shares. Weiss Ratings raised shares of Arthur J. Gallagher & Co. from a "hold (c-)" rating to a "hold (c)" rating in a research report on Monday, July 13th. Barclays lifted their target price on Arthur J. Gallagher & Co. from $275.00 to $292.00 and gave the stock an "overweight" rating in a research report on Tuesday, July 7th. Cantor Fitzgerald boosted their price target on Arthur J. Gallagher & Co. from $285.00 to $300.00 and gave the company a "neutral" rating in a research note on Thursday, July 9th. Wolfe Research downgraded Arthur J. Gallagher & Co. from an "outperform" rating to a "peer perform" rating in a research report on Thursday, July 9th. Finally, Wells Fargo & Company decreased their price objective on Arthur J. Gallagher & Co. from $299.00 to $296.00 and set an "overweight" rating on the stock in a report on Monday, August 3rd. Fourteen investment analysts have rated the stock with a Buy rating and five have assigned a Hold rating to the company's stock. Based on data from MarketBeat, the company has an average rating of "Moderate Buy" and a consensus target price of $289.83.
View Our Latest Stock Analysis on Arthur J. Gallagher & Co.
About Arthur J. Gallagher & Co.
(
Get Free Report)
Arthur J. Gallagher & Co is a global insurance brokerage, risk management and consulting company. The company helps businesses, institutions and individuals identify, manage and transfer risk through insurance and related services.
Its operations include retail insurance brokerage, employee benefits consulting, risk management, claims administration, actuarial services, captive insurance and wholesale brokerage. Gallagher arranges commercial property and casualty coverage, personal insurance, specialty insurance and employee benefit programs, while also providing services designed to help clients manage workplace, liability and other operational risks.
Founded in 1927 by Arthur J.
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