Gallagher Earnings: Solid Growth and Margin Improvement
We think Gallagher's second-quarter results were solid overall, with organic growth ticking up slightly and strong underlying margin improvement.
Arthur J. Gallagher & Co AJG
Bulls Say, Bears Say
Bulls
The stability of its brokerage operations makes Gallagher a relatively steady producer of free cash flow.
Bears
Gallagher's established position in a relatively mature market lowers its long-term organic growth prospects.
News
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Rising Healthcare Costs Push Employers Toward Greater Benefits Oversight
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Arthur J. Gallagher & Co. Acquires Apollo Insurance Solutions Ltd.
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Arthur J. Gallagher & Co. Announces Second Quarter 2026 Financial Results
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Arthur J. Gallagher & Co. Announces Regular Third Quarter Dividend
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Arthur J. Gallagher & Co. Announces Passing of Director David Johnson
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Arthur J. Gallagher & Co. Acquires W.N. Tuscano Agency, Inc.
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Arthur J. Gallagher & Co. Acquires Med James, Inc.
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Arthur J. Gallagher & Co. Announces Second Quarter 2026 Earnings Release And Conference Call Date
Trading Information
- Previous Close Price
- $253.49
- Day Range
- $248.89–251.84
- 52-Week Range
- $190.76–313.44
- Bid/Ask
- $250.42 / $252.00
- Shares Outstanding
- 256.34M
- Market Cap
- $64.40B
- Volume/Avg
- 117 / 2M
Key Statistics
- Price/Earnings (Normalized)
- 20.92
- Price/Sales
- 4.14
- Dividend Yield (Trailing)
- 1.07%
- Dividend Yield (Forward)
- 1.11%
- Total Yield
- 1.49%
Company Profile
Founded in 1927 as a one-person agency, Gallagher’s primary business is insurance brokerage, with a focus on serving middle-market companies. The company’s risk management segment provides third-party claims adjustment to companies that choose to self-insure. Gallagher has about 72,000 employees and generates about a third of its revenue internationally, primarily in Australia, Canada, New Zealand, and the UK.
- Sector
- Financial Services
- Industry
- Insurance Brokers
- Stock Style Box
- Mid Core
- Total Number of Employees
- 72,000
- Website
- https://www.ajg.com
Competitors
Valuation
|
Metric
|
AJG
|
MRSH
|
|---|---|---|
Price/Earnings (Normalized) | 20.92 | 18.38 |
Price/Book Value | 2.72 | 5.91 |
Price/Sales | 4.14 | 3.28 |
Price/Cash Flow | 20.72 | 16.21 |
Price/Earnings
AJG
MRSH
Financial Strength
|
Metric
|
AJG
|
MRSH
|
|---|---|---|
Quick Ratio | 0.17 | 0.50 |
Current Ratio | 1.05 | 1.14 |
Interest Coverage | 4.06 | 6.52 |
Quick Ratio
AJG
MRSH
Profitability
|
Metric
|
AJG
|
MRSH
|
|---|---|---|
Return on Assets (Normalized) | 4.00% | 7.48% |
Return on Equity (Normalized) | 13.34% | 29.04% |
Return on Invested Capital (Normalized) | 9.82% | 13.69% |
Return on Assets
AJG
MRSH
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United States