Arthur J. Gallagher & Co. (NYSE:AJG) Given New $300.00 Price Target at Mizuho

Arthur J. Gallagher & Co. (NYSE:AJG) had its price target hoisted by analysts at Mizuho from $287.00 to $300.00 in a research report issued to clients and investors on Friday,Benzinga reports. The firm presently has an “outperform” rating on the financial services provider’s stock. Mizuho’s price objective would indicate a potential upside of 19.58% from the stock’s previous close.

AJG has been the topic of a number of other reports. Barclays raised their target price on Arthur J. Gallagher & Co. from $275.00 to $292.00 and gave the stock an “overweight” rating in a 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 report on Thursday, July 9th. Weiss Ratings raised Arthur J. Gallagher & Co. from a “hold (c-)” rating to a “hold (c)” rating in a research note on Monday, July 13th. Truist Financial lifted their price objective on Arthur J. Gallagher & Co. from $225.00 to $265.00 and gave the company a “hold” rating in a research report on Friday. Finally, UBS Group boosted their price objective on Arthur J. Gallagher & Co. from $250.00 to $291.00 and gave the company a “buy” rating in a research note on Wednesday, July 8th. Thirteen analysts have rated the stock with a Buy rating and five have given a Hold rating to the stock. According to MarketBeat, the stock has an average rating of “Moderate Buy” and an average target price of $284.71.

Arthur J. Gallagher & Co. Stock Performance

AJG stock traded down $5.58 during midday trading on Friday, reaching $250.88. 645,557 shares of the company’s stock traded hands, compared to its average volume of 2,065,588. Arthur J. Gallagher & Co. has a 52-week low of $190.75 and a 52-week high of $313.55. The stock has a market cap of $64.45 billion, a P/E ratio of 40.57, a PEG ratio of 1.39 and a beta of 0.50. The company has a current ratio of 1.06, a quick ratio of 1.06 and a debt-to-equity ratio of 0.51. The stock’s 50-day moving average is $230.78 and its 200 day moving average is $224.91.

Arthur J. Gallagher & Co. (NYSE:AJG) last issued its quarterly earnings results on Thursday, July 30th. The financial services provider reported $2.84 earnings per share for the quarter, topping the consensus estimate of $2.81 by $0.03. Arthur J. Gallagher & Co. had a net margin of 10.76% and a return on equity of 12.83%. The business had revenue of $3.95 billion for the quarter, compared to analysts’ expectations of $4.01 billion. During the same quarter last year, the company posted $2.33 EPS. The company’s revenue was up 24.3% compared to the same quarter last year. As a group, analysts anticipate that Arthur J. Gallagher & Co. will post 13.22 EPS for the current year.

Insider Transactions at Arthur J. Gallagher & Co.

In related news, CAO Richard C. Cary sold 3,000 shares of the business’s stock in a transaction that occurred on Tuesday, June 2nd. The stock was sold at an average price of $206.00, for a total value of $618,000.00. Following the transaction, the chief accounting officer directly owned 47,819 shares of the company’s stock, valued at approximately $9,850,714. The trade was a 5.90% decrease in their position. The transaction was disclosed in a document filed with the Securities & Exchange Commission, which is accessible through this link. Company insiders own 1.40% of the company’s stock.

Institutional Investors Weigh In On Arthur J. Gallagher & Co.

Institutional investors have recently added to or reduced their stakes in the stock. Kemnay Advisory Services Inc. bought a new stake in shares of Arthur J. Gallagher & Co. during the fourth quarter valued at approximately $26,000. Axiom Investment Management LLC bought a new position in shares of Arthur J. Gallagher & Co. during the first quarter worth $28,000. Cassaday & Co Wealth Management LLC purchased a new position in Arthur J. Gallagher & Co. during the first quarter valued at $29,000. MV Capital Management Inc. bought a new stake in Arthur J. Gallagher & Co. in the 4th quarter valued at $34,000. Finally, Rakuten Securities Inc. lifted its stake in Arthur J. Gallagher & Co. by 650.0% in the 2nd quarter. Rakuten Securities Inc. now owns 105 shares of the financial services provider’s stock worth $34,000 after purchasing an additional 91 shares in the last quarter. 85.53% of the stock is owned by hedge funds and other institutional investors.

Arthur J. Gallagher & Co. News Summary

Here are the key news stories impacting Arthur J. Gallagher & Co. this week:

• Positive Sentiment: Adjusted earnings of $2.84 per share matched or slightly exceeded consensus expectations, while revenue rose approximately 24% year over year to about $3.95 billion. Combined Brokerage and Risk Management revenue also increased 24%, supported by 6% organic growth and acquisitions. AJG Q2 Earnings Meet Estimates, Revenues Miss on Higher Expenses
• Positive Sentiment: Analysts raised their price targets after the report. Truist lifted its target to $265 from $225 while maintaining a Hold rating, and Keefe, Bruyette & Woods raised its target to $271 from $261 with a Market Perform rating. The revisions indicate improved earnings expectations, although neither firm currently recommends buying the shares. Arthur J. Gallagher Analysts Boost Their Forecasts After Q2 Earnings
• Neutral Sentiment: Gallagher repurchased roughly 900,000 shares for approximately $170 million during the quarter and declared a regular quarterly dividend of $0.70 per share, offering ongoing shareholder returns but limited near-term support for the stock.
• Negative Sentiment: Revenue came in below the roughly $4.01 billion analyst estimate, with higher expenses and lower interest income weighing on results. Reported net income declined to $324 million from $368 million a year earlier, while diluted GAAP EPS fell to $1.25 from $1.40, despite the stronger adjusted EPS figure. Arthur J. Gallagher Q2 Revenue Rises to $3.96 Billion
• Negative Sentiment: Investors had already been concerned that acquisitions were masking slower underlying growth across the insurance-brokerage sector. Gallagher’s 6% organic growth was solid, but the revenue miss and expense pressure appear to have overshadowed the headline growth and earnings performance.

About Arthur J. Gallagher & Co.

Arthur J. Gallagher & Co is a global insurance brokerage and risk management firm headquartered in Rolling Meadows, Illinois. Founded in 1927 by Arthur J. Gallagher, the company has grown from a regional broker into an international professional services organization that arranges insurance, provides consulting and designs risk-transfer solutions for commercial, industrial, public sector and individual clients.

The company’s core activities include property and casualty insurance brokerage, employee benefits consulting and administration, and a range of risk management services.