Arthur J. Gallagher (AJG)
Financials · $58.2B market cap · SEC CIK 0000354190
fundamentals score out of 100
Next reports on Oct 22, 2026, after the close, with analysts expecting $3.11 in earnings per share.
The case for AJG
- Revenue up 26.3% on the year.
- Has compounded revenue at 14.8% a year over five years.
- Moves less than the market (beta 0.50).
The case against
- Pricey at 37.1× earnings, against a long-run market average nearer 20×.
- Down 21.0% over the past year.
- Return on equity of only 7%.
- Earnings per share fell 8.8%.
What the score is made of
Each factor is half a curve over reported figures and half a rank among the other Financials companies (momentum is judged against fixed thresholds only), and the five are blended by weight. It describes the last filing and the current price. It is not a forecast.
| Valuewhat you pay for the earnings, sales, assets and cash | 34 |
|---|---|
| Growthhow fast revenue and earnings are moving, this year and over five | 63 |
| Profitabilityhow much of the revenue becomes profit, and how much of that is cash | 33 |
| Momentumhow the price has behaved lately | 42 |
| Stabilityhow violently it moves, what it owes and what it pays you | 57 |
- Its debt and cash flow are not scored, as for every company in the Financials sector: for banks, insurers and brokers, borrowing is the business.
- Each factor except momentum is half fixed thresholds, half rank among the 74 Financials companies.
Key numbers
| Price / earnings | 37.1× |
|---|---|
| Price / book | 2.51× |
| Price / sales | 3.7× |
| Revenue growth (YoY) | +26.3% |
| EPS growth (YoY) | -8.8% |
| Gross margin | 46% |
| Operating margin | 17% |
| Net margin | 10% |
| Return on equity | 7% |
| Debt / equity | 0.57× |
| Current ratio | 1.05 |
| Dividend yield | 0.87% |
| Beta | 0.50 |
| 52-week range | $190.75 – $313.55 |
| Position in that range | 32% of the way up |
| 3-month return | +10.5% |
| 1-year return | -21.0% |
Five years of financials, as filed
Pulled from Arthur J. Gallagher's XBRL filings on SEC EDGAR. Italic rows are derived from the rows above.
| FY2025 | FY2024 | FY2023 | FY2022 | FY2021 | |
|---|---|---|---|---|---|
| Revenue | $13.9B | $11.6B | $10.1B | $8.6B | $8.2B |
| Net income | $1.5B | $1.5B | $970M | $1.1B | $907M |
| Operating cash flow | $1.9B | $2.6B | $2.0B | $1.4B | $1.4B |
| Total assets | $70.7B | $64.3B | $51.6B | $38.4B | $33.2B |
| Total liabilities | $47.3B | $44.1B | $40.8B | $29.2B | $24.8B |
| Shareholder equity | $23.3B | $20.2B | $10.8B | $9.1B | $8.5B |
| Cash | $1.4B | $15.0B | $971M | $738M | $403M |
| Long-term debt | $12.1B | $12.7B | $7.0B | $5.6B | $5.8B |
| Net margin | 10.7% | 12.7% | 9.6% | 13.0% | 11.0% |
| Diluted shares | 256M | 221M | 215M | 210M | 203M |
Share count is up 26.3% over 4 years. Your slice has been diluted.
What Arthur J. Gallagher says it does
Overview Arthur J. Gallagher & Co. and its subsidiaries, collectively referred to herein as we, our, us or Gallagher, are engaged in providing insurance brokerage, reinsurance brokerage, consulting, and third-party property/casualty claims settlement and administration services to entities and individuals around the world. We believe that our major strength is our ability to deliver comprehensively structured insurance, reinsurance and risk management solutions, superior claim outcomes and comprehensive consulting services to our clients. Our brokerage segment operations provide brokerage and consulting services to entities of all types, including commercial, nonprofit, public sector entities, insurance companies and insurance capital providers, and to a lesser extent, individuals, in the areas of insurance and reinsurance placements, risk of loss management, and management of employer sponsored benefit programs. Our risk management…
Risk factors AJG lists in its 10-K
- Risks Relating to our Business Generally
- Regulatory, Legal and Accounting Risks
- Risks Relating to our Investments, Debt and Common Stock
- Global economic conditions and geopolitical events may impact the countries, regions or industries in which we operate and adversely affect our business results of operations and financial condition
- Economic conditions that result in financial difficulties for underwriting enterprises or lead to reduced risk-taking capital capacity could adversely affect our results of operations and financial condition
- Damage to our reputation or culture could have a material adverse effect on our business
- Our sustainability-related aspirations, goals and initiatives, and our statements and disclosures regarding sustainability expose us to numerous risks
- We are subject to risks associated with AI
- Our success depends, in part, on our ability to attract and retain qualified talent, including our senior management team
- Business disruptions could have a material adverse effect on our operations, damage our reputation and impact client relationships
- Our business or reputation could be harmed by our reliance on third-party providers
- Sustained increases in compensation expense and the cost of employee benefits could reduce our profitability
- Our substantial operations outside the U.S. expose us to risks different than those we face in the U.S
- Changes in tax laws could adversely affect us