Insider Selling: Arthur J. Gallagher & Co. (NYSE:AJG) VP Sells 7,590 Shares of Company Stock

Arthur J. Gallagher & Co. (NYSE:AJG) VP Christopher Mead sold 7,590 shares of the company’s stock in a transaction on Monday, November 2nd. The shares were sold at an average price of $279.72, for a total value of $2,123,074.80. Following the completion of the sale, the vice president directly owned 22,287 shares in the company, valued at $6,234,119.64. This trade represents a 25.40% decrease in their position. The transaction was disclosed in a legal filing with the SEC, which is available through this hyperlink.

Arthur J. Gallagher & Co. Price Performance

NYSE AJG traded up $15.30 during trading hours on Wednesday, reaching $288.75. The company’s stock had a trading volume of 2,234,202 shares, compared to its average volume of 1,892,214. Arthur J. Gallagher & Co. has a fifty-two week low of $190.75 and a fifty-two week high of $289.93. The stock has a market cap of $74.01 billion, a PE ratio of 44.15, a PEG ratio of 1.60 and a beta of 0.47. The company has a debt-to-equity ratio of 0.49, a quick ratio of 1.05 and a current ratio of 1.05. The company’s 50-day moving average is $248.75 and its two-hundred day moving average is $232.74.

Arthur J. Gallagher & Co. (NYSE:AJG) last released its quarterly earnings results on Thursday, October 29th. The financial services provider reported $3.00 EPS for the quarter, beating the consensus estimate of $2.99 by $0.01. The business had revenue of $3.92 billion for the quarter, compared to analyst estimates of $3.98 billion. Arthur J. Gallagher & Co. had a net margin of 10.39% and a return on equity of 13.90%. The company’s quarterly revenue was up 19.6% on a year-over-year basis. During the same period in the prior year, the business earned $2.32 earnings per share. Analysts forecast that Arthur J. Gallagher & Co. will post 13.14 EPS for the current year.

Arthur J. Gallagher & Co. Dividend Announcement

The company also recently declared a quarterly dividend, which will be paid on Friday, December 18th. Stockholders of record on Monday, December 7th will be issued a dividend of $0.70 per share. The ex-dividend date is Monday, December 7th. This represents a $2.80 dividend on an annualized basis and a dividend yield of 1.0%. Arthur J. Gallagher & Co.’s payout ratio is 42.81%.

Key Headlines Impacting Arthur J. Gallagher & Co.

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

• Positive Sentiment: Jefferies raised its price target to $319 and maintained a Buy rating, while UBS lifted its target to $320 and also kept a Buy rating. Wells Fargo likewise issued a Buy rating. These calls suggest some analysts see further upside. Jefferies rating and price target UBS rating and price target Wells Fargo Buy rating
• Positive Sentiment: Gallagher named Tom Doyle CEO of its Benefits & HR Consulting division. The appointment provides leadership for a business unit, though the announcement does not indicate an immediate change to financial guidance. Benefits and HR leadership announcement
• Positive Sentiment: A summary of the Q3 earnings call highlighted strong growth, offering a supportive business outlook alongside the company’s reported year-over-year revenue growth. Q3 earnings-call highlights
• Negative Sentiment: Citigroup downgraded AJG to Neutral, with a $300 target, saying the risk-reward profile is more balanced. BMO also cut its rating from Outperform to Market Perform, citing profit-taking; its $295 target implies limited upside from recent levels. These downgrades may weigh on sentiment after the stock’s substantial advance. Citigroup downgrade BMO downgrade

Hedge Funds Weigh In On Arthur J. Gallagher & Co.

Several hedge funds and other institutional investors have recently bought and sold shares of AJG. AlphaCore Capital LLC lifted its holdings in Arthur J. Gallagher & Co. by 83.7% in the 3rd quarter. AlphaCore Capital LLC now owns 3,779 shares of the financial services provider’s stock worth $862,000 after buying an additional 1,722 shares in the last quarter. Running Oak Capital LLC boosted its position in Arthur J. Gallagher & Co. by 2.6% in the 3rd quarter. Running Oak Capital LLC now owns 51,111 shares of the financial services provider’s stock valued at $11,659,000 after buying an additional 1,315 shares during the last quarter. Retirement Systems of Alabama grew its stake in shares of Arthur J. Gallagher & Co. by 27.2% during the third quarter. Retirement Systems of Alabama now owns 254,812 shares of the financial services provider’s stock valued at $59,327,000 after acquiring an additional 54,454 shares in the last quarter. Fulcrum Asset Management LLP grew its stake in shares of Arthur J. Gallagher & Co. by 11.0% during the third quarter. Fulcrum Asset Management LLP now owns 27,281 shares of the financial services provider’s stock valued at $6,384,000 after acquiring an additional 2,698 shares in the last quarter. Finally, Allspring Global Investments Holdings LLC increased its position in shares of Arthur J. Gallagher & Co. by 645.6% during the third quarter. Allspring Global Investments Holdings LLC now owns 84,714 shares of the financial services provider’s stock worth $19,638,000 after acquiring an additional 73,352 shares during the last quarter. 85.53% of the stock is owned by institutional investors and hedge funds.

Wall Street Analysts Forecast Growth

AJG has been the subject of several recent analyst reports. Keefe, Bruyette & Woods restated an “outperform” rating on shares of Arthur J. Gallagher & Co. in a report on Friday, October 30th. Royal Bank Of Canada boosted their price objective on shares of Arthur J. Gallagher & Co. from $290.00 to $315.00 and gave the stock an “outperform” rating in a research note on Friday, October 30th. Truist Financial increased their price objective on shares of Arthur J. Gallagher & Co. from $265.00 to $275.00 and gave the stock a “hold” rating in a research report on Friday, October 30th. Wolfe Research lowered shares of Arthur J. Gallagher & Co. from an “outperform” rating to a “peer perform” rating in a report on Thursday, July 9th. Finally, Wells Fargo & Company upped their price target on shares of Arthur J. Gallagher & Co. from $284.00 to $312.00 and gave the stock an “overweight” rating in a research report on Monday. Thirteen equities research analysts have rated the stock with a Buy rating and seven have assigned a Hold rating to the company. According to data from MarketBeat.com, the stock presently has a consensus rating of “Moderate Buy” and an average price target of $292.05.

Arthur J. Gallagher & Co. Company Profile

Arthur J. Gallagher & Co is a global insurance brokerage, risk management and consulting company. The firm helps businesses, public entities and individuals identify, manage and transfer risk through insurance and related services.

Its operations include retail insurance brokerage, employee benefits consulting, wholesale brokerage, reinsurance brokerage, claims administration and risk management consulting. Gallagher places commercial and personal insurance coverage and provides services related to property and casualty risks, health care, benefits, and other specialized insurance needs.

Founded in 1927 by Arthur J.