Arthur J. Gallagher & Co. (NYSE:AJG) Stock Price Expected to Rise, Mizuho Analyst Says

Key Points

• Mizuho raised its price target on Arthur J. Gallagher to $307 from $302 and maintained an “outperform” rating, implying about 8.2% upside. Analysts’ consensus rating is “Moderate Buy,” with an average target of $292.32.
• The company reported quarterly EPS of $3.00, slightly above estimates, while revenue of $3.92 billion missed forecasts; revenue nevertheless rose 19.6% year over year.
• AJG shares traded at $283.80 on Friday, up $6.52, and remain below their 52-week high of $294.53.

Arthur J. Gallagher & Co. (NYSE:AJG - Get Free Report) had its target price upped by stock analysts at Mizuho from $302.00 to $307.00 in a report released on Friday, Benzinga reports. The brokerage currently has an "outperform" rating on the financial services provider's stock. Mizuho's price target points to a potential upside of 8.17% from the company's current price.

Several other equities research analysts have also commented on the company. BMO Capital Markets lowered Arthur J. Gallagher & Co. from an "outperform" rating to a "market perform" rating and set a $295.00 target price on the stock. in a research report on Tuesday, November 3rd. Evercore boosted their target price on shares of Arthur J. Gallagher & Co. from $295.00 to $307.00 and gave the stock an "outperform" rating in a research report on Thursday, October 8th. Morgan Stanley cut their price objective on shares of Arthur J. Gallagher & Co. from $285.00 to $260.00 and set an "overweight" rating on the stock in a report on Tuesday, October 6th. Wells Fargo & Company increased their price target on Arthur J. Gallagher & Co. from $284.00 to $312.00 and gave the company an "overweight" rating in a research report on Monday, November 2nd. Finally, Piper Sandler reiterated an "overweight" rating on shares of Arthur J. Gallagher & Co. in a research note on Thursday, September 24th. Thirteen investment analysts have rated the stock with a Buy rating and seven have given a Hold rating to the stock. According to MarketBeat.com, Arthur J. Gallagher & Co. presently has an average rating of "Moderate Buy" and a consensus target price of $292.32.

Arthur J. Gallagher & Co. Price Performance

NYSE AJG traded up $6.52 during trading on Friday, hitting $283.80. 379,041 shares of the company's stock were exchanged, compared to its average volume of 1,880,422. The company has a market cap of $72.77 billion, a PE ratio of 43.38, a P/E/G ratio of 1.62 and a beta of 0.47. The company has a current ratio of 1.05, a quick ratio of 1.05 and a debt-to-equity ratio of 0.49. Arthur J. Gallagher & Co. has a fifty-two week low of $190.75 and a fifty-two week high of $294.53. The stock's 50 day moving average price is $251.37 and its two-hundred day moving average price is $233.76.

Arthur J. Gallagher & Co. (NYSE:AJG - Get Free Report) last posted its quarterly earnings results on Thursday, October 29th. The financial services provider reported $3.00 earnings per share for the quarter, beating analysts' consensus estimates of $2.99 by $0.01. Arthur J. Gallagher & Co. had a net margin of 10.39% and a return on equity of 13.90%. The company had revenue of $3.92 billion for the quarter, compared to the consensus estimate of $3.98 billion. During the same period last year, the company posted $2.32 EPS. The firm's quarterly revenue was up 19.6% compared to the same quarter last year. Research analysts expect that Arthur J. Gallagher & Co. will post 13.13 EPS for the current year.

Insider Buying and Selling at Arthur J. Gallagher & Co.

In other Arthur J. Gallagher & Co. news, CFO Douglas Howell sold 30,996 shares of the business's stock in a transaction that occurred on Monday, November 2nd. The stock was sold at an average price of $275.15, for a total value of $8,528,549.40. Following the completion of the sale, the chief financial officer owned 92,961 shares in the company, valued at approximately $25,578,219.15. The trade was a 25.01% decrease in their ownership of the stock. The sale was disclosed in a document filed with the SEC, which can be accessed through this hyperlink. Also, CAO Richard Cary sold 1,000 shares of the company's stock in a transaction on Tuesday, September 15th. The shares were sold at an average price of $252.86, for a total transaction of $252,860.00. Following the sale, the chief accounting officer owned 46,819 shares of the company's stock, valued at $11,838,652.34. This represents a 2.09% decrease in their ownership of the stock. The SEC filing for this sale provides additional information. Over the last quarter, insiders sold 105,616 shares of company stock valued at $29,193,156. 1.40% of the stock is currently owned by insiders.

Institutional Trading of Arthur J. Gallagher & Co.

Several institutional investors have recently bought and sold shares of AJG. Horizon Kinetics Asset Management LLC grew its stake in shares of Arthur J. Gallagher & Co. by 715,906.4% during the 3rd quarter. Horizon Kinetics Asset Management LLC now owns 9,694,727 shares of the financial services provider's stock valued at $2,211,464,000 after purchasing an additional 9,693,373 shares during the period. Gtcr LLC purchased a new stake in shares of Arthur J. Gallagher & Co. in the first quarter worth about $514,112,000. Bank of New York Mellon Corp purchased a new stake in shares of Arthur J. Gallagher & Co. during the 2nd quarter valued at about $289,484,000. Tidal Investments LLC increased its position in shares of Arthur J. Gallagher & Co. by 303.7% during the 2nd quarter. Tidal Investments LLC now owns 638,601 shares of the financial services provider's stock valued at $146,604,000 after purchasing an additional 480,413 shares during the last quarter. Finally, Voya Investment Management LLC boosted its stake in shares of Arthur J. Gallagher & Co. by 249.8% during the 3rd quarter. Voya Investment Management LLC now owns 547,192 shares of the financial services provider's stock worth $124,820,000 after purchasing an additional 390,753 shares during the period. 85.53% of the stock is owned by hedge funds and other institutional investors.

About Arthur J. Gallagher & Co.

Arthur J. Gallagher & Co. is a global insurance brokerage and risk management services firm. It helps businesses and other organizations assess and manage risk, arrange insurance coverage, and address employee benefits needs. The company's services include insurance brokerage, risk management consulting, employee benefits consulting, and claims and settlement services through its Gallagher Bassett business. It serves clients in the United States and internationally, including through a network of correspondent brokers.

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