Comerica Bank Increases Stake in Arthur J. Gallagher & Co. $AJG

Key Points

• Comerica Bank increased its stake in Arthur J. Gallagher & Co. by 1.7%, owning approximately 0.10% of the company, equating to about $88.94 million in value.
• Arthur J. Gallagher & Co. reported a quarterly earnings miss with $2.33 EPS, below the expected $2.36, while its revenue of $3.18 billion also fell short of analyst expectations.
• The company announced a quarterly dividend of $0.65, translating to an annualized dividend of $2.60 and a yield of 0.9%, with a payout ratio of 36.93%.

Comerica Bank lifted its stake in Arthur J. Gallagher & Co. (NYSE:AJG - Free Report) by 1.7% during the first quarter, according to its most recent disclosure with the Securities and Exchange Commission. The fund owned 257,630 shares of the financial services provider's stock after acquiring an additional 4,323 shares during the quarter. Comerica Bank owned approximately 0.10% of Arthur J. Gallagher & Co. worth $88,944,000 as of its most recent filing with the Securities and Exchange Commission.

A number of other hedge funds have also modified their holdings of the stock. CWA Asset Management Group LLC grew its position in shares of Arthur J. Gallagher & Co. by 22.5% in the first quarter. CWA Asset Management Group LLC now owns 1,125 shares of the financial services provider's stock valued at $388,000 after purchasing an additional 207 shares during the last quarter. Two Sigma Investments LP bought a new position in Arthur J. Gallagher & Co. during the fourth quarter worth about $382,000. Golden State Wealth Management LLC lifted its stake in Arthur J. Gallagher & Co. by 2,750.0% during the first quarter. Golden State Wealth Management LLC now owns 114 shares of the financial services provider's stock worth $39,000 after purchasing an additional 110 shares during the period. Allspring Global Investments Holdings LLC lifted its stake in Arthur J. Gallagher & Co. by 0.7% during the first quarter. Allspring Global Investments Holdings LLC now owns 11,280 shares of the financial services provider's stock worth $3,879,000 after purchasing an additional 82 shares during the period. Finally, Seven Grand Managers LLC bought a new position in shares of Arthur J. Gallagher & Co. in the fourth quarter valued at approximately $7,096,000. 85.53% of the stock is owned by institutional investors and hedge funds.

Arthur J. Gallagher & Co. Price Performance

Arthur J. Gallagher & Co. stock traded up $0.96 during mid-day trading on Thursday, reaching $299.68. The company had a trading volume of 769,017 shares, compared to its average volume of 1,538,732. Arthur J. Gallagher & Co. has a fifty-two week low of $274.25 and a fifty-two week high of $351.23. The company has a current ratio of 1.36, a quick ratio of 1.36 and a debt-to-equity ratio of 0.52. The company has a market cap of $76.84 billion, a P/E ratio of 42.57 and a beta of 0.68. The business has a fifty day simple moving average of $305.46 and a 200 day simple moving average of $321.89.

Arthur J. Gallagher & Co. (NYSE:AJG - Get Free Report) last announced its earnings results on Thursday, July 31st. The financial services provider reported $2.33 earnings per share for the quarter, missing analysts' consensus estimates of $2.36 by ($0.03). Arthur J. Gallagher & Co. had a return on equity of 13.17% and a net margin of 14.54%.The firm had revenue of $3.18 billion for the quarter, compared to the consensus estimate of $3.20 billion. During the same period in the prior year, the business earned $2.29 EPS. Arthur J. Gallagher & Co.'s quarterly revenue was up 16.0% on a year-over-year basis. On average, equities research analysts predict that Arthur J. Gallagher & Co. will post 11.54 earnings per share for the current year.

Arthur J. Gallagher & Co. Dividend Announcement

The business also recently announced a quarterly dividend, which will be paid on Friday, September 19th. Shareholders of record on Friday, September 5th will be paid a $0.65 dividend. This represents a $2.60 dividend on an annualized basis and a yield of 0.9%. The ex-dividend date is Friday, September 5th. Arthur J. Gallagher & Co.'s payout ratio is presently 36.93%.

Analyst Ratings Changes

AJG has been the subject of several research analyst reports. Cantor Fitzgerald upgraded shares of Arthur J. Gallagher & Co. to a "strong-buy" rating in a research report on Wednesday, August 13th. Erste Group Bank reissued a "hold" rating on shares of Arthur J. Gallagher & Co. in a report on Wednesday, July 23rd. Barclays reduced their target price on shares of Arthur J. Gallagher & Co. from $346.00 to $327.00 and set an "equal weight" rating for the company in a research note on Monday, July 7th. Citigroup initiated coverage on shares of Arthur J. Gallagher & Co. in a research note on Wednesday, August 13th. They issued a "neutral" rating and a $317.00 target price for the company. Finally, Wells Fargo & Company increased their price objective on shares of Arthur J. Gallagher & Co. from $371.00 to $373.00 and gave the stock an "overweight" rating in a research note on Friday, August 1st. One investment analyst has rated the stock with a Strong Buy rating, five have given a Buy rating, nine have given a Hold rating and one has issued a Sell rating to the stock. According to MarketBeat, Arthur J. Gallagher & Co. presently has an average rating of "Hold" and a consensus price target of $331.07.

About Arthur J. Gallagher & Co.

Arthur J. Gallagher & Co engages in the provision of insurance brokerage, reinsurance brokerage, consulting, and third-party claims settlement and administration services. It operates through the following segments: Brokerage, Risk Management, and Corporate. The Brokerage segment consists of retail and wholesale insurance brokerage operations.