Arthur J. Gallagher & Co. (NYSE:AJG) Hits New 12-Month Low – Here’s What Happened
by Jessica Moore · The Cerbat GemArthur J. Gallagher & Co. (NYSE:AJG – Get Free Report)’s share price hit a new 52-week low during mid-day trading on Wednesday . The stock traded as low as $193.95 and last traded at $196.1540, with a volume of 71726 shares changing hands. The stock had previously closed at $197.40.
Analyst Upgrades and Downgrades
Several research firms have weighed in on AJG. Barclays increased their price objective on Arthur J. Gallagher & Co. from $262.00 to $275.00 and gave the stock an “overweight” rating in a research report on Wednesday, April 8th. Jefferies Financial Group decreased their price target on Arthur J. Gallagher & Co. from $283.00 to $280.00 and set a “hold” rating on the stock in a research report on Monday, February 2nd. Keefe, Bruyette & Woods decreased their target price on Arthur J. Gallagher & Co. from $246.00 to $235.00 and set a “market perform” rating for the company in a research report on Friday, May 1st. BMO Capital Markets raised Arthur J. Gallagher & Co. from a “market perform” rating to an “outperform” rating and increased their target price for the company from $275.00 to $278.00 in a research note on Tuesday, March 24th. Finally, Piper Sandler lowered their price objective on Arthur J. Gallagher & Co. from $226.00 to $211.00 and set a “neutral” rating for the company in a research report on Friday, May 1st. Eleven equities research analysts have rated the stock with a Buy rating and eight have issued a Hold rating to the stock. According to data from MarketBeat.com, the company presently has an average rating of “Moderate Buy” and an average target price of $268.00.
Check Out Our Latest Report on AJG
Arthur J. Gallagher & Co. Price Performance
The company has a quick ratio of 1.06, a current ratio of 1.06 and a debt-to-equity ratio of 0.51. The firm has a fifty day moving average price of $214.88 and a two-hundred day moving average price of $236.01. The stock has a market capitalization of $49.30 billion, a P/E ratio of 31.15, a P/E/G ratio of 1.01 and a beta of 0.54.
Arthur J. Gallagher & Co. (NYSE:AJG – Get Free Report) last released its quarterly earnings data on Thursday, April 30th. The financial services provider reported $4.47 EPS for the quarter, beating the consensus estimate of $4.43 by $0.04. The company had revenue of $4.71 billion for the quarter, compared to analysts’ expectations of $4.73 billion. Arthur J. Gallagher & Co. had a return on equity of 12.83% and a net margin of 10.76%.Arthur J. Gallagher & Co.’s revenue was up 29.0% compared to the same quarter last year. During the same period last year, the firm posted $3.67 earnings per share. On average, analysts expect that Arthur J. Gallagher & Co. will post 13.18 EPS for the current year.
Arthur J. Gallagher & Co. Dividend Announcement
The company also recently announced a quarterly dividend, which will be paid on Friday, June 19th. Investors of record on Friday, June 5th will be paid a dividend of $0.70 per share. The ex-dividend date is Friday, June 5th. This represents a $2.80 dividend on an annualized basis and a dividend yield of 1.5%. Arthur J. Gallagher & Co.’s payout ratio is 45.31%.
Insider Buying and Selling
In related news, VP Christopher E. Mead sold 4,000 shares of the business’s stock in a transaction that occurred on Thursday, March 5th. The stock was sold at an average price of $227.12, for a total value of $908,480.00. Following the transaction, the vice president directly owned 19,306 shares of the company’s stock, valued at approximately $4,384,778.72. The trade was a 17.16% decrease in their position. The transaction was disclosed in a document filed with the Securities & Exchange Commission, which is accessible through this link. Also, VP Scott R. Hudson sold 3,800 shares of the company’s stock in a transaction that occurred on Friday, March 6th. The stock was sold at an average price of $227.57, for a total value of $864,766.00. Following the sale, the vice president directly owned 85,920 shares in the company, valued at $19,552,814.40. This trade represents a 4.24% decrease in their ownership of the stock. The disclosure for this sale is available in the SEC filing. 1.40% of the stock is currently owned by insiders.
Institutional Investors Weigh In On Arthur J. Gallagher & Co.
A number of hedge funds and other institutional investors have recently bought and sold shares of the company. Vanguard Group Inc. lifted its holdings in Arthur J. Gallagher & Co. by 0.7% in the fourth quarter. Vanguard Group Inc. now owns 31,390,446 shares of the financial services provider’s stock valued at $8,123,534,000 after acquiring an additional 217,136 shares during the period. JPMorgan Chase & Co. increased its holdings in shares of Arthur J. Gallagher & Co. by 19.6% in the third quarter. JPMorgan Chase & Co. now owns 20,338,533 shares of the financial services provider’s stock valued at $6,299,674,000 after purchasing an additional 3,330,205 shares during the period. Capital World Investors boosted its stake in shares of Arthur J. Gallagher & Co. by 7.0% in the fourth quarter. Capital World Investors now owns 12,613,371 shares of the financial services provider’s stock valued at $3,264,359,000 after buying an additional 830,252 shares in the last quarter. State Street Corp boosted its stake in shares of Arthur J. Gallagher & Co. by 0.6% in the fourth quarter. State Street Corp now owns 10,953,598 shares of the financial services provider’s stock valued at $2,834,682,000 after buying an additional 62,518 shares in the last quarter. Finally, Norges Bank purchased a new stake in shares of Arthur J. Gallagher & Co. in the fourth quarter valued at approximately $1,925,062,000. Hedge funds and other institutional investors own 85.53% of the company’s stock.
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.