After finishing at $255.87 in the prior trading day, Arthur J. Gallagher & Co. (NYSE: AJG) closed at $250.30, down -2.18%. In other words, the price has decreased by -$5.57 from its previous closing price. On the day, 1409026 shares were traded.
Ratios:
Our goal is to gain a better understanding of AJG by taking a closer look at its different ratios. It provided that stocks Price–to–Cash (P/C) ratio for the trailing twelve months (TTM) is standing at 55.63 whereas its Price-to-Free Cash Flow (P/FCF) for the term is 29.52. In the meantime, Its Debt-to-Equity ratio is 0.77 whereas as Long-Term Debt/Eq ratio is at 0.68.
Upgrades & Downgrades
In addition, analysts’ ratings and any changes thereto give investors an idea of the stock’s future direction. In the most recent recommendation for this company, TD Cowen on January 10, 2024, initiated with a Market Perform rating and assigned the stock a target price of $249.
On January 09, 2024, Jefferies Downgraded its rating to Hold which previously was Buy and also lowered its target price recommendation from $279 to $233.
Keefe Bruyette Downgraded its Mkt Perform to Underperform on December 15, 2023, whereas the target price for the stock was revised from $237 to $230.
Insider Transactions:
The insider trade also gives investors a glimpse into the future direction of stock prices, which can be beneficial to investors. A recent insider transaction in this stock occurred on Mar 18 ’24 when Cavaness Joel D sold 1,207 shares for $255.20 per share. The transaction valued at 308,026 led to the insider holds 2,023 shares of the business.
Hudson Scott R sold 15,458 shares of AJG for $3,930,660 on Mar 13 ’24. The Vice President now owns 96,709 shares after completing the transaction at $254.28 per share. On Mar 12 ’24, another insider, Hudson Scott R, who serves as the Vice President of the company, sold 15,000 shares for $255.06 each. As a result, the insider received 3,825,900 and left with 96,709 shares of the company.
Valuation Measures:
Investors should consider key stock statistics when deciding whether to invest or divest. In the wake of the recent closing price, AJG now has a Market Capitalization of 54.27B and an Enterprise Value of 61.61B. As of this moment, Arthur’s Price-to-Earnings (P/E) ratio for their current fiscal year is 56.39, and their Forward P/E ratio for the next fiscal year is 22.04. The expected Price-to-Earnings-to-Growth (PEG) calculation for the next 5 years is 5.47. For the stock, the TTM Price-to-Sale (P/S) ratio is 5.47 while its Price-to-Book (P/B) ratio in mrq is 5.03. Its current Enterprise Value per Revenue stands at 6.12 whereas that against EBITDA is 28.28.
Stock Price History:
Over the past 52 weeks, AJG has reached a high of $256.10, while it has fallen to a 52-week low of $179.97. The 50-Day Moving Average of the stock is 241.42, while the 200-Day Moving Average is calculated to be 231.22.
Shares Statistics:
The stock has traded on average 857.97K shares per day over the past 3-months and 914.37k shares per day over the last 10 days, according to various share statistics. A total of 216.70M shares are outstanding, with a floating share count of 214.42M. Insiders hold about 1.10% of the company’s shares, while institutions hold 87.07% stake in the company. Shares short for AJG as of Feb 29, 2024 were 2.39M with a Short Ratio of 2.78, compared to 1.81M on Jan 31, 2024. Therefore, it implies a Short% of Shares Outstanding of 1.10% and a Short% of Float of 1.27%.
Dividends & Splits
In the trailing 12 months, AJG’s forward annual dividend rate was 2.20, compared to 2.25 this year. Against a Trailing Annual Dividend Yield of 0.86%, it implies a Forward Annual Dividend Yield of 0.96%. The stock’s 5-year Average Dividend Yield is 1.39. The current Payout Ratio is 49.76% for AJG, which recently paid a dividend on Mar 15, 2024 with an ex-dividend date of Feb 29, 2024. Stock splits for the company last occurred on Jan 19, 2001 when the company split stock in a 2:1 ratio.
Earnings Estimates
Its stock is currently analyzed by 16 different market analysts. On average, analysts expect EPS of $3.47 for the current quarter, with a high estimate of $3.56 and a low estimate of $3.41, while EPS last year was $3.03. The consensus estimate for the next quarter is $2.27, with high estimates of $2.34 and low estimates of $2.2.
Analysts are recommending an EPS of between $10.56 and $9.9 for the fiscal current year, implying an average EPS of $10.2. EPS for the following year is $11.37, with 18 analysts recommending between $11.89 and $10.73.
Revenue Estimates
9 analysts predict $3.13B in revenue for the current quarter. It ranges from a high estimate of $3.21B to a low estimate of $2.79B. As of the current estimate, Arthur J. Gallagher & Co.’s year-ago sales were $2.67B, an estimated increase of 17.30% from the year-ago figure. For the next quarter, 9 analysts are estimating revenue of $2.75B, an increase of 14.30% less than the figure of $17.30% in the same quarter last year. There is a high estimate of $2.86B for the next quarter, whereas the lowest estimate is $2.4B.
A total of 10 analysts have provided revenue estimates for AJG’s current fiscal year. The highest revenue estimate was $11.85B, while the lowest revenue estimate was $9.88B, resulting in an average revenue estimate of $11.35B. In the same quarter a year ago, actual revenue was $9.93B, up 14.30% from the average estimate. Based on 10 analysts’ estimates, the company’s revenue will be $12.47B in the next fiscal year. The high estimate is $13.29B and the low estimate is $10.81B. The average revenue growth estimate for next year is up 9.90% from the average revenue estimate for this year.
