Arthur J. Gallagher & Co. (NYSE:AJG) Expected to Announce Quarterly Sales of $2.00 Billion

Analysts forecast that Arthur J. Gallagher & Co. (NYSE:AJG) will report sales of $2.00 billion for the current fiscal quarter, Zacks reports. Two analysts have made estimates for Arthur J. Gallagher & Co.’s earnings. The lowest sales estimate is $1.98 billion and the highest is $2.01 billion. Arthur J. Gallagher & Co. reported sales of $1.81 billion in the same quarter last year, which indicates a positive year over year growth rate of 10.5%. The company is expected to issue its next quarterly earnings report on Thursday, November 4th.

According to Zacks, analysts expect that Arthur J. Gallagher & Co. will report full-year sales of $7.92 billion for the current fiscal year, with estimates ranging from $7.84 billion to $8.02 billion. For the next fiscal year, analysts anticipate that the firm will post sales of $7.47 billion, with estimates ranging from $7.46 billion to $7.50 billion. Zacks Investment Research’s sales calculations are an average based on a survey of research analysts that that provide coverage for Arthur J. Gallagher & Co..

Arthur J. Gallagher & Co. (NYSE:AJG) last issued its quarterly earnings results on Thursday, July 29th. The financial services provider reported $1.17 earnings per share for the quarter, topping analysts’ consensus estimates of $1.07 by $0.10. Arthur J. Gallagher & Co. had a return on equity of 15.11% and a net margin of 11.70%. The company had revenue of $1.90 billion for the quarter, compared to analyst estimates of $1.71 billion.

A number of research analysts have weighed in on the company. Raymond James lowered Arthur J. Gallagher & Co. from a “strong-buy” rating to an “outperform” rating and reduced their price target for the stock from $170.00 to $160.00 in a research note on Wednesday, July 28th. Evercore ISI raised Arthur J. Gallagher & Co. to a “buy” rating and set a $160.00 price target on the stock in a research note on Friday, July 30th. Truist Securities increased their target price on Arthur J. Gallagher & Co. from $165.00 to $170.00 and gave the stock a “buy” rating in a research report on Wednesday. Truist increased their target price on Arthur J. Gallagher & Co. from $165.00 to $170.00 and gave the stock a “buy” rating in a research report on Wednesday. Finally, Zacks Investment Research raised Arthur J. Gallagher & Co. from a “hold” rating to a “buy” rating and set a $158.00 target price on the stock in a research report on Thursday. One analyst has rated the stock with a sell rating, six have assigned a hold rating and nine have issued a buy rating to the company. According to data from MarketBeat, the stock currently has an average rating of “Buy” and a consensus price target of $150.83.

Several institutional investors have recently made changes to their positions in the company. Parametric Portfolio Associates LLC grew its stake in shares of Arthur J. Gallagher & Co. by 5.7% during the second quarter. Parametric Portfolio Associates LLC now owns 519,424 shares of the financial services provider’s stock valued at $72,761,000 after acquiring an additional 27,965 shares in the last quarter. Sawtooth Solutions LLC acquired a new stake in shares of Arthur J. Gallagher & Co. during the second quarter valued at about $263,000. Y Intercept Hong Kong Ltd acquired a new stake in shares of Arthur J. Gallagher & Co. during the second quarter valued at about $758,000. Marshall Wace LLP acquired a new stake in shares of Arthur J. Gallagher & Co. during the second quarter valued at about $14,755,000. Finally, Marshall Wace North America L.P. acquired a new stake in shares of Arthur J. Gallagher & Co. during the second quarter valued at about $14,491,000. Institutional investors own 83.12% of the company’s stock.

Shares of Arthur J. Gallagher & Co. stock traded down $1.41 during trading hours on Tuesday, reaching $148.39. 2,601,610 shares of the company’s stock were exchanged, compared to its average volume of 1,034,011. Arthur J. Gallagher & Co. has a 52-week low of $101.36 and a 52-week high of $154.03. The firm has a market capitalization of $30.68 billion, a price-to-earnings ratio of 33.27, a price-to-earnings-growth ratio of 2.57 and a beta of 0.69. The company has a fifty day moving average of $142.12 and a 200-day moving average of $138.90. The company has a current ratio of 1.33, a quick ratio of 1.33 and a debt-to-equity ratio of 0.68.

The business also recently declared a quarterly dividend, which was paid on Friday, September 17th. Investors of record on Friday, September 3rd were issued a $0.48 dividend. The ex-dividend date of this dividend was Thursday, September 2nd. This represents a $1.92 annualized dividend and a yield of 1.29%. Arthur J. Gallagher & Co.’s dividend payout ratio is currently 40.68%.

Arthur J. Gallagher & Co. announced that its Board of Directors has initiated a stock repurchase plan on Thursday, July 29th that authorizes the company to repurchase $1.50 billion in shares. This repurchase authorization authorizes the financial services provider to repurchase up to 5.2% of its stock through open market purchases. Stock repurchase plans are generally an indication that the company’s management believes its shares are undervalued.

About Arthur J. Gallagher & Co.

Arthur J. Gallagher & Co engages in the provision of insurance brokerage, consulting, and third party claims settlement and administration services to both domestic and international entities. It operates through the following business segments: Brokerage, Risk Management and Corporate. The Brokerage segment comprises of retail and wholesale insurance brokerage operations.

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Earnings History and Estimates for Arthur J. Gallagher & Co. (NYSE:AJG)

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