Arthur J. Gallagher & Co. (NYSE:AJG) Hits New 12-Month Low – Should You Sell?

Arthur J. Gallagher & Co. (NYSE:AJG)’s share price reached a new 52-week low during mid-day trading on Thursday . The stock traded as low as $194.15 and last traded at $198.5490, with a volume of 90751 shares traded. The stock had previously closed at $196.91.

Analyst Ratings Changes

Several research firms have recently issued reports on AJG. Morgan Stanley set a $265.00 target price on Arthur J. Gallagher & Co. in a research report on Thursday. Keefe, Bruyette & Woods decreased their price objective 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. Piper Sandler decreased 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. Wall Street Zen upgraded Arthur J. Gallagher & Co. from a “sell” rating to a “hold” rating in a research report on Saturday, February 21st. Finally, Royal Bank Of Canada began coverage on Arthur J. Gallagher & Co. in a research report on Tuesday, March 17th. They issued an “outperform” rating and a $260.00 price objective for the company. Eleven equities research analysts have rated the stock with a Buy rating and eight have given a Hold rating to the company’s stock. Based on data from MarketBeat.com, Arthur J. Gallagher & Co. currently has a consensus rating of “Moderate Buy” and a consensus price target of $268.00.

Arthur J. Gallagher & Co. Price Performance

The company has a debt-to-equity ratio of 0.51, a quick ratio of 1.06 and a current ratio of 1.06. The company has a 50-day moving average of $216.40 and a 200-day moving average of $237.75. The firm has a market capitalization of $51.09 billion, a price-to-earnings ratio of 32.15, a price-to-earnings-growth ratio of 1.03 and a beta of 0.54.

Arthur J. Gallagher & Co. (NYSE:AJG) last issued its quarterly earnings data on Thursday, April 30th. The financial services provider reported $4.47 earnings per share (EPS) for the quarter, beating the consensus estimate of $4.43 by $0.04. Arthur J. Gallagher & Co. had a return on equity of 12.83% and a net margin of 10.76%.The business had revenue of $4.71 billion during the quarter, compared to analyst estimates of $4.73 billion. During the same period in the previous year, the firm earned $3.67 EPS. Arthur J. Gallagher & Co.’s quarterly revenue was up 29.0% compared to the same quarter last year. As a group, research analysts anticipate that Arthur J. Gallagher & Co. will post 13.18 EPS for the current fiscal year.

Arthur J. Gallagher & Co. Dividend Announcement

The company also recently declared a quarterly dividend, which will be paid on Friday, June 19th. Shareholders of record on Friday, June 5th will be given a dividend of $0.70 per share. The ex-dividend date of this dividend is Friday, June 5th. This represents a $2.80 dividend on an annualized basis and a yield of 1.4%. Arthur J. Gallagher & Co.’s dividend payout ratio is 45.31%.

Insider Buying and Selling

In other Arthur J. Gallagher & Co. news, VP Christopher E. Mead sold 4,000 shares of the company’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 transaction of $908,480.00. Following the completion of the transaction, the vice president owned 19,306 shares of the company’s stock, valued at $4,384,778.72. This represents a 17.16% decrease in their position. The transaction was disclosed in a legal filing with the SEC, which is available 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 transaction, the vice president directly owned 85,920 shares of the company’s stock, valued at approximately $19,552,814.40. This trade represents a 4.24% decrease in their position. The SEC filing for this sale provides additional information. Corporate insiders own 1.40% of the company’s stock.

Hedge Funds Weigh In On Arthur J. Gallagher & Co.

Large investors have recently bought and sold shares of the company. CX Institutional raised its stake in shares of Arthur J. Gallagher & Co. by 2.1% during the 3rd quarter. CX Institutional now owns 1,782 shares of the financial services provider’s stock worth $552,000 after purchasing an additional 36 shares in the last quarter. D.A. Davidson & CO. raised its stake in shares of Arthur J. Gallagher & Co. by 1.3% during the 3rd quarter. D.A. Davidson & CO. now owns 2,930 shares of the financial services provider’s stock worth $908,000 after purchasing an additional 38 shares in the last quarter. Citizens Financial Group Inc. RI raised its stake in shares of Arthur J. Gallagher & Co. by 1.0% during the 3rd quarter. Citizens Financial Group Inc. RI now owns 3,958 shares of the financial services provider’s stock worth $1,226,000 after purchasing an additional 38 shares in the last quarter. IFP Advisors Inc raised its stake in shares of Arthur J. Gallagher & Co. by 1.4% during the 3rd quarter. IFP Advisors Inc now owns 3,064 shares of the financial services provider’s stock worth $949,000 after purchasing an additional 41 shares in the last quarter. Finally, AMG National Trust Bank raised its stake in shares of Arthur J. Gallagher & Co. by 2.7% during the 3rd quarter. AMG National Trust Bank now owns 1,616 shares of the financial services provider’s stock worth $501,000 after purchasing an additional 42 shares in the last quarter. Institutional investors and hedge funds own 85.53% of the company’s stock.

Arthur J. Gallagher & Co. Company Profile

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.