Founded in 1927 as a one-person agency, Gallagher's primary business is insurance brokerage, with a focus on serving middle-market companies. The company's risk management segment provides third-party claims adjustment to companies that choose to self-insure.
It is a $59.6B financial services company. Revenue grew 26.3% over the last year, and it keeps 10¢ of every dollar of sales as profit. It trades at 38.0× earnings — around the middle of its own history.
- Website
- ajg.com
- Location
- Rolling Meadows, IL
- Employees
- 72 000
- Sector
- Financial Services
- Founded
- 1927
Skills
Six independent scores, 0–100, built from reported numbers and valuation history. Click a row to see how it was scored.
Strong growth and quality; Profitability and Health lag behind.
Valuation64
- P/E vs own history35th pct · 20/25
- FCF yield3.8% · 12/25
- P/S3.8x · 20/25
- EV/EBITDA17.7x · 12/25
Growth77
- Revenue CAGR14.2% · 20/25
- Net income CAGR13.3% · 20/25
- EPS CAGR ~5Y6.4% · 12/25
- Fwd implied growth138.8% · 25/25
Profitability43
- ROIC5.8% · 5/25
- ROE6.7% · 5/25
- Net margin10.0% · 13/25
- Operating margin17.4% · 20/25
Health37
- Altman Z0.96 · 3/25
- Current ratio1.05 · 12/25
- Interest coverage3.7x · 10/25
- Net cash / debtD/A 16% · 12/25
Quality80
- Piotroski F5/9 · 15/25
- Beneish M-2.24 · 20/25
- FCF conversion146% · 25/25
- Margin stabilityσ 6.1% · 20/25
Moat68
- ROIC >12% years0/10 yrs · 0/25
- Median gross margin57.2% · 25/25
- FCF-positive years7/7 yrs · 25/25
- Worst-year net marginworst 7.4% · 18/25
Experience
The company's career so far — founding, the IPO, landmark products and acquisitions, plus revenue milestones and insider buying.
- FY2025FinancialBest year on record$1.49B net income
- 2025AcquisitionGallagher acquired AssuredPartners, a U.S. insurance broker, for $13.45 billion ($12.45 billion net…
- FY2024FinancialRevenue crossed $10B$11.6B for the year
- FY2024FinancialBecame debt-freecash now exceeds total debt
- 2020AcquisitionGallagher acquired Affiliated Benefit Consultants, a benefits consulting firm headquartered in Oak…
- FY2019FinancialPositive free cash flow every year since7-year streak
- 2017AcquisitionGallagher acquired Ballard Benefit Works, a Michigan-based employee benefits brokerage
- FY2016FinancialProfitable every year on record10 consecutive profitable years in our data
- FY2016FinancialRevenue already above $1B$5.59B in first reported year
- 2016AcquisitionGallagher acquired an 85% stake in Brim AB, a Stockholm-based specialty insurance and reinsurance…
- 2015AcquisitionGallagher announced the acquisition of insurance brokers Christie Phoenix (Victoria) and its…
- 2014AcquisitionGallagher announced the expansion of its brand presence in Australia through the rebranding of…
- 2013AcquisitionGallagher acquired Bergvall Marine, an insurance brokerage firm based in Oslo, Norway
- 2010AcquisitionGallagher announced an agreement to acquire substantially all of the insurance brokerage operations…
- 2000AcquisitionGallagher acquired 16 smaller insurance brokerages, which expanded its presence across the United States,…
- 1927FoundedFounded in 1927, the company ranks among the world's largest insurance brokers
Achievements
Verifiable track record, straight from the reported numbers.
Strengths & watch-outs
What a bull and a bear would each point to. Both lists come from the reported numbers, not opinions.
Strengths
- High gross margin (45.5%)
- Revenue growing 26.3% year over year
Watch-outs
- Altman Z-Score 0.96 — elevated financial-distress risk
- Net debt would take ~5.6 years of free cash flow to repay
Qualifications
The basics a company should meet before you research it further. Each check uses the reported numbers.
- Revenue growing — the company sells more than a year ago+26.3% YoY
- Profitable — makes more than it spends$1.57B TTM
- Profit growing — earnings are higher than last year+3.4% YoY
- Generates cash — cash left after running and investing$2.29B TTM
- Debt under control — could handle its obligations~5.0y of cash flow to repay
- Established company — not a micro-cap — lower blow-up risk$59.6B market cap
- Not printing shares — share count not ballooning — you keep your slice+33.5% shares over ~5y
- Proven track record — years of profitability behind it10/10 profitable years
- Financially stable — balance sheet not near distressAltman Z 1.0 — distress
- Pays a dividend — returns cash to shareholdersyield 1.16%
- Valuation not extreme — price not wildly above earningsP/E 38.0
Peer comparisonArthur J. Gallagher & Co. vs 6 largest financial services peers — cap, P/E, growth and margin side by sideOpen ▾Close ▴
| Company | Market cap | P/E | Revenue growth | Net margin | Profile |
|---|---|---|---|---|---|
| AJG this company | $59.6B | 38.0 | +26.3% | 10.0% | Mixed |
| BRK.A Berkshire Hathaway Inc. | $1.1T | 11.6 | +3.9% | 22.3% | Mixed |
| BRK.B Berkshire Hathaway | $1.1T | 11.6 | +0.0% | 18.0% | Strong |
| JPM JPMorgan Chase & Co. | $886.2B | 13.6 | +13.5% | 32.6% | Strained |
| V VISA Inc. | $723.9B | 31.9 | +14.4% | 50.8% | Solid |
| MA Mastercard Incorporated | $516.4B | 31.7 | +16.0% | 46.3% | Mixed |
| BAC Bank of America Corporation | $380.4B | 11.3 | +15.9% | 27.8% | Mixed |
Head-to-head: AJG vs BRK.A · AJG vs BRK.B · AJG vs JPM
References
What covering analysts publish about the company — information only, not a recommendation.
Appendix · Financial records
The full statements behind this CV, FY2016–FY2025. For readers who want to check the numbers.
Live data and quarterly detail: stockcv.com/AJG
Want the live picture — intraday moves, valuation history and full analysis?
Deeper analysis of AJG on PreMarketPriceFigures are derived from company filings (quarterly values normalised from as-filed year-to-date data where applicable) and may be delayed, restated or incomplete. This page is information, not investment advice. Latest price $232.47 · market cap $59.6B.