Zacks: Brokerages Expect Arthur J Gallagher & Co (NYSE:AJG) Will Post Earnings of $0.65 Per Share

Equities analysts expect Arthur J Gallagher & Co (NYSE:AJG) to announce $0.65 earnings per share for the current fiscal quarter, according to Zacks Investment Research. Two analysts have made estimates for Arthur J Gallagher & Co’s earnings. The highest EPS estimate is $0.69 and the lowest is $0.62. Arthur J Gallagher & Co reported earnings per share of $0.62 in the same quarter last year, which suggests a positive year-over-year growth rate of 4.8%. The company is scheduled to report its next earnings results on Thursday, July 25th.

According to Zacks, analysts expect that Arthur J Gallagher & Co will report full year earnings of $3.74 per share for the current year, with EPS estimates ranging from $3.67 to $3.86. For the next year, analysts forecast that the business will post earnings of $4.25 per share, with EPS estimates ranging from $4.15 to $4.40. Zacks’ EPS averages are an average based on a survey of analysts that follow Arthur J Gallagher & Co.

Arthur J Gallagher & Co (NYSE:AJG) last posted its quarterly earnings results on Thursday, April 25th. The financial services provider reported $1.63 earnings per share for the quarter, topping the Zacks’ consensus estimate of $1.61 by $0.02. Arthur J Gallagher & Co had a net margin of 9.79% and a return on equity of 14.33%. The business had revenue of $1.90 billion for the quarter, compared to analysts’ expectations of $1.96 billion. During the same period in the prior year, the company posted $1.52 EPS. The business’s revenue for the quarter was up 7.0% on a year-over-year basis.

A number of research firms have recently weighed in on AJG. Barclays upped their price target on shares of Arthur J Gallagher & Co from $87.00 to $93.00 and gave the stock an “overweight” rating in a research note on Monday, April 1st. SunTrust Banks upped their price target on shares of Arthur J Gallagher & Co to $95.00 and gave the stock a “buy” rating in a research note on Friday, April 26th. Morgan Stanley increased their price objective on shares of Arthur J Gallagher & Co from $77.00 to $81.00 and gave the company an “equal weight” rating in a research note on Monday, April 29th. Finally, Wells Fargo & Co reissued an “outperform” rating and issued a $100.00 price objective (up from $93.00) on shares of Arthur J Gallagher & Co in a research note on Friday. Five equities research analysts have rated the stock with a hold rating and seven have assigned a buy rating to the company’s stock. Arthur J Gallagher & Co presently has a consensus rating of “Buy” and a consensus price target of $85.44.

In related news, Director Frank E. Jr. English sold 800 shares of the stock in a transaction dated Friday, May 3rd. The shares were sold at an average price of $83.08, for a total value of $66,464.00. Following the sale, the director now directly owns 6,500 shares of the company’s stock, valued at approximately $540,020. The sale was disclosed in a filing with the SEC, which is available through this hyperlink. Also, Director William L. Bax sold 1,200 shares of the stock in a transaction dated Tuesday, June 4th. The shares were sold at an average price of $85.11, for a total transaction of $102,132.00. Following the completion of the sale, the director now directly owns 40,570 shares in the company, valued at $3,452,912.70. The disclosure for this sale can be found here. Over the last three months, insiders sold 10,124 shares of company stock worth $848,399. 1.30% of the stock is owned by corporate insiders.

Several institutional investors have recently added to or reduced their stakes in the business. IFM Investors Pty Ltd lifted its position in shares of Arthur J Gallagher & Co by 11.1% in the 1st quarter. IFM Investors Pty Ltd now owns 12,609 shares of the financial services provider’s stock worth $985,000 after purchasing an additional 1,258 shares during the period. Citigroup Inc. increased its stake in Arthur J Gallagher & Co by 15.2% during the 4th quarter. Citigroup Inc. now owns 44,589 shares of the financial services provider’s stock valued at $3,285,000 after purchasing an additional 5,886 shares in the last quarter. Sciencast Management LP acquired a new position in Arthur J Gallagher & Co during the 1st quarter valued at approximately $2,293,000. United Services Automobile Association increased its stake in Arthur J Gallagher & Co by 50.0% during the 4th quarter. United Services Automobile Association now owns 560,358 shares of the financial services provider’s stock valued at $41,298,000 after purchasing an additional 186,687 shares in the last quarter. Finally, Legal & General Group Plc increased its stake in Arthur J Gallagher & Co by 10.6% during the 4th quarter. Legal & General Group Plc now owns 1,069,836 shares of the financial services provider’s stock valued at $78,781,000 after purchasing an additional 102,367 shares in the last quarter. 81.12% of the stock is currently owned by institutional investors.

Shares of NYSE:AJG traded up $0.41 on Friday, reaching $87.53. 20,821 shares of the company were exchanged, compared to its average volume of 761,954. The company has a quick ratio of 1.12, a current ratio of 1.12 and a debt-to-equity ratio of 0.74. Arthur J Gallagher & Co has a 1-year low of $64.54 and a 1-year high of $88.58. The stock has a market cap of $16.25 billion, a PE ratio of 25.34, a price-to-earnings-growth ratio of 2.38 and a beta of 0.86.

The firm also recently disclosed a quarterly dividend, which will be paid on Friday, June 21st. Investors of record on Friday, June 7th will be paid a $0.43 dividend. The ex-dividend date is Thursday, June 6th. This represents a $1.72 dividend on an annualized basis and a yield of 1.97%. Arthur J Gallagher & Co’s payout ratio is 49.86%.

Arthur J Gallagher & Co Company Profile

Arthur J. Gallagher & Co, together with its subsidiaries, provides insurance brokerage, consulting, and third party claims settlement and administration services to entities in the United States and internationally. Its Brokerage segment consists 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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