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Arthur J. Gallagher & Co. AJG NYSE

NYSE • Financial Services • Insurance - Brokers • US • USD

SharesGrow Score
65/100
3/7 Pass
SharesGrow Intrinsic Value
$189.18
-14%
Analyst Price Target
$280.46
+27.5%
SharesGrow 7-Criteria Score All 7 criteria scored · valuation-related highlighted on this page

Arthur J. Gallagher & Co. (AJG) trades at a trailing P/E of 38.4, forward P/E of 16.6. Trailing earnings yield is 2.60%, forward earnings yield 6.01%. PEG 0.13 (Peter Lynch undervalued ≤1.0). Graham Number is $107.60.

Criteria proven by this page:

  • VALUE (38/100, Fail) — the composite valuation score falls below the 60/100 threshold required to pass.
  • Forward P/E 16.6 (down from trailing 38.4) — analysts expect earnings to grow, which would improve the valuation.
  • PEG Ratio 0.13 — below 1.0 suggests the stock is undervalued relative to its earnings growth rate (Peter Lynch criterion).
  • Trailing Earnings Yield 2.60% — below bond yields — investors are paying a premium for expected growth rather than current earnings. Forward yield improves to 6.01% as earnings recover.
  • Analyst consensus target $280.46 (+27.5% upside) — significant upside potential according to Wall Street analysts.

Overall SharesGrow Score: 65/100 with 3/7 criteria passed.

SharesGrow 7-Criteria Score
65/100
SG Score
View full scorecard →
VALUE
38/100
Price-to-Earnings & upside
Proven by this page
~
FUTURE
46/100
Analyst consensus
→ Forecast
PAST
100/100
→ Income
~
HEALTH
50/100
Debt-to-Equity & liquidity
→ Health
MOAT
84/100
→ Income
GROWTH
80/100
→ Income
~
INCOME
55/100
→ Income

Valuation Snapshot — AJG

Valuation Multiples
P/E (TTM)38.4
Forward P/E16.6
PEG Ratio0.13
Forward PEG0.13
P/B Ratio2.46
P/S Ratio4.06
EV/EBITDA18.9
Per Share Data
EPS (TTM)$5.74
Forward EPS (Est.)$13.22
Book Value / Share$89.68
Revenue / Share$53.55
FCF / Share$6.86
Yields & Fair Value
Earnings Yield2.60%
Forward Earnings Yield6.01%
Dividend Yield1.20%
Graham Number$107.60
SharesGrow IV$189.18 (-14%)
Analyst Target$280.46 (+27.5%)

Historical Valuation

Year P/E (TTM) PEG Ratio P/B Ratio P/S Ratio Dividend Yield
2016 23.3 1.85 2.57 1.62 2.95%
2017 23.7 2.30 2.78 1.82 2.48%
2018 21.3 0.61 2.99 1.95 2.24%
2019 26.5 7.07 3.44 2.49 1.81%
2020 28.9 1.51 3.82 3.37 1.47%
2021 37.9 9.04 4.04 4.19 1.14%
2022 35.6 1.92 4.34 4.64 1.08%
2023 49.8 -3.34 4.48 4.80 0.98%
2024 42.8 0.91 3.11 5.42 0.84%
2025 45.1 -3.74 2.89 4.83 0.99%

EPS: Actual vs Estimates

P/E Ratio & Earnings Yield

Earnings Per Share (EPS) History

Year EPS (Diluted) Revenue Net Income Net Margin
2016 $2.32 $5.68B $396.8M 7%
2017 $2.54 $6.25B $481.3M 7.7%
2018 $3.40 $6.92B $633.5M 9.1%
2019 $3.52 $7.12B $668.8M 9.4%
2020 $4.20 $7.01B $818.8M 11.7%
2021 $4.37 $8.21B $906.8M 11%
2022 $5.19 $8.55B $1.11B 13%
2023 $4.42 $10.07B $969.5M 9.6%
2024 $6.53 $11.55B $1.46B 12.7%
2025 $5.75 $13.94B $1.49B 10.7%

Analyst Estimates

Year EPS (Avg) EPS Range Revenue (Avg) Revenue Range Analysts
2026 $13.24 $12.90 – $13.48 $16.82B $16.54B – $17.16B 13
2027 $14.88 $14.37 – $15.40 $18.41B $18.06B – $18.73B 13
2028 $16.82 $16.15 – $17.49 $20.26B $19.87B – $20.65B 2
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