ROLLING MEADOWS, Ill., Oct. 24, 2024 /PRNewswire/ -- Arthur J. Gallagher & Co. (NYSE: AJG) today reported its financial results for the quarter ended September 30, 2024.  Management will host a webcast conference call to discuss these results on Thursday, October 24, 2024 at 5:15 p.m. ET/4:15 p.m. CT.  To listen to the call, and for printer-friendly formats of this release and the "CFO Commentary" and "Supplemental Quarterly Data," which may also be referenced during the call, please visit ajg.com/IR.  Thes ...

Investors in Arthur J. Gallagher & Co.(AJG) need to pay close attention to the stock based on moves in the options market lately. That is because the Nov 15, 2024 $125.00 Put had some of the highest implied volatility of all equity options today.What is Implied Volatility?Implied volatility shows how much movement the market is expecting in the future. Options with high levels of implied volatility suggest that investors in the underlying stocks are expecting a big move in one direction or the other. It cou ...

ROLLING MEADOWS, Ill., Oct. 23, 2024 /PRNewswire/ -- Arthur J. Gallagher & Co. (NYSE: AJG) today declared a regular quarterly cash dividend of sixty cents ($0.60) per share on the Common Stock of the Company, payable on December 20, 2024 to Stockholders of Record as of December 6, 2024.Arthur J. Gallagher & Co. (NYSE: AJG), a global insurance brokerage, risk management and consulting services firm, is headquartered in Rolling Meadows, Illinois.  Gallagher provides these services in approximately 130 countri ...

Have you been searching for a stock that might be well-positioned to maintain its earnings-beat streak in its upcoming report? It is worth considering Arthur J. Gallagher (AJG) , which belongs to the Zacks Insurance - Brokerage industry.When looking at the last two reports, this insurance and risk-management company has recorded a strong streak of surpassing earnings estimates. The company has topped estimates by 1.77%, on average, in the last two quarters.For the last reported quarter, Arthur J. Gallagher ...

Arthur J. Gallagher & Co. (AJG) is slated to report third-quarter 2024 earnings on Oct. 24, after market close. The insurer delivered an earnings surprise in each of the last four reported quarters, the average beat being 1.93%.Stay up-to-date with all quarterly releases: See Zacks Earnings Calendar.Factors to ConsiderSolid performance in both segments, aided by new business, solid retention and higher renewal premiums across its business lines, is likely to have benefited Arthur J. Gallagher’s third-quarte ...

Wall Street analysts expect Arthur J. Gallagher (AJG) to post quarterly earnings of $2.26 per share in its upcoming report, which indicates a year-over-year increase of 13%. Revenues are expected to be $2.75 billion, up 12% from the year-ago quarter. The current level reflects a downward revision of 0.4% in the consensus EPS estimate for the quarter over the past 30 days. This demonstrates how the analysts covering the stock have collectively reappraised their initial projections over this period. Ahead of ...

The market expects Arthur J. Gallagher (AJG) to deliver a year-over-year increase in earnings on higher revenues when it reports results for the quarter ended September 2024. This widely-known consensus outlook is important in assessing the company's earnings picture, but a powerful factor that might influence its near-term stock price is how the actual results compare to these estimates.The earnings report, which is expected to be released on October 24, 2024, might help the stock move higher if these key ...

Company Overview - Arthur J. Gallagher (AJG) is experiencing growth driven by strong performance in its Brokerage and Risk Management segments, strategic acquisitions, and effective capital deployment [1] - AJG's earnings increased by 20.7% over the last five years, outperforming the industry average of 13.2% [1] - The company has a consistent record of earnings surprises over the last 24 quarters [1] Growth Projections - In the Brokerage segment, AJG anticipates organic growth of 7-9% in 2024, while the Risk Management segment is expected to grow around 9% with margins of approximately 20.5% [2] - AJG's revenues are geographically diversified, with international operations contributing about one-third of total revenues, and this contribution is expected to increase due to non-U.S. acquisitions [2] - Since January 1, 2002, AJG has acquired 725 companies, with a strong pipeline of about $550 million in revenues from nearly 60 term sheets [2] Financial Performance - AJG has been increasing shareholder wealth through dividend hikes, with a three-year CAGR of 7.7% [3] - The company is facing rising expenses due to higher compensation and operating costs, which are eroding margins [3] - AJG's trailing 12-month return on equity was 19.3%, below the industry average of 32.4%, indicating less effective utilization of shareholders' funds [3] - The return on invested capital for AJG was 9.3%, slightly below the industry average of 9.7%, reflecting inefficiencies in generating income [3] Industry Competitors - Key players in the insurance industry include Heritage Insurance, Palomar Holdings, and CNO Financial Group [4] - Heritage Insurance has shown strong earnings performance, surpassing estimates in three of the last four quarters with an average surprise of 49.15% [4] - Palomar Holdings has consistently exceeded earnings estimates, with an average surprise of 17.10% over the last four quarters [5] - CNO Financial Group has also surpassed earnings estimates in three of the last four quarters, with an average surprise of 21.21% [6]

Core Insights - The insurance brokerage industry is experiencing revenue growth driven by better pricing, prudent underwriting, rising demand for insurance products, and global expansion [1][3][4] - The market size for insurance brokerage is projected to reach $320.55 billion in 2024 and $381.81 billion in 2029, with a CAGR of 3.56% from 2024 to 2029 [2] - The industry is witnessing fast-paced consolidation, with mergers and acquisitions being a significant trend [4][5] Industry Overview - The Zacks Insurance Brokerage industry includes companies that provide insurance and reinsurance products and services, acting on behalf of clients for brokerage fees [2] - The operational results of industry players are closely linked to clients' business activities, which are influenced by overall economic activity [3] Demand Drivers - Increased demand for retirement benefit products and medical insurance is being driven by an aging population and rising awareness among consumers [4] - Companies are expanding globally, cross-selling products, and improving pricing to meet the growing demand for insurance products [3] Mergers and Acquisitions - The industry is characterized by a high level of consolidation, with private equity interest and competition driving mergers and acquisitions [5] - Analysts expect more acquisition opportunities in 2024, indicating a trend towards specialization among companies [5] Technological Adoption - Insurance brokers are increasingly adopting digital tools and technologies such as AI, machine learning, and blockchain to enhance operational efficiency and customer interactions [6][7] - The integration of these technologies is expected to drive premium growth and improve risk assessment capabilities [7] Industry Performance - The Insurance Brokerage industry has outperformed the Finance sector and the Zacks S&P 500 composite year to date, with a collective growth of 31.6% compared to 14.8% and 19.9% respectively [10] - The industry's current valuation is at a trailing 12-month price-to-book ratio of 7.68X, compared to the Zacks S&P 500 composite's 8.69X [11] Company Highlights - **Marsh & McLennan**: Market cap of $109.1 billion, with a 13% earnings growth over the past five years and expected long-term growth of 7.3% [12] - **Arthur J. Gallagher**: Market cap of $62.67 billion, with a 20.7% earnings growth over the past five years and expected long-term growth of 11.6% [13][14] - **Brown & Brown**: Market cap of $29.84 billion, with an 18.4% earnings growth over the past five years and expected long-term growth of 11.7% [15] - **Willis Towers Watson**: Market cap of $29.51 billion, with an 8.2% earnings growth over the past five years and expected long-term growth of 12.5% [16]

Better pricing, prudent underwriting, rising demand for insurance products and global expansion have been driving revenues of Zacks Insurance Brokerage industry players. The fast-paced consolidations in this traditionally fragmented industry are expected to benefit Marsh & McLennan Companies (MMC) , Arthur J. Gallagher & Co. (AJG) , Brown & Brown, Inc. (BRO) and Willis Towers Watson Public Limited Company (WTW) .Increased digitization should help the industry to improve basis points, scale and efficiencies. ...