Arthur J. Gallagher (AJG) Q1 Earnings Surpass Estimates

Core Insights - Arthur J. Gallagher (AJG) reported quarterly earnings of $3.67 per share, exceeding the Zacks Consensus Estimate of $3.57 per share, and showing an increase from $3.49 per share a year ago, representing an earnings surprise of 2.80% [1] - The company posted revenues of $3.68 billion for the quarter ended March 2025, which was below the Zacks Consensus Estimate by 1.75%, but up from $3.22 billion year-over-year [2] - The stock has increased approximately 13% since the beginning of the year, contrasting with a -5.3% decline in the S&P 500 [3] Earnings Outlook - The current consensus EPS estimate for the upcoming quarter is $2.31 on revenues of $3.19 billion, and for the current fiscal year, it is $11.12 on revenues of $13.77 billion [7] - The estimate revisions trend for Arthur J. Gallagher is mixed, leading to a Zacks Rank 3 (Hold), indicating expected performance in line with the market [6] Industry Context - The Insurance - Brokerage industry is currently ranked in the bottom 14% of over 250 Zacks industries, suggesting potential challenges for stock performance [8] - Empirical research indicates a strong correlation between near-term stock movements and trends in earnings estimate revisions, which can be tracked by investors [5]