Professional
Added to YB: 2026-10-13
Pitch date: 2026-09-04
AJG [bullish]
Arthur J. Gallagher & Co.
-2.94%
current return
Author Info
No bio for this author
Company Info
Arthur J. Gallagher & Co., together with its subsidiaries, provides insurance and reinsurance brokerage, consulting, and third-party property/casualty claims settlement and administration services to entities and individuals worldwide.
Market Cap
$59.7B
Pitch Price
$257.68
Price Target
303.00 (+21%)
Dividend
1.20%
EV/EBITDA
16.07
P/E
38.61
EV/Sales
4.79
Sector
Insurance
Category
value
Silver Beech Capital Portfolio Holding: Arthur J. Gallagher & Co.
AJG: Arthur J. Gallagher is a resilient, acquisitive insurance broker bought at an average $209, ~16x 2026E adjusted EPS, after a >45% selloff. ~95% retention, expected 6% organic growth in 2026 and an underappreciated AssuredPartners synergy ramp support low-teens earnings-power growth; the base case projects a 20%+ IRR, including a rerating to 22x earnings as AI fears abate. Middle-market complexity mitigates disintermediation; AI should lower costs, but a deeper soft market, integration shortfalls or AI-driven commission compression could impair returns.
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