Arthur J. Gallagher & (AJG) Stock Fundamentals, Analysis & Risk Signals

Health score, price, valuation, risk signals, and key metrics at a glance.

Arthur J. Gallagher &

NYSE•Financial Services•Insurance Brokers

$241.41-2.37(-0.01%)After hours

Market Cap

$61.97B

P/E

39.5x

P/S

3.9x

P/B

2.6x

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. The company operates in Brokerage and Risk Management segments. Its Brokerage segment offers retail and wholesale insurance and reinsurance brokerage services; assists retail brokers and other non-affiliated brokers in the placement of specialized and hard-to-place insurance; and acts as a brokerage wholesaler, managing general agent, and managing general underwriter for distributing specialized insurance coverages to underwriting enterprises. This segment performs activities, including marketing, underwriting, issuing policies, collecting premiums, appointing and supervising other agents, paying claims, and negotiating reinsurance; and offers services in the areas of insurance and reinsurance placement, risk of loss management, and management of employer sponsored benefit programs. The Risk Management segment provides contract claim settlement and administration services; and claims management, loss control consulting, and insurance property appraisal services. The company offers its services through a network of correspondent brokers and consultants. It serves commercial, industrial, public, religious, and nonprofit entities, as well as underwriting enterprises. The company was founded in 1927 and is headquartered in Rolling Meadows, Illinois.

How this company scores

GoodMetricSide Score: 63/100

Strongest: Cash & Earnings Quality (23/25); weakest: Profitability (10/25).

Profitability10/25

Growth16/25

Balance Sheet & Red Flags14/25

Cash & Earnings Quality23/25

Strengths

Growing revenueRising free cash flowCash-backed earningsConsistent growth

Valuation vs. 5-year range

Today's multiple positioned against its own trailing range — a visual premium/discount check.

P/E · 39.5x5y range 32.4x – 56.4x

Currently near its 20-quarter median.

P/S · 3.9x5y range 3.7x – 7.3x

Currently near its 20-quarter median.

P/B · 2.6x5y range 2.3x – 5.1x

Watch items

Data-driven signals worth keeping an eye on across the last 8 quarters

High Risk

Margin Pressure

Red Flag

Operating margins dropped 26.5% over recent quarters — a sharp decline suggesting serious cost or pricing challenges.

Cash Burn

Watch

FCF turned negative in 2 of the last 8 quarters — occasional cash consumption.

Price & Volume

Market Cap $61.97B

Metrics at a Glance

as of June 2026

Revenue & Profit

Revenue, EBITDA, operating income, net income, EPS, and shares

TTM Revenue: $15.75B
Q. Revenue: $4.00B
TTM EBITDA: $2.21B
TTM Op. Income: $1.98B
Q. Op. Income: $414.00M
TTM Net Income: $1.57B
Q. Net Income: $324.00M
EPS: $1.26
Shares Out.: $256.70M

$15.75B in TTM revenue grew 26.3% YoY, reaching $4.00B last quarter. TTM EBITDA of $2.21B and TTM operating income of $1.98B show growth is flowing through to the bottom line. TTM net income of $1.57B means revenue is converting into profit. Across the last 8 quarters, TTM revenue has risen for 7 consecutive quarters — an improving trend.

Margins

Gross, EBITDA, operating, and net margin trends

EBITDA Margin: 11.8%
Op. Margin: 10.3%
Net Margin: 8.1%

Op. margin of 10.3% is down 4.3% YoY — costs are rising relative to revenue. Net margin at 8.1% Over the past year, operating margin is down 29% — a weakening trend.

Price Ratios

P/E, P/S, P/B, EV/EBITDA, FCF yield, and earnings yield

P/E Ratio: 39.5x
P/S Ratio: 3.9x
P/B Ratio: 2.6x

At 39.5x P/E, the stock trades above typical market levels — the market expects above-average growth. P/S of 3.9x and P/B of 2.6x provide additional context. Use the growth and margin sections to judge whether the multiple is justified. Over the past year, P/E is down 21% — a weakening trend.

Assets & Liabilities

Total assets, cash, debt, book value, and leverage

Total Assets: $81.81B
Cash: N/A
Long-Term Debt: $11.96B
Book Value: $23.72B
D/E Ratio: 0.5
Debt/EBITDA: 25.4

With $81.81B in assets and $11.96B in long-term debt, D/E is 0.5and book value is $23.72B — a conservative capital structure with a cushion to weather downturns. Across the last 8 quarters, debt/equity has fallen for 7 consecutive quarters — an improving trend.

Cash Flow

Operating cash flow, free cash flow, FCF margin, and earnings quality

Op. Cash Flow: $10.00M
TTM Free Cash Flow: $2.29B
FCF Margin: 14.5%
FCF / Net Income: 1.5

TTM FCF of $2.29B on $10.00M in operating cash flow. The FCF / Net Income ratio of 1.5x means free cash flow covers net income — earnings are backed by cash. Across the last 8 quarters, free cash flow has risen for 3 consecutive quarters — an improving trend.