Arthur J Gallagher & Co. (AJG) intrinsic value & 10-year financials
Arthur J Gallagher & Co. (AJG) has a Graham intrinsic value of $146.98 per share. At $254.88 on Oct 17, 2026, the stock trades 73% above that value. Over the last 10 fiscal years revenue grew 10.5% a year to $13.9B, with an average return on invested capital of 7.5%.
- Graham intrinsic value
- $146.98
- Share price (Oct 17, 2026)
- $254.88
- Price vs Graham value
- 73% above
- Market cap
- $66.3B
- Revenue (FY2025)
- $13.9B
- Revenue growth (10-yr CAGR)
- 10.5%
- ROIC (10-yr avg)
- 7.5%
- Free cash flow (FY2025)
- —
AJG 10-year financial history
| Fiscal year | Revenue | Net income | EPS (diluted) | Free cash flow | Operating margin | ROIC |
|---|---|---|---|---|---|---|
| FY2025 | $13.9B | $1.5B | $5.74 | — | — | 5.6% |
| FY2024 | $11.6B | $1.5B | $6.50 | — | — | 8.1% |
| FY2023 | $10.1B | $969.5M | $4.42 | — | — | 5.9% |
| FY2022 | $8.6B | $1.1B | $5.19 | — | — | 7.6% |
| FY2021 | $8.2B | $906.8M | $4.37 | — | — | 7.4% |
| FY2020 | $7.0B | $818.8M | $4.20 | — | — | 8.4% |
| FY2019 | $7.2B | $668.8M | $3.52 | — | — | 8.0% |
| FY2018 | $6.9B | $633.5M | $3.40 | — | — | 9.2% |
| FY2017 | $6.2B | $463.1M | $2.54 | — | — | 7.6% |
| FY2016 | $5.7B | $414.4M | $2.32 | $431.8M | — | 7.2% |
Source: annual 10-K filings on SEC EDGAR. Figures in USD.
Executive summary
Arthur J. Gallagher & Co. is a consistent compounder, expanding top-line revenue at 10.5% annually over the past decade.
Arthur J. Gallagher & Co. has historically struggled to out-earn its cost of capital, averaging just 7.5% ROIC.
Over the decade, Arthur J. Gallagher & Co. shows that the company has leveraged its balance sheet to sustain operations.
Benjamin Graham lens
Under Benjamin Graham's formula using SEC EDGAR fundamentals, Arthur J. Gallagher & Co. is modeled at 10.6% normalized earnings growth with a 5.1% bond-yield adjustment. The resulting Graham intrinsic value estimate is $146.98 per share.