Pricing Log in Create free account

Arthur J. Gallagher & Co. (AJG) vs Marsh (MRSH)

Arthur J. Gallagher & Co. and Marsh are both Insurance Brokers companies. Marsh is the larger, with a market value of $99.6B against $73.9B — 1.3× the size. Marsh trades at the lower P/E: 24.8× against 43.4×. Arthur J. Gallagher & Co. grew revenue faster over the last twelve months: 25.6% against 7.58%. Marsh has the higher net margin (14.2% vs 10.4%) and the higher return on invested capital (19.3% vs 5.07%). Both pay a dividend; Marsh yields more (1.81% vs 0.96%). Across the 21 metrics below, Marsh leads on 17 and Arthur J. Gallagher & Co. on 4.

Valuation

Metric AJG MRSH Insurance Brokers median
P/E 43.38 24.83 22.14
P/S 4.51 3.49 2.91
P/B 3.07 6.66 3.02
Price to free cash flow 32.32 23.90 22.32
EV/EBITDA — — —
EV/Sales — — —
Earnings yield 2.31% 4.03% 3.41%
Free cash flow yield 3.09% 4.18% 3.09%

Profitability

Metric AJG MRSH Insurance Brokers median
Gross margin 43.22% 100.00% 49.54%
Operating margin 17.15% 21.39% 15.76%
Net margin 10.38% 14.20% 8.19%
Free cash flow margin 0.00% 14.60% 3.58%
Return on equity 7.18% 26.70% 2.99%
Return on assets 2.15% 6.82% 2.33%
Return on invested capital 5.07% 19.33% 5.64%

Growth

Metric AJG MRSH Insurance Brokers median
Revenue growth (TTM) 25.58% 7.58% 9.77%
EPS growth (last fiscal year) (11.69%) 3.06% (8.67%)
Revenue growth, 5-year CAGR 14.76% 9.39% 9.30%
Net income growth, 5-year CAGR 12.78% 15.59% 0.00%

Health

Metric AJG MRSH Insurance Brokers median
Debt to equity 0.49 1.27 0.49
Current ratio 1.05 1.09 1.54
Net debt to EBITDA 2.95 0.58 1.20

Dividend

Metric AJG MRSH Insurance Brokers median
Dividend yield 0.96% 1.81% 1.01%
Payout ratio 0.42 0.45 0.33

Size

Metric AJG MRSH Insurance Brokers median
Market cap 73.88b 99.59b 2.41b

Compare with another peer

Any metric, up to five companies and an Excel export Powerpack