Arthur J Gallagher & Co (AJG)vsErie Indemnity Company (ERIE)
AJG
Arthur J Gallagher & Co
$216.28
-0.21%
FINANCIAL SERVICES · Cap: $55.23B
ERIE
Erie Indemnity Company
$240.53
-2.18%
FINANCIAL SERVICES · Cap: $12.58B
Smart Verdict
WallStSmart Research — data-driven comparison
Arthur J Gallagher & Co generates 220% more annual revenue ($13.01B vs $4.07B). ERIE leads profitability with a 13.8% profit margin vs 11.5%. AJG appears more attractively valued with a PEG of 0.93. AJG earns a higher WallStSmart Score of 60/100 (C).
AJG
Buy60
out of 100
Grade: C
ERIE
Hold49
out of 100
Grade: D+
Intrinsic Value Comparison
Multi-model valuation · Graham Formula
Margin of Safety
-426.0%
Fair Value
$39.03
Current Price
$216.28
$177.25 premium
Margin of Safety
-285.5%
Fair Value
$72.76
Current Price
$240.53
$167.77 premium
Key Strengths & Concerns
Side-by-side fundamental analysis
Key Strengths
Revenue surging 36.7% year-over-year
Large-cap with strong market position
Growing faster than its price suggests
Reasonable price relative to book value
Safe zone — low bankruptcy risk
Every $100 of equity generates 26 in profit
Areas to Watch
Premium valuation, high expectations priced in
ROE of 6.9% — below average capital efficiency
Earnings declined 48.3%
Distress zone — elevated risk
2.9% revenue growth
Weak financial health signals
Expensive relative to growth rate
Earnings declined 58.4%
Comparative Analysis Report
WallStSmart ResearchBull Case : AJG
The strongest argument for AJG centers on Revenue Growth, Market Cap, PEG Ratio. Revenue growth of 36.7% demonstrates continued momentum. PEG of 0.93 suggests the stock is reasonably priced for its growth.
Bull Case : ERIE
The strongest argument for ERIE centers on Altman Z-Score, Return on Equity.
Bear Case : AJG
The primary concerns for AJG are P/E Ratio, Return on Equity, EPS Growth.
Bear Case : ERIE
The primary concerns for ERIE are Revenue Growth, Piotroski F-Score, PEG Ratio.
Key Dynamics to Monitor
AJG profiles as a growth stock while ERIE is a value play — different risk/reward profiles.
AJG carries more volatility with a beta of 0.67 — expect wider price swings.
AJG is growing revenue faster at 36.7% — sustainability is the question.
AJG generates stronger free cash flow (713M), providing more financial flexibility.
Bottom Line
AJG scores higher overall (60/100 vs 49/100) and 36.7% revenue growth. Both earn "Buy" and "Hold" ratings respectively — the choice depends on your investment horizon and risk tolerance.
This analysis is generated from publicly available financial data. Not financial advice.
Arthur J Gallagher & Co
FINANCIAL SERVICES · INSURANCE BROKERS · USA
Arthur J. Gallagher & Co. (AJG) is an American global insurance brokerage and risk management services firm headquartered in Rolling Meadows, Illinois.
Erie Indemnity Company
FINANCIAL SERVICES · INSURANCE BROKERS · USA
Erie Indemnity Company is an administrative agent for underwriters on the Erie Insurance Exchange in the United States. The company is headquartered in Erie, Pennsylvania.
Compare with Other INSURANCE BROKERS Stocks
Want to dig deeper into these stocks?