WallStSmart

Arthur J Gallagher & Co (AJG)vsMarsh & McLennan Companies, Inc. (MRSH)

VS

Smart Verdict

WallStSmart Research — data-driven comparison

Marsh & McLennan Companies, Inc. generates 94% more annual revenue ($27.52B vs $14.20B). MRSH leads profitability with a 14.3% profit margin vs 11.4%. AJG appears more attractively valued with a PEG of 0.88. AJG earns a higher WallStSmart Score of 72/100 (B).

AJG

Strong Buy

72

out of 100

Grade: B

Growth: 8.7Profit: 6.0Value: 5.7Quality: 4.3
Piotroski: 4/9Altman Z: 0.76

MRSH

Buy

58

out of 100

Grade: C

Growth: 4.7Profit: 7.5Value: 5.0Quality: 5.0

Key Strengths & Concerns

Side-by-side fundamental analysis

Key Strengths

AJG5 strengths · Avg: 8.6/10
Revenue GrowthGrowth
34.6%10/10

Revenue surging 34.6% year-over-year

Market CapQuality
$51.10B9/10

Large-cap with strong market position

PEG RatioValuation
0.888/10

Growing faster than its price suggests

Price/BookValuation
2.1x8/10

Reasonable price relative to book value

Operating MarginProfitability
28.2%8/10

Strong operational efficiency at 28.2%

MRSH3 strengths · Avg: 8.7/10
Market CapQuality
$80.06B9/10

Large-cap with strong market position

Return on EquityProfitability
27.6%9/10

Every $100 of equity generates 28 in profit

Operating MarginProfitability
24.3%8/10

Strong operational efficiency at 24.3%

Areas to Watch

AJG3 concerns · Avg: 3.0/10
P/E RatioValuation
32.2x4/10

Premium valuation, high expectations priced in

Return on EquityProfitability
7.0%3/10

ROE of 7.0% — below average capital efficiency

Altman Z-ScoreHealth
0.762/10

Distress zone — elevated risk

MRSH3 concerns · Avg: 2.7/10
PEG RatioValuation
1.624/10

Expensive relative to growth rate

EPS GrowthGrowth
-15.4%2/10

Earnings declined 15.4%

Free Cash FlowQuality
$-750.00M2/10

Negative free cash flow — burning cash

Comparative Analysis Report

WallStSmart Research

Bull Case : AJG

The strongest argument for AJG centers on Revenue Growth, Market Cap, PEG Ratio. Revenue growth of 34.6% demonstrates continued momentum. PEG of 0.88 suggests the stock is reasonably priced for its growth.

Bull Case : MRSH

The strongest argument for MRSH centers on Market Cap, Return on Equity, Operating Margin.

Bear Case : AJG

The primary concerns for AJG are P/E Ratio, Return on Equity, Altman Z-Score.

Bear Case : MRSH

The primary concerns for MRSH are PEG Ratio, EPS Growth, Free Cash Flow.

Key Dynamics to Monitor

AJG profiles as a growth stock while MRSH is a value play — different risk/reward profiles.

MRSH carries more volatility with a beta of 0.64 — expect wider price swings.

AJG is growing revenue faster at 34.6% — sustainability is the question.

AJG generates stronger free cash flow (713M), providing more financial flexibility.

Bottom Line

AJG scores higher overall (72/100 vs 58/100) and 34.6% revenue growth. Both earn "Strong Buy" and "Buy" 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.

Marsh & McLennan Companies, Inc.

FINANCIAL SERVICES · INSURANCE BROKERS · USA

Marsh & McLennan Companies, Inc., a professional services company, provides advisory services and insurance solutions to clients in the areas of risk, strategy, and people globally. The company is headquartered in New York, New York.

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