AFG vs. AJG: American Financial vs. Arthur J. Gallagher Stock Comparison

Company Profile

American Financial (AFG) and Arthur J. Gallagher (AJG) both belong to the Insurance industry, though AFG is classified under Property & Casualty Insurance while AJG falls under Insurance Brokers.

Price Performance

Cumulative Growth

Trailing Returns

Calendar-Year Returns

Performance Metrics

Risk Profile

Drawdown History

Return Distribution

Risk Metrics

Risk-Adjusted Performance

Risk-Return Positioning

Risk-Adjusted Metrics

Profitability

American Financial (AFG) at 21.57% is around its peer norm for ROE, while Arthur J. Gallagher (AJG) at 7.21% drops into the bottom quartile, signaling weaker returns on shareholders’ equity.

Both American Financial (AFG) at 12.28% and Arthur J. Gallagher (AJG) at 10.78% keep about the typical share of revenue as profit for their industries — neither bottom line stands out from peers.

Neither side reports a meaningful operating margin: for American Financial (AFG) in Insurance and Arthur J. Gallagher (AJG) in Insurance, funding costs are part of the core business, so net margin and ROE are the cleaner profitability reads.

Profitability Metrics

Growth

Arthur J. Gallagher (AJG) at 20.66% is around its peer norm for revenue growth, while American Financial (AFG) at -1.93% drops into the bottom quartile, signaling weaker demand or pricing momentum.

Both American Financial (AFG) at -4.57% and Arthur J. Gallagher (AJG) at -11.69% land near their industries' usual EPS growth ranges, so bottom-line momentum looks broadly in line with peers on both sides.

Growth Metrics

Financial Strength

current ratio doesn’t apply on either side: American Financial (AFG) in Insurance and Arthur J. Gallagher (AJG) in Insurance both report balance sheets without a current/non-current split, so their short-term liquidity is better judged through regulatory and funding measures.

debt-to-equity ratio is set aside for both: American Financial (AFG) in Insurance and Arthur J. Gallagher (AJG) in Insurance run businesses where balance-sheet leverage is part of the model, so capital-adequacy and funding measures are the better gauges of balance-sheet risk.

Financial Strength Metrics

Dividends

American Financial (AFG) at 2.31% delivers top-quartile income for its industry, while Arthur J. Gallagher (AJG) at 0.95% pays a more typical yield — both are credible income propositions, AFG the richer one.

American Financial (AFG) at 28.71% pays out a band-typical share of earnings, while Arthur J. Gallagher (AJG) at 41.98% distributes more than its industry norm — less retained, thinner cover.

Dividend Metrics

Valuation

American Financial (AFG) at 12.61 is near its industry’s usual P/E ratio, while Arthur J. Gallagher (AJG) at 42.99 sits above its peer range — an unusually expensive price for AJG’s trailing earnings.

American Financial (AFG) at 1.54 prices around its industry’s typical P/S ratio, while Arthur J. Gallagher (AJG) at 4.58 clears its benchmark range — AJG looks notably rich on sales.

American Financial (AFG) at 2.71 is valued about in line with its industry on P/B ratio, while Arthur J. Gallagher (AJG) at 3.00 carries an above-peer premium to book — AJG is pricier on assets.

Valuation Metrics