AJG vs. KNSL: A Head-to-Head Stock Comparison
Updated onHere’s a clear look at AJG and KNSL, comparing key factors like historical performance, profitability, financial strength, growth, dividend, and valuation.
Company Overview
AJG’s market capitalization of 81.47 billion USD is substantially larger than KNSL’s 11.10 billion USD, indicating a significant difference in their market valuations.
KNSL carries a higher beta at 1.20, indicating it’s more sensitive to market moves, while AJG (beta: 0.75) exhibits greater stability.
| Symbol | AJG | KNSL |
|---|---|---|
| Company Name | Arthur J. Gallagher & Co. | Kinsale Capital Group, Inc. |
| Country | US | US |
| Sector | Financial Services | Financial Services |
| Industry | Insurance - Brokers | Insurance - Property & Casualty |
| CEO | J. Patrick Gallagher Jr. | Michael Patrick Kehoe |
| Price | 318.1 USD | 476.16 USD |
| Market Cap | 81.47 billion USD | 11.10 billion USD |
| Beta | 0.75 | 1.20 |
| Exchange | NYSE | NYSE |
| IPO Date | June 20, 1984 | July 28, 2016 |
| ADR | No | No |
Historical Performance
This chart compares the performance of AJG and KNSL by tracking the growth of an initial $10,000 investment in each. Use the tabs to select the desired time period.
Data is adjusted for dividends and splits.
Profitability
Return on Equity
AJG
9.41%
Insurance - Brokers Industry
- Max
- 40.40%
- Q3
- 30.52%
- Median
- 22.48%
- Q1
- 4.38%
- Min
- -5.38%
AJG’s Return on Equity of 9.41% is on par with the norm for the Insurance - Brokers industry, indicating its profitability relative to shareholder equity is typical for the sector.
KNSL
28.14%
Insurance - Property & Casualty Industry
- Max
- 28.14%
- Q3
- 17.51%
- Median
- 12.75%
- Q1
- 8.26%
- Min
- 0.61%
In the upper quartile for the Insurance - Property & Casualty industry, KNSL’s Return on Equity of 28.14% signals a highly effective use of shareholder capital to drive profitability compared to most of its peers.
Return on Invested Capital
AJG
5.85%
Insurance - Brokers Industry
- Max
- 11.62%
- Q3
- 11.18%
- Median
- 8.38%
- Q1
- 2.57%
- Min
- -1.51%
AJG’s Return on Invested Capital of 5.85% is in line with the norm for the Insurance - Brokers industry, reflecting a standard level of efficiency in generating profits from its capital base.
KNSL
10.13%
Insurance - Property & Casualty Industry
- Max
- 21.89%
- Q3
- 10.09%
- Median
- 3.90%
- Q1
- 0.89%
- Min
- -7.26%
Return on Invested Capital is often not a primary measure of capital efficiency in the Insurance - Property & Casualty industry.
Net Profit Margin
AJG
12.96%
Insurance - Brokers Industry
- Max
- 21.33%
- Q3
- 15.86%
- Median
- 10.63%
- Q1
- 1.06%
- Min
- -2.28%
AJG’s Net Profit Margin of 12.96% is aligned with the median group of its peers in the Insurance - Brokers industry. This indicates its ability to convert revenue into profit is typical for the sector.
KNSL
24.75%
Insurance - Property & Casualty Industry
- Max
- 21.98%
- Q3
- 13.09%
- Median
- 9.18%
- Q1
- 6.10%
- Min
- 2.13%
KNSL’s Net Profit Margin of 24.75% is exceptionally high, placing it well beyond the typical range for the Insurance - Property & Casualty industry. This demonstrates outstanding operational efficiency and a strong competitive advantage in converting revenue into profit.
Operating Profit Margin
AJG
23.06%
Insurance - Brokers Industry
- Max
- 28.73%
- Q3
- 23.24%
- Median
- 21.46%
- Q1
- 10.89%
- Min
- 5.35%
AJG’s Operating Profit Margin of 23.06% is around the midpoint for the Insurance - Brokers industry, indicating that its efficiency in managing core business operations is typical for the sector.
KNSL
31.70%
Insurance - Property & Casualty Industry
- Max
- 31.70%
- Q3
- 17.32%
- Median
- 12.57%
- Q1
- 7.38%
- Min
- 4.31%
An Operating Profit Margin of 31.70% places KNSL in the upper quartile for the Insurance - Property & Casualty industry. This signals a strong ability to translate revenue into operating profit, outperforming most of its competitors in core business efficiency.
Profitability at a Glance
| Symbol | AJG | KNSL |
|---|---|---|
| Return on Equity (TTM) | 9.41% | 28.14% |
| Return on Assets (TTM) | 2.10% | 7.77% |
| Return on Invested Capital (TTM) | 5.85% | 10.13% |
| Net Profit Margin (TTM) | 12.96% | 24.75% |
| Operating Profit Margin (TTM) | 23.06% | 31.70% |
| Gross Profit Margin (TTM) | 55.08% | 100.07% |
Financial Strength
Current Ratio
AJG
1.44
Insurance - Brokers Industry
- Max
- 1.90
- Q3
- 1.76
- Median
- 1.29
- Q1
- 1.14
- Min
- 1.05
AJG’s Current Ratio of 1.44 aligns with the median group of the Insurance - Brokers industry, indicating that its short-term liquidity is in line with its sector peers.
KNSL
--
Insurance - Property & Casualty Industry
- Max
- 51.52
- Q3
- 30.84
- Median
- 20.50
- Q1
- 6.61
- Min
- 0.41
Current Ratio data for KNSL is currently unavailable.
Debt-to-Equity Ratio
AJG
0.04
Insurance - Brokers Industry
- Max
- 4.59
- Q3
- 2.12
- Median
- 0.59
- Q1
- 0.07
- Min
- 0.01
Falling into the lower quartile for the Insurance - Brokers industry, AJG’s Debt-to-Equity Ratio of 0.04 points to a conservative financing strategy. This results in lower financial risk but potentially limits strategic investments compared to more leveraged competitors.
KNSL
--
Insurance - Property & Casualty Industry
- Max
- 0.58
- Q3
- 0.36
- Median
- 0.27
- Q1
- 0.14
- Min
- 0.01
Debt-to-Equity Ratio data for KNSL is currently unavailable.
Interest Coverage Ratio
AJG
29.40
Insurance - Brokers Industry
- Max
- 29.40
- Q3
- 16.65
- Median
- 7.25
- Q1
- 4.20
- Min
- 1.60
AJG’s Interest Coverage Ratio of 29.40 is in the upper quartile for the Insurance - Brokers industry, signifying a strong and healthy capacity to meet its interest payments from operating profits.
KNSL
50.62
Insurance - Property & Casualty Industry
- Max
- 39.40
- Q3
- 22.24
- Median
- 12.38
- Q1
- 6.68
- Min
- -12.40
With an Interest Coverage Ratio of 50.62, KNSL demonstrates a superior capacity to service its debt, placing it well above the typical range for the Insurance - Property & Casualty industry. This stems from either robust earnings or a conservative debt load.
Financial Strength at a Glance
| Symbol | AJG | KNSL |
|---|---|---|
| Current Ratio (TTM) | 1.44 | -- |
| Quick Ratio (TTM) | 1.44 | -- |
| Debt-to-Equity Ratio (TTM) | 0.04 | -- |
| Debt-to-Asset Ratio (TTM) | 0.01 | -- |
| Net Debt-to-EBITDA Ratio (TTM) | -4.68 | -0.29 |
| Interest Coverage Ratio (TTM) | 29.40 | 50.62 |
Growth
The following charts compare key year-over-year (YoY) growth metrics for AJG and KNSL. These metrics are based on the companies’ annual financial reports.
Revenue Growth
Earnings Per Share (EPS) Growth
Free Cash Flow Growth
Dividend
Dividend Yield
AJG
0.79%
Insurance - Brokers Industry
- Max
- 2.63%
- Q3
- 1.34%
- Median
- 0.79%
- Q1
- 0.00%
- Min
- 0.00%
AJG’s Dividend Yield of 0.79% is consistent with its peers in the Insurance - Brokers industry, providing a dividend return that is standard for its sector.
KNSL
0.13%
Insurance - Property & Casualty Industry
- Max
- 8.17%
- Q3
- 3.10%
- Median
- 1.79%
- Q1
- 0.00%
- Min
- 0.00%
KNSL’s Dividend Yield of 0.13% is consistent with its peers in the Insurance - Property & Casualty industry, providing a dividend return that is standard for its sector.
Dividend Payout Ratio
AJG
35.97%
Insurance - Brokers Industry
- Max
- 45.22%
- Q3
- 39.19%
- Median
- 29.49%
- Q1
- 3.85%
- Min
- 0.00%
AJG’s Dividend Payout Ratio of 35.97% is within the typical range for the Insurance - Brokers industry, suggesting a balanced approach between shareholder payouts and company reinvestment.
KNSL
3.56%
Insurance - Property & Casualty Industry
- Max
- 115.20%
- Q3
- 35.27%
- Median
- 22.19%
- Q1
- 3.16%
- Min
- 0.00%
KNSL’s Dividend Payout Ratio of 3.56% is within the typical range for the Insurance - Property & Casualty industry, suggesting a balanced approach between shareholder payouts and company reinvestment.
Dividend at a Glance
| Symbol | AJG | KNSL |
|---|---|---|
| Dividend Yield (TTM) | 0.79% | 0.13% |
| Dividend Payout Ratio (TTM) | 35.97% | 3.56% |
Valuation
Price-to-Earnings Ratio
AJG
46.21
Insurance - Brokers Industry
- Max
- 45.50
- Q3
- 35.20
- Median
- 30.00
- Q1
- 28.34
- Min
- 26.42
At 46.21, AJG’s P/E Ratio is exceptionally high, exceeding the typical maximum for the Insurance - Brokers industry. This suggests the stock may be significantly overvalued compared to its peers and implies high market expectations that could be difficult to meet.
KNSL
27.23
Insurance - Property & Casualty Industry
- Max
- 35.83
- Q3
- 23.28
- Median
- 14.49
- Q1
- 11.91
- Min
- 4.47
A P/E Ratio of 27.23 places KNSL in the upper quartile for the Insurance - Property & Casualty industry. This high valuation relative to peers suggests the market holds elevated expectations for the company’s future growth.
Forward P/E to Growth Ratio
AJG
3.32
Insurance - Brokers Industry
- Max
- 3.32
- Q3
- 3.00
- Median
- 2.77
- Q1
- 2.41
- Min
- 2.09
AJG’s Forward PEG Ratio of 3.32 is exceptionally high for the Insurance - Brokers industry. This suggests its stock price is very high relative to its expected earnings growth, signaling significant overvaluation risk.
KNSL
1.95
Insurance - Property & Casualty Industry
- Max
- 2.53
- Q3
- 1.90
- Median
- 1.33
- Q1
- 0.86
- Min
- 0.01
A Forward PEG Ratio of 1.95 places KNSL in the upper quartile for the Insurance - Property & Casualty industry. This suggests the stock is potentially expensive compared to its peers relative to its growth forecast, which may warrant caution.
Price-to-Sales Ratio
AJG
6.77
Insurance - Brokers Industry
- Max
- 7.38
- Q3
- 5.34
- Median
- 4.27
- Q1
- 2.32
- Min
- 0.27
AJG’s P/S Ratio of 6.77 is in the upper echelon for the Insurance - Brokers industry. This means the company is valued richly on its revenue stream compared to its peers, suggesting the stock is priced for a high level of future performance.
KNSL
6.78
Insurance - Property & Casualty Industry
- Max
- 3.76
- Q3
- 2.39
- Median
- 1.80
- Q1
- 1.01
- Min
- 0.50
The P/S Ratio is often not a primary valuation tool in the Insurance - Property & Casualty industry.
Price-to-Book Ratio
AJG
3.23
Insurance - Brokers Industry
- Max
- 10.90
- Q3
- 8.10
- Median
- 6.93
- Q1
- 4.15
- Min
- 1.12
AJG’s P/B Ratio of 3.23 is in the lower quartile for the Insurance - Brokers industry. From a value investing perspective, this is favorable, as it suggests the stock is trading at a discount to its net asset value and may offer a greater margin of safety.
KNSL
6.97
Insurance - Property & Casualty Industry
- Max
- 5.34
- Q3
- 2.95
- Median
- 1.92
- Q1
- 1.31
- Min
- 0.52
At 6.97, KNSL’s P/B Ratio is at an extreme premium to the Insurance - Property & Casualty industry. This signifies that the market’s valuation is heavily reliant on future potential rather than its current net asset value, which can be a high-risk proposition.
Valuation at a Glance
| Symbol | AJG | KNSL |
|---|---|---|
| Price-to-Earnings Ratio (P/E, TTM) | 46.21 | 27.23 |
| Forward PEG Ratio (TTM) | 3.32 | 1.95 |
| Price-to-Sales Ratio (P/S, TTM) | 6.77 | 6.78 |
| Price-to-Book Ratio (P/B, TTM) | 3.23 | 6.97 |
| Price-to-Free Cash Flow Ratio (P/FCF, TTM) | 32.26 | 11.52 |
| EV-to-EBITDA (TTM) | 19.36 | 22.24 |
| EV-to-Sales (TTM) | 5.46 | 6.69 |