Arthur J. Gallagher price target raised to $293 from $271 at BofA

BofA analyst Joshua Shanker raised the firm’s price target on Arthur J. Gallagher to $293 from $271 and keeps an Underperform rating on the shares. Insurance brokers continue to be “generally upbeat” regarding 2024 organic growth guidance, says the analyst, who broadly expects large-cap broker organic growth to remain above average in Q3. However, the firm models the group’s underlying growth to gradually slow towards long-term averages over 2025-26, the analyst tells investors in a preview for the group. Target changes in the group reflect events occurring during the quarter and broad market P/E multiple expansion, the analyst noted.

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