Arthur J. Gallagher price target raised to $325 from $312 at BMO Capital

BMO Capital raised the firm’s price target on Arthur J. Gallagher (AJG) to $325 from $312 and keeps an Outperform rating on the shares. The firm remains several points above consensus in outer periods, largely due to higher inorganic forecasts, and to a lesser extent, slightly higher organic growth, the analyst tells investors in a research note. Insurance carriers are still facing inflation catch-up, making the likelihood of continued rate increases as high and enabling continued material upwards EPS revisions, BMO added.