Back to top

Analyst Blog

This page is temporarily not available.  Please check later as it should be available shortly. If you have any questions, please email customer support at or call 800-767-3771 ext.  9339.

In its sustained effort to ramp up its inorganic growth story, Arthur J. Gallagher & Co. (AJG - Snapshot Report) acquired Belmont International for an undisclosed amount. Though the stock tumbled 0.8% the following day, it again gained 0.3% on Sep 20. We believe the fluctuations were likely due to broader market fundamentals. Year to date, the stock has gained nearly 28.4%.

Based in Kent, England and founded in 1988, Belmont offers retail insurance and employee benefit products and services in the U.K., with heightened focus on coverage for the passenger transportation, real estate and renewable energy industries.

Addition of Belmont to Arthur J. Gallagher & Co.’s portfolio will leverage the latter’s foothold in southeastern U.K. and also enhance its product portfolio.

Earlier this month, Arthur J. Gallagher & Co. announced the acquisition of Eau Claire, Wis.-based R. W. Scobie, Inc. to augment its wholesale network.

Arthur J. Gallagher & Co. has been consistently following the inorganic path to ramp up its growth profile. Till date, in the third quarter, Arthur J. Gallagher & Co. has announced eight acquisitions. In the last reported quarter, the company closed five acquisitions with annualized revenues totaling $35.9 million. The company’s strong financial position continues to support its robust acquisition strategy.

Among other insurance brokers, in August, Mercer, consulting wing of Marsh & McLennan Companies Inc. (MMC - Analyst Report) announced its intention to purchase the pension wind-up operations of PricewaterhouseCoopers (PwC) in Canada in a bid to expand its operations in the country. Brown & Brown Inc. (BRO - Snapshot Report) closed its merger with Beecher Carlson Holdings, Inc. in July.

Arthur J. Gallagher & Co. presently carries a Zacks Rank #3 (Hold). The company has been witnessing rising earnings estimates. We expect the momentum to continue given its impressive inorganic growth story.

In the insurance space, property and casualty insurer AmTrust Financial Services, Inc. (AFSI - Snapshot Report) also has a strong history of acquisitions. Recently, AmTrust Financial inked a deal to buy the Insco Dico Group (Insco Dico) for about $85 million in an effort to strengthen its foothold in the domestic surety insurance market.

Please login to or register to post a comment.

New to Zacks?

Start Here

Zacks Investment Research


Are you a new Zacks Member or a visitor to

Top Zacks Features

Learn more

Start for as little as $4.50 per trade.

My Portfolio Tracker

Is it Time to Sell?

One of the most important steps you can take today is to set up your portfolio tracker on Once you do, you'll be notified of major events affecting your stocks and/or funds with daily email alerts.

More Zacks Resources

Zacks Rank Home - Evaluate your stocks and use the Zacks Rank to eliminate the losers and keep the winners.

Mutual Fund Rank Home - Evaluate your funds with the Mutual Fund Rank for both your personal and retirement funds.

Stock/Mutual Fund Screening - Find better stocks and mutual funds. The ones most likely to beat the market and provide a positive return.

My Portfolio - Track your Portfolio and find out where your stocks/mutual funds stack up with the Zacks Rank.

Zacks #1 Rank Top Movers for Zacks #1 Rank Top Movers

Company Symbol Price %Chg
VERTEX ENERG VTNR 8.25 +10.59%
MODINE MANUF MOD 17.12 +8.77%
CLAYTON WILL CWEI 140.03 +7.27%
E*TRADE FINA ETFC 22.67 +5.44%