Head-To-Head Comparison: Corebridge Financial (NYSE:CRBG) versus Arthur J. Gallagher & Co. (NYSE:AJG)

Arthur J. Gallagher & Co. (NYSE:AJG) and Corebridge Financial (NYSE:CRBG) are both large-cap finance companies, but which is the superior stock? We will contrast the two companies based on the strength of their earnings, risk, profitability, dividends, valuation, analyst recommendations and institutional ownership.

Institutional & Insider Ownership

85.5% of Arthur J. Gallagher & Co. shares are owned by institutional investors. Comparatively, 98.3% of Corebridge Financial shares are owned by institutional investors. 1.4% of Arthur J. Gallagher & Co. shares are owned by company insiders. Comparatively, 0.3% of Corebridge Financial shares are owned by company insiders. Strong institutional ownership is an indication that endowments, large money managers and hedge funds believe a company will outperform the market over the long term.

Profitability

This table compares Arthur J. Gallagher & Co. and Corebridge Financial’s net margins, return on equity and return on assets.

	Net Margins	Return on Equity	Return on Assets
Arthur J. Gallagher & Co.	9.96%	13.28%	4.03%
Corebridge Financial	4.37%	17.37%	0.52%

Risk and Volatility

Arthur J. Gallagher & Co. has a beta of 0.5, suggesting that its share price is 50% less volatile than the S&P 500. Comparatively, Corebridge Financial has a beta of 1.08, suggesting that its share price is 8% more volatile than the S&P 500.

Dividends

Arthur J. Gallagher & Co. pays an annual dividend of $2.80 per share and has a dividend yield of 1.2%. Corebridge Financial pays an annual dividend of $1.00 per share and has a dividend yield of 2.9%. Arthur J. Gallagher & Co. pays out 46.4% of its earnings in the form of a dividend. Corebridge Financial pays out 58.5% of its earnings in the form of a dividend. Both companies have healthy payout ratios and should be able to cover their dividend payments with earnings for the next several years. Arthur J. Gallagher & Co. has increased its dividend for 15 consecutive years and Corebridge Financial has increased its dividend for 1 consecutive years.

Analyst Ratings

This is a summary of recent recommendations for Arthur J. Gallagher & Co. and Corebridge Financial, as provided by MarketBeat.com.

	Sell Ratings	Hold Ratings	Buy Ratings	Strong Buy Ratings	Rating Score
Arthur J. Gallagher & Co.	0	5	14	0	2.74
Corebridge Financial	0	6	9	0	2.60

Arthur J. Gallagher & Co. presently has a consensus price target of $288.17, suggesting a potential upside of 24.72%. Corebridge Financial has a consensus price target of $37.42, suggesting a potential upside of 7.33%. Given Arthur J. Gallagher & Co.’s stronger consensus rating and higher probable upside, equities research analysts clearly believe Arthur J. Gallagher & Co. is more favorable than Corebridge Financial.

Valuation and Earnings

This table compares Arthur J. Gallagher & Co. and Corebridge Financial”s gross revenue, earnings per share and valuation.

	Gross Revenue	Price/Sales Ratio	Net Income	Earnings Per Share	Price/Earnings Ratio
Arthur J. Gallagher & Co.	$13.94 billion	4.25	$1.49 billion	$6.03	38.32
Corebridge Financial	$20.46 billion	0.76	-$366.00 million	$1.71	20.39

Arthur J. Gallagher & Co. has higher earnings, but lower revenue than Corebridge Financial. Corebridge Financial is trading at a lower price-to-earnings ratio than Arthur J. Gallagher & Co., indicating that it is currently the more affordable of the two stocks.

Summary

Arthur J. Gallagher & Co. beats Corebridge Financial on 12 of the 17 factors compared between the two stocks.

About Arthur J. Gallagher & Co.

Arthur J. Gallagher & Co. engages in the provision of insurance brokerage, reinsurance brokerage, consulting, and third-party claims settlement and administration services. It operates through the following segments: Brokerage, Risk Management, and Corporate. The Brokerage segment consists of retail and wholesale insurance brokerage operations. The Risk Management segment provides contract claim settlement and administration services. The Corporate segment manages clean energy and other investments. The company was founded by Arthur J. Gallagher in 1927 and is headquartered in Rolling Meadows, IL.

About Corebridge Financial

Corebridge Financial, Inc. provides retirement solutions and insurance products in the United States. The company operates through Individual Retirement, Group Retirement, Life Insurance, and Institutional Markets segments. The Individual Retirement segment provides fixed annuities, fixed index annuities, variable annuities, and retail mutual funds. The Group Retirement segment offers record-keeping services, plan administration and compliance services, and financial planning and advisory solutions to employer-defined contribution plans and their participants, as well as proprietary and non-proprietary annuities, advisory services, and brokerage products. The Life Insurance segment offers term life and universal life insurance in the United States, as well as issues individual life, whole life, and group life insurance in the United Kingdom; and distributes medical insurance in Ireland. The Institutional Markets segment provides stable value wraps, structured settlement and pension risk transfer annuities, corporate and bank owned life insurance, private placement variable universal life and annuities products, and guaranteed investment contracts. The company was formerly known as SAFG Retirement Services, Inc. Corebridge Financial, Inc. was incorporated in 1998 and is headquartered in Houston, Texas. The company operates as a subsidiary of American International Group, Inc.