Arthur J. Gallagher vs Willis Towers Watson
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The short version
- Arthur J. Gallagher is the larger business, with $13.9B of revenue in fiscal 2025 against $9.7B for Willis Towers Watson.
- Arthur J. Gallagher grew revenue faster (20.7%, against −2.2%).
- Willis Towers Watson turned more of its sales into free cash flow (15.9% FCF margin, against 12.8%).
- Willis Towers Watson earned a higher return on the capital invested in it (12.8%, against 9.9%).
- Investors pay more for each dollar of Arthur J. Gallagher’s earnings: a P/E of 44.5x against 20.1x for Willis Towers Watson.
| Latest fiscal year | AJG · FY25 | WTW · FY25 |
|---|---|---|
| Size | ||
| Market cap | $68.8B | $30.6B |
| Revenue | $13.9B | $9.7B |
| Free cash flow | $1.8B | $1.5B |
| Net income | $1.5B | $1.6B |
| Growth | ||
| Revenue growth | 20.7% | −2.2% |
| 5-year growth | 14.8% | 2.4% |
| Share count change | 16.2% | −2.9% |
| Profitability | ||
| Gross margin | — | — |
| Operating margin | — | 23.0% |
| Net margin | 10.7% | 16.5% |
| FCF margin | 12.8% | 15.9% |
| Return on capital | 9.9% | 12.8% |
| Return on equity | 6.9% | 20.2% |
| Balance sheet | ||
| Net debt | $12.1B | $6.5B |
| Net debt / EBITDA | 3.3x | 2.5x |
| Dividends and buybacks | $667M | $2.0B |
| Valuation & quality | ||
| P/E | 44.5x | 20.1x |
| Piotroski F-score | 3 | 7 |
Revenue
FY16
AJG $5.6B
WTW $7.9B
FY17
AJG $6.2B
WTW $8.2B
FY18
AJG $6.9B
WTW $8.5B
FY19
AJG $7.2B
WTW $8.4B
FY20
AJG $7.0B
WTW $8.6B
FY21
AJG $8.2B
WTW $9.0B
FY22
AJG $8.6B
WTW $8.9B
FY23
AJG $10.1B
WTW $9.5B
FY24
AJG $11.6B
WTW $9.9B
FY25
AJG $13.9B
WTW $9.7B
AJG
WTW
Operating margin
FY16
AJG —
WTW 4.4%
FY17
AJG —
WTW 6.3%
FY18
AJG —
WTW 9.5%
FY19
AJG —
WTW 12.6%
FY20
AJG —
WTW 10.0%
FY21
AJG —
WTW 24.5%
FY22
AJG —
WTW 13.3%
FY23
AJG —
WTW 14.4%
FY24
AJG —
WTW 6.3%
FY25
AJG —
WTW 23.0%
AJG
WTW
Free cash flow
FY16
AJG $432M
WTW $715M
FY17
AJG $725M
WTW $562M
FY18
AJG $641M
WTW $1.0B
FY19
AJG $1.1B
WTW $1.0B
FY20
AJG $1.7B
WTW $1.7B
FY21
AJG $1.3B
WTW $2.0B
FY22
AJG $1.2B
WTW $746M
FY23
AJG $1.8B
WTW $1.1B
FY24
AJG $2.4B
WTW $1.3B
FY25
AJG $1.8B
WTW $1.5B
AJG
WTW
Return on capital
FY16
AJG 12.1%
WTW —
FY17
AJG 12.5%
WTW —
FY18
AJG 14.9%
WTW 4.5%
FY19
AJG 16.8%
WTW 5.2%
FY20
AJG 19.3%
WTW 3.8%
FY21
AJG 16.7%
WTW 11.0%
FY22
AJG 15.5%
WTW 6.5%
FY23
AJG 12.5%
WTW 7.3%
FY24
AJG 22.2%
WTW 2.1%
FY25
AJG 9.9%
WTW 12.8%
AJG
WTW
Each company's latest fiscal year; fiscal years end in different months. The best value in each row is highlighted where higher (or lower) is clearly better. Not investment advice.