BMO Capital Markets Upgrades Marsh & McLennan Companies (NYSE:MRSH) to "Outperform"

Key Points

• BMO Capital Markets upgraded Marsh & McLennan to “Outperform” from “Market Perform” and set a $230 price target, implying 11.83% upside from the prior close.
• Analyst sentiment remains mixed: the stock has a consensus rating of “Hold” and an average price target of $205.84, despite several firms recently raising their targets.
• Marsh & McLennan reported quarterly EPS of $2.03, beating estimates by $0.07, while revenue rose 8.1% year over year to $6.86 billion. Shares opened at $205.66, near their 52-week high of $206.49.

Marsh & McLennan Companies (NYSE:MRSH - Get Free Report) was upgraded by BMO Capital Markets from a "market perform" rating to an "outperform" rating in a research note issued to investors on Tuesday, Briefing.com reports. The firm currently has a $230.00 price target on the financial services provider's stock. BMO Capital Markets's price objective would suggest a potential upside of 11.83% from the stock's previous close.

Other equities research analysts have also recently issued reports about the stock. Cantor Fitzgerald raised their price target on shares of Marsh & McLennan Companies from $212.00 to $218.00 and gave the stock an "overweight" rating in a report on Tuesday, July 21st. The Goldman Sachs Group dropped their price objective on shares of Marsh & McLennan Companies from $197.00 to $191.00 and set a "neutral" rating on the stock in a report on Thursday, October 1st. Jefferies Financial Group reduced their target price on Marsh & McLennan Companies from $193.00 to $188.00 and set a "hold" rating for the company in a research note on Wednesday, September 30th. Wells Fargo & Company raised their target price on Marsh & McLennan Companies from $183.00 to $197.00 and gave the company an "equal weight" rating in a research note on Friday, October 16th. Finally, Mizuho boosted their target price on Marsh & McLennan Companies from $190.00 to $200.00 and gave the company a "neutral" rating in a research report on Monday, October 19th. Two research analysts have rated the stock with a Strong Buy rating, seven have assigned a Buy rating, nine have issued a Hold rating and two have assigned a Sell rating to the stock. Based on data from MarketBeat, the company presently has a consensus rating of "Hold" and an average price target of $205.84.

Marsh & McLennan Companies Stock Performance

Shares of MRSH opened at $205.66 on Tuesday. Marsh & McLennan Companies has a 52-week low of $156.60 and a 52-week high of $206.49. The company has a debt-to-equity ratio of 1.27, a quick ratio of 1.09 and a current ratio of 1.09. The firm has a 50 day simple moving average of $182.64. The firm has a market capitalization of $97.80 billion, a price-to-earnings ratio of 24.60, a PEG ratio of 2.60 and a beta of 0.59.

Marsh & McLennan Companies (NYSE:MRSH - Get Free Report) last announced its quarterly earnings data on Thursday, October 15th. The financial services provider reported $2.03 EPS for the quarter, topping the consensus estimate of $1.96 by $0.07. The company had revenue of $6.86 billion during the quarter. Marsh & McLennan Companies had a net margin of 14.20% and a return on equity of 33.32%. The firm's revenue for the quarter was up 8.1% on a year-over-year basis. Research analysts predict that Marsh & McLennan Companies will post 10.48 EPS for the current fiscal year.

Insider Buying and Selling at Marsh & McLennan Companies

In related news, CEO Dean Klisura sold 4,194 shares of the business's stock in a transaction dated Friday, October 23rd. The shares were sold at an average price of $200.00, for a total transaction of $838,800.00. Following the transaction, the chief executive officer directly owned 20,935 shares in the company, valued at approximately $4,187,000. The trade was a 16.69% decrease in their ownership of the stock. The transaction was disclosed in a document filed with the Securities & Exchange Commission, which can be accessed through this link. The transaction was executed under a pre-arranged Rule 10b5-1 trading plan. Also, VP Stacy Mills sold 1,215 shares of the stock in a transaction dated Friday, October 23rd. The shares were sold at an average price of $200.00, for a total transaction of $243,000.00. Following the completion of the sale, the vice president owned 2,705 shares of the company's stock, valued at approximately $541,000. This trade represents a 30.99% decrease in their position. The disclosure for this sale is available in the SEC filing. The transaction was executed under a pre-arranged Rule 10b5-1 trading plan. The sale was made to cover tax withholding obligations related to the vesting of equity awards. Corporate insiders own 0.38% of the company's stock.

Hedge Funds Weigh In On Marsh & McLennan Companies

Several institutional investors have recently modified their holdings of the business. Waycross Partners LLC grew its position in Marsh & McLennan Companies by 7.3% during the 3rd quarter. Waycross Partners LLC now owns 187,395 shares of the financial services provider's stock valued at $31,994,000 after purchasing an additional 12,758 shares during the last quarter. Ashton Thomas Private Wealth LLC increased its stake in Marsh & McLennan Companies by 0.9% during the 3rd quarter. Ashton Thomas Private Wealth LLC now owns 12,764 shares of the financial services provider's stock valued at $2,179,000 after purchasing an additional 118 shares in the last quarter. CenterBook Partners LP bought a new stake in Marsh & McLennan Companies during the 3rd quarter valued at about $2,610,000. International Assets Investment Management LLC raised its holdings in Marsh & McLennan Companies by 14.2% in the third quarter. International Assets Investment Management LLC now owns 1,704 shares of the financial services provider's stock worth $293,000 after buying an additional 212 shares during the last quarter. Finally, Allegiance Financial Group Advisory Services LLC purchased a new position in Marsh & McLennan Companies in the third quarter worth about $299,000. 87.99% of the stock is owned by institutional investors.

Marsh & McLennan Companies Company Profile

Marsh & McLennan Companies is a global professional services firm that provides advice and solutions in risk, strategy and people. The company serves businesses, governments and institutions through a portfolio of specialized businesses focused on insurance brokerage, reinsurance, consulting and talent management.

Its principal businesses include Marsh, an insurance brokerage and risk advisory firm; Guy Carpenter, a provider of reinsurance brokerage and related risk-management services; Mercer, which offers consulting in investment, retirement, health and workforce strategy; and Oliver Wyman, a management consulting firm serving clients across industries and regions.

Founded in 1905, Marsh & McLennan serves clients in countries and markets around the world.

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