Marsh & McLennan Companies, Inc. (NYSE:MRSH) Stock Has Average Price Target of $204.42

Key Points

• Analysts hold a neutral view on Marsh & McLennan: Twenty-one firms issued a consensus “Hold” rating, with an average 12-month price target of $204.42.
• The company exceeded quarterly earnings expectations, reporting $2.03 in EPS versus the $1.96 consensus estimate, while revenue rose 8.1% year over year to $6.86 billion.
• Marsh & McLennan declared a quarterly dividend of $0.99 per share, equivalent to a $3.96 annualized payout and a 2.0% yield; institutional investors own approximately 87.99% of its stock.

Marsh & McLennan Companies, Inc. (NYSE:MRSH - Get Free Report) has received a consensus recommendation of "Hold" from the twenty-one research firms that are presently covering the company, Marketbeat reports. Two analysts have rated the stock with a sell recommendation, eleven have given a hold recommendation, six have given a buy recommendation and two have given a strong buy recommendation to the company. The average twelve-month price objective among brokers that have covered the stock in the last year is $204.42.

A number of analysts have issued reports on MRSH shares. BMO Capital Markets reduced their price target on shares of Marsh & McLennan Companies from $203.00 to $179.00 and set a "market perform" rating on the stock in a report on Thursday, October 1st. Morgan Stanley dropped their price objective on shares of Marsh & McLennan Companies from $200.00 to $180.00 and set an "equal weight" rating for the company in a report on Tuesday, October 6th. Weiss Ratings upgraded Marsh & McLennan Companies from a "hold (c-)" rating to a "hold (c)" rating in a research report on Friday, August 7th. Cantor Fitzgerald lifted their target price on Marsh & McLennan Companies from $212.00 to $218.00 and gave the stock an "overweight" rating in a report on Tuesday, July 21st. Finally, Wells Fargo & Company boosted their target price on Marsh & McLennan Companies from $183.00 to $197.00 and gave the stock an "equal weight" rating in a research report on Friday, October 16th.

Insider Buying and Selling

In other news, SVP Paul Beswick sold 713 shares of the stock in a transaction that occurred on Wednesday, July 29th. The stock was sold at an average price of $198.00, for a total transaction of $141,174.00. Following the completion of the transaction, the senior vice president directly owned 16,376 shares in the company, valued at approximately $3,242,448. This represents a 4.17% decrease in their position. The transaction was disclosed in a legal filing with the Securities & Exchange Commission, which can be accessed through the SEC website. The transaction was executed under a pre-arranged Rule 10b5-1 trading plan. Also, insider Martin South sold 7,100 shares of the firm's stock in a transaction on Tuesday, July 28th. The shares were sold at an average price of $189.99, for a total transaction of $1,348,929.00. Following the completion of the transaction, the insider directly owned 16,632 shares of the company's stock, valued at approximately $3,159,913.68. This trade represents a 29.92% decrease in their ownership of the stock. Additional details regarding this sale are available in the official SEC disclosure. Insiders own 0.38% of the company's stock.

Institutional Investors Weigh In On Marsh & McLennan Companies

A number of hedge funds have recently bought and sold shares of the business. BlackRock Inc. purchased a new position in shares of Marsh & McLennan Companies in the 2nd quarter worth $6,583,806,000. Ninety One UK Ltd raised its position in shares of Marsh & McLennan Companies by 41.8% during the 3rd quarter. Ninety One UK Ltd now owns 5,632,700 shares of the financial services provider's stock valued at $961,671,000 after buying an additional 1,661,178 shares in the last quarter. Deutsche Bank AG purchased a new stake in shares of Marsh & McLennan Companies during the 2nd quarter valued at about $685,621,000. Arrowstreet Capital Limited Partnership lifted its holdings in shares of Marsh & McLennan Companies by 25.3% in the 1st quarter. Arrowstreet Capital Limited Partnership now owns 3,454,586 shares of the financial services provider's stock valued at $599,198,000 after acquiring an additional 697,541 shares during the last quarter. Finally, Bank of America Corp DE bought a new position in shares of Marsh & McLennan Companies in the 2nd quarter valued at about $575,845,000. Hedge funds and other institutional investors own 87.99% of the company's stock.

Marsh & McLennan Companies Price Performance

Shares of MRSH opened at $197.71 on Friday. The stock has a market cap of $94.01 billion, a price-to-earnings ratio of 23.65, a P/E/G ratio of 2.67 and a beta of 0.59. The company has a debt-to-equity ratio of 1.27, a quick ratio of 1.09 and a current ratio of 1.09. Marsh & McLennan Companies has a 1 year low of $156.60 and a 1 year high of $200.33. The firm's 50 day moving average is $181.60.

Marsh & McLennan Companies (NYSE:MRSH - Get Free Report) last released its earnings results 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 firm had revenue of $6.86 billion for the quarter. Marsh & McLennan Companies had a net margin of 14.20% and a return on equity of 33.32%. Marsh & McLennan Companies's revenue was up 8.1% compared to the same quarter last year. On average, sell-side analysts anticipate that Marsh & McLennan Companies will post 10.47 earnings per share for the current year.

Marsh & McLennan Companies Announces Dividend

The company also recently declared a quarterly dividend, which will be paid on Friday, November 13th. Shareholders of record on Thursday, October 1st will be issued a dividend of $0.99 per share. This represents a $3.96 annualized dividend and a yield of 2.0%. The ex-dividend date is Thursday, October 1st. Marsh & McLennan Companies's dividend payout ratio (DPR) is currently 47.37%.

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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