Wells Fargo & Company Issues Pessimistic Forecast for Marsh & McLennan Companies (NYSE:MMC) Stock Price

Key Points

• Wells Fargo & Company has lowered its target price for Marsh & McLennan Companies from $226.00 to $222.00, maintaining an "equal weight" rating on the stock.
• Several analysts have also adjusted their ratings, with UBS Group setting a "buy" rating and a target price of $258.00, while Keefe, Bruyette & Woods assigned an "underperform" rating and a target of $210.00.
• Marsh & McLennan Companies reported better-than-expected earnings per share of $2.72, beating estimates, and showing a 12.1% year-over-year revenue increase to $6.97 billion.

Marsh & McLennan Companies (NYSE:MMC - Get Free Report) had its target price lowered by analysts at Wells Fargo & Company from $226.00 to $222.00 in a research report issued on Wednesday,Benzinga reports. The brokerage currently has an "equal weight" rating on the financial services provider's stock. Wells Fargo & Company's target price would suggest a potential upside of 8.46% from the company's current price.

A number of other equities analysts have also recently issued reports on MMC. UBS Group lowered their target price on Marsh & McLennan Companies from $261.00 to $258.00 and set a "buy" rating for the company in a report on Monday, July 21st. Weiss Ratings restated a "hold (c+)" rating on shares of Marsh & McLennan Companies in a research report on Saturday, September 27th. Keefe, Bruyette & Woods dropped their price target on shares of Marsh & McLennan Companies from $214.00 to $210.00 and set an "underperform" rating for the company in a research report on Monday, July 21st. Citigroup began coverage on shares of Marsh & McLennan Companies in a research note on Wednesday, August 13th. They set a "neutral" rating and a $226.00 target price on the stock. Finally, Cantor Fitzgerald initiated coverage on shares of Marsh & McLennan Companies in a report on Wednesday, August 13th. They set an "overweight" rating and a $256.00 price target on the stock. Six investment analysts have rated the stock with a Buy rating, eleven have issued a Hold rating and two have assigned a Sell rating to the company. Based on data from MarketBeat.com, the stock presently has an average rating of "Hold" and a consensus price target of $238.24.

Marsh & McLennan Companies Price Performance

Shares of MMC stock traded up $0.85 during trading hours on Wednesday, hitting $204.69. The company had a trading volume of 240,328 shares, compared to its average volume of 2,247,619. The firm has a market capitalization of $100.63 billion, a price-to-earnings ratio of 24.55, a PEG ratio of 2.53 and a beta of 0.81. Marsh & McLennan Companies has a 12 month low of $195.01 and a 12 month high of $248.00. The firm's fifty day moving average is $202.88 and its 200 day moving average is $216.21. The company has a debt-to-equity ratio of 1.19, a quick ratio of 1.20 and a current ratio of 1.20.

Marsh & McLennan Companies (NYSE:MMC - Get Free Report) last posted its quarterly earnings results on Thursday, July 17th. The financial services provider reported $2.72 earnings per share for the quarter, beating analysts' consensus estimates of $2.66 by $0.06. The company had revenue of $6.97 billion for the quarter, compared to the consensus estimate of $6.92 billion. Marsh & McLennan Companies had a return on equity of 31.90% and a net margin of 16.00%.The firm's quarterly revenue was up 12.1% on a year-over-year basis. During the same quarter in the prior year, the business posted $2.41 EPS. On average, sell-side analysts predict that Marsh & McLennan Companies will post 9.61 EPS for the current fiscal year.

Insider Buying and Selling at Marsh & McLennan Companies

In related news, CEO John Q. Doyle sold 21,079 shares of the company's stock in a transaction dated Tuesday, September 2nd. The shares were sold at an average price of $205.65, for a total value of $4,334,896.35. Following the sale, the chief executive officer owned 87,681 shares in the company, valued at $18,031,597.65. This represents a 19.38% decrease in their position. The transaction was disclosed in a legal filing with the SEC, which is available at this link. 0.35% of the stock is owned by corporate insiders.

Institutional Investors Weigh In On Marsh & McLennan Companies

A number of institutional investors have recently added to or reduced their stakes in the company. Norges Bank purchased a new stake in shares of Marsh & McLennan Companies during the 2nd quarter worth approximately $1,328,587,000. Wellington Management Group LLP boosted its holdings in Marsh & McLennan Companies by 54.2% in the 1st quarter. Wellington Management Group LLP now owns 12,814,788 shares of the financial services provider's stock worth $3,127,193,000 after buying an additional 4,505,548 shares during the period. Nuveen LLC bought a new position in Marsh & McLennan Companies in the 1st quarter worth approximately $1,038,594,000. Valeo Financial Advisors LLC boosted its holdings in Marsh & McLennan Companies by 48,212.9% in the 2nd quarter. Valeo Financial Advisors LLC now owns 2,629,187 shares of the financial services provider's stock worth $574,845,000 after buying an additional 2,623,745 shares during the period. Finally, Soundwatch Capital LLC purchased a new stake in Marsh & McLennan Companies in the 2nd quarter worth approximately $560,820,000. 87.99% of the stock is owned by institutional investors.

About Marsh & McLennan Companies

Marsh & McLennan Cos., Inc is a professional services firm, which engages in offering clients advice and solutions in risk, strategy, and people. It operates through the Risk and Insurance Services, and Consulting segments. The Risk and Insurance Services segment is involved in risk management activities, as well as insurance and reinsurance broking and services.

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