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Marsh & McLennan Companies, Inc. (MMC) Stock Analysis

Score D

Financial · Grade A · Unknown

Financial Services · Insurance - Brokers

$182.70

Fair Value

$130.74

-28.4%

Conviction

3/10

Quality

A

Classification

Financial

Investment Thesis

Low quantitative score: Low quality, stretched valuation, or poor risk/reward.

For New Investors

Quantitative score: weak

For Current Holders

Quantitative score: low

Buy if

  • Price drops 15-20% (improves asymmetry)
  • Bull scenario catalysts materialize
  • Market-wide correction creates opportunity

Sell if

  • Bear scenario triggers occur
  • Quality metrics deteriorate (ROIC declining)
  • Better alternatives emerge

Valuation

Fair Value estimate: $130.74 (-28.4%). Overvalued vs fundamentals.

PEG-Based EPS

$94.56

FCF DCF Model

$138.93

Blended Fair Value

$130.74

Confidence

High

Methods

P/B Relative, P/E Relative

Quality Analysis

A

95/120 points

Investable

ROE (3Y Avg)

259.9%

ROIC-WACC Spread

3.1%

D/E Ratio

37.0x

Current Ratio

1.1x

Interest Coverage

6x

FCF Positive Years

3/3

Quality Flags

  • Financial sector: alternative quality assessment applied
  • Strong ROE: 259.9%
  • Excellent efficiency

Market Sentiment

Wall Street Consensus

$204.00

+11.7% Upside

0

Range: $190.00$236.00

Analyst consensus data not available.

Trend & Technical

Unknown

Insufficient data to calculate SMA 200.

Technical Score0/100

Technical analysis unavailable

Risk & Reward

Asymmetry Ratio

0.72:1

Expected Return

-1.1%

Bull Upside

+13.6%

Bear Downside

-18.8%

Poor asymmetry: 0.72:1 ratio. Risk exceeds potential reward.

Verdict: Unfavorable

Scenario Analysis

Bear

Base

Bull

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Technical Analysis

RSI, MACD, moving averages, trend signals, and momentum indicators.

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Frequently Asked Questions

What is the fair value of MMC?

Based on our multi-method conviction analysis, the estimated fair value of Marsh & McLennan Companies, Inc. (MMC) is $130.74. This is calculated by blending P/B Relative, P/E Relative and applying a quality premium of 0% based on the company's fundamentals. The confidence level of this estimate is high.

Is MMC a buy, sell, or hold?

MMC currently has a AVOID rating with a conviction score of 3/10. Low quantitative score: Low quality, stretched valuation, or poor risk/reward. Quantitative score: weak.

Is MMC a high-quality stock?

Marsh & McLennan Companies, Inc. has a quality grade of A (95/120 points), rated as Investable. Key metrics include ROE of 259.9%, ROIC-WACC spread of 3.1%, and D/E ratio of 37.0x.

What type of stock is MMC?

MMC is classified as a "financial" in our framework. Financial sector override: Financial Services

What do Wall Street analysts say about MMC?

Multiple Wall Street analysts have a consensus price target of $204.00 for MMC, representing +11.7% upside. Targets range from $190.00 to $236.00. The consensus recommendation is "—". Analyst consensus data not available.

What are the risks of investing in MMC?

The risk/reward asymmetry ratio for MMC is 0.72:1, rated as Unfavorable. Poor asymmetry: 0.72:1 ratio. Risk exceeds potential reward. The expected return is -1.1%, with bull case upside of +13.6% and bear case downside of -18.8%.

What is the current trend for MMC?

MMC is in a unknown trend. Insufficient data to calculate SMA 200. The technical score is —/100.

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Last updated: May 19, 2026 · Framework version 3.7

This analysis is for informational purposes only and should not be considered financial advice. Always do your own research before making investment decisions.