RBC Capital Markets upgrades Marsh & McLennan to 'outperform'

Marsh & McLennan Companies

12/12/2024 12:12

** RBC Capital Markets upgrades insurance brokerage Marsh &
McLennan  MMC.N  to "outperform" from "sector perform"
    ** Raises PT to $250 from $242
    ** Says MMC is a "high-quality" insurance broker with good
visibility into solid top and bottom-line growth heading into
2025
    ** Says the business mix provides diversification and leaves
co less sensitive to softening in Property and Casualty (P&C)
pricing, given co's Consulting unit is less economically
sensitive now, with a strong market stature
    ** Sees healthy revenue growth at Risk and Insurance
Services (RIS) unit and the 17 consecutive years of margin
improvement to continue improving in 2025 and 2026, given the
success of MMC's cost reduction plan
    ** Six of 21 brokerages rate the stock "buy", 13 "hold" and
two "sell" with a median PT of $243.50 - LSEG 
    ** Up to Wednesday's close, stock has risen ~13% YTD

 (Reporting by Neil J Kanatt in Bengaluru)
 ((Neil.JKanatt@thomsonreuters.com;))