Marsh & McLennan Companies Inc. (NYSE:MMC) finished Friday with an addition of $2.42 to close at $194.21, an upside of 1.26 percent. An average of 1,005,540 shares of common stock have been traded in the last five days. There was a gain of $5.37 in the past week, and it reached a new high 23 times over the past 12 months. The last 20 days have seen an average of 1,214,755 shares traded, while the 50-day average volume stands at 1,480,034.
MMC stock has increased by 2.48% in the last month. The company shares reached their 1-month lowest point of $187.31 on 07/31/23. With the stock rallying to its 52-week high on 08/25/23, shares of the company touched a low of $148.11 and a high of $194.16 in 52 weeks. It has reached a new high 22 times so far this year and achieved 17.36% or $28.73 in price. In spite of this, the price is up 0.03% from the 52-week high.
Insider Transactions
MMC stock investors should be aware that Marsh & McLennan Companies Inc. (MMC) stock had its last reported insider trading activity 31 days ago on Jul 26. In this transaction, the insider spent $2,494,013. Chief Financial Officer, MCGIVNEY MARK C, disposed of 70,106 shares at a price of $185.53 on Jun 29. The insider now owns more than $13,006,584 worth of shares. Prior to that, Director FANJUL OSCAR went on to Sale 5,500 shares at $179.72 each on May 03. An amount of $988,460 was transacted.
Valuation Metrics
Marsh & McLennan Companies Inc. (MMC) has a trailing price-to-earnings (P/E) ratio of 29.61. The stock’s beta is 0.92. Other valuation ratios to consider include the trailing price-to-sales (P/S) ratio at 4.44, the price-to-book (PB) ratio at 8.04, and the price-to-cash flow ratio at 30.76.
The company has a payout ratio of 35.60%. The company’s most recent quarterly dividend payment was $0.71 a share, representing a up of 20.34% from $0.59 last year. Its latest increase dividend $0.12 reported on Tuesday July 11 2023.
Financial Health
The quick ratio of Marsh & McLennan Companies Inc. for the three months ended June 29 was 1.00, and the current ratio was 1.00, indicating that the company is able to meet its debt obligations. Further, the company has a long term debt to equity ratio of 0.86 and a total debt to equity ratio of 1.06 for the quarter ending June 29. Its gross profit as reported stood at $4.28 billion compared to revenue of $20.72 billion.
For investors, determining the potential profitability of the investment also depends on the performance of the company’s management. In the past 12 months, Marsh & McLennan Companies Inc.’s return on assets was 9.00%.
Earnings Surprise
For the three-month period that ended June 29, Marsh & McLennan Companies Inc. had $10.25 billion in total debt. In the quarter under review, the net income was down than the previous quarter. The company posted a net income of $1.03 billion in the quarter, while revenues of $1.24 billion were grew 6.57%. The analyst consensus anticipated Marsh & McLennan Companies Inc.’s latest quarter earnings to come in at $2.12 per share, but it turned out to be $2.2, a 3.80% surprise. For the quarter, EBITDA amounted to $1.64 billion. At the end of the quarter ending June 29, Marsh & McLennan Companies Inc.’s stock balance sheet showed total debt was $14.63 billion. Shareholders own equity worth $493.95 million.
Technical Picture
From a technical analysis perspective, let’s take a brief look at Marsh & McLennan Companies Inc. (MMC) price momentum. RSI 9-day as of the close on 25 August was 69.16%, suggesting the stock is Neutral, with historical volatility in this time frame at 11.96%.
As of today, MMC’s price is $191.36 +2.84% or $5.37 from its 5-day moving average. MMC is currently trading +2.83% higher than its 20-day SMA and +15.17% higher than its 100-day SMA. However, the stock’s current price level is +9.05% above the SMA50 and +19.14% above the SMA200.
The stochastic %K and %D were 76.15% and 58.74%, respectively, and the average true range (ATR) was 2.43. With the 14-day stochastic at 88.90% and the average true range at 2.46, the RSI (14) stands at 64.62%. The stock has reached 2.16 on the 9-day MACD Oscillator while the 14-day reading was at 2.00.
Analyst Ratings
BofA Securities upgraded Marsh & McLennan Companies Inc. (NYSE: MMC) to a a Neutral rating in its most recent analyst report. Previously, the stock was rated as an Underperform. The consensus rating for Marsh & McLennan Companies Inc. (MMC) among analysts is Overweight. According to current brokerage recommendations, 0 brokerage firms advise that investors sell MMC, while 14 suggest investors hold. There are 0 analysts who rate the stock as underweight. The stock is rated overweight by 1 analysts, while 6 others rate it as a “buy”.
What is MMC’s price target for the next 12 months?
Analysts predict a range of price targets between $188.00 and $220.00, with a median target of $200.50. Taking a look at these predictions, the average price target given by analysts for Marsh & McLennan Companies Inc. (MMC) stock is $201.28.
