No connection

Search Results

MMC vs V

MMC
Marsh & McLennan Companies, Inc.
NEUTRAL
Price
$182.81
Market Cap
$90.07B
Sector
Financial Services
AI Confidence
75%
V
Visa Inc.
BULLISH
Price
$302.24
Market Cap
$582.73B
Sector
Financial Services
AI Confidence
75%

Valuation

P/E Ratio
MMC
21.92
V
28.35
Forward P/E
MMC
19.39
V
20.79
P/B Ratio
MMC
5.91
V
15.09
P/S Ratio
MMC
3.4
V
14.08
EV/EBITDA
MMC
14.06
V
20.06

Profitability

Gross Margin
MMC
43.95%
V
97.78%
Operating Margin
MMC
19.24%
V
68.3%
Profit Margin
MMC
15.6%
V
50.23%
ROE
MMC
28.73%
V
53.95%
ROA
MMC
7.88%
V
18.36%

Growth

Revenue Growth
MMC
11.5%
V
14.6%
Earnings Growth
MMC
0.0%
V
17.4%

Financial Health

Debt/Equity
MMC
1.4
V
0.55
Current Ratio
MMC
1.12
V
1.11
Quick Ratio
MMC
0.52
V
0.72

Dividends

Dividend Yield
MMC
1.97%
V
0.89%
Payout Ratio
MMC
41.13%
V
22.91%

AI Verdict

MMC NEUTRAL

Marsh & McLennan Companies (MMC) trades at a premium valuation with solid long-term profitability and a disciplined capital allocation track record, but faces near-term headwinds reflected in flat year-over-year earnings growth and weakening quarterly EPS momentum. The stock has significantly underperformed over the past year (-16.1%) and six months (-20.3%), lagging both its historical performance and several peers in the Financial Services sector, despite consistent earnings beats over the last 25 quarters. While its ROE of 28.73% and operating margin of 19.24% are strong relative to sector averages, elevated leverage (Debt/Equity: 1.40) and insider selling activity raise caution. Analysts broadly concur with a 'hold' rating and imply 17% upside to a $214.26 target, suggesting limited near-term catalysts despite attractive relative fundamentals.

Strengths
Exceptional profitability with ROE of 28.73%, significantly above sector average of 25.01% and peer group (e.g., KKR: 7.67%, APO: 16.55%)
High operating margin of 19.24% and gross margin of 43.95%, reflecting pricing power and operational efficiency in the insurance brokerage segment
Consistent earnings outperformance: 22 out of 25 quarters beat estimates, with an average surprise of +4.8% over the last 12 quarters
Risks
Earnings growth stagnation: 0.0% YoY and -24.5% QoQ EPS growth indicate near-term profitability compression despite top-line momentum
Premium valuation: Forward P/E of 19.39 exceeds sector average of 20.54 but is less compelling given slower growth than high-growth peers like APO (26.4% revenue growth)
High leverage with Debt/Equity of 1.40, well above sector average of 0.68, increasing vulnerability to interest rate shocks or economic downturn
V BULLISH

V shows bullish fundamentals based on deterministic rules. Financial strength is strong (F-Score 6/9). Key strengths include strong valuation and growth metrics.

Strengths
Strong profitability (50.2% margin)
Strong ROE of 54.0%
Risks
Premium vs Graham Number ($69.32)

Compare Another Pair

MMC vs V: Head-to-Head Comparison

This page compares Marsh & McLennan Companies, Inc. (MMC) and Visa Inc. (V) across key fundamental metrics including valuation ratios, profitability margins, growth rates, financial health indicators, and dividend metrics. Each metric highlights the better-performing stock so you can quickly identify relative strengths and weaknesses.

Our AI engine independently analyzes each company's financials, competitive position, and market conditions to produce a verdict (Bullish, Neutral, or Bearish) along with key strengths and risks. Use this comparison alongside your own research to make informed investment decisions.

Home
Terminal
AI Chat
Markets
Profile