Deutsche Bank has initiated a Buy recommendation for Marsh & McLennan Cos. (NYSE:MMC), forecasting a one-year price target of $206.55, which represents an 8.07% upside. This announcement was made on Thursday.
The bank's forecast is based on MMC's projected annual non-GAAP EPS of 7.51 and an expected revenue increase of 3.03% to $22,246MM. MMC's put/call ratio stands at a bearish 1.14.
Marsh & McLennan Cos., with a market capitalization of $94.57 billion, is recognized for its prowess in risk, strategy, and people-oriented services. The company's strength is also reflected in its high return on invested capital and its consistent performance in the insurance industry, as per InvestingPro Tips.
The company has declared a dividend of $0.71 per share, yielding 1.49%, slightly below its historical average yield of 1.58%. This dividend declaration marks the company's 14th consecutive year of dividend increase, an impressive streak that aligns with InvestingPro Tips' insight that MMC has maintained dividend payments for 53 consecutive years. The company maintains a dividend payout ratio of 0.43 and has reported a three-year dividend growth rate of 0.53%.
According to InvestingPro Data, MMC's P/E ratio stands at 28.91, indicating a high price relative to its earnings. Its Price / Book ratio for LTM2023.Q2 is 8.07, suggesting that the stock is trading at a high multiple of its book value.
The company's revenue for LTM2023.Q2 was $21.59 billion, with a growth rate of 4.57%. This revenue growth aligns with the bank's forecast of a 3.03% increase. MMC's gross profit for the period was $9365 million, representing a gross profit margin of 43.37%.
Among the significant stakeholders in MMC are AWSHX - Washington Mutual Investors Fund, Capital International Investors, Capital World Investors, Wellington Management Group Llp, and VTSMX - Vanguard Total Stock Market Index Fund Investor Shares.
For more insightful tips and real-time metrics, consider exploring InvestingPro, which offers an extensive list of 10 additional tips for MMC and other companies.
