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MQS Management Expands Stake in Marsh & McLennan Companies

MQS Management LLC has increased its holdings in Marsh & McLennan Companies, Inc. (NYSE: MMC) during the first quarter of 2023, as revealed in a recent filing with the Securities and Exchange Commission (SEC). The firm acquired an additional 3,613 shares of the financial services provider, valued at approximately $882,000. This investment positions Marsh & McLennan as the 24th largest holding in MQS Management’s portfolio, representing about 0.5% of its total assets.

Several other institutional investors have also adjusted their positions in Marsh & McLennan recently. Ameriflex Group Inc. entered the market with a new stake in the fourth quarter, valued at approximately $37,000. Similarly, City Holding Co. made a new investment in the first quarter, also at about $37,000. Other notable acquisitions include Transce3nd LLC, which purchased shares worth $39,000, and Garde Capital Inc., which spent around $42,000 on a new position in the same period. Furthermore, First Pacific Financial significantly increased its stake by 133.8%, bringing its total to 187 shares valued at $46,000.

The institutional ownership of Marsh & McLennan now stands at an impressive 87.99%, reflecting strong confidence from major investors.

Stock Performance and Financial Highlights

On the trading floor, shares of Marsh & McLennan opened at $211.62 on Friday. The company has seen a fluctuation in its stock price, with a 50-day moving average of $222.70 and a 200-day moving average of $224.76. With a market capitalization of $104.27 billion, the firm boasts a price-to-earnings (P/E) ratio of 25.93 and a P/E growth (P/E/G) ratio of 2.59. The stock has recorded a 52-week low of $207.21 and a high of $248.00.

Marsh & McLennan has also announced a quarterly dividend of $0.90, which will be paid on August 15, 2023, to shareholders on record as of July 24, 2023. This marks an increase from the previous quarterly dividend of $0.82, translating to an annualized dividend of $3.60 and a dividend yield of 1.70%. The current dividend payout ratio is approximately 39.95%.

Analyst Perspectives

Market analysts have weighed in on Marsh & McLennan, with various research firms updating their target prices. On April 11, 2023, Jefferies Financial Group raised its target price from $237.00 to $244.00, maintaining a “hold” rating. Redburn Atlantic began coverage, assigning a “buy” rating with a target price of $281.00. Meanwhile, Wells Fargo & Company adjusted its target price from $228.00 to $229.00, also sustaining an “equal weight” rating.

Additionally, UBS Group set a new target price of $261.00 while giving a “buy” rating. In contrast, Keefe, Bruyette & Woods lowered its target to $214.00, labeling it as “underperform.” Overall, analyst ratings reflect a mixed sentiment, with two sell ratings, seven hold ratings, and five buy ratings. The average target price among analysts is around $240.50.

With a robust institutional backing and positive analyst outlook, Marsh & McLennan Companies continues to solidify its position as a leader in the financial services sector, offering risk management and consulting solutions across various industries.

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