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Marsh & McLennan Companies, Inc (MMC) is a leading insurance brokers business with stocks listed in the US. It opened the day at US$116.49 after a previous close of US$117.44. During the day the price has varied from a low of USD115.96 to a high of USD117.14. The latest price was USD117.155 (25 minute delay). Marsh & McLennan is listed on the NYSE. All prices are listed in US Dollars.
How to buy shares in Marsh & McLennan
- Compare share trading platforms. To buy shares in a US company from Australia you'll need to find a trading platform that offers access to US stock markets. If you're just starting out, look for a platform with low brokerage and foreign exchange fees.
- Open and fund your brokerage account. Complete an application with your personal and financial details, like your ID and tax file number. Fund your account with a bank transfer, credit card or debit card.
- Search for Marsh & McLennan. Find the share by name or ticker symbol: MMC. Research its history to confirm it's a solid investment against your financial goals.
- Purchase now or later. Buy today with a market order or use a limit order to delay your purchase until Marsh & McLennan reaches your desired price. To spread out your risk, look into dollar-cost averaging, which smooths out buying at consistent intervals and amounts.
- Decide on how many to buy. Weigh your budget against a diversified portfolio that can minimise risk through the market's ups and downs. You may be able to buy a fractional share of Marsh & McLennan, depending on your broker.
- Check in on your investment. Congratulations, you own a part of Marsh & McLennan. Optimise your portfolio by tracking how your stock — and even the business — performs with an eye on the long term. You may be eligible for dividends and shareholder voting rights on directors and management that can affect your stock.
What's in this guide?
- Marsh & McLennan key stats
- Compare share trading platforms
- Is Marsh & McLennan stock a buy or sell?
- Marsh & McLennan performance over time
- Can I short Marsh & McLennan shares?
- Is Marsh & McLennan suitable for ethical investing?
- Are Marsh & McLennan shares over-valued?
- Marsh & McLennan's financials
- How volatile are Marsh & McLennan shares?
- Does Marsh & McLennan pay a dividend?
- Have Marsh & McLennan shares ever split?
- Other common questions
Marsh & McLennan share priceUse our graph to track the performance of MMC stocks over time.
Marsh & McLennan shares at a glance
|52-week range||US$90.3323 - US$127.13|
|50-day moving average||US$119.8151|
|200-day moving average||US$115.0785|
|Dividend yield||US$1.84 (1.47%)|
|Earnings per share (TTM)||US$3.94|
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Is it a good time to buy Marsh & McLennan stock?
The technical analysis gauge below displays real-time ratings for the timeframes you select. This is not a recommendation, however. It represents a technical analysis based on the most popular technical indicators: Moving Averages, Oscillators and Pivots. Finder might not concur and takes no responsibility.
Marsh & McLennan price performance over time
|1 month (2021-03-22)||-0.11%|
Is Marsh & McLennan under- or over-valued?
Valuing Marsh & McLennan stock is incredibly difficult, and any metric has to be viewed as part of a bigger picture of Marsh & McLennan's overall performance. However, analysts commonly use some key metrics to help gauge the value of a stock.
Marsh & McLennan's P/E ratio
Marsh & McLennan's current share price divided by its per-share earnings (EPS) over a 12-month period gives a "trailing price/earnings ratio" of roughly 32x. In other words, Marsh & McLennan shares trade at around 32x recent earnings.
That's relatively high compared to, say, the trailing 12-month P/E ratio for the NASDAQ 100 at the end of 2019 (27.29). The high P/E ratio could mean that investors are optimistic about the outlook for the shares or simply that they're over-valued.
Marsh & McLennan's PEG ratio
Marsh & McLennan's "price/earnings-to-growth ratio" can be calculated by dividing its P/E ratio by its growth – to give 2.5594. A low ratio can be interpreted as meaning the shares offer better value, while a higher ratio can be interpreted as meaning the shares offer worse value.
The PEG ratio provides a broader view than just the P/E ratio, as it gives more insight into Marsh & McLennan's future profitability. By accounting for growth, it could also help you if you're comparing the share prices of multiple high-growth companies.
Marsh & McLennan's EBITDA
Marsh & McLennan's EBITDA (earnings before interest, taxes, depreciation and amortisation) is US$4.4 billion (£3.2 billion).
The EBITDA is a measure of a Marsh & McLennan's overall financial performance and is widely used to measure a its profitability.
Marsh & McLennan financials
|Revenue TTM||US$17.2 billion|
|Operating margin TTM||21.28%|
|Gross profit TTM||US$7.4 billion|
|Return on assets TTM||7.12%|
|Return on equity TTM||23.79%|
|Market capitalisation||US$65.1 billion|
TTM: trailing 12 months
Shorting Marsh & McLennan shares
There are currently 4.6 million Marsh & McLennan shares held short by investors – that's known as Marsh & McLennan's "short interest". This figure is 7.2% up from 4.3 million last month.
There are a few different ways that this level of interest in shorting Marsh & McLennan shares can be evaluated.
Marsh & McLennan's "short interest ratio" (SIR)
Marsh & McLennan's "short interest ratio" (SIR) is the quantity of Marsh & McLennan shares currently shorted divided by the average quantity of Marsh & McLennan shares traded daily (recently around 2.0 million). Marsh & McLennan's SIR currently stands at 2.35. In other words for every 100,000 Marsh & McLennan shares traded daily on the market, roughly 2350 shares are currently held short.
However Marsh & McLennan's short interest can also be evaluated against the total number of Marsh & McLennan shares, or, against the total number of tradable Marsh & McLennan shares (the shares that aren't held by "insiders" or major long-term shareholders – also known as the "float"). In this case Marsh & McLennan's short interest could be expressed as 0.01% of the outstanding shares (for every 100,000 Marsh & McLennan shares in existence, roughly 10 shares are currently held short) or 0.009% of the tradable shares (for every 100,000 tradable Marsh & McLennan shares, roughly 9 shares are currently held short).
Such a low SIR usually points to an optimistic outlook for the share price, with fewer people currently willing to bet against Marsh & McLennan.
Find out more about how you can short Marsh & McLennan stock.
Marsh & McLennan's environmental, social and governance track record
Environmental, social and governance (known as ESG) criteria are a set of three factors used to measure the sustainability and social impact of companies like Marsh & McLennan.
When it comes to ESG scores, lower is better, and lower scores are generally associated with lower risk for would-be investors.
Marsh & McLennan's total ESG risk score
Total ESG risk: 22.38
Socially conscious investors use ESG scores to screen how an investment aligns with their worldview, and Marsh & McLennan's overall score of 22.38 (as at 12/31/2018) is pretty good – landing it in it in the 24th percentile of companies rated in the same sector.
ESG scores are increasingly used to estimate the level of risk a company like Marsh & McLennan is exposed to within the areas of "environmental" (carbon footprint, resource use etc.), "social" (health and safety, human rights etc.), and "governance" (anti-corruption, tax transparency etc.).
Marsh & McLennan's environmental score
Environmental score: 6.61/100
Marsh & McLennan's environmental score of 6.61 puts it squarely in the 7th percentile of companies rated in the same sector. This could suggest that Marsh & McLennan is a leader in its sector terms of its environmental impact, and exposed to a lower level of risk.
Marsh & McLennan's social score
Social score: 12.36/100
Marsh & McLennan's social score of 12.36 puts it squarely in the 7th percentile of companies rated in the same sector. This could suggest that Marsh & McLennan is a leader in its sector when it comes to taking good care of its workforce and the communities it impacts.
Marsh & McLennan's governance score
Governance score: 16.92/100
Marsh & McLennan's governance score puts it squarely in the 7th percentile of companies rated in the same sector. That could suggest that Marsh & McLennan is a leader in its sector when it comes to responsible management and strategy, and exposed to a lower level of risk.
Marsh & McLennan's controversy score
Controversy score: 2/5
ESG scores also evaluate any incidences of controversy that a company has been involved in. Marsh & McLennan scored a 2 out of 5 for controversy – the second-highest score possible, reflecting that Marsh & McLennan has, for the most part, managed to keep its nose clean.
Environmental, social, and governance (ESG) summary
|Total ESG score||22.38|
|Total ESG percentile||24.4|
|Environmental score percentile||7|
|Social score percentile||7|
|Governance score percentile||7|
|Level of controversy||2|
Marsh & McLennan share dividends
Dividend payout ratio: 37.42% of net profits
Recently Marsh & McLennan has paid out, on average, around 37.42% of net profits as dividends. That has enabled analysts to estimate a "forward annual dividend yield" of 1.48% of the current stock value. This means that over a year, based on recent payouts (which are sadly no guarantee of future payouts), Marsh & McLennan shareholders could enjoy a 1.48% return on their shares, in the form of dividend payments. In Marsh & McLennan's case, that would currently equate to about $1.84 per share.
While Marsh & McLennan's payout ratio might seem fairly standard, it's worth remembering that Marsh & McLennan may be investing much of the rest of its net profits in future growth.
Marsh & McLennan's most recent dividend payout was on 13 May 2021. The latest dividend was paid out to all shareholders who bought their shares by 5 April 2021 (the "ex-dividend date").
Have Marsh & McLennan's shares ever split?
Marsh & McLennan's shares were split on a 2:1 basis on 30 June 2002. So if you had owned 1 share the day before before the split, the next day you'd have owned 2 shares. This wouldn't directly have changed the overall worth of your Marsh & McLennan shares – just the quantity. However, indirectly, the new 50% lower share price could have impacted the market appetite for Marsh & McLennan shares which in turn could have impacted Marsh & McLennan's share price.
Marsh & McLennan share price volatility
Over the last 12 months, Marsh & McLennan's shares have ranged in value from as little as US$90.3323 up to US$127.13. A popular way to gauge a stock's volatility is its "beta".
Beta is a measure of a share's volatility in relation to the market. The market (NYSE average) beta is 1, while Marsh & McLennan's is 0.8798. This would suggest that Marsh & McLennan's shares are less volatile than average (for this exchange).
Marsh & McLennan overview
Marsh & McLennan Companies, Inc., a professional services company, provides advice and solutions to clients in the areas of risk, strategy, and people worldwide. It operates in two segments, Risk and Insurance Services, and Consulting. The Risk and Insurance Services segment offers risk management services, such as risk advice, risk transfer, and risk control and mitigation solutions, as well as insurance and reinsurance broking, catastrophe and financial modeling, and related advisory services; and insurance program management services. This segment serves businesses, public entities, insurance companies, associations, professional services organizations, and private clients. The Consulting segment provides health, wealth, and career consulting services and products; and specialized management, as well as economic and brand consulting services. The company was founded in 1871 and is headquartered in New York, New York.
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