Bank of America Securities analyst Joshua Shanker reiterated a Hold rating on Marsh & Mclennan Companies (MMC – Research Report) on April 17 and set a price target of $238.00.
Joshua Shanker has given his Hold rating due to a combination of factors influencing Marsh & McLennan Companies’ performance. The company’s first-quarter earnings per share exceeded expectations, partly due to a lower effective tax rate and increased share repurchases. However, the growth in fiduciary interest income showed signs of slowing, and organic growth also decelerated compared to previous quarters, reflecting broader economic uncertainties.
Shanker notes that while the company’s margins were slightly below forecasts, they are expected to improve modestly throughout the year. Despite the positive earnings surprise, the price objective was adjusted downward due to a contraction in valuation multiples, aligning with the broader market’s price-to-earnings ratio. These factors collectively suggest a balanced outlook, justifying the Hold rating as the current valuation appears to adequately reflect the anticipated growth trajectory.
In another report released on April 17, Morgan Stanley also maintained a Hold rating on the stock with a $225.00 price target.
MMC’s price has also changed slightly for the past six months – from $226.920 to $220.070, which is a -3.02% drop .