Spruce Point releases “strong sell” opinion on MSCI

Spruce Point states: Spruce Point “believes the business’ four main segments are under pressure and facing client retention challenges. Based on our investigation, we estimate a 55% to 65% long-term downside risk, or $190.00 – $244.00 per share. The report highlights several key concerns with the company, including: Evidence that MSCI has been using aggressive accounting and financial reporting to place a greater emphasis on adjusted EPS while other financial sects stagnate and struggle; MSCI’S recent acquisitions have not been to the benefit of shareholders and instead are being concocted to result in favorable outcomes for Morgan Stanley’s former executives; Despite having been MSCI’s recent growth driver, the Company’s ESG and Climate segment is now beginning to struggle.”