- UBS has set a price target of $257 for Marsh McLennan (NYSE:MMC), indicating a potential increase of 26.08%.
- Marsh McLennan’s forward P/E ratio of 19.49 suggests it might be undervalued compared to the industry average of 19.79.
- The company faces challenges such as rising compensation costs and debt, but aims for mid-single-digit underlying revenue growth in 2025.
On October 8, 2025, UBS set a price target of $257 for Marsh McLennan (NYSE:MMC). At the time, the stock was trading at $203.84, suggesting a potential price increase of about 26.08%. Marsh McLennan is a global professional services firm offering risk, strategy, and people solutions. It competes with companies like Willis Towers Watson and Aon plc.
Currently, MMC is trading at a discount compared to the Zacks Insurance – Brokerage industry. Its forward price-to-earnings (P/E) ratio is 19.49, below its five-year median of 23.09 and the industry average of 19.79. This suggests that the stock might be undervalued, offering potential for growth.
Despite its global scale and strategic acquisitions, MMC faces challenges. Rising compensation costs and debt are impacting its margins. The company aims for mid-single-digit underlying revenue growth in 2025, with its Risk and Insurance Services division leading in revenue contribution.
In comparison, other insurers like Willis Towers Watson and Aon plc have P/E ratios of 18.28 and 19, respectively, also trading below the industry average. However, Brown & Brown, Inc. trades at a premium with a P/E ratio of 19.9, indicating a different market perception.
As of now, MMC’s stock price is $203.70, experiencing a slight decrease of 0.0687% with a change of $0.14. The stock has fluctuated between $203.08 and $204.46 today. Over the past year, it reached a high of $248 and a low of $195.01, with a market cap of approximately $100.14 billion.
