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Marsh & McLennan (MRSH) Stock Analysis

This is a peer-relative look at Marsh & McLennan (MRSH): its performance, risk, profitability, growth, financial strength, dividend, and valuation are each measured against its Insurance peers, so every number reads in context rather than in isolation.

Company Profile

Company profile fields for Marsh & McLennan (MRSH)
Profile ItemMRSH
NameMarsh & McLennan Companies, Inc.
Country/RegionUnited States
GICS SectorFinancials
GICS Industry GroupInsurance
GICS IndustryInsurance
GICS Sub-IndustryInsurance Brokers
Market Capitalization84.25 billion USD
CurrencyUSD
ExchangeNYSE
Listing DateFebruary 21, 1973
Security TypeCommon Stock

Price Performance

Cumulative Growth

MRSH
GSPC
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Marsh & McLennan (MRSH) vs. S&P 500 (GSPC): Growth of a $10,000 investment over the past five years. Adjusted for dividends and splits.

Trailing Returns

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Trailing total returns for Marsh & McLennan (MRSH) and S&P 500 (GSPC). Returns over one year are annualized.

Calendar-Year Returns

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Calendar-year total returns for Marsh & McLennan (MRSH) and S&P 500 (GSPC). Each bar is that year's total return, measured year-end to year-end.

Performance Metrics

Marsh & McLennan (MRSH) metric values compared with Insurance industry-group medians
MetricCurrent stock: MRSHIndustry group median
Total Return (1Y)-11.90%8.78%
Total Return (3Y, Annualized)-0.78%15.39%
Total Return (5Y, Annualized)4.04%9.79%

Risk Profile

Drawdown History

MRSH
GSPC
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Marsh & McLennan (MRSH) vs. S&P 500 (GSPC): Drawdown from the running peak over the past five years. Each line shows the decline from its prior peak; 0% marks a new high.

Return Distribution

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Distribution of monthly total returns for Marsh & McLennan (MRSH) and S&P 500 (GSPC). Each bar is the share of months whose return fell in that 5% bucket.

Risk Metrics

Marsh & McLennan (MRSH) metric values compared with Insurance industry-group medians
MetricCurrent stock: MRSHIndustry group median
Volatility (1Y, Annualized)26.42%27.94%
Beta (5Y)0.560.53
Max Drawdown (5Y)-34.36%-36.69%

Risk-Adjusted Performance

Risk-Return Positioning

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Each dot is a stock plotted by 1-year volatility (risk) and 1-year return. MRSH is highlighted; the dashed line is the Capital Allocation Line from the risk-free rate through the industry median — dots above it are stronger on a risk-adjusted basis.

Risk-Adjusted Metrics

Marsh & McLennan (MRSH) metric values compared with Insurance industry-group medians
MetricCurrent stock: MRSHIndustry group median
Sharpe Ratio (1Y)-0.620.17
Sortino Ratio (1Y)-0.860.24

Profitability

ROE (TTM)

Marsh & McLennan (MRSH) posts ROE of 25.90%, in the upper peer quartile. That suggests the company earns more from each dollar of shareholders’ equity than most industry peers, a useful capital-efficiency signal.

MRSH

Insurance industry group

25.90%

Group distribution
Max
38.99%
MRSH
25.90%
Q3
22.13%
Median
15.10%
Q1
10.16%
Min
-3.97%
Largest peers
PGR
34.94%
TRV
26.51%
MRSH
25.90%
CB
14.82%
MFC
13.31%
MET
13.09%
AJG
6.72%
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Where Marsh & McLennan (MRSH) stands on ROE within its Insurance peer group — the box is the group’s distribution and the dots its largest members.

Net Margin (TTM)

Marsh & McLennan (MRSH) keeps 14.24% of revenue as net profit, roughly in line with the peer group’s normal net margin range. Its full cost stack is taking a typical share of sales for the industry.

MRSH

Insurance industry group

14.24%

Group distribution
Max
37.68%
Q3
19.27%
MRSH
14.24%
Median
11.17%
Q1
5.91%
Min
-10.79%
Largest peers
MFC
20.31%
CB
18.07%
TRV
16.95%
MRSH
14.24%
PGR
12.85%
AJG
10.38%
MET
4.57%
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Where Marsh & McLennan (MRSH) stands on net margin within its Insurance peer group — the box is the group’s distribution and the dots its largest members.

Operating Margin (TTM)

operating margin is set aside for Marsh & McLennan (MRSH) in Insurance: the operating-income line is not a clean boundary for this business model, so net margin, ROE, FFO, or industry-specific measures may be more useful.

Profitability Metrics

Marsh & McLennan (MRSH) metric values compared with Insurance industry-group medians
MetricCurrent stock: MRSHIndustry group median
ROE (TTM)25.90%15.10%
ROA (TTM)7.24%3.13%
Net Margin (TTM)14.24%11.17%
Operating Margin (TTM)----
Gross Margin (TTM)----

Growth

Revenue Growth

Marsh & McLennan (MRSH) grew revenue 10.32%, roughly around the peer group's normal range. Top-line momentum looks broadly typical for the industry.

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Marsh & McLennan (MRSH): Revenue Growth across different time periods, set against Insurance industry-group medians.

EPS Growth

Marsh & McLennan (MRSH) grew earnings per share 3.06%, roughly around the peer group's normal range. Bottom-line momentum looks broadly typical for the industry.

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Marsh & McLennan (MRSH): EPS Growth across different time periods, set against Insurance industry-group medians.

Growth Metrics

Marsh & McLennan (MRSH) metric values compared with Insurance industry-group medians
MetricCurrent stock: MRSHIndustry group median
Revenue Growth (YoY)10.32%8.15%
Revenue Growth (3Y CAGR)9.20%11.40%
EPS Growth (YoY)3.06%23.05%
EPS Growth (3Y CAGR)11.75%18.46%

Financial Strength

Current Ratio (MRQ)

current ratio is set aside for Marsh & McLennan (MRSH) in Insurance: these balance sheets are not best read through a current/non-current split, so regulatory, funding, or liquidity-coverage measures usually matter more.

Debt / Equity (MRQ)

debt-to-equity ratio is set aside for Marsh & McLennan (MRSH) in Insurance: leverage is part of the business model itself, so capital adequacy, funding mix, and regulatory measures are usually better risk gauges.

Financial Strength Metrics

Marsh & McLennan (MRSH) metric values compared with Insurance industry-group medians
MetricCurrent stock: MRSHIndustry group median
Current Ratio (MRQ)----
Debt / Equity (MRQ)----
Net Debt / EBITDA----

Dividends

Dividend Yield (TTM)

Marsh & McLennan (MRSH) has dividend yield of 2.10%, in the industry’s normal income range. It provides a meaningful dividend without the red flag of an unusually high headline yield.

MRSH

Insurance industry group

2.10%

Group distribution
Max
5.72%
Q3
2.46%
MRSH
2.10%
Median
1.24%
Q1
0.00%
Min
0.00%
Largest peers
MFC
4.36%
MET
2.33%
MRSH
2.10%
TRV
1.23%
AJG
1.16%
CB
1.15%
PGR
0.18%
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Where Marsh & McLennan (MRSH) stands on dividend yield within its Insurance peer group — the box is the group’s distribution and the dots its largest members.

Dividend Payout Ratio (TTM)

Marsh & McLennan (MRSH) has payout ratio of 44.01%, above the industry’s usual payout band. A larger share of earnings is going to dividends, so the cushion narrows if profit weakens.

MRSH

Insurance industry group

44.01%

Group distribution
Max
78.97%
MRSH
44.01%
Q3
36.72%
Median
16.38%
Q1
0.00%
Min
0.00%
Largest peers
PGR
69.71%
MFC
50.14%
AJG
44.78%
MRSH
44.01%
MET
43.97%
CB
13.92%
TRV
12.22%
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Where Marsh & McLennan (MRSH) stands on payout ratio within its Insurance peer group — the box is the group’s distribution and the dots its largest members.

Dividend Metrics

Marsh & McLennan (MRSH) metric values compared with Insurance industry-group medians
MetricCurrent stock: MRSHIndustry group median
Dividend Yield (TTM)2.10%1.24%
Dividend Payout Ratio (TTM)44.01%16.38%

Valuation

P/E Ratio (TTM)

Marsh & McLennan (MRSH) trades at P/E ratio of 21.58, in the richer earnings-multiple quartile for its industry. That premium needs support from growth, durable earnings, or stronger business quality.

MRSH

Insurance industry group

21.58

Group distribution
Max
32.09
MRSH
21.58
Q3
18.17
Median
11.28
Q1
8.40
Min
2.65
Largest peers
AJG
38.79
MRSH
21.58
MET
19.19
MFC
16.05
CB
12.22
PGR
11.05
TRV
9.98
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Where Marsh & McLennan (MRSH) stands on P/E ratio within its Insurance peer group — the box is the group’s distribution and the dots its largest members.

P/S Ratio (TTM)

Marsh & McLennan (MRSH) trades at 3.01 on P/S ratio, in the higher sales-valuation quartile. Investors are paying up for each dollar of revenue, so stronger margins, growth, or revenue quality need to carry that price.

MRSH

Insurance industry group

3.01

Group distribution
Max
4.06
MRSH
3.01
Q3
2.29
Median
1.23
Q1
0.82
Min
0.07
Largest peers
AJG
3.97
MRSH
3.01
CB
2.15
MFC
2.14
TRV
1.58
PGR
1.40
MET
0.80
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Where Marsh & McLennan (MRSH) stands on P/S ratio within its Insurance peer group — the box is the group’s distribution and the dots its largest members.

P/B Ratio (MRQ)

Marsh & McLennan (MRSH) trades at 5.56 on P/B ratio, above the industry benchmark range. Investors are putting an unusually rich price on each dollar of book equity relative to peers.

MRSH

Insurance industry group

5.56

Group distribution
MRSH
5.56
Max
3.82
Q3
2.52
Median
1.81
Q1
1.16
Min
0.39
Largest peers
MRSH
5.56
PGR
3.73
AJG
2.53
TRV
2.34
MET
2.33
MFC
2.00
CB
1.77
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Where Marsh & McLennan (MRSH) stands on P/B ratio within its Insurance peer group — the box is the group’s distribution and the dots its largest members.

Valuation Metrics

Marsh & McLennan (MRSH) metric values compared with Insurance industry-group medians
MetricCurrent stock: MRSHIndustry group median
P/E Ratio (TTM)21.5811.28
P/S Ratio (TTM)3.011.23
P/B Ratio (MRQ)5.561.81
Free Cash Flow Yield (TTM)----