Oscar Fanjul, a director at Marsh & McLennan Companies, Inc. (NYSE:MMC), recently sold 5,000 shares of the company’s common stock over two days, according to a regulatory filing. The transactions, executed on October 30 and 31, were priced between $220.54 and $221.55 per share, totaling approximately $1.1 million. Following these sales, Fanjul holds 46,049 shares of Marsh & McLennan.
In other recent news, Marsh & McLennan demonstrated robust performance in Q3 2024, with a 5% increase in underlying revenue and a 12% rise in adjusted operating income. The company also reported an adjusted EPS of $1.63, marking a 4% growth year-over-year, and a consolidated revenue of $5.7 billion. In a significant expansion move, Marsh & McLennan acquired McGriff Insurance Services for $7.75 billion, a deal anticipated to close by year-end and modestly accretive to adjusted EPS in the first year.
Following these developments, several analyst firms adjusted their outlook on the company. Keefe, Bruyette & Woods raised its price target from $209.00 to $212.00, while BMO Capital Markets increased its target to $228.00. RBC Capital also adjusted its price target, raising it to $242.00. However, Goldman Sachs (NYSE:GS) maintained its Sell rating with a price target of $220.00.
These adjustments were based on revised earnings estimates, taking into account factors such as anticipated Risk & Insurance Services margin changes, expected increase in interest expenses, and the impact of the McGriff acquisition. Despite potential challenges, the company remains optimistic about growth opportunities arising from elevated risks, including geopolitical and cyber threats.
InvestingPro Insights
While Oscar Fanjul's recent stock sale might raise eyebrows, a closer look at Marsh & McLennan Companies, Inc. (NYSE:MMC) reveals a company with strong fundamentals and a history of consistent performance. According to InvestingPro data, MMC boasts a market capitalization of $107.54 billion, reflecting its significant presence in the insurance industry.
The company's financial health is underscored by its revenue growth of 7.84% over the last twelve months, with total revenue reaching $23.95 billion. This growth is complemented by a robust operating income margin of 27.21%, indicating efficient management and strong profitability.
InvestingPro Tips highlight MMC's impressive track record of dividend payments and growth. The company has maintained dividend payments for 54 consecutive years and has raised its dividend for 15 consecutive years. This commitment to shareholder returns is further evidenced by a current dividend yield of 1.47% and a notable dividend growth of 14.79% over the last twelve months.
Moreover, MMC has demonstrated resilience in the market, with a year-to-date price total return of 18.36% as of the latest data. This performance aligns with the company's long-term value creation, as another InvestingPro Tip notes the high return over the last decade.
For investors seeking a deeper understanding of Marsh & McLennan's potential, InvestingPro offers 11 additional tips, providing a comprehensive analysis of the company's strengths and market position.
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