Marsh & McLennan Companies, Inc. logo MMC - Marsh & McLennan Companies, Inc.

Inactive Ticker MMC is not actively trading. Quotes and analytics may be stale.
Price: -- -- | CONSENSUS: Hold DETAILS
STRONG
BUY 0
BUY 8
HOLD 17
SELL 1
STRONG
SELL 0
| PRICE TARGET: $207.71 DETAILS
HIGH: $236.00
LOW: $190.00
MEDIAN: $208.00
CONSENSUS: $207.71
UPSIDE: 13.69%
AlphaVal

AlphaVal

Deterministic, archetype-aware fair value

Banks, Insurers & Asset Managers 90% confidence

Primary model: P/Tangible Book × ROE Quality

Valuation Signal Overvalued Mild
Trading 3.7% above fair value
Current Price $182.70
Bear Case $123.32 32.5% downside ($123.32 - $182.70) / $182.70 = -32.5% ROTCE 20.0% → 3.61x TBV
Fair Value $176.17 3.6% downside ($176.17 - $182.70) / $182.70 = -3.6% ROTCE 25.0% → 4.00x TBV
Bull Case $229.03 25.4% upside ($229.03 - $182.70) / $182.70 = 25.4% ROTCE 30.0% → 4.00x TBV

Adjust Assumptions

718.5%
8.4%

Key Value Driver

ROTCE (718.5%) vs. cost of equity (8.4%)

Implied Market Multiple 155.13x

Plain-Language Summary

Our base-case estimate uses P/Tangible Book × ROE Quality. We then blend that result with the average analyst price target of $207.71 from 26 analysts, using a 25% weight on analyst consensus. That produces an estimated intrinsic value of $176.17 per share.

Warnings

⚠ Traditional cash flow models don't work well for banks — lending activity distorts how much cash the business actually generates.
⚠ Common valuation shortcuts don't apply here — for banks, interest payments are a core business cost, not overhead.

Key Risks

  • Book value quality matters as much as level — check loan loss reserves
  • Interest rate sensitivity creates non-linear earnings surprises
  • Insurance reserving is actuarial, not financial — errors emerge slowly