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    Should Marsh & McLennan’s (MMC) Earnings Beat and Climate Advisory Push Require Action From Investors?

    Simply Wall St·12/25/2025 08:27:25
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    • In the past week, Marsh & McLennan reported third-quarter results showing 11.5% year-on-year revenue growth, with non-GAAP earnings per share coming in above analyst expectations and adjusted operating income rising at a double-digit rate.
    • The company is also leaning into growing sustainability and climate disclosure demands, offering ISSB-focused advisory and risk services that align with its broader risk, insurance, and consulting capabilities.
    • We’ll now examine how Marsh & McLennan’s profit outperformance and evolving sustainability advisory offerings may shape its existing investment narrative.

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    Marsh & McLennan Companies Investment Narrative Recap

    To own Marsh & McLennan, you generally need to believe in steady demand for risk, insurance and human capital advice, even as pricing cycles and consulting budgets move around. The latest quarter’s double-digit revenue growth and profit beat support that case in the near term, but do not materially change the key short term swing factor: how softer property and reinsurance pricing and margin pressure balance against MMC’s ability to deepen client relationships. The biggest immediate risk remains pressure on traditional brokerage economics and fee rates.

    The company’s build out of ISSB-focused sustainability and climate disclosure advisory fits squarely into this debate. It extends Marsh & McLennan’s risk expertise into an area where reporting requirements are becoming more complex, potentially supporting consulting and risk advisory revenue even if some discretionary project work slows. For investors watching the tension between slower consulting demand and efforts to open up newer, regulation driven service lines, this ISSB-related offering is one of the developments to track.

    Yet investors also need to be aware of how rapid adoption of advanced analytics and AI by insurance and risk tech firms could affect Marsh & McLennan’s pricing power and client retention over time...

    Read the full narrative on Marsh & McLennan Companies (it's free!)

    Marsh & McLennan Companies' narrative projects $30.7 billion revenue and $5.3 billion earnings by 2028. This requires 5.9% yearly revenue growth and about a $1.2 billion earnings increase from $4.1 billion today.

    Uncover how Marsh & McLennan Companies' forecasts yield a $211.62 fair value, a 13% upside to its current price.

    Exploring Other Perspectives

    MMC 1-Year Stock Price Chart
    MMC 1-Year Stock Price Chart

    Simply Wall St Community members have produced three very different fair value estimates for Marsh & McLennan, ranging from about US$212 to above US$159,000 per share. When you weigh those against the risk that technology and insurtech competitors could erode traditional brokerage margins, it becomes clear why it helps to look at several independent views before deciding how MMC might fit into your portfolio.

    Explore 3 other fair value estimates on Marsh & McLennan Companies - why the stock might be a potential multi-bagger!

    Build Your Own Marsh & McLennan Companies Narrative

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    This article by Simply Wall St is general in nature. We provide commentary based on historical data and analyst forecasts only using an unbiased methodology and our articles are not intended to be financial advice. It does not constitute a recommendation to buy or sell any stock, and does not take account of your objectives, or your financial situation. We aim to bring you long-term focused analysis driven by fundamental data. Note that our analysis may not factor in the latest price-sensitive company announcements or qualitative material. Simply Wall St has no position in any stocks mentioned.