| Factor | Score | Distribution | Value | Avg | Rank |
|---|---|---|---|---|---|
Valuation | 44 | 21.6x | 17.8x | Around median | |
Growth | 39 | 8.3% | 7.1% | Bottom tier | |
Quality | 96 | — | — | Top tier | |
Safety | 31 | — | — | Bottom tier | |
Capital Return | 63 | 2.03% | 2.12% | Around median | |
Momentum | 49 | -5.9% | 2.9% | Around median | |
Sentiment | 43 | 15 | 3 | Around median |
Estimates — analyst targets and a simplified DCF, not investment advice.
Ten ratios that matter, each compared against its sector median and average — so you can see whether a number is rich or cheap relative to peers in the same sector.
Marsh & McLennan Companies, Inc., which uses the Marsh brand, operates as a professional services company combining risk management, insurance, reinsurance, and consulting. In Q2 FY2026, the Risk and Insurance Services segment generated revenue of $4.8 billion, including $4.1 billion from Marsh Risk and $664 million from Guy Carpenter, while the Consulting segment generated $2.6 billion, including $1.6 billion from Mercer and $1 billion from Marsh Management Consulting. Income comes from insurance and reinsurance brokerage, health, investment, and organizational consulting, asset management, and specialized capital and risk solutions.
In Q2 FY2026, consolidated revenue increased 6% to $7.4 billion, and underlying growth reached 5% versus 4% in the previous quarter. Net income according to EDGAR was approximately $1.3 billion, and diluted GAAP earnings per share were $2.63, while adjusted earnings per share were $2.96, up 9% year over year. The company reported operating income of $1.9 billion and adjusted operating income of $2.2 billion, up 5%, with an adjusted operating margin of 29.3%.
The business mix showed a clear divergence in Q2 FY2026: Consulting grew 8% on an underlying basis and recorded an adjusted operating margin of 20.5%, while Risk and Insurance Services grew 3% on an underlying basis and recorded a margin of 35.3%. Within the units, Marsh Management Consulting grew 13% on an underlying basis, Mercer 5%, and Marsh Risk 4%, while Guy Carpenter's underlying revenue contracted 2%. On a last-twelve-month basis in FY2026, revenue reached $27.9 billion, net income $4.0 billion, and earnings per share $8.2573.
The analyst consensus is "Neutral," with an average price target of $203.43 within a wide range of $182 to $234; the average is close to the upper end of the 52-week range of $207.83, while the lower end was $156.60. The data do not provide a published price-to-earnings ratio that can be relied upon, so the analyst target should be weighed against pressure on reinsurance pricing and slowing in some growth units, despite continued margin expansion and share repurchases.
Figures in the text are as of 2026-08-26; the live price is shown at the top of the page.
Consolidated revenue reached $7.4 billion in Q2 FY2026, up 6% with underlying growth of 5%. Net income according to EDGAR was approximately $1.3 billion, GAAP earnings per share were $2.63, and adjusted earnings per share were $2.96, up 9% year over year. Adjusted operating income also reached $2.2 billion, and the adjusted operating margin reached 29.3%.
The Consulting segment led growth with revenue of $2.6 billion and underlying growth of 8% in Q2 FY2026. Marsh Management Consulting recorded revenue of $1 billion and underlying growth of 13%, while Mercer generated revenue of $1.6 billion and underlying growth of 5%. By comparison, Marsh Risk grew 4% on an underlying basis, while Guy Carpenter contracted 2% on an underlying basis to revenue of $664 million.
Guy Carpenter's revenue declined 2% on both a reported and underlying basis in Q2 FY2026, while its underlying growth was flat during the first half. The unit's property catastrophe rate index fell 16% at midyear renewals, the largest annual decline since the index was created 25 years ago, and pricing pressure negatively affected underlying growth by approximately six percentage points. Nevertheless, the unit recorded double-digit new business growth, client retention in the high nineties, and led 20 catastrophe bond issuances providing total coverage of $5 billion during the first half.
Automated analysis for informational purposes only — not investment advice.
Marsh launched the Marsh Risk Companion platform to analyze client risks and develop solutions, and the Atlas platform to aggregate hazard, litigation, pricing, and economic indicator data for reinsurance strategies. It deployed Claims IQ to 3,000 claims professionals, while LenWork helps employees with product development, sales strategies, and responses to requests for proposals. BCS and Oliver Wyman also began collaborating with Amazon Web Services in Q2 FY2026 to redesign claims services and the issuance of reinsurance agreements, while Quotient recorded the strongest growth among Marsh Management Consulting's offerings.
Management expects underlying revenue growth in FY2026 to be similar to the level achieved in FY2025, alongside additional margin expansion and strong adjusted earnings-per-share growth. It expects margin expansion in Q4 FY2026 to be greater than in Q3 and Marsh Management Consulting's growth in Q3 to be in the mid-to-high single-digit range. It also expects an adjusted effective tax rate between 24.5% and 25.5%, fiduciary interest income of approximately $95 million, and adjusted corporate expenses of approximately $75 million in Q3.
Marsh raised its estimated capital deployment in FY2026 from $5.0 billion to approximately $5.5 billion through dividends, acquisitions, and share repurchases. During the first half of FY2026, it spent $2.7 billion, including $878 million on dividends, $319 million on acquisitions, and $1.5 billion on share repurchases. In July 2026, it announced a 10% increase in the quarterly dividend, marking the seventeenth consecutive year of dividend increases.
