Stockchase Opinions

Brian RogersMarsh & McLennanMMCTOP PICKAug 27, 2004

$44.64

Stock price when the opinion was issued

insurance
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PAST TOP PICK
(A Top Pick Feb 06/24, Up 13%)

Benefiting from continued tight market conditions in insurance market, which (perversely) is bolstered by climate change. Consultancy side is a play on the labour market, which remains robust.

TOP PICK

Their reinsurance business increases when premiums increase. Also operate consulting businesses. Recently bought it. Expects double-digit returns over the cycle.

(Analysts’ price target is $201.35)
PARTIAL BUY

It consistently earns, a good company. Buy some now and buy some more cheaper.

DON'T BUY
Insurance brokerage business is profitable, but technology will depress margins. Well run, but has benefited from PE expansion. Hard to see the upside. Great company, but rather fully priced.
PAST TOP PICK
(A Top Pick Apr 22/19, Down 7%) If you can get this at $64 he would be very happy.
PAST TOP PICK
(A Top Pick Apr 22/19, Up 21%) It could pull back to 101.60 but he would be a buyer in another $10 dollars.
TOP PICK
Model price of $115.23 which is an 8% upside. This is a solid company. (Analysts’ price target is $106.06)
TOP PICK
$112.32 is his target. Low volatility. Has long owned this and done well with it. Days of rigging bids and price fixing are long behind them. (Analysts’ price target is $93.94)
SELL
(Market Call Minute.) Management is terrible. Margins are under pressure. Would buy Willis Group (WSH-N) instead.
BUY
Probably a pretty reasonable buy right now after their sale of the Putnam Group. By most measures, it is a little undervalued.
BUY
Has gone through a lot of problems in the last 6 months or so. Senior management has been let go and there is talk about people rigging their bidding for certain aspects. The component parts of their company are actually pretty good. New management has cleared up a lot of the issues and thinks there's a lot more upside in this company.
DON'T BUY
Has a hard time understanding exactly what's in it or what the new model will look like. Was extremely profitable. It threw off cash. Had a high ROE. There were things going on that increased the profitability. Would stand back on this one.
DON'T BUY
Model price is $34.64. Prefers other cheaper companies.
WAIT
Have seen earnings estimates fall because of the lack of business that they were going to be getting. Using last Sept's balance sheet, feel that it is worth around $33.45. Want to see the write offs before buying.
DON'T BUY
Is in difficulty. Don't know what the underlying business is going to transform to. Also has a credibility issue.