10 Best Performing Insurance Stocks to Buy Now

4. Marsh & McLennan Companies, Inc. (NYSE:MMC)

1-Year Returns: 15.97%

No. of Hedge Fund Holders: 69

Marsh & McLennan Companies, Inc. (NYSE:MMC) is a professional services company that provides insurance brokerage and related services. The company serves in areas of risk, strategy, and people. The company’s Risk and Insurance Services segment includes risk management activities as well as insurance and reinsurance broking and services.

Marsh & McLennan Companies, Inc. (NYSE:MMC) is expanding its market share with acquisitions. In late 2024, the company purchased McGriff Insurance Services for $7.75 billion. On February 18, the company announced that it is set to acquire SECOR Asset Management, a global provider of bespoke strategic and portfolio solutions. SECOR offers services to institutional investors, including pension funds, insurance companies, endowments and family offices. It offers end-to-end solutions such as investment advisory and implementation, fiduciary management and asset liability management. The McGriff acquisition added $1.3 billion in revenues in 2024 and an estimated $400 million to $500 million in EBITDA to MMC’s MMA segment. SECOR’s acquisition will be another addition to MMC’s portfolio, further diversifying its revenue stream.

On February 6, Raymond James analyst C. Gregory Peters upgraded the price target on MMC shares from $240 to $250, keeping an Outperform rating on the shares. The analyst is optimistic on Marsh & McLennan’s ability to achieve higher organic growth and adjusted operating income margin expansion.